EBAY INC, 10-K filed on 2/1/2016
Annual Report
v3.3.1.900
Document and Entity Information - USD ($)
12 Months Ended
Dec. 31, 2015
Jan. 27, 2016
Jun. 30, 2015
Document and Entity Information [Abstract]      
Entity Registrant Name EBAY INC    
Entity Trading Symbol EBAY    
Entity Central Index Key 0001065088    
Document Type 10-K    
Document Period End Date Dec. 31, 2015    
Amendment Flag false    
Document Fiscal Year Focus 2015    
Document Fiscal Period Focus FY    
Current Fiscal Year End Date --12-31    
Entity Well-known Seasoned Issuer Yes    
Entity Current Reporting Status Yes    
Entity Voluntary Filer No    
Entity Filer Category Large Accelerated Filer    
Entity Common Stock, Shares Outstanding   1,178,705,177  
Entity Public Float     $ 67,436,299,797
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CONSOLIDATED BALANCE SHEET - USD ($)
$ in Millions
Dec. 31, 2015
Dec. 31, 2014
Current assets:    
Cash and cash equivalents $ 1,832 $ 4,105
Short-term investments 4,299 3,730
Accounts receivable, net 619 600
Other current assets 1,154 1,048
Current assets of discontinued operations 0 17,048
Total current assets 7,904 26,531
Long-term investments 3,391 5,736
Property and equipment, net 1,554 1,486
Goodwill 4,451 4,671
Intangible assets, net 90 133
Other assets 395 207
Long-term assets of discontinued operations 0 6,368
Total assets 17,785 45,132
Current liabilities:    
Short-term debt 0 850
Accounts payable 349 107
Accrued expenses and other current liabilities 1,736 3,830
Deferred revenue 106 108
Income taxes payable 72 125
Current liabilities of discontinued operations 0 12,511
Total current liabilities 2,263 17,531
Deferred and other tax liabilities, net 2,092 522
Long-term debt 6,779 6,777
Other liabilities 75 79
Long-term liabilities of discontinued operations 0 317
Total liabilities $ 11,209 $ 25,226
Commitments and contingencies (Note 13)
Stockholders' equity:    
Common stock, $0.001 par value; 3,580 shares authorized; 1,184 and 1,224 shares outstanding $ 2 $ 2
Additional paid-in capital 14,538 13,887
Treasury stock at cost, 443 and 384 shares (16,203) (14,054)
Retained earnings 7,713 18,900
Accumulated other comprehensive income 526 1,171
Total stockholders' equity 6,576 19,906
Total liabilities and stockholders' equity $ 17,785 $ 45,132
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CONSOLIDATED BALANCE SHEET (Parentheticals) - $ / shares
shares in Millions
Dec. 31, 2015
Dec. 31, 2014
Statement of Financial Position [Abstract]    
Common stock - par value (in usd per share) $ 0.001 $ 0.001
Common stock - shares authorized 3,580 3,580
Common stock - shares outstanding 1,184 1,224
Treasury stock - shares 443 384
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CONSOLIDATED STATEMENT OF INCOME - USD ($)
shares in Millions, $ in Millions
12 Months Ended
Dec. 31, 2015
Dec. 31, 2014
Dec. 31, 2013
Income Statement [Abstract]      
Net revenues $ 8,592 $ 8,790 $ 8,257
Cost of net revenues 1,771 1,663 1,492
Gross profit 6,821 7,127 6,765
Operating expenses:      
Sales and marketing 2,267 2,442 2,144
Product development 923 983 915
General and administrative 1,122 889 880
Provision for transaction losses 271 262 236
Amortization of acquired intangible assets 41 75 136
Total operating expenses 4,624 4,651 4,311
Income from operations 2,197 2,476 2,454
Interest and other, net 209 39 117
Income from continuing operations before income taxes 2,406 2,515 2,571
Provision for income taxes (459) (3,380) (504)
Income (loss) from continuing operations 1,947 (865) 2,067
Income (loss) from discontinued operations, net of income taxes (222) 911 789
Net income $ 1,725 $ 46 $ 2,856
Income (loss) per share - basic:      
Continuing operations (in usd per share) $ 1.61 $ (0.69) $ 1.60
Discontinued operations (in usd per share) (0.18) 0.73 0.60
Net income per share - basic (in usd per share) 1.43 0.04 2.20
Income (loss) per share - diluted:      
Continuing operations (in usd per share) 1.60 (0.69) 1.58
Discontinued operations (in usd per share) (0.18) 0.73 0.60
Net income per share - diluted (in usd per share) $ 1.42 $ 0.04 $ 2.18
Weighted average shares:      
Basic (in shares) 1,208 1,251 1,295
Diluted (in shares) 1,220 1,251 1,313
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CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2015
Dec. 31, 2014
Dec. 31, 2013
Statement of Comprehensive Income [Abstract]      
Net income $ 1,725 $ 46 $ 2,856
Other comprehensive income (loss), net of reclassification adjustments:      
Foreign currency translation gain (loss) (431) (323) 208
Unrealized gains (losses) on investments, net (187) 108 234
Tax (expense) benefit on unrealized gains (losses) on investments, net 56 (37) (93)
Unrealized gains (losses) on hedging activities, net (65) 274 (51)
Tax (expense) benefit on unrealized gains (losses) on hedging activities, net (6) (7) 2
Other comprehensive income (loss), net of tax (633) 15 300
Comprehensive income $ 1,092 $ 61 $ 3,156
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CONSOLIDATED STATEMENT OF STOCKHOLDERS' EQUITY - USD ($)
shares in Millions, $ in Millions
Total
Common stock
Additional paid-in capital
Treasury stock at cost
Retained earnings
Accumulated Other Comprehensive Income
Stockholders' equity, beginning of period at Dec. 31, 2012   $ 2 $ 12,062 $ (8,053) $ 15,998 $ 856
Common stock, beginning of year (in shares) at Dec. 31, 2012   1,294        
Increase (Decrease) in Stockholders' Equity [Roll Forward]            
Common stock issued   $ 0        
Common stock issued (in shares)   25        
Common stock repurchased/forfeited   $ 0        
Common stock repurchased/forfeited (in shares)   (25)        
Common stock and stock-based awards issued and assumed     440      
Tax withholdings related to net share settlements of restricted stock awards and units     (267)      
Stock-based compensation     572      
Stock-based awards tax impact     224      
Common stock repurchased       (1,343)    
Net income $ 2,856       2,856  
Change in unrealized gains (losses) on investments           234
Change in unrealized gains (losses) on cash flow hedges           (51)
Foreign currency translation adjustment           208
Tax benefit (provision) on above items           (91)
Distribution of PayPal         0 0
Common stock, end of period (in shares) at Dec. 31, 2013   1,294        
Stockholders' equity, end of period at Dec. 31, 2013 23,647 $ 2 13,031 (9,396) 18,854 1,156
Increase (Decrease) in Stockholders' Equity [Roll Forward]            
Common stock issued   $ 0        
Common stock issued (in shares)   18        
Common stock repurchased/forfeited   $ 0        
Common stock repurchased/forfeited (in shares)   (88)        
Common stock and stock-based awards issued and assumed     298      
Tax withholdings related to net share settlements of restricted stock awards and units     (252)      
Stock-based compensation     693      
Stock-based awards tax impact     117      
Common stock repurchased       (4,658)    
Net income $ 46       46  
Change in unrealized gains (losses) on investments           108
Change in unrealized gains (losses) on cash flow hedges           274
Foreign currency translation adjustment           (323)
Tax benefit (provision) on above items           (44)
Distribution of PayPal         0 0
Common stock, end of period (in shares) at Dec. 31, 2014 1,224 1,224        
Stockholders' equity, end of period at Dec. 31, 2014 $ 19,906 $ 2 13,887 (14,054) 18,900 1,171
Increase (Decrease) in Stockholders' Equity [Roll Forward]            
Common stock issued   $ 0        
Common stock issued (in shares)   19        
Common stock repurchased/forfeited   $ 0        
Common stock repurchased/forfeited (in shares) (59) (59)        
Common stock and stock-based awards issued and assumed     230      
Tax withholdings related to net share settlements of restricted stock awards and units     (245)      
Stock-based compensation     576      
Stock-based awards tax impact     90      
Common stock repurchased $ (2,100)     (2,149)    
Net income $ 1,725       1,725  
Change in unrealized gains (losses) on investments           (187)
Change in unrealized gains (losses) on cash flow hedges           (65)
Foreign currency translation adjustment           (431)
Tax benefit (provision) on above items           50
Distribution of PayPal         (12,912) (12)
Common stock, end of period (in shares) at Dec. 31, 2015 1,184 1,184        
Stockholders' equity, end of period at Dec. 31, 2015 $ 6,576 $ 2 $ 14,538 $ (16,203) $ 7,713 $ 526
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CONSOLIDATED STATEMENT OF CASH FLOWS
$ in Millions
12 Months Ended
Dec. 31, 2015
USD ($)
Dec. 31, 2014
USD ($)
Dec. 31, 2013
USD ($)
Cash flows from operating activities:      
Net income $ 1,725 $ 46 $ 2,856
(Income) loss from discontinued operations, net of income taxes 222 (911) (789)
Adjustments:      
Provision for transaction losses 271 262 236
Depreciation and amortization 687 682 660
Stock-based compensation 379 344 298
Gain on sale of investments (195) (12) (75)
Deferred income taxes (32) 2,744 (33)
Excess tax benefits from stock-based compensation (74) (75) (112)
Changes in assets and liabilities, net of acquisition effects      
Accounts receivable (105) 51 (89)
Other current assets (143) (36) (367)
Other non-current assets 143 (3) (105)
Accounts payable 226 81 (13)
Accrued expenses and other liabilities (202) (81) 274
Deferred revenue 9 4 2
Income taxes payable and other tax liabilities (34) 132 189
Net cash provided by continuing operating activities 2,877 3,228 2,932
Net cash provided by discontinued operating activities 1,156 2,449 2,063
Net cash provided by operating activities 4,033 5,677 4,995
Cash flows from investing activities:      
Purchases of property and equipment (668) (622) (678)
Purchases of investments (6,744) (8,752) (6,889)
Maturities and sales of investments 6,781 8,115 3,622
Acquisitions, net of cash acquired (24) (55) (138)
Repayment of note receivable and sale of related equity investments 0 0 485
Other (18) (11) (22)
Net cash used in continuing investing activities (673) (1,325) (3,620)
Net cash used in discontinued investing activities (2,938) (1,348) (2,392)
Net cash used in investing activities (3,611) (2,673) (6,012)
Cash flows from financing activities:      
Proceeds from issuance of common stock 221 300 437
Repurchases of common stock (2,149) (4,658) (1,343)
Excess tax benefits from stock-based compensation 74 75 112
Tax withholdings related to net share settlements of restricted stock awards and units (245) (252) (267)
Proceeds from issuance of long-term debt, net 0 3,482 0
Repayment of debt (850) 0 (400)
Other (11) 6 30
Net cash used in continuing financing activities (2,960) (1,047) (1,431)
Net cash provided by (used in) discontinued financing activities (1,594) 25 77
Net cash (used in) provided by financing activities (4,554) (1,022) (1,354)
Effect of exchange rate changes on cash and cash equivalents (364) (148) 48
Net increase (decrease) in cash and cash equivalents (4,496) 1,834 (2,323)
Cash and cash equivalents at beginning of period 6,328 4,494 6,817
Cash and cash equivalents at end of period 1,832 6,328 4,494
Less: Cash and cash equivalents of discontinued operations - Enterprise 0 29 47
Less: Cash and cash equivalents of discontinued operations - PayPal 0 2,194 1,599
Cash and cash equivalents of continuing operations at end of period 1,832 4,105 2,848
Supplemental cash flow disclosures:      
Cash paid for interest 175 99 99
Cash paid for income taxes $ 256 $ 343 $ 466
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The Company and Summary of Significant Accounting Policies
12 Months Ended
Dec. 31, 2015
Accounting Policies [Abstract]  
The Company and Summary of Significant Accounting Policies
The Company and Summary of Significant Accounting Policies

The Company

eBay Inc. is a global commerce leader, including our Marketplace, StubHub and Classifieds platforms. Our Marketplace platforms include our online marketplace located at www.ebay.com, its localized counterparts and the eBay mobile apps. Our StubHub platforms include our online ticket platform located at www.stubhub.com and the StubHub mobile apps. Our Classifieds platforms include a collection of brands such as Mobile.de, Kijiji, Gumtree, Marktplaats, eBay Classifieds and others. 

On July 17, 2015, we completed the distribution of 100% of the outstanding common stock of PayPal Holdings, Inc. ("PayPal") to our stockholders (the "Distribution"), pursuant to which PayPal became an independent company. Beginning in the third quarter of 2015, PayPal's financial results for periods prior to the Distribution have been reflected in our consolidated statement of income, retrospectively, as discontinued operations. Additionally, the related assets and liabilities associated with the discontinued operations in the prior year consolidated balance sheet are classified as discontinued operations. Pursuant to the terms of the separation and distribution agreement entered into between us and PayPal on June 26, 2015, upon Distribution, assets related to the PayPal business were transferred to, and liabilities related to the PayPal business were retained or assumed by, PayPal. See "Note 4 - Discontinued Operations" for additional information.

During the second quarter of 2015, our Board of Directors ("Board") approved a plan to sell the businesses underlying our former Enterprise segment ("Enterprise"). As a result, the Enterprise financial results were reflected in our consolidated statement of income, retrospectively, as discontinued operations beginning in the second quarter of 2015. On July 16, 2015, we signed a definitive agreement to sell Enterprise and on November 2, 2015, the sale closed. As a result, the related assets and liabilities associated with the discontinued operations in the prior year consolidated balance sheet are classified as discontinued operations. See "Note 4 - Discontinued Operations" for additional information.

When we refer to “we,” “our,” “us” or “eBay” in this document, we mean the current Delaware corporation (eBay Inc.) and its California predecessor, as well as all of our consolidated subsidiaries, unless otherwise expressly stated or the context otherwise requires.

Use of estimates

The preparation of consolidated financial statements in conformity with U.S. generally accepted accounting principles ("GAAP") requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. On an ongoing basis, we evaluate our estimates, including those related to provisions for transaction losses, legal contingencies, income taxes, revenue recognition, stock-based compensation, goodwill and the recoverability of intangible assets. We base our estimates on historical experience and on various other assumptions that we believe to be reasonable under the circumstances. Actual results could differ from those estimates.

Principles of consolidation and basis of presentation

The accompanying financial statements are consolidated and include the financial statements of eBay Inc., our wholly and majority-owned subsidiaries and variable interest entities (“VIE”) where we are the primary beneficiary. All intercompany balances and transactions have been eliminated in consolidation. Minority interests are recorded as a noncontrolling interest. A qualitative approach is applied to assess the consolidation requirement for VIEs. Investments in entities where we hold at least a 20% ownership interest and have the ability to exercise significant influence, but not control, over the investee are accounted for using the equity method of accounting. For such investments, our share of the investees' results of operations is included in interest and other, net and our investment balance is included in long-term investments. Investments in entities where we hold less than a 20% ownership interest are generally accounted for using the cost method of accounting, and our share of the investees' results of operations is included in our consolidated statement of income to the extent dividends are received.

We have evaluated all subsequent events through the date the financial statements were issued.

Revenue recognition

We generate net transaction revenues primarily from final value fees and listing fees paid by sellers. Final value fee revenues are recognized at the time that the transaction is successfully closed, while listing fee revenues are recognized ratably over the estimated period of the listing. An auction transaction is considered successfully closed when at least one buyer has bid above the seller's specified minimum price or reserve price, whichever is higher, at the end of the transaction term.

Our marketing services revenues are derived principally from the sale of advertisements, revenue sharing arrangements, classifieds fees, marketing service fees and lead referral fees. Our advertising revenues are derived principally from the sale of online advertisements. The duration of our advertising contracts has ranged from one week to five years, but is generally one week to one year. Advertising revenues on contracts are recognized as “impressions” (i.e., the number of times that an advertisement appears in pages viewed by users of our platforms) are delivered, or as “clicks” (which are generated each time users on our platforms click through our advertisements to an advertiser's designated website) are provided to advertisers. For contracts with minimum monthly or quarterly advertising commitments where the fee and commitments are fixed throughout the term, we recognize revenue ratably over the term of the agreement. We also may enter into arrangements to purchase services from certain customers and if the service is not considered an identifiable benefit that is separable from the customer's purchase of our services or for which we cannot reasonably estimate fair value, the fees paid to the customer is recorded as a reduction in revenue. Some of our advertising contracts consist of multiple elements which generally include a blend of various impressions and clicks as well as other marketing deliverables. Where neither vendor-specific objective evidence nor third-party evidence of selling price exists, we use management's best estimate of selling price (BESP) to allocate arrangement consideration on a relative basis to each element. BESP is generally based on the selling prices of the various elements when they are sold to customers of a similar nature and geography on a stand-alone basis or estimated stand-alone pricing when the element has not previously been sold on a stand-alone basis. These estimates are generally based on pricing strategies, market factors and strategic objectives. Revenues related to revenue sharing arrangements are recognized based on revenue reports received from our partners, provided that collectability is reasonably assured. Revenues related to fees for listing items on our Classifieds platforms are recognized over the estimated period of the classified listing. Lead referral fee revenue is generated from lead referral fees based on the number of times users click through to a merchant's website from our platforms. Lead referral fees are recognized in the period in which a user clicks through to the merchant's website.

Our other revenues are derived principally from contractual arrangements with third parties that provide services to our users. Revenues from contractual arrangements with third parties are recognized as the contracted services are delivered to end users.

To drive traffic to our platforms, we provide incentives to our users in the form of coupons and buyer and seller rewards. These incentives are generally treated as reductions in revenue.

Internal use software and platform development costs

Direct costs incurred to develop software for internal use and platform development costs are capitalized and amortized over an estimated useful life of one to five years. During the years ended December 31, 2015 and 2014, we capitalized costs, primarily related to labor and stock-based compensation, of $136 million and $144 million, respectively. Amortization of previously capitalized amounts was $110 million, $115 million and $103 million for 2015, 2014 and 2013, respectively. Costs related to the design or maintenance of internal use software and platform development are expensed as incurred.

Advertising expense

We expense the costs of producing advertisements at the time production occurs and expense the cost of communicating advertisements in the period during which the advertising space or airtime is used, in each case as sales and marketing expense. Internet advertising expenses are recognized based on the terms of the individual agreements, which are generally over the greater of the ratio of the number of impressions delivered over the total number of contracted impressions, on a pay-per-click basis, or on a straight-line basis over the term of the contract. Advertising expense totaled $1.0 billion, $1.0 billion and $844 million for the years ended December 31, 2015, 2014 and 2013, respectively.

Stock-based compensation

We have equity incentive plans under which we grant equity awards, including stock options, restricted stock units, performance-based restricted stock units, and performance share units, to our directors, officers and employees. We primarily issue restricted stock units. We determine compensation expense associated with restricted stock units based on the fair value of our common stock on the date of grant. We determine compensation expense associated with stock options based on the estimated grant date fair value method using the Black-Scholes valuation model. We generally recognize compensation expense using a straight-line amortization method over the respective vesting period for awards that are ultimately expected to vest. Accordingly, stock-based compensation expense for 2015, 2014 and 2013 has been reduced for estimated forfeitures. When estimating forfeitures, we consider voluntary termination behaviors as well as trends of actual option forfeitures. We recognize a benefit from stock-based compensation in equity to the extent that an incremental tax benefit is realized by following the ordering provisions of the tax law. In addition, we account for the indirect effects of stock-based compensation on the research tax credit and the foreign tax credit through our consolidated statement of income.

Provision for transaction losses

Provision for transaction losses consists primarily of losses resulting from our customer protection programs, fraud and bad debt expense associated with our accounts receivable balance. Provisions for these items represent our estimate of actual losses based on our historical experience and many other factors including changes to our customer protection programs, the impact of regulatory changes as well as economic conditions.

Income taxes

We account for income taxes using an asset and liability approach, which requires the recognition of taxes payable or refundable for the current year and deferred tax liabilities and assets for the future tax consequences of events that have been recognized in our financial statements or tax returns. The measurement of current and deferred tax assets and liabilities is based on provisions of enacted tax laws; the effects of future changes in tax laws or rates are not anticipated. If necessary, the measurement of deferred tax assets is reduced by the amount of any tax benefits that are not expected to be realized based on available evidence.

We report a liability for unrecognized tax benefits resulting from uncertain tax positions taken or expected to be taken in a tax return. We recognize interest and penalties, if any, related to unrecognized tax benefits in income tax expense.

Cash and cash equivalents

Cash and cash equivalents are short-term, highly liquid investments with original maturities of three months or less when purchased and are mainly comprised of bank deposits, certificates of deposit and commercial paper.

Allowance for doubtful accounts and authorized credits

We record our allowance for doubtful accounts based upon our assessment of various factors. We consider historical experience, the age of the accounts receivable balances, current economic conditions and other factors that may affect our customers' ability to pay. The allowance for doubtful accounts and authorized credits was $84 million and $86 million at December 31, 2015 and 2014, respectively.

Investments

Short-term investments, which may include marketable equity securities, time deposits, certificates of deposit, government bonds and corporate debt securities with original maturities of greater than three months but less than one year when purchased, are classified as available-for-sale and are reported at fair value using the specific identification method. Unrealized gains and losses are excluded from earnings and reported as a component of other comprehensive income (loss), net of related estimated tax provisions or benefits.

Long-term investments may include marketable government bonds and corporate debt securities, time deposits, certificates of deposit and cost and equity method investments. Debt securities are classified as available-for-sale and are reported at fair value using the specific identification method. Unrealized gains and losses on our available-for-sale investments are excluded from earnings and reported as a component of other comprehensive income (loss), net of related estimated tax provisions or benefits.

Certain time deposits are classified as held to maturity and recorded at amortized cost. Our equity method investments are primarily investments in privately held companies. Our consolidated results of operations include, as a component of interest and other, net, our share of the net income or loss of the equity method investments. Our share of investees' results of operations is not significant for any period presented. Our cost method investments consist of investments in privately held companies and are recorded at cost. Amounts received from our cost method investees were not material to any period presented.

We assess whether an other-than-temporary impairment loss on our investments has occurred due to declines in fair value or other market conditions. With respect to our debt securities, this assessment takes into account the severity and duration of the decline in value, our intent to sell the security, whether it is more likely than not that we will be required to sell the security before recovery of its amortized cost basis, and whether we expect to recover the entire amortized cost basis of the security (that is, whether a credit loss exists).

Property and equipment

Property and equipment are stated at historical cost less accumulated depreciation. Depreciation is computed using the straight-line method over the estimated useful lives of the assets, generally, one to three years for computer equipment and software, up to thirty years for buildings and building improvements, the shorter of five years or the term of the lease for leasehold improvements and three years for furniture, fixtures and vehicles.
 
Goodwill and intangible assets

Goodwill is tested for impairment at a minimum on an annual basis. Goodwill is tested for impairment at the reporting unit level. A qualitative assessment can be performed to determine whether it is more likely than not that the fair value of the reporting unit is less than its carrying value. If the reporting unit does not pass the qualitative assessment, then the reporting unit's carrying value is compared to its fair value. The fair values of the reporting units are estimated using income and market approaches. Goodwill is considered impaired if the carrying value of the reporting unit exceeds its fair value. The discounted cash flow method, a form of the income approach, uses expected future operating results and a market participant discount rate. The market approach uses comparable company prices and other relevant information generated by market transactions (either publicly traded entities or merger and acquisitions) to develop pricing metrics to be applied to historical and expected future operating results of our reporting units. Failure to achieve these expected results, changes in the discount rate or market pricing metrics may cause a future impairment of goodwill at the reporting unit. We conducted our annual impairment test of goodwill as of August 31, 2015 and 2014. Additionally, we evaluated impairment based on the significant activities regarding the Distribution and Enterprise divestiture during the year. See “Note 4 - Discontinued Operations” for further detail. As a result of this test, we determined that no further adjustment to the carrying value of goodwill for any reporting units was required. 

Intangible assets consist of purchased customer lists and user base, marketing related, developed technologies and other intangible assets, including patents and contractual agreements. Intangible assets are amortized over the period of estimated benefit using the straight-line method and estimated useful lives ranging from one to eight years. No significant residual value is estimated for intangible assets.

Impairment of long-lived assets

We evaluate long-lived assets (including intangible assets) for impairment whenever events or changes in circumstances indicate that the carrying amount of a long-lived asset may not be recoverable. An asset is considered impaired if its carrying amount exceeds the undiscounted future net cash flow the asset is expected to generate. In 2015, 2014 and 2013, no impairment was noted.

Foreign currency
 
Most of our foreign subsidiaries use the local currency of their respective countries as their functional currency. Assets and liabilities are translated at exchange rates prevailing at the balance sheet dates. Revenues, costs and expenses are translated into U.S. dollars using daily exchange rates if the transaction is recorded in our accounting systems on a daily basis, and otherwise using average exchange rates for the period. Gains and losses resulting from the translation of our consolidated balance sheet are recorded as a component of accumulated other comprehensive income.

Gains and losses from foreign currency transactions are recognized as interest and other, net.

Derivative instruments

We use derivative financial instruments, primarily forwards and swaps, to hedge certain foreign currency and interest rate exposures. We may also use other derivative instruments not designated as hedges, such as forwards used to hedge foreign currency balance sheet exposures. We do not use derivative financial instruments for trading purposes. See “Note 9 - Derivative Instruments” for a full description of our derivative instrument activities and related accounting policies.

Concentration of credit risk

Our cash, cash equivalents, accounts receivable and derivative instruments are potentially subject to concentration of credit risk. Cash and cash equivalents are placed with financial institutions that management believes are of high credit quality. Our accounts receivable are derived from revenue earned from customers. In each of the years ended December 31, 2015, 2014 and 2013, no customer accounted for more than 10% of net revenues. Our derivative instruments expose us to credit risk to the extent that our counterparties may be unable to meet the terms of the agreements.

Recent Accounting Pronouncements

In 2014, the FASB issued new guidance related to reporting discontinued operations. This new standard raises the threshold for a disposal to qualify as a discontinued operation and requires new disclosures of both discontinued operations and certain other disposals that do not meet the definition of a discontinued operation. The new standard is now effective. The standard impacted the presentation of Enterprise during the second quarter of 2015 and PayPal during the third quarter of 2015 related to the financial statement presentation of assets held for sale and discontinued operations and required additional disclosures as presented in "Note 4 - Discontinued Operations."

In 2014, the FASB issued new accounting guidance related to revenue recognition. This new standard will replace all current GAAP guidance on this topic and eliminate all industry-specific guidance. The new revenue recognition guidance provides a unified model to determine when and how revenue is recognized. The core principle is that a company should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration for which the entity expects to be entitled in exchange for those goods or services. This guidance can be applied either retrospectively to each period presented or as a cumulative-effect adjustment as of the date of adoption. In 2015, the FASB issued guidance to defer the effective date to fiscal years beginning after December 15, 2017 with early adoption for fiscal years beginning December 15, 2016. We are evaluating the impact of adopting this new accounting guidance on our consolidated financial statements.

In 2015, the FASB issued new guidance related to consolidations. The new standard amends the guidelines for determining whether certain legal entities should be consolidated and reduces the number of consolidation models. The new standard is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2015. Early adoption is permitted. We are evaluating the impact, if any, of adopting this new accounting guidance on our consolidated financial statements.

In 2015, the FASB issued new guidance related to presentation of debt issuance costs. The new standard requires that debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability. The new standard is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2015. Early adoption is permitted. The adoption of this standard is not expected to have a material impact on our consolidated financial statements.

In 2015, the FASB issued new guidance related to accounting for fees paid in a cloud computing arrangement. The new standard provides guidance to customers about whether a cloud computing arrangement includes a software license. If a cloud computing arrangement includes a software license, then the customer should account for the software license element of the arrangement consistent with the acquisition of other software licenses. If a cloud computing arrangement does not include a software license, the customer should account for the arrangement as a service contract. The new standard is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2015. Early adoption is permitted. We are evaluating the impact, if any, of adopting this new accounting guidance on our consolidated financial statements.

In 2015, the FASB issued new guidance related to business combinations. The new guidance requires that adjustments made to provisional amounts recognized in a business combination be recorded in the period such adjustments are determined, rather than retrospectively adjusting previously reported amounts. The new standard is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2015. Early adoption is permitted. We are evaluating the impact, if any, of adopting this new accounting guidance on our consolidated financial statements.

In 2015, the FASB issued new guidance related to balance sheet classification of deferred taxes. The new guidance requires that deferred tax assets and liabilities be classified as noncurrent in a classified statement of financial position. The new standard is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2016. Early adoption is permitted. We early adopted this guidance on a prospective basis as of December 31, 2015. See "Note 17 - Income Taxes" for additional information.

In 2016, the FASB issued new guidance related accounting for equity investments, financial liabilities under the fair value option, and the presentation and disclosure requirements for financial instruments. In addition, the FASB clarified guidance related to the valuation allowance assessment when recognizing deferred tax assets resulting from unrealized losses on available-for-sale debt securities. The new standard is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2017. We are evaluating the impact of adopting this new accounting guidance on our consolidated financial statements.
v3.3.1.900
Net Income (loss) Per Share
12 Months Ended
Dec. 31, 2015
Earnings Per Share [Abstract]  
Net Income (loss) Per Share
Net Income (loss) Per Share

Basic net income (loss) per share is computed by dividing net income (loss) for the period by the weighted average number of common shares outstanding during the period. Diluted net income (loss) per share is computed by dividing net income (loss) for the period by the weighted average number of shares of common stock and potentially dilutive common stock outstanding during the period. The dilutive effect of outstanding options and equity incentive awards is reflected in diluted net income (loss) per share by application of the treasury stock method. The calculation of diluted net income (loss) per share excludes all anti-dilutive common shares. The following table sets forth the computation of basic and diluted net income (loss) per share for the periods indicated:
 
Year Ended December 31,
 
2015
 
2014
 
2013
 
(In millions, except per share amounts)
Numerator:
 
 
 
 
 
Income (loss) from continuing operations
$
1,947

 
$
(865
)
 
$
2,067

Income (loss) from discontinued operations, net of income taxes
(222
)
 
911

 
789

Net income
$
1,725

 
$
46

 
$
2,856

Denominator:
 
 
 
 
 
Weighted average shares of common stock - basic
1,208

 
1,251

 
1,295

Dilutive effect of equity incentive awards
12

 

 
18

Weighted average shares of common stock - diluted
1,220

 
1,251

 
1,313

Income (loss) per share - basic:
 
 
 
 
 
Continuing operations
$
1.61

 
$
(0.69
)
 
$
1.60

Discontinued operations
(0.18
)
 
0.73

 
0.60

Net income per share - basic
$
1.43

 
$
0.04

 
$
2.20

Income (loss) per share - diluted:
 
 
 
 
 
Continuing operations
$
1.60

 
$
(0.69
)
 
$
1.58

Discontinued operations
(0.18
)
 
0.73

 
0.60

Net income per share - diluted
$
1.42

 
$
0.04

 
$
2.18

Common stock equivalents excluded from income per diluted share because their effect would have been anti-dilutive
2

 
54

 
4

v3.3.1.900
Business Combinations and Divestitures
12 Months Ended
Dec. 31, 2015
Business Combinations [Abstract]  
Business Combinations and Divestitures
Business Combinations and Divestitures

Our acquisition and divestiture activity in 2015, 2014 and 2013, was as follows:

2015 Divestiture Activity

During 2015, we completed the Distribution of PayPal and the sale of Enterprise. See "Note 4 - Discontinued Operations" for additional information.

2014 Acquisition Activity

During 2014, we completed three acquisitions for aggregate purchase consideration of approximately $58 million, consisting primarily of cash. The allocation of the aggregate purchase consideration resulted in net liabilities of approximately $1 million, purchased intangible assets of $29 million and goodwill of $30 million. The consolidated financial statements include the operating results of the acquired businesses since the respective dates of the acquisitions. Pro forma results of operations have not been presented because the effect of the acquisitions was not material to our financial results.

2013 Acquisition Activity

During 2013, we completed four acquisitions for aggregate purchase consideration of approximately $148 million, consisting primarily of cash. The allocation of the aggregate purchase consideration resulted in net liabilities of approximately $15 million, purchased intangible assets of approximately $51 million and goodwill of approximately $112 million. The consolidated financial statements include the operating results of the acquired businesses since the respective dates of the acquisitions. Pro forma results of operations have not been presented because the effect of the acquisitions was not material to our financial results.

2013 Divestiture Activity

In 2013, a note receivable received as consideration of a previously divested business was repaid and our investments in RueLaLa and ShopRunner were sold for total cash proceeds of approximately $485 million. This transaction resulted in a net gain of approximately $75 million, which has been recognized in interest and other, net in our consolidated statement of income.
v3.3.1.900
Discontinued Operations
12 Months Ended
Dec. 31, 2015
Discontinued Operations and Disposal Groups [Abstract]  
Discontinued Operations
Discontinued Operations

On June 26, 2015, our Board approved the separation of PayPal through the Distribution. To consummate the Distribution, our Board declared a pro rata dividend of PayPal Holdings, Inc. common stock to eBay’s stockholders of record as of the close of business on July 8, 2015 (the "Record Date"). Each eBay stockholder received one (1) share of PayPal Holdings, Inc. common stock for every share of eBay common stock held at the close of business on the Record Date. The Distribution occurred on July 17, 2015. Immediately following the Distribution, PayPal became an independent, publicly traded company and is listed on The NASDAQ Stock Market under the ticker “PYPL.” eBay continues to trade on The NASDAQ Stock Market under the ticker “EBAY.” We have classified the results of PayPal as discontinued operations in our consolidated statement of income for all periods presented. Additionally, the related assets and liabilities associated with the discontinued operations in the prior year consolidated balance sheet are classified as discontinued operations. In connection with the Distribution, we reviewed our capital allocation strategy to ensure that each of PayPal and eBay would be well capitalized at Distribution. As part of this strategy, we contributed approximately $3.8 billion of cash to PayPal.

During the second quarter of 2015, our Board approved a plan to sell Enterprise. Based on the expected sales proceeds, we recorded a goodwill impairment of $786 million in the second quarter of 2015. On July 16, 2015, we signed a definitive agreement to sell Enterprise for $925 million and on November 2, 2015, the sale closed. We recorded a loss of $35 million upon closing included within income (loss) from discontinued operations, net of income taxes. We have classified the results of Enterprise as discontinued operations in our consolidated statement of income for all periods presented. Additionally, the related assets and liabilities associated with the discontinued operations in the prior year consolidated balance sheet are classified as discontinued operations.

The following table presents the aggregate carrying amounts of the classes of assets and liabilities of discontinued operations of PayPal and Enterprise:
 
December 31,
2014
 
(In millions)
PayPal current assets classified as discontinued operations
$
16,795

Enterprise current assets classified as discontinued operations
253

Current assets of discontinued operations
$
17,048

 
 
PayPal long-term assets classified as discontinued operations
$
4,506

Enterprise long-term assets classified as discontinued operations
1,862

Long-term assets of discontinued operations
$
6,368

 
 
PayPal current liabilities classified as discontinued operations
$
12,137

Enterprise current liabilities classified as discontinued operations
374

Current liabilities of discontinued operations
$
12,511

 
 
PayPal long-term liabilities classified as discontinued operations
$
243

Enterprise long-term liabilities classified as discontinued operations
74

Long-term liabilities of discontinued operations
$
317



The financial results of PayPal and Enterprise are presented as income (loss) from discontinued operations, net of income taxes in our consolidated statement of income. The following table presents financial results of PayPal and Enterprise:
 
Year Ended
December 31,
 
2015 (1)
 
2014
 
2013
 
 
 
 
PayPal income from discontinued operations, net of income taxes
$
516

 
$
1,024

 
$
926

Enterprise loss from discontinued operations, net of income taxes
(738
)
 
(113
)
 
(137
)
Income (loss) from discontinued operations, net of income taxes
$
(222
)
 
$
911

 
$
789

 
(1)
Includes PayPal financial results from January 1, 2015 to July 17, 2015 and Enterprise financial results from January 1, 2015 to November 2, 2015.

The following table presents cash flows of PayPal and Enterprise:
 
Year Ended
December 31,
 
2015 (1)
 
2014
 
2013
 
 
 
 
PayPal net cash provided by discontinued operating activities
$
1,252

 
$
2,280

 
$
1,913

Enterprise net cash provided by (used in) discontinued operating activities
(96
)
 
169

 
150

Net cash provided by discontinued operating activities
$
1,156

 
$
2,449

 
$
2,063

 
 
 
 
 
 
PayPal net cash used in discontinued investing activities
$
(3,725
)
 
$
(1,218
)
 
$
(2,221
)
Enterprise net cash provided by (used in) discontinued investing activities
787

 
(130
)
 
(171
)
Net cash used in discontinued investing activities
$
(2,938
)
 
$
(1,348
)
 
$
(2,392
)
 
 
 
 
 
 
PayPal net cash provided by (used in) discontinued financing activities (2)
$
(1,594
)
 
$
40

 
$
76

Enterprise net cash used in discontinued financing activities

 
(15
)
 
1

Net cash provided by (used in) discontinued financing activities
$
(1,594
)
 
$
25

 
$
77

(1)
Includes PayPal financial results from January 1, 2015 to July 17, 2015 and Enterprise financial results from January 1, 2015 to November 2, 2015.
(2)    Includes $1.6 billion of PayPal cash and cash equivalents as of July 17, 2015.

PayPal

The financial results of PayPal through the Distribution are presented as income (loss) from discontinued operations, net of income taxes on our consolidated statement of income. The following table presents financial results of PayPal:
 
Year Ended
December 31,
 
2015 (1)
 
2014
 
2013
 
 
 
 
Net revenues
$
4,793

 
$
7,895

 
$
6,640

Cost of net revenues
1,918

 
3,140

 
2,696

Gross profit
2,875

 
4,755

 
3,944

Operating expenses:
 
 
 
 
 
Sales and marketing
534

 
1,027

 
794

Product development
527

 
879

 
712

General and administrative
741

 
892

 
724

Provision for transaction and loan losses
418

 
688

 
551

Amortization of acquired intangible assets
30

 
53

 
41

Total operating expenses
2,250

 
3,539

 
2,822

Income from operations of discontinued operations
625

 
1,216

 
1,122

Interest and other, net
1

 
(7
)
 
(7
)
Income from discontinued operations before income taxes
626

 
1,209

 
1,115

Provision for income taxes
(110
)
 
(185
)
 
(189
)
Income from discontinued operations, net of income taxes
$
516

 
$
1,024

 
$
926

 
(1)    Includes PayPal financial results from January 1, 2015 to July 17, 2015.

The following table presents the aggregate carrying amounts of the classes of assets and liabilities of discontinued operations of PayPal:
 
December 31,
2014
 
(In millions)
Carrying amounts of assets included as part of discontinued operations:
 
Cash and cash equivalents
$
2,194

Short-term investments
39

Accounts receivable, net
51

Loans and interest receivable, net
3,600

Funds receivable and customer accounts
10,545

Other current assets
366

Current assets classified as discontinued operations
16,795

Long-term investments
31

Property and equipment, net
1,113

Goodwill
3,136

Intangible assets, net
172

Other assets
54

Long-term assets classified as discontinued operations
4,506

Total assets classified as discontinued operations in the consolidated balance sheet
$
21,301

 
 
Carrying amounts of liabilities included as part of discontinued operations:
 
Accounts payable
$
115

Funds receivable and customer accounts
10,545

Accrued expenses and other current liabilities
1,448

Income taxes payable
29

Current liabilities classified as discontinued operations
12,137

Deferred and other tax liabilities, net
197

Other liabilities
46

Long-term liabilities classified as discontinued operations
243

Total liabilities classified as discontinued operations in the consolidated balance sheet
$
12,380


 



Enterprise

The financial results of Enterprise are presented as income (loss) from discontinued operations, net of income taxes on our consolidated statement of income. The following table presents financial results of Enterprise:
 
Year Ended
December 31,
 
2015 (1)
 
2014
 
2013
 
 
 
 
Net revenues
$
904

 
$
1,217

 
$
1,150

Cost of net revenues
654

 
929

 
848

Gross profit
250

 
288

 
302

Operating expenses:
 
 
 
 
 
Sales and marketing
95

 
118

 
122

Product development
91

 
138

 
141

General and administrative
118

 
62

 
99

Provision for transaction losses
12

 
8

 
4

Amortization of acquired intangible assets
70

 
140

 
141

Goodwill impairment
786

 

 

Total operating expenses
1,172

 
466

 
507

Loss from operations of discontinued operations
(922
)
 
(178
)
 
(205
)
Interest and other, net
1

 
(15
)
 
(15
)
Pretax loss on disposal of the discontinued operation
(35
)
 

 

Loss from discontinued operations before income taxes
(956
)
 
(193
)
 
(220
)
Income tax benefit
218

 
80

 
83

Loss from discontinued operations, net of income taxes
$
(738
)
 
$
(113
)
 
$
(137
)
 
(1)    Includes Enterprise financial results from January 1, 2015 to November 2, 2015.

The following table presents the aggregate carrying amounts of the classes of assets and liabilities of discontinued operations of Enterprise:
 
December 31,
2014
 
(In millions)
Carrying amounts of assets included as part of discontinued operations:
 
Cash and cash equivalents
$
29

Short-term investments
1

Accounts receivable, net
146

Other current assets
77

Current assets classified as discontinued operations
253

Long-term investments
10

Property and equipment, net
303

Goodwill
1,287

Intangible assets, net
259

Other assets
3

Long-term assets classified as discontinued operations
1,862

Total assets classified as discontinued operations in the consolidated balance sheet
$
2,115

 
 
Carrying amounts of liabilities included as part of discontinued operations:
 
Accounts payable
$
179

Accrued expenses and other current liabilities
115

Deferred revenue
80

Current liabilities classified as discontinued operations
374

Deferred and other tax liabilities, net
73

Other liabilities
1

Long-term liabilities classified as discontinued operations
74

Total liabilities classified as discontinued operations in the consolidated balance sheet
$
448

v3.3.1.900
Goodwill and Intangible Assets
12 Months Ended
Dec. 31, 2015
Goodwill and Intangible Assets Disclosure [Abstract]  
Goodwill and Intangible Assets
Goodwill and Intangible Assets

Goodwill

The following table presents goodwill balances and adjustments to those balances for the years ended December 31, 2015 and 2014:
 
December 31,
2013
 
Goodwill Acquired
 
Adjustments
 
December 31,
2014
 
Goodwill
Acquired
 
Adjustments
 
December 31,
2015
 
(In millions)
Goodwill
$
4,855

 
30

 
(214
)
 
$
4,671

 
23

 
(243
)
 
$
4,451



The adjustments to goodwill during the year ended December 31, 2015 and December 31, 2014 were due primarily to foreign currency translation.
We conducted our annual impairment test of goodwill as of August 31, 2015. As of December 31, 2015, we determined that no impairment of the carrying value of goodwill for any reporting units was required.

Intangible Assets

The components of identifiable intangible assets are as follows: 
 
December 31, 2015
 
December 31, 2014
 
Gross Carrying Amount  
 
Accumulated Amortization 
 
Net Carrying Amount
 
Weighted Average Useful Life (Years)
 
Gross Carrying Amount 
 
Accumulated Amortization 
 
Net Carrying Amount
 
Weighted Average Useful Life (Years)
 
(In millions, except years)
Intangible assets:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Customer lists and user base
$
419

 
$
(399
)
 
$
20

 
5
 
$
434

 
$
(407
)
 
$
27

 
5
Marketing related
594

 
(570
)
 
24

 
5
 
642

 
(596
)
 
46

 
5
Developed technologies
238

 
(215
)
 
23

 
4
 
237

 
(195
)
 
42

 
4
All other
157

 
(134
)
 
23

 
4
 
144

 
(126
)
 
18

 
4
 
$
1,408

 
$
(1,318
)
 
$
90

 
 
 
$
1,457

 
$
(1,324
)
 
$
133

 
 

  
Amortization expense for intangible assets was $66 million, $120 million and $175 million for the years ended December 31, 2015, 2014 and 2013, respectively.

Expected future intangible asset amortization as of December 31, 2015 is as follows (in millions):
Fiscal years:
 
2016
$
47

 
2017
33

 
2018
10

 
2019

 
2020

 
Thereafter

 
 
$
90

v3.3.1.900
Segments
12 Months Ended
Dec. 31, 2015
Segment Reporting [Abstract]  
Segments
Segments

We have one operating and reportable segment. Our chief operating decision maker reviews financial information presented on a consolidated basis for purposes of allocating resources and evaluating financial performance. During the second quarter of 2015, we classified the results of Enterprise, formerly our Enterprise segment, as discontinued operations in our consolidated statement of income for all periods presented. During the third quarter of 2015, we have classified the results of PayPal, formerly our Payments segment, as discontinued operations in our consolidated statement of income for all periods presented. See "Note 4 - Discontinued Operations" for additional information.

The following table sets forth the breakdown of net revenues by type:
 
Year Ended December 31,
 
2015
 
2014
 
2013
 
(In millions)
Net Revenues by Type:
 
 
 
 
 
Net transaction revenues:
 
 
 
 
 
Marketplace
$
6,103

 
$
6,351

 
$
5,900

StubHub
725

 
629

 
653

Total net transaction revenues
6,828

 
6,980

 
6,553

Marketing services and other revenues:
 
 
 
 
 
Marketplace
1,078

 
1,103

 
1,090

Classifieds
703

 
716

 
621

Corporate and other
(17
)
 
(9
)
 
(7
)
Total marketing services and other revenues
1,764

 
1,810

 
1,704

Total net revenues
$
8,592

 
$
8,790

 
$
8,257



The following table summarizes the allocation of net revenues based on geography:  
 
Year Ended December 31,
 
2015
  
2014
  
2013
 
(In millions)
Net revenues by Geography:
 
 
 
 
 
U.S.
$
3,624

  
$
3,525

  
$
3,419

United Kingdom
1,403

  
1,464

  
1,290

Germany
1,310

  
1,511

  
1,466

Rest of world
2,255

  
2,290

  
2,082

Total net revenues
$
8,592

 
$
8,790

 
$
8,257


The following table summarizes the allocation of long-lived tangible assets based on geography:  
 
December 31,
 
2015
  
2014
 
(In millions)
Long-lived tangible assets by Geography:
 
 
 
U.S.
$
1,668

  
$
1,578

International
116

  
132

Total long-lived tangible assets
$
1,784

  
$
1,710



Net revenues are attributed to U.S. and international geographies primarily based upon the country in which the seller, platform that displays advertising, other service provider, or customer, as the case may be, is located. Long-lived assets attributed to the U.S. and international geographies are based upon the country in which the asset is located or owned.
v3.3.1.900
Investments
12 Months Ended
Dec. 31, 2015
Investments [Abstract]  
Investments
Investments
At December 31, 2015 and 2014, the estimated fair value of our short-term and long-term investments classified as available for sale, are as follows:
 
December 31, 2015
 
Gross
Amortized
Cost
  
Gross
Unrealized
Gains
  
Gross
Unrealized
Losses
 
Estimated
Fair Value
 
(In millions)
Short-term investments:
 
  
 
  
 
 
 
Restricted cash
$
28

  
$

  
$

 
$
28

Corporate debt securities
3,302

  
1

  
(16
)
 
3,287

Government and agency securities
55

  

  

 
55

Equity instruments
9

 
920

 

 
929

 
$
3,394

  
$
921

  
$
(16
)
 
$
4,299

Long-term investments:
 
  
 
  
 
 
 
Corporate debt securities
3,327

  
7

  
(67
)
 
3,267

 
$
3,327

  
$
7

  
$
(67
)
 
$
3,267

 
 
December 31, 2014
 
Gross
Amortized
Cost
  
Gross
Unrealized
Gains
  
Gross
Unrealized
Losses
 
Estimated
Fair Value
 
(In millions)
Short-term investments:
 
  
 
  
 
 
 
Restricted cash
$
19

  
$

  
$

 
$
19

Corporate debt securities
2,519

  
1

  
(1
)
 
2,519

Government and agency securities
3

  

  

 
3

Time deposits and other
152

  

  

 
152

Equity instruments
9

 
1,028

 

 
1,037

 
$
2,702

 
$
1,029

 
$
(1
)
 
$
3,730

Long-term investments:
 
  
 
  
 
 
 
Corporate debt securities
5,319

  
18

  
(18
)
 
5,319

Government and agency securities
232

  
1

  

 
233

 
$
5,551

  
$
19

  
$
(18
)
 
$
5,552



At December 31, 2015 and 2014, we held no time deposits classified as held to maturity.

At December 31, 2015, investment securities in a continuous loss position for greater than 12 months had an estimated fair value and unrealized loss of $769 million and $40 million respectively. We had no material long-term or short-term investments that have been in a continuous unrealized loss position for more than 12 months as of December 31, 2014. As of December 31, 2015, these securities had a weighted average remaining duration of approximately 12 months. Refer to "Note 19 - Accumulated Other Comprehensive Income" for amounts reclassified to earnings from unrealized gains and losses.
 
Our fixed-income investment portfolio consists of predominantly investment grade corporate debt securities and government and agency securities that have a maximum maturity of 8 years. The corporate debt and government and agency securities that we invest in are generally deemed to be low risk based on their credit ratings from the major rating agencies. The longer the duration of these securities, the more susceptible they are to changes in market interest rates and bond yields. As interest rates increase, those securities purchased at a lower yield show a mark-to-market unrealized loss. The unrealized losses are due primarily to changes in credit spreads and interest rates. We regularly review investment securities for other-than-temporary impairment using both qualitative and quantitative criteria. We presently do not intend to sell any of the securities in an unrealized loss position and expect to realize the full value of all these investments upon maturity or sale. Restricted cash is held primarily in interest bearing accounts for letters of credit related primarily to our global sabbatical program and various lease arrangements.
The estimated fair values of our short-term and long-term investments classified as available for sale by date of contractual maturity at December 31, 2015 are as follows:  
 
December 31,
2015
 
(In millions)
One year or less (including restricted cash of $28)
$
3,370

One year through two years
1,190

Two years through three years
1,464

Three years through four years
547

Four years through five years
59

Five years through six years

Six years through seven years

Seven years through eight years
6

Eight years through nine years

Nine years through ten years

 
$
6,636



Equity and cost method investments
We have made multiple equity and cost method investments which are reported in long-term investments on our consolidated balance sheet. As of December 31, 2015 and 2014, our equity and cost method investments totaled $124 million and $184 million, respectively. During the second quarter of 2015, we sold our equity interest in craigslist, Inc. During the third quarter of 2015, we sold a portion of our equity interest in Jasper Infotech Private Limited (Snapdeal) and our entire interest in Baixing Holdings Limited. The resulting gains are recorded in interest and other, net on our consolidated statement of income.
v3.3.1.900
Fair Value Measurement of Assets and Liabilities
12 Months Ended
Dec. 31, 2015
Fair Value Disclosures [Abstract]  
Fair Value Measurement of Assets and Liabilities
Fair Value Measurement of Assets and Liabilities

The following tables summarize our financial assets and liabilities measured at fair value on a recurring basis as of December 31, 2015 and 2014:
 Description
Balances as of December 31, 2015
 
Quoted Prices in
Active Markets for
Identical Assets
(Level 1) 
 
Significant Other
Observable Inputs
(Level 2)
 
(In millions)
Assets:
 
 
 
 
 
Cash and cash equivalents
$
1,832

 
$
1,664

 
$
168

Short-term investments:
 
 
 
 
 
Restricted cash
28

 
28

 

Corporate debt securities
3,287

 

 
3,287

Government and agency securities
55

 

 
55

Equity instruments
929

 
929

 

Total short-term investments
4,299

 
957

 
3,342

Derivatives
97

 

 
97

Long-term investments:
 
 
 
 
 
Corporate debt securities
3,267

 

 
3,267

Total long-term investments
3,267

 

 
3,267

Total financial assets
$
9,495

 
$
2,621

 
$
6,874

 
 
 
 
 
 
Liabilities:
 
 
 
 
 
Derivatives
$
25

 
$

 
$
25


Description
Balances as of December 31, 2014
 
Quoted Prices in
Active Markets for
Identical Assets
(Level 1) 
 
Significant Other
Observable Inputs
(Level 2)
 
(In millions)
Assets:
 
 
 
 
 
Cash and cash equivalents
$
4,105

 
$
1,694

 
$
2,411

Short-term investments:
 
 
 
 
 
Restricted cash
19

 
19

 

Corporate debt securities
2,519

 

 
2,519

Government and agency securities
3

 

 
3

Time deposits
152

 

 
152

Equity instruments
1,037

 
1,037

 

Total short-term investments
3,730

 
1,056

 
2,674

Derivatives
84

 

 
84

Long-term investments:
 
 
 
 
 
Corporate debt securities
5,319

 

 
5,319

Government and agency securities
233

 

 
233

Total long-term investments
5,552

 

 
5,552

Total financial assets
$
13,471

 
$
2,750

 
$
10,721

 
 
 
 
 
 
Liabilities:
 
 
 
 
 
Derivatives
$
20

 
$

 
$
20

 
Our financial assets and liabilities are valued using market prices on both active markets (level 1) and less active markets (level 2). Level 1 instrument valuations are obtained from real-time quotes for transactions in active exchange markets involving identical assets. Level 2 instrument valuations are obtained from readily available pricing sources for comparable instruments, identical instruments in less active markets, or models using market observable inputs. The majority of our derivative instruments are valued using pricing models that take into account the contract terms as well as multiple inputs where applicable, such as equity prices, interest rate yield curves, option volatility and currency rates. We did not have any transfers of financial instruments between valuation levels during 2015 or 2014.

Cash and cash equivalents are short-term, highly liquid investments with original or remaining maturities of three months or less when purchased and are comprised primarily of bank deposits, certificates of deposit and commercial paper.
 
In addition, we had cost and equity method investments of approximately $124 million and $184 million included in long-term investments on our consolidated balance sheet at December 31, 2015 and 2014, respectively.

Our derivative instruments vary in duration depending on contract type. Our foreign exchange derivative contracts are primarily short-term in nature, generally one month to one year in duration. Certain foreign currency contracts designated as cash flow hedges may have a duration of up to 18 months. The duration of our interest rate derivative contracts match the duration of the fixed rate notes due 2019, 2021 and 2024.

As of December 31, 2015 and 2014, we held no direct investments in auction rate securities, collateralized debt obligations, structured investment vehicles or mortgage-backed securities.

Other financial instruments, including accounts receivable and accounts payable are carried at cost, which approximates their fair value because of the short-term nature of these instruments.
v3.3.1.900
Derivative Instruments
12 Months Ended
Dec. 31, 2015
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Derivative Instruments
Derivative Instruments

Summary of Derivative Instruments

Our primary objective in holding derivatives is to reduce the volatility of earnings and cash flows associated with changes in foreign currency exchange rates and interest rates. Our derivatives expose us to credit risk to the extent that the counterparties may be unable to meet the terms of the arrangement. We seek to mitigate such risk by limiting our counterparties to, and by spreading the risk across, major financial institutions. In addition, the potential risk of loss with any one counterparty resulting from this type of credit risk is monitored on an ongoing basis. To further limit credit risk, we also enter into collateral security arrangements related to certain interest rate derivative instruments whereby collateral is posted between counterparties if the fair value of the derivative instrument exceeds certain thresholds. Additional collateral would be required in the event of a significant credit downgrade by either party.

Foreign Exchange Contracts

We transact business in various foreign currencies and have significant international revenues as well as costs denominated in foreign currencies, which subjects us to foreign currency risk. We use foreign currency exchange contracts, primarily short-term in nature, generally one month to one year in duration but with maturities up to 18 months, to reduce the volatility of cash flows primarily related to forecasted revenues, expenses, assets and liabilities denominated in foreign currencies. The objective of the foreign exchange contracts is to better ensure that ultimately the U.S. dollar-equivalent cash flows are not adversely affected by changes in the applicable U.S. dollar/foreign currency exchange rate. For derivative instruments that are designated as cash flow hedges, the effective portion of the derivative’s gain or loss is initially reported as a component of accumulated other comprehensive income (loss) and subsequently reclassified into earnings in the same period the forecasted transaction affects earnings. The ineffective portion of the unrealized gains and losses on these contracts, if any, is recorded immediately in earnings. We evaluate the effectiveness of our foreign exchange contracts on a quarterly basis. We do not use any foreign exchange contracts for trading purposes.

For our derivative instruments designated as cash flow hedges, the amounts recognized in earnings related to the ineffective portion were not material in each of the periods presented, and we did not exclude any component of the changes in fair value of the derivative instruments from the assessment of hedge effectiveness. As of December 31, 2015, we have estimated that approximately $33 million of net derivative gains related to our cash flow hedges included in accumulated other comprehensive income will be reclassified into earnings within the next 12 months.

Interest Rate Contracts

In connection with the July 2014 issuance of our fixed rate notes due 2019, 2021 and 2024, we entered into certain interest rate swap agreements that have the economic effect of modifying the fixed interest obligations associated with $2.4 billion of these notes so that the interest payable on these senior notes effectively became variable based on London InterBank Offered Rate (LIBOR) plus a spread. We have designated these swap agreements as qualifying hedging instruments and are accounting for them as fair value hedges. These transactions are characterized as fair value hedges for financial accounting purposes because they protect us against changes in the fair value of certain of our fixed rate borrowings due to benchmark interest rate movements. Changes in the fair values of these interest rate swap agreements are recognized in other assets or other liabilities with a corresponding increase or decrease in long-term debt. Each quarter we pay interest based on LIBOR plus a spread to the counterparty and on a semi-annual basis receive interest from the counterparty per the fixed rate of these senior notes. The net amount is recognized as interest expense in interest and other, net. The ineffective portion of the unrealized gains and losses on these contracts, if any, is recorded immediately in earnings. We evaluate the effectiveness of our contracts on a quarterly basis. We do not use any interest rate swap agreements for trading purposes.

For our derivative instruments designated as fair value hedges, the amounts recognized in earnings related to the ineffective portion were not material in each of the periods presented, and we did not exclude any component of the changes in fair value of the derivative instruments from the assessment of hedge effectiveness.

Fair Value of Derivative Contracts

The fair value of our outstanding derivative instruments as of December 31, 2015 and 2014 were as follows:
 
Balance Sheet Location
 
December 31,
2015
 
December 31,
2014
 
 
 
(In millions)
Derivative Assets:
 
 
 
 
 
Foreign exchange contracts designated as cash flow hedges
Other Current Assets
 
$
42

 
$
42

Foreign exchange contracts not designated as hedging instruments
Other Current Assets
 
14

 
20

Interest rate contracts designated as fair value hedges
Other Assets
 
41

 
22

Total derivative assets
 
 
$
97

 
$
84

 
 
 
 
 
 
Derivative Liabilities:
 
 
 
 
 
Foreign exchange contracts designated as cash flow hedges
Other Current Liabilities
 
$
1

 
$

Foreign exchange contracts not designated as hedging instruments
Other Current Liabilities
 
24

 
20

Total derivative liabilities
 
 
$
25

 
$
20

 
 
 
 
 
 
Total fair value of derivative instruments
 
 
$
72

 
$
64


Under the master netting agreements with the respective counterparties to our derivative contracts, subject to applicable requirements, we are allowed to net settle transactions of the same type with a single net amount payable by one party to the other. However, we have elected to present the derivative assets and derivative liabilities on a gross basis on our consolidated balance sheet. As of December 31, 2015, the potential effect of rights of set-off associated with the foreign exchange contracts would be an offset to both assets and liabilities by $20 million, resulting in net derivative assets and net derivative liabilities of $36 million and $5 million, respectively. We are not required to pledge, nor are we entitled to receive, collateral related to our foreign exchange derivative transactions. As of December 31, 2015, we had neither pledged nor received collateral related to our interest rate derivative transactions.

Effect of Derivative Contracts on Accumulated Other Comprehensive Income

The following tables summarize the activity of derivative contracts that qualify for hedge accounting as of December 31, 2015 and 2014, and the impact of these derivative contracts on accumulated other comprehensive income for the years ended December 31, 2015 and 2014:
 
December 31, 2014
 
Amount of gain (loss)
recognized in other
comprehensive income
(effective portion) 
 
Amount of gain (loss)
reclassified from
accumulated other
comprehensive income
to cost of net revenue and operating expense
(effective portion)
 
December 31, 2015
 
(In millions)
Foreign exchange contracts designated as cash flow hedges
$
41

 
66

 
71

 
$
36


 
December 31, 2013
 
Amount of gain (loss)
recognized in other
comprehensive income
(effective portion) 
 
Amount of gain (loss)
reclassified from
accumulated other
comprehensive income
to cost of net revenue and operating expense
(effective portion)
 
December 31, 2014
 
(In millions)
Foreign exchange contracts designated as cash flow hedges
$
(15
)
 
56

 

 
$
41



Effect of Derivative Contracts on Consolidated Statement of Income

The following table provides the location in our financial statements of the recognized gains or losses related to our foreign exchange derivative instruments:
 
Year Ended December 31,
 
2015
 
2014
 
2013
 
(In millions)
Foreign exchange contracts designated as cash flow hedges recognized in cost of net revenues and operating expenses
$
71

 
$

 
$
(9
)
Foreign exchange contracts not designated as hedging instruments recognized in interest and other, net
(1
)
 
10

 
11

Total gain (loss) recognized from foreign exchange derivative contracts in the consolidated statement of income
$
70

 
$
10

 
$
2



The following table provides the location in our financial statements of the recognized gains or losses related to our interest rate derivative instruments:
 
Year Ended December 31,
 
2015
 
2014
 
2013
 
(In millions)
Gain (loss) from interest rate contracts designated as fair value hedges recognized in interest and other, net
$
19

 
$
22

 
$

Gain (loss) from hedged items attributable to hedged risk recognized in interest and other, net
(19
)
 
(22
)
 

Total gain (loss) recognized from interest rate derivative contracts in the consolidated statement of income
$

 
$

 
$



Notional Amounts of Derivative Contracts

Derivative transactions are measured in terms of the notional amount, but this amount is not recorded on the balance sheet and is not, when viewed in isolation, a meaningful measure of the risk profile of the instruments. The notional amount is generally not exchanged, but is used only as the basis on which the value of foreign exchange payments under these contracts are determined. The following table provides the notional amounts of our outstanding derivatives:
 
December 31,
 
2015
 
2014
 
2013
 
(In millions)
Foreign exchange contracts designated as cash flow hedges
$
1,315

 
$
307

 
$
331

Foreign exchange contracts not designated as hedging instruments
1,317

 
1,535

 
2,257

Interest rate contracts designated as fair value hedges
2,400

 
2,400

 

Total
$
5,032

 
$
4,242

 
$
2,588

v3.3.1.900
Balance Sheet Components
12 Months Ended
Dec. 31, 2015
Balance Sheet Components [Abstract]  
Balance Sheet Components
Balance Sheet Components

Property and Equipment
 
December 31,
2015
 
2014
(In millions)
Property and equipment:
 
 
 
Computer equipment and software
$
3,894

 
$
3,455

Land and buildings, including building improvements
591

 
535

Leasehold improvements
305

 
253

Furniture and fixtures
157

 
158

Construction in progress and other
131

 
143

 
5,078

 
4,544

Accumulated depreciation
(3,524
)
 
(3,058
)
 
$
1,554

 
$
1,486


Total depreciation expense on our property and equipment in the years ended December 31, 2015, 2014 and 2013 totaled $614 million, $559 million and $495 million, respectively.

Accrued Expenses and Other Current Liabilities

Total compensation and related benefits included in accrued expenses and other current liabilities was $448 million and $422 million for the years ended December 31, 2015 and 2014, respectively.

Total advertising accruals included in accrued expenses and other current liabilities was $135 million and $160 million for the years ended December 31, 2015 and 2014, respectively.
v3.3.1.900
Debt
12 Months Ended
Dec. 31, 2015
Debt Disclosure [Abstract]  
Debt
Debt
The following table summarizes the carrying value of our outstanding debt:
 
 
Coupon
 
Carrying Value as of
 
Effective
 
Carrying Value as of
 
Effective
 
 
 Rate
 
December 31, 2015
 
 Interest Rate
 
December 31, 2014
 
 Interest Rate
 
 
(In millions, except percentages)
Long-Term Debt
 
 
 
 
 
 
 
 
 
 
Floating Rate Notes:
 
 
 
 
 
 
 
 
 
 
Senior notes due 2017
 
LIBOR plus 0.20%

 
$
450

 
0.586
%
 
$
450

 
0.560
%
Senior notes due 2019
 
LIBOR plus 0.48%

 
400

 
0.825
%
 
400

 
0.811
%
 
 
 
 
 
 
 
 
 
 
 
Fixed Rate Notes:
 
 
 
 
 
 
 
 
 
 
Senior notes due 2017
 
1.350
%
 
1,000

 
1.456
%
 
1,000

 
1.456
%
Senior notes due 2019
 
2.200
%
 
1,148

 
2.346
%
 
1,148

 
2.346
%
Senior notes due 2020
 
3.250
%
 
499

 
3.389
%
 
498

 
3.389
%
Senior notes due 2021
 
2.875
%
 
749

 
2.993
%
 
749

 
2.993
%
Senior notes due 2022
 
2.600
%
 
999

 
2.678
%
 
999

 
2.678
%
Senior notes due 2024
 
3.450
%
 
749

 
3.531
%
 
749

 
3.531
%
Senior notes due 2042
 
4.000
%
 
744

 
4.114
%
 
743

 
4.114
%
Total senior notes
 
 
 
6,738

 
 
 
6,736

 
 
Hedge accounting fair value adjustments
 
 
 
41

 
 
 
22

 
 
Other indebtedness
 
 
 

 
 
 
19

 
 
Total long-term debt
 
 
 
$
6,779

 
 
 
$
6,777

 
 
 
 
 
 
 
 
 
 
 
 
 
Short-Term Debt
 
 
 
 
 
 
 
 
 
 
Senior notes due 2015
 
0.700
%
 

 
%
 
250

 
0.820
%
Senior notes due 2015
 
1.625
%
 

 
%
 
600

 
1.805
%
Total short-term debt
 
 
 

 
 
 
850

 
 
Total Debt
 
 
 
$
6,779

 
 
 
$
7,627

 
 

Senior Notes

During the year ended December 31, 2015, $250 million aggregate principal amount of 0.700% fixed rate notes due 2015 and $600 million aggregate principal amount of 1.625% fixed rate notes due 2015 matured and were repaid during the year.

The floating rate notes are not redeemable prior to maturity. We may redeem some or all of the fixed rate notes of each series at any time and from time to time prior to their maturity, generally at a make-whole redemption price.

To help achieve our interest rate risk management objectives, in connection with the previous issuance of certain senior notes, we entered into interest rate swap agreements that effectively converted $2.4 billion of our fixed rate debt to floating rate debt based on LIBOR plus a spread. These swaps were designated as fair value hedges against changes in the fair value of certain fixed rate senior notes resulting from changes in interest rates. The gains and losses related to changes in the fair value of interest rate swaps substantially offset changes in the fair value of the hedged portion of the underlying debt that are attributable to changes in market interest rates.

The effective interest rates for our senior notes include the interest payable, the amortization of debt issuance costs and the amortization of any original issue discount on these senior notes. Interest on these senior notes is payable either quarterly or semiannually. Interest expense associated with these senior notes, including amortization of debt issuance costs, during the years ended December 31, 2015 and 2014 was approximately $178 million and $137 million, respectively. At December 31, 2015, the estimated fair value of these senior notes was approximately $6.5 billion.

The indenture pursuant to which the senior notes were issued includes customary covenants that, among other things and subject to exceptions, limit our ability to incur, assume or guarantee debt secured by liens on specified assets or enter into sale and lease-back transactions with respect to specified properties, and also includes customary events of default.

Commercial Paper

In connection with entering into the credit agreement described below, in November 2015, the Company reduced the aggregate principal amount at maturity of commercial paper notes which may be outstanding under its commercial paper program at any time from $2.0 billion to $1.5 billion to correspond with the $1.5 billion of available borrowing capacity it maintains under the credit agreement for the repayment of commercial paper borrowings in the event it is unable to repay those borrowings from other sources when they become due. We have a $1.5 billion commercial paper program pursuant to which we may issue commercial paper notes with maturities of up to 397 days from the date of issue in an aggregate principal amount of up to $1.5 billion at any time outstanding. As of December 31, 2015, there were no commercial paper notes outstanding.

Credit Agreement

In November 2015, we entered into a credit agreement that provides for an unsecured $2 billion five-year revolving credit facility. We may also, subject to the agreement of the applicable lenders, increase the commitments under the revolving credit facility by up to an aggregate amount of $1 billion. Funds borrowed under the credit agreement may be used for working capital, capital expenditures, acquisitions and other general corporate purposes. The credit agreement replaced our prior $3.0 billion unsecured revolving credit agreement, dated as of November 2011.

As of December 31, 2015, no borrowings were outstanding under our $2 billion credit agreement. However, as described above, we have an up to $1.5 billion commercial paper program and therefore maintain $1.5 billion of available borrowing capacity under our credit agreement in order to repay commercial paper borrowings in the event we are unable to repay those borrowings from other sources when they become due. As a result, at December 31, 2015, $500 million of borrowing capacity was available for other purposes permitted by the credit agreement.  

Loans under the credit agreement bear interest at either (i) the London Interbank Offered Rate (“LIBOR”) plus a margin (based on our public debt credit ratings) ranging from 0.875 percent to 1.5 percent or (ii) a formula based on the agent bank's prime rate, the federal funds effective rate plus 0.5 percent or LIBOR plus 1.0 percent, plus a margin (based on our public debt credit ratings) ranging from 0.0 percent to 0.5 percent. The credit agreement will terminate and all amounts owing thereunder will be due and payable on November 9, 2020, unless (a) the commitments are terminated earlier, either at our request or, if an event of default occurs, by the lenders (or automatically in the case of certain bankruptcy-related events of default), or (b) the maturity date is extended upon our request, subject to the agreement of the lenders. The credit agreement contains customary representations, warranties, affirmative and negative covenants, including financial covenants, events of default and indemnification provisions in favor of the banks. The negative covenants include restrictions regarding the incurrence of liens and subsidiary indebtedness, in each case, subject to certain exceptions. The financial covenants require us to meet a quarterly financial test with respect to a minimum consolidated interest coverage ratio and a maximum consolidated leverage ratio.

We were in compliance with all covenants in our outstanding debt instruments for the period ended December 31, 2015.

Future Maturities

Expected future principal maturities as of December 31, 2015 are as follows (in millions):
Fiscal Years:
 
2016
$

 
2017
1,450

 
2018

 
2019
1,550

 
2020
500

 
Thereafter
3,250

 
 
$
6,750

v3.3.1.900
Related Party Transactions
12 Months Ended
Dec. 31, 2015
Related Party Transactions [Abstract]  
Related Party Transactions
Related Party Transactions
We have entered into indemnification agreements with each of our directors, executive officers and certain other officers. These agreements require us to indemnify such individuals, to the fullest extent permitted by Delaware law, for certain liabilities to which they may become subject as a result of their affiliation with us.
All contracts with related parties are at rates and terms that we believe are comparable with those that could be entered into with independent third parties. There were no material related party transactions in 2015. As of December 31, 2015, there were no material amounts payable to or amounts receivable from related parties.
v3.3.1.900
Commitments and Contingencies
12 Months Ended
Dec. 31, 2015
Commitments and Contingencies Disclosure [Abstract]  
Commitments and Contingencies
Commitments and Contingencies

Lease Arrangements

We have lease obligations under certain non-cancelable operating leases. Future minimum rental payments under our non-cancelable operating leases at December 31, 2015 are as follows:  
 
Leases
 
(In millions)
2016
$
55

2017
52

2018
35

2019
30

2020
25

Thereafter
25

Total minimum lease payments
$
222



Rent expense in the years ended December 31, 2015, 2014 and 2013 totaled $79 million, $85 million and $74 million, respectively.

Litigation and Other Legal Matters
 
Overview
We are involved in legal and regulatory proceedings on an ongoing basis. Many of these proceedings are in early stages and may seek an indeterminate amount of damages. If we believe that a loss arising from such matters is probable and can be reasonably estimated, we accrue the estimated liability in our financial statements. If only a range of estimated losses can be determined, we accrue an amount within the range that, in our judgment, reflects the most likely outcome; if none of the estimates within that range is a better estimate than any other amount, we accrue the low end of the range. For those proceedings in which an unfavorable outcome is reasonably possible but not probable, we have disclosed an estimate of the reasonably possible loss or range of losses or we have concluded that an estimate of the reasonably possible loss or range arising directly from the proceeding (i.e., monetary damages or amounts paid in judgment or settlement) are not material. If we cannot estimate the probable or reasonably possible loss or range of losses arising from a proceeding, we have disclosed that fact. In assessing the materiality of a proceeding, we evaluate, among other factors, the amount of monetary damages claimed, as well as the potential impact of non-monetary remedies sought by plaintiffs (e.g., injunctive relief) that may require us to change our business practices in a manner that could have a material adverse impact on our business. With respect to the matters disclosed in this Note 13, we are unable to estimate the possible loss or range of losses that could potentially result from the application of such non-monetary remedies.

Amounts accrued for legal and regulatory proceedings for which we believe a loss is probable were not material for the twelve months ended December 31, 2015. Except as otherwise noted for the proceedings described in this Note 13, we have concluded, based on currently available information, that reasonably possible losses arising directly from the proceedings (i.e., monetary damages or amounts paid in judgment or settlement) in excess of our recorded accruals are also not material. However, legal and regulatory proceedings are inherently unpredictable and subject to significant uncertainties. If one or more matters were resolved against us in a reporting period for amounts in excess of management’s expectations, the impact on our operating results or financial condition for that reporting period could be material.

Litigation

eBay Inc., eBay Domestic Holdings, Inc., Pierre Omidyar and Joshua Silverman have been sued by craigslist, Inc. in California Superior Court in San Francisco (Case No.:  CGC - 08 - 475276). craigslist filed suit on May 13, 2008 alleging that we engaged in conduct designed to harm craigslist's business while we negotiated to become and while we were a minority shareholder in craigslist. craigslist’s allegations include that we (i) misrepresented, concealed, suppressed and failed to disclose facts in order to induce craigslist to take detrimental action; (ii) interfered with craigslist's business operations; (iii) improperly disseminated and misused confidential and proprietary information from craigslist that we received as a minority investor; (iv) infringed and diluted craigslist's trademark and trade name; and (v) breached duties owed to craigslist. The complaint seeks significant compensatory and punitive damages, rescission and other relief. In addition, in September 2014, craigslist filed an amended complaint alleging trade secret misappropriation and seeking new and additional compensatory and punitive damages. The matter was settled in June 2015 and the lawsuit has been dismissed.

In March 2015, StubHub filed suit against Ticketmaster and the Golden State Warriors, alleging antitrust and various state law violations arising out of the defendants’ restrictive ticketing practices, which include prohibiting the resale of Warriors tickets on StubHub or any other non-Ticketmaster secondary exchange (StubHub, Inc. v. Golden State Warriors, LLC et al, N.D. Cal. No. 3:15-cv-01436). StubHub filed a First Amended Complaint on June 30, 2015. The defendants filed a Motion to Dismiss the Amended Complaint which was granted in November 2015. StubHub is appealing this decision.
  

Regulatory Proceedings

In May 2014, we publicly announced that criminals were able to penetrate our network and steal certain data, including user names, encrypted user passwords and other non-financial user data. Upon making this announcement, we required all buyers and sellers on our platform to reset their passwords in order to login to their account. In addition to making this public announcement, we proactively approached a number of regulatory and governmental bodies, including those with the most direct supervisory authority over our data privacy and data security programs, to specifically inform them of the incident and our actions to protect our customers in response. Certain of those regulatory agencies have requested us to provide further, more detailed information regarding the incident, and we believe that we have fully cooperated in all of those requests. To date, we have not been informed by any regulatory authority of an intention to bring any enforcement action arising from this incident; however, in the future we may be subject to fines or other regulatory action.  In addition, in July 2014, a putative class action lawsuit was filed against us for alleged violations and harm resulting from the incident. The lawsuit was recently dismissed with leave to amend.

General Matters

Other third parties have from time to time claimed, and others may claim in the future, that we have infringed their intellectual property rights. We are subject to patent disputes, and expect that we will increasingly be subject to additional patent infringement claims involving various aspects of our business as our products and services continue to expand in scope and complexity. Such claims may be brought directly or indirectly against our companies and/or against our customers (who may be entitled to contractual indemnification under their contracts with us), and we are subject to increased exposure to such claims as a result of our acquisitions and divestitures and in cases where we are entering new lines of business. We have in the past been forced to litigate such claims. We may also become more vulnerable to third-party claims as laws such as the Digital Millennium Copyright Act, the Lanham Act and the Communications Decency Act are interpreted by the courts, and as we expand the scope of our business (both in terms of the range of products and services that we offer and our geographical operations) and become subject to laws in jurisdictions where the underlying laws with respect to the potential liability of online intermediaries like ourselves are either unclear or less favorable. We believe that additional lawsuits alleging that we have violated patent, copyright or trademark laws will be filed against us. Intellectual property claims, whether meritorious or not, are time consuming and costly to defend and resolve, could require expensive changes in our methods of doing business or could require us to enter into costly royalty or licensing agreements on unfavorable terms.

From time to time, we are involved in other disputes or regulatory inquiries that arise in the ordinary course of business, including suits by our users (individually or as class actions) alleging, among other things, improper disclosure of our prices, rules or policies, that our practices, prices, rules, policies or customer/user agreements violate applicable law or that we have acted unfairly and/or not acted in conformity with such prices, rules, policies or agreements. Further, the number and significance of these disputes and inquiries are increasing as we have grown larger, our businesses have expanded in scope (both in terms of the range of products and services that we offer and our geographical operations) and our products and services have increased in complexity. Any claims or regulatory actions against us, whether meritorious or not, could be time consuming, result in costly litigation, damage awards (including statutory damages for certain causes of action in certain jurisdictions), injunctive relief or increased costs of doing business through adverse judgment or settlement, require us to change our business practices in expensive ways, require significant amounts of management time, result in the diversion of significant operational resources or otherwise harm our business.

Indemnification Provisions

We entered into a separation and distribution agreement and various other agreements with PayPal to govern the separation and relationship of the two companies going forward. These agreements provide for specific indemnity and liability obligations and could lead to disputes between us and PayPal, which may be significant. In addition, the indemnity rights we have against PayPal under the agreements may not be sufficient to protect us and our indemnity obligations to PayPal may be significant.

In the ordinary course of business, we have included limited indemnification provisions in certain of our agreements with parties with which we have commercial relations, including our standard marketing, promotions and application-programming-interface license agreements. Under these contracts, we generally indemnify, hold harmless and agree to reimburse the indemnified party for losses suffered or incurred by the indemnified party in connection with claims by a third party with respect to our domain names, trademarks, logos and other branding elements to the extent that such marks are applicable to our performance under the subject agreement. In certain cases, we have agreed to provide indemnification for intellectual property infringement. It is not possible to determine the maximum potential loss under these indemnification provisions due to our limited history of prior indemnification claims and the unique facts and circumstances involved in each particular provision. To date, losses recorded in our consolidated statement of income in connection with our indemnification provisions have not been significant, either individually or collectively. 

Off-Balance Sheet Arrangements

As of December 31, 2015, we had no off-balance sheet arrangements that have, or are reasonably likely to have, a current or future material effect on our consolidated financial condition, results of operations, liquidity, capital expenditures or capital resources.

We have a cash pooling arrangement with a financial institution for cash management purposes. This arrangement allows for cash withdrawals from the financial institution based upon our aggregate operating cash balances held within the same financial institution (“Aggregate Cash Deposits”). This arrangement also allows us to withdraw amounts exceeding the Aggregate Cash Deposits up to an agreed-upon limit. The net balance of the withdrawals and the Aggregate Cash Deposits are used by the financial institution as a basis for calculating our net interest expense or income under the arrangement. As of December 31, 2015, we had a total of $2.4 billion in cash withdrawals offsetting our $2.4 billion in Aggregate Cash Deposits held within the same financial institution under the cash pooling arrangement.
v3.3.1.900
Stockholders' Equity
12 Months Ended
Dec. 31, 2015
Equity [Abstract]  
Stockholders' Equity
Stockholders' Equity

Preferred Stock

We are authorized, subject to limitations prescribed by Delaware law, to issue preferred stock in one or more series; to establish the number of shares included within each series; to fix the rights, preferences and privileges of the shares of each wholly unissued series and any related qualifications, limitations or restrictions; and to increase or decrease the number of shares of any series (but not below the number of shares of a series then outstanding) without any further vote or action by our stockholders. At December 31, 2015 and 2014, there were 10 million shares of $0.001 par value preferred stock authorized for issuance, and no shares issued or outstanding.

Common Stock

Our Amended and Restated Certificate of Incorporation authorizes us to issue 3.6 billion shares of common stock.
v3.3.1.900
Stock Repurchase Program
12 Months Ended
Dec. 31, 2015
Stock Repurchase Programs [Abstract]  
Stock Repurchase Program
Stock Repurchase Program

In January 2014, our Board authorized a stock repurchase program that provided for the repurchase of up to an additional $5 billion of our common stock, with no expiration from the date of authorization. In January 2015, our Board authorized an additional $2 billion stock repurchase program, with no expiration from the date of authorization. In June 2015, our Board authorized an additional $1 billion stock repurchase program, with no expiration from the date of authorization. The stock repurchase programs are intended to programmatically offset the impact of dilution from our equity compensation programs and, subject to market conditions and other factors, to make opportunistic repurchases of our common stock to reduce our outstanding share count. Any share repurchases under our stock repurchase programs may be made through open market transactions, block trades, privately negotiated transactions (including accelerated share repurchase transactions) or other means at times and in such amounts as management deems appropriate and will be funded from our working capital or other financing alternatives.

Our stock repurchase programs may be limited or terminated at any time without prior notice. The timing and actual number of shares repurchased will depend on a variety of factors, including corporate and regulatory requirements, price and other market conditions and management's determination as to the appropriate use of our cash.

The stock repurchase activity under our stock repurchase programs during 2015 is summarized as follows:
 
Shares Repurchased
 
Average Price per Share (1)
 
Value of Shares Repurchased
 
Remaining Amount Authorized
 
(In millions, except per share amounts)
Balance as of January 1, 2015
 
 
 
 
 
 
$
985

Authorization of additional plan in January 2015
 
 
 
 
 
 
2,000

Repurchase of shares of common stock prior to the Distribution
18

 
56.95

 
1,000

 
(1,000
)
Authorization of additional plan in June 2015
 
 
 
 
 
 
1,000

Repurchase of shares of common stock subsequent to the Distribution
41

 
27.48

 
1,149

 
(1,149
)
Balance as of December 31, 2015
 
 
 
 
 
 
$
1,836

 

(1)
Stock repurchase activity excludes broker commissions.
 
In 2015, we repurchased 59 million shares of common stock totaling $2.1 billion.

As of December 31, 2015, a total of approximately $1.8 billion remained available for further repurchases of our common stock under our January 2015 and June 2015 stock repurchase programs. These repurchased shares were recorded as treasury stock and were accounted for under the cost method. No repurchased shares have been retired.
v3.3.1.900
Stock-Based and Employee Savings Plans
12 Months Ended
Dec. 31, 2015
Share-based Compensation [Abstract]  
Stock-Based and Employee Savings Plans
Stock-Based and Employee Savings Plans

Equity Incentive Plans
 
We have equity incentive plans under which we grant equity awards, including stock options, restricted stock units, performance-based restricted stock units, and performance share units, to our directors, officers and employees. At December 31, 2015, 740 million shares were authorized under our equity incentive plans and 65 million shares were available for future grant, these awards were modified as described below.

All stock options granted under these plans generally vest 12.5% six months from the date of grant (or 25% one year from the date of grant for grants to new employees) with the remainder vesting at a rate of 2.08% per month thereafter, and generally expire seven to ten years from the date of grant. The cost of stock options is determined using the Black-Scholes option pricing model on the date of grant.

Restricted stock units are granted to eligible employees under our equity incentive plans. In general, restricted stock units vest in equal annual installments over a period of three to five years, are subject to the employees' continuing service to us and do not have an expiration date. The cost of restricted stock units is determined using the fair value of our common stock on the date of grant.

In 2015, 2014 and 2013, certain executives were eligible to receive performance-based restricted stock units. The number of restricted stock units ultimately received depends on our business performance against specified performance targets set by the Compensation Committee. If the performance criteria are satisfied, the performance-based restricted stock units are granted, with one-half of the grant vesting in March following the end of the performance period and the remaining one-half vesting one year later.

Employee Stock Purchase Plan

We have an Employee Stock Purchase Plan ("ESPP") for all eligible employees. Under the plan, shares of our common stock may be purchased over an offering period with a maximum duration of two years at 85% of the lower of the fair market value on the first day of the applicable offering period or on the last day of the six-month purchase period. Employees may purchase shares having a value not exceeding 10% of their eligible compensation during an offering period. During the years ended 2015, 2014, and 2013, employees purchased approximately 4 million, 4 million and 4 million shares under this plan at average prices of $30.83, $42.06 and $35.51 per share, respectively. At December 31, 2015, approximately 24 million shares of common stock were reserved for future issuance. These awards were modified as described below.

Employee Savings Plan

We have a savings plan, which qualifies under Section 401(k) of the Internal Revenue Code. Participating employees may contribute up to 50% of their eligible compensation, but not more than statutory limits. In 2015, 2014 and 2013, we contributed one dollar for each dollar a participant contributed, with a maximum contribution of 4% of each employee's eligible compensation, subject to a maximum employer contribution of $10,600, $10,400 and $10,200 per employee for each period, respectively. Our non-U.S. employees are covered by various other savings plans. Our total expenses for these savings plans were $51 million in 2015, $43 million in 2014 and $39 million in 2013.

Deferred Stock Units

Beginning with the 2011 annual meeting of stockholders, we have granted deferred stock units to each non-employee director (other than Mr. Omidyar) at the time of our annual meeting of stockholders equal to the result of dividing $220,000 by the fair market value of our common stock on the date of grant. In addition, prior to January 1, 2015, new directors who are not employees of the company or its subsidiaries or affiliates received a one-time grant of deferred stock units equal to the result of dividing $150,000 by the fair market value of our common stock on the date of grant. Each deferred stock unit constitutes an unfunded and unsecured right to receive one share of our common stock (or, with respect to deferred stock units granted prior to August 1, 2013, the equivalent value thereof in cash or property at our election). Each deferred stock unit award granted to a new non-employee director upon election to the Board vests 25% one year from the date of grant, and at a rate of 2.08% per month thereafter. If the services of the director are terminated at any time, all rights to the unvested deferred stock units will also terminate. In addition, directors may elect to receive, in lieu of annual retainer and committee chair fees and at the time these fees would otherwise be payable (i.e., on a quarterly basis in arrears for services provided), fully vested deferred stock units with an initial value equal to the amount based on the fair market value of common stock at the date of grant. Following the termination of a non-employee director's service on the Board of Directors, deferred stock units granted prior to August 1, 2013 are payable in stock or cash (at our election), while deferred stock units granted on or after August 1, 2013 are payable solely in stock. As of December 31, 2015, there were approximately 255,579 deferred stock units outstanding included in our restricted stock unit activity below. These awards were modified as described below.

Modifications of Share-Based Awards

During 2015, in connection with the Distribution, restricted and deferred stock awards and employee stock option awards were modified and converted into new equity awards using conversion ratios designed to preserve the value of these awards to the holders immediately prior to the Distribution. On July 17, 2015, employees holding stock options, restricted stock awards or units, deferred stock awards, and ESPP awards denominated in pre-Distribution eBay stock received a number of otherwise-similar awards in post-Distribution eBay stock and/or PayPal stock based on the conversion ratios outlined for each group of employees in the Employee Matters Agreement that we entered into in connection with the Distribution. Adjustments to our outstanding stock based compensation awards, including ESPP awards, resulted in additional compensation expense of approximately $68 million to be recognized over the remaining vesting life of the underlying awards.

In December 2014, the terms of various stock-based awards held by the Company’s CEO, CFO, General Counsel, SVP of Human Resources and SVP of Corporate Communications (the “Departing Executives”) were modified in anticipation of and contingent upon termination of employment at the time of the Distribution. The modifications for the Departing Executives, each of whom had his or her employment terminated at the time of the Distribution, provided for the full acceleration of certain awards and extended the exercise periods of certain awards. These modifications resulted in additional compensation expense of approximately $37 million recognized from the modification date in December 2014 through the Distribution on July 17, 2015.

Stock Option Activity

The following table summarizes stock option activity under our equity incentive plans as of and for the year ended December 31, 2015:
 
Shares
 
Weighted
Average
Exercise
Price
 
Weighted Average Remaining Contractual Term (Years)
 
Aggregate Intrinsic Value
 
(In millions, except per share amounts and years)
Outstanding as of January 1, 2015
10

 
$
34.14

 
 
 
 
Granted and assumed
2

 
$
49.59

(1) 
 
 
 
Exercised
(6
)
 
$
18.46

(1) 
 
 
 
Forfeited/expired/canceled
(1
)
 
$
29.44

(1) 
 
 
 
Adjustment due to the Distribution
2

 
 
 
 
 
 
Outstanding as of December 31, 2015
7

 
$
20.05

 
4.31
 
$
50

Expected to vest
6

 
$
19.88

 
4.22
 
$
48

Options exercisable
4

 
$
17.44

 
2.98
 
$
37


 
(1)    Weighted average exercise price is calculated using exercise prices prior to the Distribution and after the Distribution.

The aggregate intrinsic value of options was calculated as the difference between the exercise price of the underlying awards and the quoted price of our common stock. At December 31, 2015, options to purchase 7 million shares of our common stock were in-the-money.

The weighted average grant-date fair value of options granted during the years 2015, 2014 and 2013 was $6.84, $13.59 and $15.39, respectively. During the years 2015, 2014 and 2013, the aggregate intrinsic value of options exercised under our equity incentive plans was $130 million, $159 million and $292 million, respectively, determined as of the date of option exercise.

Restricted Stock Unit Activity

A summary of the status of restricted stock units ("RSU") granted (including performance-based restricted stock units that have been earned) under our equity incentive plans as of December 31, 2015 and changes during the year ended December 31, 2015 is presented below:
 
Units 
 
Weighted Average
Grant-Date
Fair Value
(per share)
 
 
(In millions, except per share amounts)
 
Outstanding as of January 1, 2015
36

 
$
50.21

 
Awarded and assumed
19

 
$
53.67

(1) 
Vested
(14
)
 
$
39.42

(1) 
Forfeited
(15
)
 
$
31.18

(1) 
Adjustment due to the Distribution
10

 
 
 
Outstanding as of December 31, 2015
36

 
$
22.50

 
Expected to vest at December 31, 2015
29

 
 
 

 
(1)    Weighted average grant date fair value is calculated using grant date fair value prior to the Distribution and after the Distribution.

During the years 2015, 2014 and 2013, the aggregate intrinsic value of restricted stock units vested under our equity incentive plans was $697 million, $759 million and $813 million, respectively.

Stock-based Compensation Expense

The impact on our results of operations of recording stock-based compensation expense for years ended December 31, 2015, 2014 and 2013 was as follows:  
 
Year Ended December 31,
 
2015
 
2014
 
2013
 
(In millions)
Cost of net revenues
$
38

 
$
33

 
$
27

Sales and marketing
94

 
93

 
67

Product development
108

 
116

 
97

General and administrative
139

 
102

 
107

Total stock-based compensation expense
$
379

 
$
344

 
$
298

Capitalized in product development
$
13

 
$
12

 
$
10



As of December 31, 2015, there was approximately $544 million of unearned stock-based compensation that will be expensed from 2016 through 2019. If there are any modifications or cancellations of the underlying unvested awards, we may be required to accelerate, increase or cancel all or a portion of the remaining unearned stock-based compensation expense. Future unearned stock-based compensation will increase to the extent we grant additional equity awards, change the mix of grants between stock options and restricted stock units or assume unvested equity awards in connection with acquisitions.

Stock Option Valuation Assumptions

We calculated the fair value of each stock option award on the date of grant using the Black-Scholes option pricing model. The following weighted average assumptions were used for the years ended December 31, 2015, 2014 and 2013:
 
Year Ended December 31,
 
2015
 
2014
 
2013
Risk-free interest rate
1.4
%
 
1.2
%
 
0.6
%
Expected life (in years)
4.1

 
4.1

 
4.1

Dividend yield
%
 
%
 
%
Expected volatility
27
%
 
29
%
 
34
%


Our computation of expected volatility is based on a combination of historical and market-based implied volatility from traded options on our common stock. Our computation of expected life is based on historical experience of similar awards, giving consideration to the contractual terms of the stock-based awards, vesting schedules and expectations of future employee behavior. The interest rate for periods within the contractual life of the award is based on the U.S. Treasury yield curve in effect at the time of grant.
v3.3.1.900
Income Taxes
12 Months Ended
Dec. 31, 2015
Income Tax Disclosure [Abstract]  
Income Taxes
Income Taxes

The components of pretax income for the years ended December 31, 2015, 2014 and 2013 are as follows:
 
Year Ended December 31,
 
2015
  
2014
  
2013
 
(In millions)
United States
$
396

  
$
510

  
$
768

International
2,010

  
2,005

  
1,803

 
$
2,406


$
2,515


$
2,571



The provision for income taxes is comprised of the following:
 
Year Ended December 31,
 
2015
 
2014
 
2013
 
(In millions)
Current:
 
 
 
 
 
Federal
$
363

 
$
489

 
$
408

State and local
22

 
20

 
(5
)
Foreign
106

 
127

 
134

 
$
491

 
$
636

 
$
537

Deferred:
 
 
 
 
 
Federal
$
(53
)
 
$
2,091

 
$
(15
)
State and local
(2
)
 
21

 
(7
)
Foreign
23

 
632

 
(11
)
 
(32
)
 
2,744

 
(33
)
 
$
459

 
$
3,380

 
$
504


The following is a reconciliation of the difference between the actual provision for income taxes and the provision computed by applying the federal statutory rate of 35% for 2015, 2014 and 2013 to income before income taxes:
 
Year Ended December 31,
 
2015
 
2014
 
2013
 
(In millions)
Provision at statutory rate
$
843

 
$
881

 
$
900

Permanent differences:
 
 
 
 
 
Prior year foreign earnings no longer considered indefinitely reinvested

 
2,991

 

Foreign income taxed at different rates
(399
)
 
(432
)
 
(403
)
Change in valuation allowance
1

 
(142
)
 

Stock-based compensation
23

 
22

 
18

State taxes, net of federal benefit
20

 
42

 
(12
)
Research and other tax credits
(27
)
 
(14
)
 
(26
)
Divested business

 

 
21

Other
(2
)
 
32

 
6

 
$
459


$
3,380


$
504




Deferred tax assets and liabilities are recognized for the future tax consequences of differences between the carrying amounts of assets and liabilities and their respective tax bases using enacted tax rates in effect for the year in which the differences are expected to be reversed. Significant deferred tax assets and liabilities consist of the following:
 
December 31,
 
2015
 
2014
 
(In millions)
Deferred tax assets:
 
 
 
Net operating loss, capital loss and credits
$
206

 
$
61

Accruals and allowances
209

 
208

Stock-based compensation
65

 
88

Net unrealized losses
8

 

Net deferred tax assets
488

 
357

Valuation allowance
(41
)
 
(25
)
 
$
447

 
$
332

Deferred tax liabilities:
 
 
 
Unremitted foreign earnings
$
(1,656
)
 
$
(2,109
)
Acquisition-related intangibles
(19
)
 
(11
)
Depreciation and amortization
(190
)
 
(212
)
Available-for-sale securities
(251
)
 
(286
)
Other

 
(17
)
 
(2,116
)
 
(2,635
)
 
$
(1,669
)
 
$
(2,303
)


As of December 31, 2015, our federal, state and foreign net operating loss carryforwards for income tax purposes were approximately $29 million, $64 million and $116 million, respectively. The federal and state net operating loss carryforwards are subject to various limitations under Section 382 of the Internal Revenue Code and applicable state tax laws. If not utilized, the federal and state net operating loss carryforwards will both begin to expire in 2018. The carryforward periods on our foreign net operating loss carryforwards are as follows: $38 million do not expire and $78 million are subject to valuation allowance and begin to expire in 2017. As of December 31, 2015, state tax credit carryforwards for income tax purposes were approximately $58 million. Most of the state tax credits carry forward indefinitely.

As of December 31, 2015 and 2014, our federal capital loss carryover amounted to $336 million and $45 million, respectively. The increase in the capital loss carryover of $291 million is due to the sale of Enterprise in 2015 and will expire in 2021. The remaining capital loss carryover of $45 million will expire in 2018.

At December 31, 2015 and 2014, we maintained a valuation allowance with respect to certain of our deferred tax assets relating primarily to operating losses in certain states and various non-U.S. jurisdictions that we believe are not likely to be realized.

During the first quarter of 2014, we altered our capital allocation strategy. As a result, we provided for U.S. income and applicable foreign withholding taxes on $9.0 billion of undistributed foreign earnings for 2013 and prior years, and recorded a deferred tax liability of approximately $3.0 billion. This deferred tax liability included PayPal related balances presented in discontinued operations as of December 31, 2014. Based on December 31, 2014 foreign exchange rates and excluding PayPal balances, the deferred tax liability for unremitted foreign earnings amounted to $2.1 billion and was included in accrued expenses and other current liabilities on our consolidated balance sheet as of December 31, 2014. The deferred tax liability for unremitted foreign earnings was $1.7 billion as of December 31, 2015 and was included in deferred and other tax liabilities, net due to the adoption of FASB guidance discussed in "Note 1 - The Company and Summary of Significant Accounting Policies" to the consolidated financial statements included in this report.

We have not provided for U.S. federal or foreign income taxes, including withholding taxes on $6.0 billion of our non-U.S. subsidiaries' undistributed earnings as of December 31, 2015. We intend to indefinitely reinvest the $6.0 billion of our non-U.S. subsidiaries’ undistributed earnings in our international operations. Accordingly, we currently have no plans to repatriate those funds. As such, we do not know the time or manner in which we would repatriate those funds. Because the time or manner of repatriation is uncertain, we cannot determine the impact of local taxes, withholding taxes and foreign tax credits associated with the future repatriation of such earnings and therefore cannot quantify the tax liability. In cases where we intend to repatriate a portion of our foreign subsidiaries’ undistributed earnings, we provide U.S. and applicable foreign taxes on such earnings and such taxes are included in our deferred taxes or tax payable liabilities depending upon the planned timing and manner of such repatriation.

On a regular basis, we develop cash forecasts to estimate our cash needs internationally and domestically. We consider projected cash needs for, among other things, investments in our existing businesses, potential acquisitions and capital transactions, including repurchases of our common stock and debt repayments. We estimate the amount of cash available or needed in the jurisdictions where these investments are expected, as well as our ability to generate cash in those jurisdictions and our access to capital markets. This analysis enables us to conclude whether or not we will indefinitely reinvest the current period’s foreign earnings.

We benefit from tax rulings concluded in several different jurisdictions, most significantly Switzerland and Luxembourg. These rulings provide for significantly lower rates of taxation on certain classes of income and require various thresholds of investment and employment in those jurisdictions. These rulings resulted in a tax savings of $319 million and $339 million in 2015 and 2014, respectively, which increased earnings per share (diluted) by approximately $0.26 and $0.27 in 2015 and 2014, respectively. These tax rulings are currently in effect and expire over periods ranging from 2017 to the duration of business operations in the respective jurisdictions. We evaluate compliance with our tax ruling agreements annually.
 
The following table reflects changes in unrecognized tax benefits for the years ended December, 31 2015, 2014 and 2013:
 
2015
 
2014
 
2013
 
(In millions)
Gross amounts of unrecognized tax benefits as of the beginning of the period
$
367

 
$
304

 
$
314

Increases related to prior period tax positions
36

 
35

 
98

Decreases related to prior period tax positions
(8
)
 
(18
)
 
(139
)
Increases related to current period tax positions
51

 
59

 
35

Settlements
(6
)
 
(13
)
 
(4
)
Gross amounts of unrecognized tax benefits as of the end of the period
$
440


$
367


$
304



During 2015 we increased our reserves by $73 million for various issues that related to tax examination risks assessed during the year. Included within our gross amounts of unrecognized tax benefits of $440 million as of December 31, 2015 is $151 million of unrecognized tax benefits indemnified by PayPal. If the remaining balance of unrecognized tax benefits were realized in a future period, it would result in a tax benefit of $372 million. Of this amount, approximately $140 million of unrecognized tax benefit is indemnified by PayPal and a corresponding receivable would be reduced upon a future realization. As of December 31, 2015, our liabilities for unrecognized tax benefits were included in accrued expenses and other current liabilities and deferred and other tax liabilities, net.

We recognize interest and/or penalties related to uncertain tax positions in income tax expense. In 2015, $2 million was included in tax expense for interest and penalties. The amount of interest and penalties accrued as of December 31, 2015 and 2014 was approximately $61 million and $55 million, respectively.
 
We are subject to both direct and indirect taxation in the U.S. and various states and foreign jurisdictions. We are under examination by certain tax authorities for the 2003 to 2012 tax years. We believe that adequate amounts have been reserved for any adjustments that may ultimately result from these or other examinations. The material jurisdictions where we are subject to potential examination by tax authorities for tax years after 2002 include, among others, the U.S. (Federal and California), Germany, Korea, Israel, Switzerland, United Kingdom and Canada.
 
Although the timing of the resolution and/or closure of audits is highly uncertain, it is reasonably possible that the balance of gross unrecognized tax benefits could significantly change in the next 12 months. However, given the number of years remaining subject to examination and the number of matters being examined, we are unable to estimate the full range of possible adjustments to the balance of gross unrecognized tax benefits.
 
On July 27, 2015, in Altera Corp. v. Commissioner, the U.S. Tax Court issued an opinion related to the treatment of stock-based compensation expense in an intercompany cost-sharing arrangement. A final decision has yet to be issued by the Tax Court. At this time, the U.S. Department of the Treasury has not withdrawn the requirement to include stock-based compensation from its regulations. Due to the uncertainty surrounding the status of the current regulations, questions related to the scope of potential benefits or obligations, and the risk of the Tax Court’s decision being overturned upon appeal, we have not recorded any benefit or expense as of December 31, 2015 related to this matter. We will continue to monitor ongoing developments and potential impacts to our consolidated financial statements.
v3.3.1.900
Interest and Other, Net
12 Months Ended
Dec. 31, 2015
Nonoperating Income (Expense) [Abstract]  
Interest and Other, Net
Interest and Other, Net

The components of interest and other, net for the years ended December 31, 2015, 2014 and 2013 are as follows:
 
Year Ended December 31,
 
2015
  
2014
  
2013
 
(In millions)
Interest income
$
97

  
$
125

  
$
102

Interest expense
(144
)
 
(109
)
 
(95
)
Gains (losses) associated with cost and equity method investments
268

 
33

 
82

Other
(12
)
  
(10
)
  
28

 
$
209

  
$
39

  
$
117

v3.3.1.900
Accumulated Other Comprehensive Income
12 Months Ended
Dec. 31, 2015
Equity [Abstract]  
Accumulated Other Comprehensive Income
Accumulated Other Comprehensive Income

The following table summarizes the changes in accumulated balances of other comprehensive income for the year ended December 31, 2015:
 
Unrealized Gains (Losses) on Cash Flow Hedges
 
Unrealized
Gains on
Investments
 
Foreign
Currency
Translation
 
Estimated tax (expense) benefit
 
Total
 
(In millions)
Balance at December 31, 2014
$
168

 
$
1,029

 
$
334

 
$
(360
)
 
$
1,171

Other comprehensive income before reclassifications
139

 
(186
)
 
(431
)
 
50

 
(428
)
Amount of gain (loss) reclassified from accumulated other comprehensive income
204

 
1

 

 

 
205

Net current period other comprehensive income
(65
)
 
(187
)
 
(431
)
 
50

 
(633
)
Distribution of PayPal
(67
)
 
3

 
52

 

 
(12
)
Balance at December 31, 2015
$
36

 
$
845

 
$
(45
)
 
$
(310
)
 
$
526



The following table summarizes the changes in accumulated balances of other comprehensive income for the year ended December 31, 2014:
 
Unrealized Gains (Losses) on Cash Flow Hedges
 
Unrealized
Gains on
Investments
 
Foreign
Currency
Translation
 
Estimated tax (expense) benefit
 
Total
 
(In millions)
Balance at December 31, 2013
$
(106
)
 
$
921

 
$
657

 
$
(316
)
 
$
1,156

Other comprehensive income before reclassifications
238

 
160

 
(323
)
 
(44
)
 
31

Amount of gain (loss) reclassified from accumulated other comprehensive income
(36
)
 
52

 

 

 
16

Net current period other comprehensive income
274

 
108

 
(323
)
 
(44
)
 
15

Balance at December 31, 2014
$
168

 
$
1,029

 
$
334

 
$
(360
)
 
$
1,171



The following table provides details about reclassifications out of accumulated other comprehensive income for the years ended December 31, 2015 and 2014:
Details about Accumulated Other Comprehensive
Income Components
 
Affected Line Item in the Statement of Income
 
Amount of Gain (Loss)
Reclassified from
Accumulated Other
Comprehensive
Income
 
 
 
 
2015
 
2014
 
 
 
 
(In millions)
Gains (losses) on cash flow hedges - foreign exchange contracts
 
Cost of net revenues
 
$
24

 
$

 
 
Sales and marketing
 
5

 
1

 
 
Product development
 
34

 

 
 
General and administrative
 
8

 
(1
)
 
 
Total, from continuing operations before income taxes
 
71

 

 
 
Provision for income taxes
 

 

 
 
Total, from continuing operations net of income taxes
 
71

 

 
 
Total, from discontinued operations net of income taxes
 
133

 
(36
)
 
 
Total, net of income taxes
 
204

 
(36
)
 
 
 
 
 
 
 
Unrealized gains (losses) on investments
 
Interest and other, net
 
1

 
52

 
 
Total, before income taxes
 
1

 
52

 
 
Provision for income taxes
 

 

 
 
Total, net of income taxes
 
1

 
52

 
 
 
 
 
 
 
Total reclassifications for the period
 
Total, net of income taxes
 
$
205

 
$
16

v3.3.1.900
Restructuring
12 Months Ended
Dec. 31, 2015
Restructuring and Related Activities [Abstract]  
Restructuring
Restructuring

In January 2015, at a regular meeting of our Board, our Board approved a plan to implement a strategic reduction of our existing global workforce. As a result, we reduced our workforce globally. The reduction was completed in the first half of 2015. The restructuring costs are aggregated in general and administrative expenses in the consolidated statement of income.

$62 million of restructuring costs were recognized during the year ended December 31, 2015 and no costs were recognized in the year ended December 31, 2014.

The following table summarizes the restructuring reserve activity during the year ended December 31, 2015:
 
Employee Severance and Benefits
 
(In millions)
Accrued liability as of January 1, 2015
$

Charges (benefit)
62

Payments
(60
)
Accrued liability as of December 31, 2015
$
2

v3.3.1.900
Quarterly Financial Data
12 Months Ended
Dec. 31, 2015
Quarterly Financial Data [Abstract]  
Quarterly Financial Data
Supplementary Data — Quarterly Financial Data — Unaudited
The following tables present certain unaudited consolidated quarterly financial information for each of the eight quarters ended December 31, 2015. This quarterly information has been prepared on the same basis as the Consolidated Financial Statements and includes all adjustments necessary to state fairly the information for the periods presented.
Quarterly Financial Data
(Unaudited, in millions, except per share amounts)
 
Quarter Ended
 
March 31
 
June 30
 
September 30
 
December 31
2015
 
 
 
 
 
 
 
Net revenues
$
2,061

 
$
2,110

 
$
2,099

 
$
2,322

Gross profit
$
1,650

 
$
1,676

 
$
1,666

 
$
1,829

Income from continuing operations
$
449

 
$
430

 
$
545

 
$
523

Income (loss) from discontinued operations, net of income taxes
177

 
(347
)
 
(6
)
 
(46
)
Net income
$
626

 
$
83

 
$
539

 
$
477

Income (loss) per share - basic:
 
 
 
 
 
 
 
Continuing operations
$
0.37

 
$
0.35

 
$
0.45

 
$
0.44

Discontinued operations
0.14

 
(0.28
)
 

 
(0.04
)
Net income per share - basic
$
0.51

 
$
0.07

 
$
0.45

 
$
0.40

Income (loss) per share - diluted:
 
 
 
 
 
 
 
Continuing operations
$
0.37

 
$
0.35

 
$
0.45

 
$
0.43

Discontinued operations
0.14

 
(0.28
)
 

 
(0.04
)
Net income per share - diluted
$
0.51

 
$
0.07

 
$
0.45

 
$
0.39

Weighted-average shares:
 
 
 
 
 
 
 
Basic
1,216

 
1,217

 
1,210

 
1,191

Diluted
1,229

 
1,225

 
1,223

 
1,204

 
 
 
 
 
 
 
 
 
Quarter Ended
 
March 31
 
June 30
 
September 30
 
December 31
2014
 
 
 
 
 
 
 
Net revenues
$
2,149

 
$
2,168

 
$
2,150

 
$
2,323

Gross profit
$
1,752

 
$
1,757

 
$
1,737

 
$
1,881

Income (loss) from continuing operations
$
(2,561
)
 
$
458

 
$
509

 
$
729

Income from discontinued operations, net of income taxes
235

 
218

 
164

 
294

Net income (loss)
$
(2,326
)
 
$
676

 
$
673

 
$
1,023

Income (loss) per share - basic:
 
 
 
 
 
 
 
Continuing operations
$
(2.01
)
 
$
0.36

 
$
0.41

 
$
0.59

Discontinued operations
0.19

 
0.18

 
0.13

 
0.24

Net income (loss) per share - basic
$
(1.82
)
 
$
0.54

 
$
0.54

 
$
0.83

Income (loss) per share - diluted:
 
 
 
 
 
 
 
Continuing operations
$
(2.01
)
 
$
0.36

 
$
0.41

 
$
0.59

Discontinued operations
0.19

 
0.17

 
0.13

 
0.23

Net income (loss) per share - diluted
$
(1.82
)
 
$
0.53

 
$
0.54

 
$
0.82

Weighted-average shares:
 
 
 
 
 
 
 
Basic
1,276

 
1,258

 
1,242

 
1,230

Diluted
1,276

 
1,267

 
1,251

 
1,241

v3.3.1.900
Financial Statement Schedule
12 Months Ended
Dec. 31, 2015
Valuation and Qualifying Accounts [Abstract]  
Financial Statement Schedule
FINANCIAL STATEMENT SCHEDULE
The Financial Statement Schedule II — VALUATION AND QUALIFYING ACCOUNTS is filed as part of this Annual Report on Form 10-K.
 
Balance at Beginning of Period
 
Charged/Credited to Net Income
 
Charged to Other Account
 
Charges Utilized/Write-offs
 
Balance at End of Period
 
(In millions)
Allowances for Doubtful Accounts and Authorized Credits
 
 
 
 
 
 
 
 
 
Year Ended December 31, 2013
$
74

 
$
64

 
$

 
$
(50
)
 
$
88

Year Ended December 31, 2014
88

 
77

 

 
(79
)
 
86

Year Ended December 31, 2015
$
86

 
$
66

 
$

 
$
(68
)
 
$
84

 
 
 
 
 
 
 
 
 
 
Allowance for Transaction Losses
 
 
 
 
 
 
 
 
 
Year Ended December 31, 2013
$
20

 
$
172

 
$

 
$
(169
)
 
$
23

Year Ended December 31, 2014
23

 
185

 

 
(181
)
 
27

Year Ended December 31, 2015
$
27

 
$
205

 
$

 
$
(198
)
 
$
34

 
 
 
 
 
 
 
 
 
 
Tax Valuation Allowance
 
 
 
 
 
 
 
 
 
Year Ended December 31, 2013
$
149

 
$
33

 
$
(2
)
 
$
(16
)
 
$
164

Year Ended December 31, 2014
164

 
(138
)
 
(1
)
 

 
25

Year Ended December 31, 2015
$
25

 
$
19

 
$
(3
)
 
$

 
$
41

v3.3.1.900
The Company and Summary of Significant Accounting Policies (Policies)
12 Months Ended
Dec. 31, 2015
Accounting Policies [Abstract]  
Use of estimates
Use of estimates

The preparation of consolidated financial statements in conformity with U.S. generally accepted accounting principles ("GAAP") requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. On an ongoing basis, we evaluate our estimates, including those related to provisions for transaction losses, legal contingencies, income taxes, revenue recognition, stock-based compensation, goodwill and the recoverability of intangible assets. We base our estimates on historical experience and on various other assumptions that we believe to be reasonable under the circumstances. Actual results could differ from those estimates.
Principles of consolidation and basis of presentation
Principles of consolidation and basis of presentation

The accompanying financial statements are consolidated and include the financial statements of eBay Inc., our wholly and majority-owned subsidiaries and variable interest entities (“VIE”) where we are the primary beneficiary. All intercompany balances and transactions have been eliminated in consolidation. Minority interests are recorded as a noncontrolling interest. A qualitative approach is applied to assess the consolidation requirement for VIEs. Investments in entities where we hold at least a 20% ownership interest and have the ability to exercise significant influence, but not control, over the investee are accounted for using the equity method of accounting. For such investments, our share of the investees' results of operations is included in interest and other, net and our investment balance is included in long-term investments. Investments in entities where we hold less than a 20% ownership interest are generally accounted for using the cost method of accounting, and our share of the investees' results of operations is included in our consolidated statement of income to the extent dividends are received.

We have evaluated all subsequent events through the date the financial statements were issued.
Revenue recognition
Revenue recognition

We generate net transaction revenues primarily from final value fees and listing fees paid by sellers. Final value fee revenues are recognized at the time that the transaction is successfully closed, while listing fee revenues are recognized ratably over the estimated period of the listing. An auction transaction is considered successfully closed when at least one buyer has bid above the seller's specified minimum price or reserve price, whichever is higher, at the end of the transaction term.

Our marketing services revenues are derived principally from the sale of advertisements, revenue sharing arrangements, classifieds fees, marketing service fees and lead referral fees. Our advertising revenues are derived principally from the sale of online advertisements. The duration of our advertising contracts has ranged from one week to five years, but is generally one week to one year. Advertising revenues on contracts are recognized as “impressions” (i.e., the number of times that an advertisement appears in pages viewed by users of our platforms) are delivered, or as “clicks” (which are generated each time users on our platforms click through our advertisements to an advertiser's designated website) are provided to advertisers. For contracts with minimum monthly or quarterly advertising commitments where the fee and commitments are fixed throughout the term, we recognize revenue ratably over the term of the agreement. We also may enter into arrangements to purchase services from certain customers and if the service is not considered an identifiable benefit that is separable from the customer's purchase of our services or for which we cannot reasonably estimate fair value, the fees paid to the customer is recorded as a reduction in revenue. Some of our advertising contracts consist of multiple elements which generally include a blend of various impressions and clicks as well as other marketing deliverables. Where neither vendor-specific objective evidence nor third-party evidence of selling price exists, we use management's best estimate of selling price (BESP) to allocate arrangement consideration on a relative basis to each element. BESP is generally based on the selling prices of the various elements when they are sold to customers of a similar nature and geography on a stand-alone basis or estimated stand-alone pricing when the element has not previously been sold on a stand-alone basis. These estimates are generally based on pricing strategies, market factors and strategic objectives. Revenues related to revenue sharing arrangements are recognized based on revenue reports received from our partners, provided that collectability is reasonably assured. Revenues related to fees for listing items on our Classifieds platforms are recognized over the estimated period of the classified listing. Lead referral fee revenue is generated from lead referral fees based on the number of times users click through to a merchant's website from our platforms. Lead referral fees are recognized in the period in which a user clicks through to the merchant's website.

Our other revenues are derived principally from contractual arrangements with third parties that provide services to our users. Revenues from contractual arrangements with third parties are recognized as the contracted services are delivered to end users.

To drive traffic to our platforms, we provide incentives to our users in the form of coupons and buyer and seller rewards. These incentives are generally treated as reductions in revenue.
Internal use software and platform development costs
Costs related to the design or maintenance of internal use software and platform development are expensed as incurred.

Internal use software and platform development costs

Direct costs incurred to develop software for internal use and platform development costs are capitalized and amortized over an estimated useful life of one to five years.
Advertising expense
Advertising expense

We expense the costs of producing advertisements at the time production occurs and expense the cost of communicating advertisements in the period during which the advertising space or airtime is used, in each case as sales and marketing expense. Internet advertising expenses are recognized based on the terms of the individual agreements, which are generally over the greater of the ratio of the number of impressions delivered over the total number of contracted impressions, on a pay-per-click basis, or on a straight-line basis over the term of the contract.
Stock-based compensation
Stock-based compensation

We have equity incentive plans under which we grant equity awards, including stock options, restricted stock units, performance-based restricted stock units, and performance share units, to our directors, officers and employees. We primarily issue restricted stock units. We determine compensation expense associated with restricted stock units based on the fair value of our common stock on the date of grant. We determine compensation expense associated with stock options based on the estimated grant date fair value method using the Black-Scholes valuation model. We generally recognize compensation expense using a straight-line amortization method over the respective vesting period for awards that are ultimately expected to vest. Accordingly, stock-based compensation expense for 2015, 2014 and 2013 has been reduced for estimated forfeitures. When estimating forfeitures, we consider voluntary termination behaviors as well as trends of actual option forfeitures. We recognize a benefit from stock-based compensation in equity to the extent that an incremental tax benefit is realized by following the ordering provisions of the tax law. In addition, we account for the indirect effects of stock-based compensation on the research tax credit and the foreign tax credit through our consolidated statement of income.

Provision for transaction losses
Provision for transaction losses

Provision for transaction losses consists primarily of losses resulting from our customer protection programs, fraud and bad debt expense associated with our accounts receivable balance. Provisions for these items represent our estimate of actual losses based on our historical experience and many other factors including changes to our customer protection programs, the impact of regulatory changes as well as economic conditions.

Income taxes
Income taxes

We account for income taxes using an asset and liability approach, which requires the recognition of taxes payable or refundable for the current year and deferred tax liabilities and assets for the future tax consequences of events that have been recognized in our financial statements or tax returns. The measurement of current and deferred tax assets and liabilities is based on provisions of enacted tax laws; the effects of future changes in tax laws or rates are not anticipated. If necessary, the measurement of deferred tax assets is reduced by the amount of any tax benefits that are not expected to be realized based on available evidence.

We report a liability for unrecognized tax benefits resulting from uncertain tax positions taken or expected to be taken in a tax return. We recognize interest and penalties, if any, related to unrecognized tax benefits in income tax expense.

Cash and cash equivalents
Cash and cash equivalents

Cash and cash equivalents are short-term, highly liquid investments with original maturities of three months or less when purchased and are mainly comprised of bank deposits, certificates of deposit and commercial paper.

Allowance for doubtful accounts and authorized credits
Allowance for doubtful accounts and authorized credits

We record our allowance for doubtful accounts based upon our assessment of various factors. We consider historical experience, the age of the accounts receivable balances, current economic conditions and other factors that may affect our customers' ability to pay.
Investments
Investments

Short-term investments, which may include marketable equity securities, time deposits, certificates of deposit, government bonds and corporate debt securities with original maturities of greater than three months but less than one year when purchased, are classified as available-for-sale and are reported at fair value using the specific identification method. Unrealized gains and losses are excluded from earnings and reported as a component of other comprehensive income (loss), net of related estimated tax provisions or benefits.

Long-term investments may include marketable government bonds and corporate debt securities, time deposits, certificates of deposit and cost and equity method investments. Debt securities are classified as available-for-sale and are reported at fair value using the specific identification method. Unrealized gains and losses on our available-for-sale investments are excluded from earnings and reported as a component of other comprehensive income (loss), net of related estimated tax provisions or benefits.

Certain time deposits are classified as held to maturity and recorded at amortized cost. Our equity method investments are primarily investments in privately held companies. Our consolidated results of operations include, as a component of interest and other, net, our share of the net income or loss of the equity method investments. Our share of investees' results of operations is not significant for any period presented. Our cost method investments consist of investments in privately held companies and are recorded at cost. Amounts received from our cost method investees were not material to any period presented.

We assess whether an other-than-temporary impairment loss on our investments has occurred due to declines in fair value or other market conditions. With respect to our debt securities, this assessment takes into account the severity and duration of the decline in value, our intent to sell the security, whether it is more likely than not that we will be required to sell the security before recovery of its amortized cost basis, and whether we expect to recover the entire amortized cost basis of the security (that is, whether a credit loss exists).

Property and equipment
Property and equipment

Property and equipment are stated at historical cost less accumulated depreciation. Depreciation is computed using the straight-line method over the estimated useful lives of the assets, generally, one to three years for computer equipment and software, up to thirty years for buildings and building improvements, the shorter of five years or the term of the lease for leasehold improvements and three years for furniture, fixtures and vehicles.
Goodwill and intangible assets
Goodwill and intangible assets

Goodwill is tested for impairment at a minimum on an annual basis. Goodwill is tested for impairment at the reporting unit level. A qualitative assessment can be performed to determine whether it is more likely than not that the fair value of the reporting unit is less than its carrying value. If the reporting unit does not pass the qualitative assessment, then the reporting unit's carrying value is compared to its fair value. The fair values of the reporting units are estimated using income and market approaches. Goodwill is considered impaired if the carrying value of the reporting unit exceeds its fair value. The discounted cash flow method, a form of the income approach, uses expected future operating results and a market participant discount rate. The market approach uses comparable company prices and other relevant information generated by market transactions (either publicly traded entities or merger and acquisitions) to develop pricing metrics to be applied to historical and expected future operating results of our reporting units. Failure to achieve these expected results, changes in the discount rate or market pricing metrics may cause a future impairment of goodwill at the reporting unit. We conducted our annual impairment test of goodwill as of August 31, 2015 and 2014. Additionally, we evaluated impairment based on the significant activities regarding the Distribution and Enterprise divestiture during the year. See “Note 4 - Discontinued Operations” for further detail. As a result of this test, we determined that no further adjustment to the carrying value of goodwill for any reporting units was required. 

Intangible assets consist of purchased customer lists and user base, marketing related, developed technologies and other intangible assets, including patents and contractual agreements. Intangible assets are amortized over the period of estimated benefit using the straight-line method and estimated useful lives ranging from one to eight years. No significant residual value is estimated for intangible assets.

Impairment of long-lived assets
Impairment of long-lived assets

We evaluate long-lived assets (including intangible assets) for impairment whenever events or changes in circumstances indicate that the carrying amount of a long-lived asset may not be recoverable. An asset is considered impaired if its carrying amount exceeds the undiscounted future net cash flow the asset is expected to generate.
Foreign currency
Foreign currency
 
Most of our foreign subsidiaries use the local currency of their respective countries as their functional currency. Assets and liabilities are translated at exchange rates prevailing at the balance sheet dates. Revenues, costs and expenses are translated into U.S. dollars using daily exchange rates if the transaction is recorded in our accounting systems on a daily basis, and otherwise using average exchange rates for the period. Gains and losses resulting from the translation of our consolidated balance sheet are recorded as a component of accumulated other comprehensive income.

Gains and losses from foreign currency transactions are recognized as interest and other, net.
Derivative instruments
Derivative instruments

We use derivative financial instruments, primarily forwards and swaps, to hedge certain foreign currency and interest rate exposures. We may also use other derivative instruments not designated as hedges, such as forwards used to hedge foreign currency balance sheet exposures. We do not use derivative financial instruments for trading purposes. See “Note 9 - Derivative Instruments” for a full description of our derivative instrument activities and related accounting policies.

Concentration of credit risk
Concentration of credit risk

Our cash, cash equivalents, accounts receivable and derivative instruments are potentially subject to concentration of credit risk. Cash and cash equivalents are placed with financial institutions that management believes are of high credit quality. Our accounts receivable are derived from revenue earned from customers.
Recent Accounting Pronouncements
Recent Accounting Pronouncements

In 2014, the FASB issued new guidance related to reporting discontinued operations. This new standard raises the threshold for a disposal to qualify as a discontinued operation and requires new disclosures of both discontinued operations and certain other disposals that do not meet the definition of a discontinued operation. The new standard is now effective. The standard impacted the presentation of Enterprise during the second quarter of 2015 and PayPal during the third quarter of 2015 related to the financial statement presentation of assets held for sale and discontinued operations and required additional disclosures as presented in "Note 4 - Discontinued Operations."

In 2014, the FASB issued new accounting guidance related to revenue recognition. This new standard will replace all current GAAP guidance on this topic and eliminate all industry-specific guidance. The new revenue recognition guidance provides a unified model to determine when and how revenue is recognized. The core principle is that a company should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration for which the entity expects to be entitled in exchange for those goods or services. This guidance can be applied either retrospectively to each period presented or as a cumulative-effect adjustment as of the date of adoption. In 2015, the FASB issued guidance to defer the effective date to fiscal years beginning after December 15, 2017 with early adoption for fiscal years beginning December 15, 2016. We are evaluating the impact of adopting this new accounting guidance on our consolidated financial statements.

In 2015, the FASB issued new guidance related to consolidations. The new standard amends the guidelines for determining whether certain legal entities should be consolidated and reduces the number of consolidation models. The new standard is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2015. Early adoption is permitted. We are evaluating the impact, if any, of adopting this new accounting guidance on our consolidated financial statements.

In 2015, the FASB issued new guidance related to presentation of debt issuance costs. The new standard requires that debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability. The new standard is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2015. Early adoption is permitted. The adoption of this standard is not expected to have a material impact on our consolidated financial statements.

In 2015, the FASB issued new guidance related to accounting for fees paid in a cloud computing arrangement. The new standard provides guidance to customers about whether a cloud computing arrangement includes a software license. If a cloud computing arrangement includes a software license, then the customer should account for the software license element of the arrangement consistent with the acquisition of other software licenses. If a cloud computing arrangement does not include a software license, the customer should account for the arrangement as a service contract. The new standard is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2015. Early adoption is permitted. We are evaluating the impact, if any, of adopting this new accounting guidance on our consolidated financial statements.

In 2015, the FASB issued new guidance related to business combinations. The new guidance requires that adjustments made to provisional amounts recognized in a business combination be recorded in the period such adjustments are determined, rather than retrospectively adjusting previously reported amounts. The new standard is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2015. Early adoption is permitted. We are evaluating the impact, if any, of adopting this new accounting guidance on our consolidated financial statements.

In 2015, the FASB issued new guidance related to balance sheet classification of deferred taxes. The new guidance requires that deferred tax assets and liabilities be classified as noncurrent in a classified statement of financial position. The new standard is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2016. Early adoption is permitted. We early adopted this guidance on a prospective basis as of December 31, 2015. See "Note 17 - Income Taxes" for additional information.

In 2016, the FASB issued new guidance related accounting for equity investments, financial liabilities under the fair value option, and the presentation and disclosure requirements for financial instruments. In addition, the FASB clarified guidance related to the valuation allowance assessment when recognizing deferred tax assets resulting from unrealized losses on available-for-sale debt securities. The new standard is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2017. We are evaluating the impact of adopting this new accounting guidance on our consolidated financial statements.

v3.3.1.900
Net Income (loss) Per Share (Tables)
12 Months Ended
Dec. 31, 2015
Earnings Per Share [Abstract]  
Schedule of basic and diluted net income per share
The following table sets forth the computation of basic and diluted net income (loss) per share for the periods indicated:
 
Year Ended December 31,
 
2015
 
2014
 
2013
 
(In millions, except per share amounts)
Numerator:
 
 
 
 
 
Income (loss) from continuing operations
$
1,947

 
$
(865
)
 
$
2,067

Income (loss) from discontinued operations, net of income taxes
(222
)
 
911

 
789

Net income
$
1,725

 
$
46

 
$
2,856

Denominator:
 
 
 
 
 
Weighted average shares of common stock - basic
1,208

 
1,251

 
1,295

Dilutive effect of equity incentive awards
12

 

 
18

Weighted average shares of common stock - diluted
1,220

 
1,251

 
1,313

Income (loss) per share - basic:
 
 
 
 
 
Continuing operations
$
1.61

 
$
(0.69
)
 
$
1.60

Discontinued operations
(0.18
)
 
0.73

 
0.60

Net income per share - basic
$
1.43

 
$
0.04

 
$
2.20

Income (loss) per share - diluted:
 
 
 
 
 
Continuing operations
$
1.60

 
$
(0.69
)
 
$
1.58

Discontinued operations
(0.18
)
 
0.73

 
0.60

Net income per share - diluted
$
1.42

 
$
0.04

 
$
2.18

Common stock equivalents excluded from income per diluted share because their effect would have been anti-dilutive
2

 
54

 
4

v3.3.1.900
Discontinued Operations (Tables)
12 Months Ended
Dec. 31, 2015
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]  
Financial Results of Discontinued Operations
The financial results of PayPal and Enterprise are presented as income (loss) from discontinued operations, net of income taxes in our consolidated statement of income. The following table presents financial results of PayPal and Enterprise:
 
Year Ended
December 31,
 
2015 (1)
 
2014
 
2013
 
 
 
 
PayPal income from discontinued operations, net of income taxes
$
516

 
$
1,024

 
$
926

Enterprise loss from discontinued operations, net of income taxes
(738
)
 
(113
)
 
(137
)
Income (loss) from discontinued operations, net of income taxes
$
(222
)
 
$
911

 
$
789

 
(1)
Includes PayPal financial results from January 1, 2015 to July 17, 2015 and Enterprise financial results from January 1, 2015 to November 2, 2015.

The following table presents cash flows of PayPal and Enterprise:
 
Year Ended
December 31,
 
2015 (1)
 
2014
 
2013
 
 
 
 
PayPal net cash provided by discontinued operating activities
$
1,252

 
$
2,280

 
$
1,913

Enterprise net cash provided by (used in) discontinued operating activities
(96
)
 
169

 
150

Net cash provided by discontinued operating activities
$
1,156

 
$
2,449

 
$
2,063

 
 
 
 
 
 
PayPal net cash used in discontinued investing activities
$
(3,725
)
 
$
(1,218
)
 
$
(2,221
)
Enterprise net cash provided by (used in) discontinued investing activities
787

 
(130
)
 
(171
)
Net cash used in discontinued investing activities
$
(2,938
)
 
$
(1,348
)
 
$
(2,392
)
 
 
 
 
 
 
PayPal net cash provided by (used in) discontinued financing activities (2)
$
(1,594
)
 
$
40

 
$
76

Enterprise net cash used in discontinued financing activities

 
(15
)
 
1

Net cash provided by (used in) discontinued financing activities
$
(1,594
)
 
$
25

 
$
77

(1)
Includes PayPal financial results from January 1, 2015 to July 17, 2015 and Enterprise financial results from January 1, 2015 to November 2, 2015.
(2)    Includes $1.6 billion of PayPal cash and cash equivalents as of July 17, 2015.
The following table presents the aggregate carrying amounts of the classes of assets and liabilities of discontinued operations of PayPal and Enterprise:
 
December 31,
2014
 
(In millions)
PayPal current assets classified as discontinued operations
$
16,795

Enterprise current assets classified as discontinued operations
253

Current assets of discontinued operations
$
17,048

 
 
PayPal long-term assets classified as discontinued operations
$
4,506

Enterprise long-term assets classified as discontinued operations
1,862

Long-term assets of discontinued operations
$
6,368

 
 
PayPal current liabilities classified as discontinued operations
$
12,137

Enterprise current liabilities classified as discontinued operations
374

Current liabilities of discontinued operations
$
12,511

 
 
PayPal long-term liabilities classified as discontinued operations
$
243

Enterprise long-term liabilities classified as discontinued operations
74

Long-term liabilities of discontinued operations
$
317

PayPal  
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]  
Financial Results of Discontinued Operations
The financial results of PayPal through the Distribution are presented as income (loss) from discontinued operations, net of income taxes on our consolidated statement of income. The following table presents financial results of PayPal:
 
Year Ended
December 31,
 
2015 (1)
 
2014
 
2013
 
 
 
 
Net revenues
$
4,793

 
$
7,895

 
$
6,640

Cost of net revenues
1,918

 
3,140

 
2,696

Gross profit
2,875

 
4,755

 
3,944

Operating expenses:
 
 
 
 
 
Sales and marketing
534

 
1,027

 
794

Product development
527

 
879

 
712

General and administrative
741

 
892

 
724

Provision for transaction and loan losses
418

 
688

 
551

Amortization of acquired intangible assets
30

 
53

 
41

Total operating expenses
2,250

 
3,539

 
2,822

Income from operations of discontinued operations
625

 
1,216

 
1,122

Interest and other, net
1

 
(7
)
 
(7
)
Income from discontinued operations before income taxes
626

 
1,209

 
1,115

Provision for income taxes
(110
)
 
(185
)
 
(189
)
Income from discontinued operations, net of income taxes
$
516

 
$
1,024

 
$
926

 
(1)    Includes PayPal financial results from January 1, 2015 to July 17, 2015.

The following table presents the aggregate carrying amounts of the classes of assets and liabilities of discontinued operations of PayPal:
 
December 31,
2014
 
(In millions)
Carrying amounts of assets included as part of discontinued operations:
 
Cash and cash equivalents
$
2,194

Short-term investments
39

Accounts receivable, net
51

Loans and interest receivable, net
3,600

Funds receivable and customer accounts
10,545

Other current assets
366

Current assets classified as discontinued operations
16,795

Long-term investments
31

Property and equipment, net
1,113

Goodwill
3,136

Intangible assets, net
172

Other assets
54

Long-term assets classified as discontinued operations
4,506

Total assets classified as discontinued operations in the consolidated balance sheet
$
21,301

 
 
Carrying amounts of liabilities included as part of discontinued operations:
 
Accounts payable
$
115

Funds receivable and customer accounts
10,545

Accrued expenses and other current liabilities
1,448

Income taxes payable
29

Current liabilities classified as discontinued operations
12,137

Deferred and other tax liabilities, net
197

Other liabilities
46

Long-term liabilities classified as discontinued operations
243

Total liabilities classified as discontinued operations in the consolidated balance sheet
$
12,380

Enterprise  
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]  
Financial Results of Discontinued Operations
The financial results of Enterprise are presented as income (loss) from discontinued operations, net of income taxes on our consolidated statement of income. The following table presents financial results of Enterprise:
 
Year Ended
December 31,
 
2015 (1)
 
2014
 
2013
 
 
 
 
Net revenues
$
904

 
$
1,217

 
$
1,150

Cost of net revenues
654

 
929

 
848

Gross profit
250

 
288

 
302

Operating expenses:
 
 
 
 
 
Sales and marketing
95

 
118

 
122

Product development
91

 
138

 
141

General and administrative
118

 
62

 
99

Provision for transaction losses
12

 
8

 
4

Amortization of acquired intangible assets
70

 
140

 
141

Goodwill impairment
786

 

 

Total operating expenses
1,172

 
466

 
507

Loss from operations of discontinued operations
(922
)
 
(178
)
 
(205
)
Interest and other, net
1

 
(15
)
 
(15
)
Pretax loss on disposal of the discontinued operation
(35
)
 

 

Loss from discontinued operations before income taxes
(956
)
 
(193
)
 
(220
)
Income tax benefit
218

 
80

 
83

Loss from discontinued operations, net of income taxes
$
(738
)
 
$
(113
)
 
$
(137
)
 
(1)    Includes Enterprise financial results from January 1, 2015 to November 2, 2015.

The following table presents the aggregate carrying amounts of the classes of assets and liabilities of discontinued operations of Enterprise:
 
December 31,
2014
 
(In millions)
Carrying amounts of assets included as part of discontinued operations:
 
Cash and cash equivalents
$
29

Short-term investments
1

Accounts receivable, net
146

Other current assets
77

Current assets classified as discontinued operations
253

Long-term investments
10

Property and equipment, net
303

Goodwill
1,287

Intangible assets, net
259

Other assets
3

Long-term assets classified as discontinued operations
1,862

Total assets classified as discontinued operations in the consolidated balance sheet
$
2,115

 
 
Carrying amounts of liabilities included as part of discontinued operations:
 
Accounts payable
$
179

Accrued expenses and other current liabilities
115

Deferred revenue
80

Current liabilities classified as discontinued operations
374

Deferred and other tax liabilities, net
73

Other liabilities
1

Long-term liabilities classified as discontinued operations
74

Total liabilities classified as discontinued operations in the consolidated balance sheet
$
448

v3.3.1.900
Goodwill and Intangible Assets (Tables)
12 Months Ended
Dec. 31, 2015
Goodwill and Intangible Assets Disclosure [Abstract]  
Schedule of goodwill balances and adjustments
The following table presents goodwill balances and adjustments to those balances for the years ended December 31, 2015 and 2014:
 
December 31,
2013
 
Goodwill Acquired
 
Adjustments
 
December 31,
2014
 
Goodwill
Acquired
 
Adjustments
 
December 31,
2015
 
(In millions)
Goodwill
$
4,855

 
30

 
(214
)
 
$
4,671

 
23

 
(243
)
 
$
4,451

Schedule of identifiable intangible assets
The components of identifiable intangible assets are as follows: 
 
December 31, 2015
 
December 31, 2014
 
Gross Carrying Amount  
 
Accumulated Amortization 
 
Net Carrying Amount
 
Weighted Average Useful Life (Years)
 
Gross Carrying Amount 
 
Accumulated Amortization 
 
Net Carrying Amount
 
Weighted Average Useful Life (Years)
 
(In millions, except years)
Intangible assets:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Customer lists and user base
$
419

 
$
(399
)
 
$
20

 
5
 
$
434

 
$
(407
)
 
$
27

 
5
Marketing related
594

 
(570
)
 
24

 
5
 
642

 
(596
)
 
46

 
5
Developed technologies
238

 
(215
)
 
23

 
4
 
237

 
(195
)
 
42

 
4
All other
157

 
(134
)
 
23

 
4
 
144

 
(126
)
 
18

 
4
 
$
1,408

 
$
(1,318
)
 
$
90

 
 
 
$
1,457

 
$
(1,324
)
 
$
133

 
 
Schedule of future intangible asset amortization
Expected future intangible asset amortization as of December 31, 2015 is as follows (in millions):
Fiscal years:
 
2016
$
47

 
2017
33

 
2018
10

 
2019

 
2020

 
Thereafter

 
 
$
90

v3.3.1.900
Segments (Tables)
12 Months Ended
Dec. 31, 2015
Segment Reporting [Abstract]  
Summary of financial performance of operating segments
The following table sets forth the breakdown of net revenues by type:
 
Year Ended December 31,
 
2015
 
2014
 
2013
 
(In millions)
Net Revenues by Type:
 
 
 
 
 
Net transaction revenues:
 
 
 
 
 
Marketplace
$
6,103

 
$
6,351

 
$
5,900

StubHub
725

 
629

 
653

Total net transaction revenues
6,828

 
6,980

 
6,553

Marketing services and other revenues:
 
 
 
 
 
Marketplace
1,078

 
1,103

 
1,090

Classifieds
703

 
716

 
621

Corporate and other
(17
)
 
(9
)
 
(7
)
Total marketing services and other revenues
1,764

 
1,810

 
1,704

Total net revenues
$
8,592

 
$
8,790

 
$
8,257

Summary of allocation of net revenues and long-lived tangible assets based on geography
The following table summarizes the allocation of net revenues based on geography:  
 
Year Ended December 31,
 
2015
  
2014
  
2013
 
(In millions)
Net revenues by Geography:
 
 
 
 
 
U.S.
$
3,624

  
$
3,525

  
$
3,419

United Kingdom
1,403

  
1,464

  
1,290

Germany
1,310

  
1,511

  
1,466

Rest of world
2,255

  
2,290

  
2,082

Total net revenues
$
8,592

 
$
8,790

 
$
8,257


The following table summarizes the allocation of long-lived tangible assets based on geography:  
 
December 31,
 
2015
  
2014
 
(In millions)
Long-lived tangible assets by Geography:
 
 
 
U.S.
$
1,668

  
$
1,578

International
116

  
132

Total long-lived tangible assets
$
1,784

  
$
1,710

v3.3.1.900
Investments (Tables)
12 Months Ended
Dec. 31, 2015
Investments [Abstract]  
Fair value of short and long-term investments classified as available for sale
At December 31, 2015 and 2014, the estimated fair value of our short-term and long-term investments classified as available for sale, are as follows:
 
December 31, 2015
 
Gross
Amortized
Cost
  
Gross
Unrealized
Gains
  
Gross
Unrealized
Losses
 
Estimated
Fair Value
 
(In millions)
Short-term investments:
 
  
 
  
 
 
 
Restricted cash
$
28

  
$

  
$

 
$
28

Corporate debt securities
3,302

  
1

  
(16
)
 
3,287

Government and agency securities
55

  

  

 
55

Equity instruments
9

 
920

 

 
929

 
$
3,394

  
$
921

  
$
(16
)
 
$
4,299

Long-term investments:
 
  
 
  
 
 
 
Corporate debt securities
3,327

  
7

  
(67
)
 
3,267

 
$
3,327

  
$
7

  
$
(67
)
 
$
3,267

 
 
December 31, 2014
 
Gross
Amortized
Cost
  
Gross
Unrealized
Gains
  
Gross
Unrealized
Losses
 
Estimated
Fair Value
 
(In millions)
Short-term investments:
 
  
 
  
 
 
 
Restricted cash
$
19

  
$

  
$

 
$
19

Corporate debt securities
2,519

  
1

  
(1
)
 
2,519

Government and agency securities
3

  

  

 
3

Time deposits and other
152

  

  

 
152

Equity instruments
9

 
1,028

 

 
1,037

 
$
2,702

 
$
1,029

 
$
(1
)
 
$
3,730

Long-term investments:
 
  
 
  
 
 
 
Corporate debt securities
5,319

  
18

  
(18
)
 
5,319

Government and agency securities
232

  
1

  

 
233

 
$
5,551

  
$
19

  
$
(18
)
 
$
5,552

Estimated fair values of short and long-term investments classified as available for sale by date of contractual maturity
The estimated fair values of our short-term and long-term investments classified as available for sale by date of contractual maturity at December 31, 2015 are as follows:  
 
December 31,
2015
 
(In millions)
One year or less (including restricted cash of $28)
$
3,370

One year through two years
1,190

Two years through three years
1,464

Three years through four years
547

Four years through five years
59

Five years through six years

Six years through seven years

Seven years through eight years
6

Eight years through nine years

Nine years through ten years

 
$
6,636

v3.3.1.900
Fair Value Measurement of Assets and Liabilities (Tables)
12 Months Ended
Dec. 31, 2015
Fair Value Disclosures [Abstract]  
Schedule of fair value of assets and liabilities measured on recurring basis
The following tables summarize our financial assets and liabilities measured at fair value on a recurring basis as of December 31, 2015 and 2014:
 Description
Balances as of December 31, 2015
 
Quoted Prices in
Active Markets for
Identical Assets
(Level 1) 
 
Significant Other
Observable Inputs
(Level 2)
 
(In millions)
Assets:
 
 
 
 
 
Cash and cash equivalents
$
1,832

 
$
1,664

 
$
168

Short-term investments:
 
 
 
 
 
Restricted cash
28

 
28

 

Corporate debt securities
3,287

 

 
3,287

Government and agency securities
55

 

 
55

Equity instruments
929

 
929

 

Total short-term investments
4,299

 
957

 
3,342

Derivatives
97

 

 
97

Long-term investments:
 
 
 
 
 
Corporate debt securities
3,267

 

 
3,267

Total long-term investments
3,267

 

 
3,267

Total financial assets
$
9,495

 
$
2,621

 
$
6,874

 
 
 
 
 
 
Liabilities:
 
 
 
 
 
Derivatives
$
25

 
$

 
$
25


Description
Balances as of December 31, 2014
 
Quoted Prices in
Active Markets for
Identical Assets
(Level 1) 
 
Significant Other
Observable Inputs
(Level 2)
 
(In millions)
Assets:
 
 
 
 
 
Cash and cash equivalents
$
4,105

 
$
1,694

 
$
2,411

Short-term investments:
 
 
 
 
 
Restricted cash
19

 
19

 

Corporate debt securities
2,519

 

 
2,519

Government and agency securities
3

 

 
3

Time deposits
152

 

 
152

Equity instruments
1,037

 
1,037

 

Total short-term investments
3,730

 
1,056

 
2,674

Derivatives
84

 

 
84

Long-term investments:
 
 
 
 
 
Corporate debt securities
5,319

 

 
5,319

Government and agency securities
233

 

 
233

Total long-term investments
5,552

 

 
5,552

Total financial assets
$
13,471

 
$
2,750

 
$
10,721

 
 
 
 
 
 
Liabilities:
 
 
 
 
 
Derivatives
$
20

 
$

 
$
20

 Description
Balances as of December 31, 2015
 
Quoted Prices in
Active Markets for
Identical Assets
(Level 1) 
 
Significant Other
Observable Inputs
(Level 2)
 
(In millions)
Assets:
 
 
 
 
 
Cash and cash equivalents
$
1,832

 
$
1,664

 
$
168

Short-term investments:
 
 
 
 
 
Restricted cash
28

 
28

 

Corporate debt securities
3,287

 

 
3,287

Government and agency securities
55

 

 
55

Equity instruments
929

 
929

 

Total short-term investments
4,299

 
957

 
3,342

Derivatives
97

 

 
97

Long-term investments:
 
 
 
 
 
Corporate debt securities
3,267

 

 
3,267

Total long-term investments
3,267

 

 
3,267

Total financial assets
$
9,495

 
$
2,621

 
$
6,874

 
 
 
 
 
 
Liabilities:
 
 
 
 
 
Derivatives
$
25

 
$

 
$
25


v3.3.1.900
Derivative Instruments (Tables)
12 Months Ended
Dec. 31, 2015
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Fair value of outstanding derivative instruments
The fair value of our outstanding derivative instruments as of December 31, 2015 and 2014 were as follows:
 
Balance Sheet Location
 
December 31,
2015
 
December 31,
2014
 
 
 
(In millions)
Derivative Assets:
 
 
 
 
 
Foreign exchange contracts designated as cash flow hedges
Other Current Assets
 
$
42

 
$
42

Foreign exchange contracts not designated as hedging instruments
Other Current Assets
 
14

 
20

Interest rate contracts designated as fair value hedges
Other Assets
 
41

 
22

Total derivative assets
 
 
$
97

 
$
84

 
 
 
 
 
 
Derivative Liabilities:
 
 
 
 
 
Foreign exchange contracts designated as cash flow hedges
Other Current Liabilities
 
$
1

 
$

Foreign exchange contracts not designated as hedging instruments
Other Current Liabilities
 
24

 
20

Total derivative liabilities
 
 
$
25

 
$
20

 
 
 
 
 
 
Total fair value of derivative instruments
 
 
$
72

 
$
64


Summary of activity of derivative contracts that qualify for hedge accounting and the impact of designated derivative contracts on accumulated other comprehensive income
The following tables summarize the activity of derivative contracts that qualify for hedge accounting as of December 31, 2015 and 2014, and the impact of these derivative contracts on accumulated other comprehensive income for the years ended December 31, 2015 and 2014:
 
December 31, 2014
 
Amount of gain (loss)
recognized in other
comprehensive income
(effective portion) 
 
Amount of gain (loss)
reclassified from
accumulated other
comprehensive income
to cost of net revenue and operating expense
(effective portion)
 
December 31, 2015
 
(In millions)
Foreign exchange contracts designated as cash flow hedges
$
41

 
66

 
71

 
$
36


 
December 31, 2013
 
Amount of gain (loss)
recognized in other
comprehensive income
(effective portion) 
 
Amount of gain (loss)
reclassified from
accumulated other
comprehensive income
to cost of net revenue and operating expense
(effective portion)
 
December 31, 2014
 
(In millions)
Foreign exchange contracts designated as cash flow hedges
$
(15
)
 
56

 

 
$
41

Schedule of location in financial statements of recognized gains or losses related to derivative instruments
The following table provides the location in our financial statements of the recognized gains or losses related to our foreign exchange derivative instruments:
 
Year Ended December 31,
 
2015
 
2014
 
2013
 
(In millions)
Foreign exchange contracts designated as cash flow hedges recognized in cost of net revenues and operating expenses
$
71

 
$

 
$
(9
)
Foreign exchange contracts not designated as hedging instruments recognized in interest and other, net
(1
)
 
10

 
11

Total gain (loss) recognized from foreign exchange derivative contracts in the consolidated statement of income
$
70

 
$
10

 
$
2



The following table provides the location in our financial statements of the recognized gains or losses related to our interest rate derivative instruments:
 
Year Ended December 31,
 
2015
 
2014
 
2013
 
(In millions)
Gain (loss) from interest rate contracts designated as fair value hedges recognized in interest and other, net
$
19

 
$
22

 
$

Gain (loss) from hedged items attributable to hedged risk recognized in interest and other, net
(19
)
 
(22
)
 

Total gain (loss) recognized from interest rate derivative contracts in the consolidated statement of income
$

 
$

 
$

Schedule of notional amounts of derivatives outstanding
The following table provides the notional amounts of our outstanding derivatives:
 
December 31,
 
2015
 
2014
 
2013
 
(In millions)
Foreign exchange contracts designated as cash flow hedges
$
1,315

 
$
307

 
$
331

Foreign exchange contracts not designated as hedging instruments
1,317

 
1,535

 
2,257

Interest rate contracts designated as fair value hedges
2,400

 
2,400

 

Total
$
5,032

 
$
4,242

 
$
2,588

v3.3.1.900
Balance Sheet Components (Tables)
12 Months Ended
Dec. 31, 2015
Balance Sheet Components [Abstract]  
Property, Plant and Equipment
 
December 31,
2015
 
2014
(In millions)
Property and equipment:
 
 
 
Computer equipment and software
$
3,894

 
$
3,455

Land and buildings, including building improvements
591

 
535

Leasehold improvements
305

 
253

Furniture and fixtures
157

 
158

Construction in progress and other
131

 
143

 
5,078

 
4,544

Accumulated depreciation
(3,524
)
 
(3,058
)
 
$
1,554

 
$
1,486

v3.3.1.900
Debt (Tables)
12 Months Ended
Dec. 31, 2015
Debt Disclosure [Abstract]  
Carrying value of outstanding debt
The following table summarizes the carrying value of our outstanding debt:
 
 
Coupon
 
Carrying Value as of
 
Effective
 
Carrying Value as of
 
Effective
 
 
 Rate
 
December 31, 2015
 
 Interest Rate
 
December 31, 2014
 
 Interest Rate
 
 
(In millions, except percentages)
Long-Term Debt
 
 
 
 
 
 
 
 
 
 
Floating Rate Notes:
 
 
 
 
 
 
 
 
 
 
Senior notes due 2017
 
LIBOR plus 0.20%

 
$
450

 
0.586
%
 
$
450

 
0.560
%
Senior notes due 2019
 
LIBOR plus 0.48%

 
400

 
0.825
%
 
400

 
0.811
%
 
 
 
 
 
 
 
 
 
 
 
Fixed Rate Notes:
 
 
 
 
 
 
 
 
 
 
Senior notes due 2017
 
1.350
%
 
1,000

 
1.456
%
 
1,000

 
1.456
%
Senior notes due 2019
 
2.200
%
 
1,148

 
2.346
%
 
1,148

 
2.346
%
Senior notes due 2020
 
3.250
%
 
499

 
3.389
%
 
498

 
3.389
%
Senior notes due 2021
 
2.875
%
 
749

 
2.993
%
 
749

 
2.993
%
Senior notes due 2022
 
2.600
%
 
999

 
2.678
%
 
999

 
2.678
%
Senior notes due 2024
 
3.450
%
 
749

 
3.531
%
 
749

 
3.531
%
Senior notes due 2042
 
4.000
%
 
744

 
4.114
%
 
743

 
4.114
%
Total senior notes
 
 
 
6,738

 
 
 
6,736

 
 
Hedge accounting fair value adjustments
 
 
 
41

 
 
 
22

 
 
Other indebtedness
 
 
 

 
 
 
19

 
 
Total long-term debt
 
 
 
$
6,779

 
 
 
$
6,777

 
 
 
 
 
 
 
 
 
 
 
 
 
Short-Term Debt
 
 
 
 
 
 
 
 
 
 
Senior notes due 2015
 
0.700
%
 

 
%
 
250

 
0.820
%
Senior notes due 2015
 
1.625
%
 

 
%
 
600

 
1.805
%
Total short-term debt
 
 
 

 
 
 
850

 
 
Total Debt
 
 
 
$
6,779

 
 
 
$
7,627

 
 

Schedule of expected future principal maturities
Expected future principal maturities as of December 31, 2015 are as follows (in millions):
Fiscal Years:
 
2016
$

 
2017
1,450

 
2018

 
2019
1,550

 
2020
500

 
Thereafter
3,250

 
 
$
6,750

v3.3.1.900
Commitments and Contingencies (Tables)
12 Months Ended
Dec. 31, 2015
Commitments and Contingencies Disclosure [Abstract]  
Schedule of future minimum rental payments under non-cancelable operating leases
Future minimum rental payments under our non-cancelable operating leases at December 31, 2015 are as follows:  
 
Leases
 
(In millions)
2016
$
55

2017
52

2018
35

2019
30

2020
25

Thereafter
25

Total minimum lease payments
$
222

v3.3.1.900
Stock Repurchase Program (Tables)
12 Months Ended
Dec. 31, 2015
Stock Repurchase Programs [Abstract]  
Summary of stock repurchase activity under stock repurchase program
The stock repurchase activity under our stock repurchase programs during 2015 is summarized as follows:
 
Shares Repurchased
 
Average Price per Share (1)
 
Value of Shares Repurchased
 
Remaining Amount Authorized
 
(In millions, except per share amounts)
Balance as of January 1, 2015
 
 
 
 
 
 
$
985

Authorization of additional plan in January 2015
 
 
 
 
 
 
2,000

Repurchase of shares of common stock prior to the Distribution
18

 
56.95

 
1,000

 
(1,000
)
Authorization of additional plan in June 2015
 
 
 
 
 
 
1,000

Repurchase of shares of common stock subsequent to the Distribution
41

 
27.48

 
1,149

 
(1,149
)
Balance as of December 31, 2015
 
 
 
 
 
 
$
1,836

 

(1)
Stock repurchase activity excludes broker commissions.
v3.3.1.900
Stock-Based and Employee Savings Plans (Tables)
12 Months Ended
Dec. 31, 2015
Share-based Compensation [Abstract]  
Schedule of Stock Option Activity
The following table summarizes stock option activity under our equity incentive plans as of and for the year ended December 31, 2015:
 
Shares
 
Weighted
Average
Exercise
Price
 
Weighted Average Remaining Contractual Term (Years)
 
Aggregate Intrinsic Value
 
(In millions, except per share amounts and years)
Outstanding as of January 1, 2015
10

 
$
34.14

 
 
 
 
Granted and assumed
2

 
$
49.59

(1) 
 
 
 
Exercised
(6
)
 
$
18.46

(1) 
 
 
 
Forfeited/expired/canceled
(1
)
 
$
29.44

(1) 
 
 
 
Adjustment due to the Distribution
2

 
 
 
 
 
 
Outstanding as of December 31, 2015
7

 
$
20.05

 
4.31
 
$
50

Expected to vest
6

 
$
19.88

 
4.22
 
$
48

Options exercisable
4

 
$
17.44

 
2.98
 
$
37


 
(1)    Weighted average exercise price is calculated using exercise prices prior to the Distribution and after the Distribution.
Schedule of Restricted Stock Units
A summary of the status of restricted stock units ("RSU") granted (including performance-based restricted stock units that have been earned) under our equity incentive plans as of December 31, 2015 and changes during the year ended December 31, 2015 is presented below:
 
Units 
 
Weighted Average
Grant-Date
Fair Value
(per share)
 
 
(In millions, except per share amounts)
 
Outstanding as of January 1, 2015
36

 
$
50.21

 
Awarded and assumed
19

 
$
53.67

(1) 
Vested
(14
)
 
$
39.42

(1) 
Forfeited
(15
)
 
$
31.18

(1) 
Adjustment due to the Distribution
10

 
 
 
Outstanding as of December 31, 2015
36

 
$
22.50

 
Expected to vest at December 31, 2015
29

 
 
 

 
(1)    Weighted average grant date fair value is calculated using grant date fair value prior to the Distribution and after the Distribution.
Schedule of Stock-Based Compensation Expense
The impact on our results of operations of recording stock-based compensation expense for years ended December 31, 2015, 2014 and 2013 was as follows:  
 
Year Ended December 31,
 
2015
 
2014
 
2013
 
(In millions)
Cost of net revenues
$
38

 
$
33

 
$
27

Sales and marketing
94

 
93

 
67

Product development
108

 
116

 
97

General and administrative
139

 
102

 
107

Total stock-based compensation expense
$
379

 
$
344

 
$
298

Capitalized in product development
$
13

 
$
12

 
$
10

Schedule of Weighted Average Assumptions Used
The following weighted average assumptions were used for the years ended December 31, 2015, 2014 and 2013:
 
Year Ended December 31,
 
2015
 
2014
 
2013
Risk-free interest rate
1.4
%
 
1.2
%
 
0.6
%
Expected life (in years)
4.1

 
4.1

 
4.1

Dividend yield
%
 
%
 
%
Expected volatility
27
%
 
29
%
 
34
%
v3.3.1.900
Income Taxes (Tables)
12 Months Ended
Dec. 31, 2015
Income Tax Disclosure [Abstract]  
Schedule of income before income tax
The components of pretax income for the years ended December 31, 2015, 2014 and 2013 are as follows:
 
Year Ended December 31,
 
2015
  
2014
  
2013
 
(In millions)
United States
$
396

  
$
510

  
$
768

International
2,010

  
2,005

  
1,803

 
$
2,406


$
2,515


$
2,571

Schedule of components of income tax expense (benefit)
The provision for income taxes is comprised of the following:
 
Year Ended December 31,
 
2015
 
2014
 
2013
 
(In millions)
Current:
 
 
 
 
 
Federal
$
363

 
$
489

 
$
408

State and local
22

 
20

 
(5
)
Foreign
106

 
127

 
134

 
$
491

 
$
636

 
$
537

Deferred:
 
 
 
 
 
Federal
$
(53
)
 
$
2,091

 
$
(15
)
State and local
(2
)
 
21

 
(7
)
Foreign
23

 
632

 
(11
)
 
(32
)
 
2,744

 
(33
)
 
$
459

 
$
3,380

 
$
504

Schedule of effective income tax rate reconciliation
The following is a reconciliation of the difference between the actual provision for income taxes and the provision computed by applying the federal statutory rate of 35% for 2015, 2014 and 2013 to income before income taxes:
 
Year Ended December 31,
 
2015
 
2014
 
2013
 
(In millions)
Provision at statutory rate
$
843

 
$
881

 
$
900

Permanent differences:
 
 
 
 
 
Prior year foreign earnings no longer considered indefinitely reinvested

 
2,991

 

Foreign income taxed at different rates
(399
)
 
(432
)
 
(403
)
Change in valuation allowance
1

 
(142
)
 

Stock-based compensation
23

 
22

 
18

State taxes, net of federal benefit
20

 
42

 
(12
)
Research and other tax credits
(27
)
 
(14
)
 
(26
)
Divested business

 

 
21

Other
(2
)
 
32

 
6

 
$
459


$
3,380


$
504

Schedule of deferred tax assets and liabilities
Significant deferred tax assets and liabilities consist of the following:
 
December 31,
 
2015
 
2014
 
(In millions)
Deferred tax assets:
 
 
 
Net operating loss, capital loss and credits
$
206

 
$
61

Accruals and allowances
209

 
208

Stock-based compensation
65

 
88

Net unrealized losses
8

 

Net deferred tax assets
488

 
357

Valuation allowance
(41
)
 
(25
)
 
$
447

 
$
332

Deferred tax liabilities:
 
 
 
Unremitted foreign earnings
$
(1,656
)
 
$
(2,109
)
Acquisition-related intangibles
(19
)
 
(11
)
Depreciation and amortization
(190
)
 
(212
)
Available-for-sale securities
(251
)
 
(286
)
Other

 
(17
)
 
(2,116
)
 
(2,635
)
 
$
(1,669
)
 
$
(2,303
)
Changes in unrecognized tax benefits
The following table reflects changes in unrecognized tax benefits for the years ended December, 31 2015, 2014 and 2013:
 
2015
 
2014
 
2013
 
(In millions)
Gross amounts of unrecognized tax benefits as of the beginning of the period
$
367

 
$
304

 
$
314

Increases related to prior period tax positions
36

 
35

 
98

Decreases related to prior period tax positions
(8
)
 
(18
)
 
(139
)
Increases related to current period tax positions
51

 
59

 
35

Settlements
(6
)
 
(13
)
 
(4
)
Gross amounts of unrecognized tax benefits as of the end of the period
$
440


$
367


$
304

v3.3.1.900
Interest and Other, Net (Tables)
12 Months Ended
Dec. 31, 2015
Nonoperating Income (Expense) [Abstract]  
Components of interest and other, net
The components of interest and other, net for the years ended December 31, 2015, 2014 and 2013 are as follows:
 
Year Ended December 31,
 
2015
  
2014
  
2013
 
(In millions)
Interest income
$
97

  
$
125

  
$
102

Interest expense
(144
)
 
(109
)
 
(95
)
Gains (losses) associated with cost and equity method investments
268

 
33

 
82

Other
(12
)
  
(10
)
  
28

 
$
209

  
$
39

  
$
117

v3.3.1.900
Accumulated Other Comprehensive Income (Tables)
12 Months Ended
Dec. 31, 2015
Equity [Abstract]  
Changes in other comprehensive income
The following table summarizes the changes in accumulated balances of other comprehensive income for the year ended December 31, 2015:
 
Unrealized Gains (Losses) on Cash Flow Hedges
 
Unrealized
Gains on
Investments
 
Foreign
Currency
Translation
 
Estimated tax (expense) benefit
 
Total
 
(In millions)
Balance at December 31, 2014
$
168

 
$
1,029

 
$
334

 
$
(360
)
 
$
1,171

Other comprehensive income before reclassifications
139

 
(186
)
 
(431
)
 
50

 
(428
)
Amount of gain (loss) reclassified from accumulated other comprehensive income
204

 
1

 

 

 
205

Net current period other comprehensive income
(65
)
 
(187
)
 
(431
)
 
50

 
(633
)
Distribution of PayPal
(67
)
 
3

 
52

 

 
(12
)
Balance at December 31, 2015
$
36

 
$
845

 
$
(45
)
 
$
(310
)
 
$
526



The following table summarizes the changes in accumulated balances of other comprehensive income for the year ended December 31, 2014:
 
Unrealized Gains (Losses) on Cash Flow Hedges
 
Unrealized
Gains on
Investments
 
Foreign
Currency
Translation
 
Estimated tax (expense) benefit
 
Total
 
(In millions)
Balance at December 31, 2013
$
(106
)
 
$
921

 
$
657

 
$
(316
)
 
$
1,156

Other comprehensive income before reclassifications
238

 
160

 
(323
)
 
(44
)
 
31

Amount of gain (loss) reclassified from accumulated other comprehensive income
(36
)
 
52

 

 

 
16

Net current period other comprehensive income
274

 
108

 
(323
)
 
(44
)
 
15

Balance at December 31, 2014
$
168

 
$
1,029

 
$
334

 
$
(360
)
 
$
1,171

Reclassifications out of accumulated other comprehensive income
The following table provides details about reclassifications out of accumulated other comprehensive income for the years ended December 31, 2015 and 2014:
Details about Accumulated Other Comprehensive
Income Components
 
Affected Line Item in the Statement of Income
 
Amount of Gain (Loss)
Reclassified from
Accumulated Other
Comprehensive
Income
 
 
 
 
2015
 
2014
 
 
 
 
(In millions)
Gains (losses) on cash flow hedges - foreign exchange contracts
 
Cost of net revenues
 
$
24

 
$

 
 
Sales and marketing
 
5

 
1

 
 
Product development
 
34

 

 
 
General and administrative
 
8

 
(1
)
 
 
Total, from continuing operations before income taxes
 
71

 

 
 
Provision for income taxes
 

 

 
 
Total, from continuing operations net of income taxes
 
71

 

 
 
Total, from discontinued operations net of income taxes
 
133

 
(36
)
 
 
Total, net of income taxes
 
204

 
(36
)
 
 
 
 
 
 
 
Unrealized gains (losses) on investments
 
Interest and other, net
 
1

 
52

 
 
Total, before income taxes
 
1

 
52

 
 
Provision for income taxes
 

 

 
 
Total, net of income taxes
 
1

 
52

 
 
 
 
 
 
 
Total reclassifications for the period
 
Total, net of income taxes
 
$
205

 
$
16

v3.3.1.900
Restructuring (Tables)
12 Months Ended
Dec. 31, 2015
Restructuring and Related Activities [Abstract]  
Schedule of restructuring reserve activity
The following table summarizes the restructuring reserve activity during the year ended December 31, 2015:
 
Employee Severance and Benefits
 
(In millions)
Accrued liability as of January 1, 2015
$

Charges (benefit)
62

Payments
(60
)
Accrued liability as of December 31, 2015
$
2

v3.3.1.900
Quarterly Financial Data (Tables)
12 Months Ended
Dec. 31, 2015
Quarterly Financial Data [Abstract]  
Schedule of Quarterly Financial Information
Quarterly Financial Data
(Unaudited, in millions, except per share amounts)
 
Quarter Ended
 
March 31
 
June 30
 
September 30
 
December 31
2015
 
 
 
 
 
 
 
Net revenues
$
2,061

 
$
2,110

 
$
2,099

 
$
2,322

Gross profit
$
1,650

 
$
1,676

 
$
1,666

 
$
1,829

Income from continuing operations
$
449

 
$
430

 
$
545

 
$
523

Income (loss) from discontinued operations, net of income taxes
177

 
(347
)
 
(6
)
 
(46
)
Net income
$
626

 
$
83

 
$
539

 
$
477

Income (loss) per share - basic:
 
 
 
 
 
 
 
Continuing operations
$
0.37

 
$
0.35

 
$
0.45

 
$
0.44

Discontinued operations
0.14

 
(0.28
)
 

 
(0.04
)
Net income per share - basic
$
0.51

 
$
0.07

 
$
0.45

 
$
0.40

Income (loss) per share - diluted:
 
 
 
 
 
 
 
Continuing operations
$
0.37

 
$
0.35

 
$
0.45

 
$
0.43

Discontinued operations
0.14

 
(0.28
)
 

 
(0.04
)
Net income per share - diluted
$
0.51

 
$
0.07

 
$
0.45

 
$
0.39

Weighted-average shares:
 
 
 
 
 
 
 
Basic
1,216

 
1,217

 
1,210

 
1,191

Diluted
1,229

 
1,225

 
1,223

 
1,204

 
 
 
 
 
 
 
 
 
Quarter Ended
 
March 31
 
June 30
 
September 30
 
December 31
2014
 
 
 
 
 
 
 
Net revenues
$
2,149

 
$
2,168

 
$
2,150

 
$
2,323

Gross profit
$
1,752

 
$
1,757

 
$
1,737

 
$
1,881

Income (loss) from continuing operations
$
(2,561
)
 
$
458

 
$
509

 
$
729

Income from discontinued operations, net of income taxes
235

 
218

 
164

 
294

Net income (loss)
$
(2,326
)
 
$
676

 
$
673

 
$
1,023

Income (loss) per share - basic:
 
 
 
 
 
 
 
Continuing operations
$
(2.01
)
 
$
0.36

 
$
0.41

 
$
0.59

Discontinued operations
0.19

 
0.18

 
0.13

 
0.24

Net income (loss) per share - basic
$
(1.82
)
 
$
0.54

 
$
0.54

 
$
0.83

Income (loss) per share - diluted:
 
 
 
 
 
 
 
Continuing operations
$
(2.01
)
 
$
0.36

 
$
0.41

 
$
0.59

Discontinued operations
0.19

 
0.17

 
0.13

 
0.23

Net income (loss) per share - diluted
$
(1.82
)
 
$
0.53

 
$
0.54

 
$
0.82

Weighted-average shares:
 
 
 
 
 
 
 
Basic
1,276

 
1,258

 
1,242

 
1,230

Diluted
1,276

 
1,267

 
1,251

 
1,241

v3.3.1.900
The Company and Summary of Significant Accounting Policies (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2015
Dec. 31, 2014
Dec. 31, 2013
Jul. 17, 2015
Property, Plant and Equipment [Line Items]        
Capitalized software development costs $ 136 $ 144    
Amortization of previously capitalized software 110 115 $ 103  
Advertising expense 1,000 1,000 $ 844  
Allowance for doubtful accounts receivable and authorized credits $ 84 $ 86    
Furniture and Fixtures and Vehicles        
Property, Plant and Equipment [Line Items]        
Estimated useful lives of assets 3 years      
Minimum        
Property, Plant and Equipment [Line Items]        
Historical duration of advertising contracts 7 days      
General duration of advertising contracts 7 days      
Estimated useful lives, intangible assets 1 year      
Minimum | Internal Use Software And Website Development        
Property, Plant and Equipment [Line Items]        
Estimated useful lives of assets 1 year      
Minimum | Computer Equipment        
Property, Plant and Equipment [Line Items]        
Estimated useful lives of assets 1 year      
Minimum | Leasehold Improvements        
Property, Plant and Equipment [Line Items]        
Estimated useful lives of assets 5 years      
Maximum        
Property, Plant and Equipment [Line Items]        
Historical duration of advertising contracts 5 years      
General duration of advertising contracts 1 year      
Estimated useful lives, intangible assets 8 years      
Maximum | Internal Use Software And Website Development        
Property, Plant and Equipment [Line Items]        
Estimated useful lives of assets 5 years      
Maximum | Computer Equipment        
Property, Plant and Equipment [Line Items]        
Estimated useful lives of assets 3 years      
Maximum | Building and Building Improvements        
Property, Plant and Equipment [Line Items]        
Estimated useful lives of assets 30 years      
New Accounting Pronouncement, Early Adoption, Effect        
New Accounting Pronouncement, Early Adoption [Line Items]        
Amount reclassified from current to noncurrent deferred tax liabilities $ 1,400      
Discontinued Operations, Disposed of by Means Other than Sale, Spinoff | Common stock | PayPal        
Class of Stock [Line Items]        
Spinoff, Distribution of outstanding common stock to existing stockholders, percentage       100.00%
v3.3.1.900
Net Income (loss) Per Share (Details) - USD ($)
$ / shares in Units, shares in Millions, $ in Millions
3 Months Ended 12 Months Ended
Dec. 31, 2015
Sep. 30, 2015
Jun. 30, 2015
Mar. 31, 2015
Dec. 31, 2014
Sep. 30, 2014
Jun. 30, 2014
Mar. 31, 2014
Dec. 31, 2015
Dec. 31, 2014
Dec. 31, 2013
Numerator:                      
Income (loss) from continuing operations $ 523 $ 545 $ 430 $ 449 $ 729 $ 509 $ 458 $ (2,561) $ 1,947 $ (865) $ 2,067
Income (loss) from discontinued operations, net of income taxes (46) (6) (347) 177 294 164 218 235 (222) 911 789
Net income $ 477 $ 539 $ 83 $ 626 $ 1,023 $ 673 $ 676 $ (2,326) $ 1,725 $ 46 $ 2,856
Denominator:                      
Weighted average shares of common stock - basic 1,191 1,210 1,217 1,216 1,230 1,242 1,258 1,276 1,208 1,251 1,295
Dilutive effect of equity incentive awards (in shares)                 12 0 18
Weighted average shares of common stock - diluted 1,204 1,223 1,225 1,229 1,241 1,251 1,267 1,276 1,220 1,251 1,313
Income (loss) per share - basic:                      
Continuing operations (in usd per share) $ 0.44 $ 0.45 $ 0.35 $ 0.37 $ 0.59 $ 0.41 $ 0.36 $ (2.01) $ 1.61 $ (0.69) $ 1.60
Discontinued operations (in usd per share) (0.04) 0.00 (0.28) 0.14 0.24 0.13 0.18 0.19 (0.18) 0.73 0.60
Net income per share - basic (in usd per share) 0.40 0.45 0.07 0.51 0.83 0.54 0.54 (1.82) 1.43 0.04 2.20
Income (loss) per share - diluted:                      
Continuing operations (in usd per share) 0.43 0.45 0.35 0.37 0.59 0.41 0.36 (2.01) 1.60 (0.69) 1.58
Discontinued operations (in usd per share) (0.04) 0.00 (0.28) 0.14 0.23 0.13 0.17 0.19 (0.18) 0.73 0.60
Net income per share - diluted (in usd per share) $ 0.39 $ 0.45 $ 0.07 $ 0.51 $ 0.82 $ 0.54 $ 0.53 $ (1.82) $ 1.42 $ 0.04 $ 2.18
Common stock equivalents excluded from income per diluted share because their effect would have been anti-dilutive (in shares)                 2 54 4
v3.3.1.900
Business Combinations and Divestitures - Acquisition Activity (Details)
$ in Millions
12 Months Ended
Dec. 31, 2014
USD ($)
acquisition
Dec. 31, 2013
USD ($)
acquisition
Dec. 31, 2015
USD ($)
Business Acquisition [Line Items]      
Number of businesses acquired | acquisition 3 4  
Goodwill $ 4,671 $ 4,855 $ 4,451
Other      
Business Acquisition [Line Items]      
Purchase consideration 58 148  
Liabilities assumed 1 15  
Purchased intangibles assets 29 51  
Goodwill $ 30 $ 112  
v3.3.1.900
Business Combinations and Divestitures - Divestiture Activity (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2015
Dec. 31, 2014
Dec. 31, 2013
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]      
Gain on sale of investments $ 268 $ 33 $ 82
Rue La La and ShopRunner      
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]      
Cash proceeds from sale of investments     485
Gain on sale of investments     $ 75
v3.3.1.900
Discontinued Operations - Narrative (Details) - USD ($)
$ in Millions
3 Months Ended 7 Months Ended 12 Months Ended
Jul. 17, 2015
Jun. 30, 2015
Jul. 16, 2015
Dec. 31, 2015
Dec. 31, 2014
Dec. 31, 2013
Discontinued Operations, Disposed of by Means Other than Sale, Spinoff | PayPal            
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]            
Cash contributed to Paypal $ 1,600   $ 3,800      
Discontinued Operations, Disposed of by Means Other than Sale, Spinoff | Common stock | PayPal            
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]            
Number of Paypal shares distributed for every share of eBay 1          
Discontinued Operations, Disposed of By Sale | Enterprise            
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]            
Goodwill impairment   $ 786   $ 786 $ 0 $ 0
Disposal consideration     $ 925      
Loss on sale of Enterprise       $ 35 $ 0 $ 0
v3.3.1.900
Discontinued Operations - Summary of Financial Information, Discontinued Operations (Details) - USD ($)
$ in Millions
3 Months Ended 12 Months Ended
Dec. 31, 2015
Sep. 30, 2015
Jun. 30, 2015
Mar. 31, 2015
Dec. 31, 2014
Sep. 30, 2014
Jun. 30, 2014
Mar. 31, 2014
Dec. 31, 2015
Dec. 31, 2014
Dec. 31, 2013
Aggregate carrying amounts - held for sale assets and liabilities                      
Current assets of discontinued operations $ 0       $ 17,048       $ 0 $ 17,048  
Long-term assets of discontinued operations 0       6,368       0 6,368  
Current liabilities of discontinued operations 0       12,511       0 12,511  
Long-term liabilities of discontinued operations 0       317       0 317  
Financial Results                      
Income (loss) from discontinued operations, net of income taxes $ (46) $ (6) $ (347) $ 177 294 $ 164 $ 218 $ 235 (222) 911 $ 789
Net cash provided by discontinued operating activities                 1,156 2,449 2,063
Net cash used in discontinued investing activities                 (2,938) (1,348) (2,392)
Net cash provided by (used in) discontinued financing activities                 (1,594) 25 77
PayPal | Discontinued Operations, Disposed of by Means Other than Sale, Spinoff                      
Aggregate carrying amounts - held for sale assets and liabilities                      
Current assets of discontinued operations         16,795         16,795  
Long-term assets of discontinued operations         4,506         4,506  
Current liabilities of discontinued operations         12,137         12,137  
Long-term liabilities of discontinued operations         243         243  
Financial Results                      
Income (loss) from discontinued operations, net of income taxes                 516 1,024 926
Net cash provided by discontinued operating activities                 1,252 2,280 1,913
Net cash used in discontinued investing activities                 (3,725) (1,218) (2,221)
Net cash provided by (used in) discontinued financing activities                 (1,594) 40 76
Enterprise | Discontinued Operations, Disposed of By Sale                      
Aggregate carrying amounts - held for sale assets and liabilities                      
Current assets of discontinued operations         253         253  
Long-term assets of discontinued operations         1,862         1,862  
Current liabilities of discontinued operations         374         374  
Long-term liabilities of discontinued operations         $ 74         74  
Financial Results                      
Income (loss) from discontinued operations, net of income taxes                 (738) (113) (137)
Net cash provided by discontinued operating activities                 (96) 169 150
Net cash used in discontinued investing activities                 787 (130) (171)
Net cash provided by (used in) discontinued financing activities                 $ 0 $ (15) $ 1
v3.3.1.900
Discontinued Operations - Paypal (Details) - USD ($)
$ in Millions
3 Months Ended 12 Months Ended
Dec. 31, 2015
Sep. 30, 2015
Jun. 30, 2015
Mar. 31, 2015
Dec. 31, 2014
Sep. 30, 2014
Jun. 30, 2014
Mar. 31, 2014
Dec. 31, 2015
Dec. 31, 2014
Dec. 31, 2013
Operating expenses:                      
Income from discontinued operations, net of income taxes $ (46) $ (6) $ (347) $ 177 $ 294 $ 164 $ 218 $ 235 $ (222) $ 911 $ 789
Carrying amounts of assets included as part of discontinued operations:                      
Cash and cash equivalents 0       2,194       0 2,194 1,599
Current assets classified as discontinued operations 0       17,048       0 17,048  
Long-term assets classified as discontinued operations 0       6,368       0 6,368  
Carrying amounts of liabilities included as part of discontinued operations:                      
Current liabilities classified as discontinued operations 0       12,511       0 12,511  
Long-term liabilities classified as discontinued operations $ 0       317       0 317  
Discontinued Operations, Disposed of by Means Other than Sale, Spinoff | PayPal                      
Financial Results                      
Net revenues                 4,793 7,895 6,640
Cost of net revenues                 1,918 3,140 2,696
Gross profit                 2,875 4,755 3,944
Operating expenses:                      
Sales and marketing                 534 1,027 794
Product development                 527 879 712
General and administrative                 741 892 724
Provision for transaction and loan losses                 418 688 551
Amortization of acquired intangible assets                 30 53 41
Total operating expenses                 2,250 3,539 2,822
Income from operations of discontinued operations                 625 1,216 1,122
Interest and other, net                 1 (7) (7)
Income from discontinued operations before income taxes                 626 1,209 1,115
Provision for income taxes                 (110) (185) (189)
Income from discontinued operations, net of income taxes                 $ 516 1,024 $ 926
Carrying amounts of assets included as part of discontinued operations:                      
Cash and cash equivalents         2,194         2,194  
Short-term investments         39         39  
Accounts receivable, net         51         51  
Loans and interest receivable, net         3,600         3,600  
Funds receivable and customer accounts         10,545         10,545  
Other current assets         366         366  
Current assets classified as discontinued operations         16,795         16,795  
Long-term investments         31         31  
Property and equipment, net         1,113         1,113  
Goodwill         3,136         3,136  
Intangible assets, net         172         172  
Other assets         54         54  
Long-term assets classified as discontinued operations         4,506         4,506  
Total assets classified as discontinued operations in the consolidated balance sheet         21,301         21,301  
Carrying amounts of liabilities included as part of discontinued operations:                      
Accounts payable         115         115  
Funds receivable and customer accounts         10,545         10,545  
Accrued expenses and other current liabilities         1,448         1,448  
Income taxes payable         29         29  
Current liabilities classified as discontinued operations         12,137         12,137  
Deferred and other tax liabilities, net         197         197  
Other liabilities         46         46  
Long-term liabilities classified as discontinued operations         243         243  
Total liabilities classified as discontinued operations in the consolidated balance sheet         $ 12,380         $ 12,380  
v3.3.1.900
Discontinued Operations - Enterprise (Details) - USD ($)
$ in Millions
3 Months Ended 12 Months Ended
Dec. 31, 2015
Sep. 30, 2015
Jun. 30, 2015
Mar. 31, 2015
Dec. 31, 2014
Sep. 30, 2014
Jun. 30, 2014
Mar. 31, 2014
Dec. 31, 2015
Dec. 31, 2014
Dec. 31, 2013
Operating expenses:                      
Income from discontinued operations, net of income taxes $ (46) $ (6) $ (347) $ 177 $ 294 $ 164 $ 218 $ 235 $ (222) $ 911 $ 789
Carrying amounts of assets included as part of discontinued operations:                      
Cash and cash equivalents 0       2,194       0 2,194 1,599
Current assets classified as discontinued operations 0       17,048       0 17,048  
Long-term assets classified as discontinued operations 0       6,368       0 6,368  
Carrying amounts of liabilities included as part of discontinued operations:                      
Current liabilities classified as discontinued operations 0       12,511       0 12,511  
Long-term liabilities classified as discontinued operations $ 0       317       0 317  
Discontinued Operations, Disposed of By Sale | Enterprise                      
Financial Results                      
Net revenues                 904 1,217 1,150
Cost of net revenues                 654 929 848
Gross profit                 250 288 302
Operating expenses:                      
Sales and marketing                 95 118 122
Product development                 91 138 141
General and administrative                 118 62 99
Provision for transaction and loan losses                 12 8 4
Amortization of acquired intangible assets                 70 140 141
Goodwill impairment     $ 786           786 0 0
Total operating expenses                 1,172 466 507
Income from operations of discontinued operations                 (922) (178) (205)
Interest and other, net                 1 (15) (15)
Pretax loss on disposal of the discontinued operation                 (35) 0 0
Income from discontinued operations before income taxes                 (956) (193) (220)
Income tax benefit                 218 80 83
Income from discontinued operations, net of income taxes                 $ (738) (113) $ (137)
Carrying amounts of assets included as part of discontinued operations:                      
Cash and cash equivalents         29         29  
Short-term investments         1         1  
Accounts receivable, net         146         146  
Other current assets         77         77  
Current assets classified as discontinued operations         253         253  
Long-term investments         10         10  
Property and equipment, net         303         303  
Goodwill         1,287         1,287  
Intangible assets, net         259         259  
Other assets         3         3  
Long-term assets classified as discontinued operations         1,862         1,862  
Total assets classified as discontinued operations in the consolidated balance sheet         2,115         2,115  
Carrying amounts of liabilities included as part of discontinued operations:                      
Accounts payable         179         179  
Accrued expenses and other current liabilities         115         115  
Deferred revenue         80         80  
Current liabilities classified as discontinued operations         374         374  
Deferred and other tax liabilities, net         73         73  
Other liabilities         1         1  
Long-term liabilities classified as discontinued operations         74         74  
Total liabilities classified as discontinued operations in the consolidated balance sheet         $ 448         $ 448  
v3.3.1.900
Goodwill and Intangible Assets - Goodwill Balances and Adjustments (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2015
Dec. 31, 2014
Goodwill    
Goodwill, beginning balance $ 4,671 $ 4,855
Goodwill Acquired 23 30
Adjustments (243) (214)
Goodwill, ending balance $ 4,451 $ 4,671
v3.3.1.900
Goodwill and Intangible Assets - Intangible Assets (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2015
Dec. 31, 2014
Dec. 31, 2013
Intangible Assets:      
Gross Carrying Amount $ 1,408 $ 1,457  
Accumulated Amortization (1,318) (1,324)  
Intangible assets, net 90 133  
Aggregate amortization expense for intangible assets 66 120 $ 175
Customer lists and user base      
Intangible Assets:      
Gross Carrying Amount 419 434  
Accumulated Amortization (399) (407)  
Intangible assets, net $ 20 $ 27  
Weighted Average Useful Life (Years) 5 years 5 years  
Marketing related      
Intangible Assets:      
Gross Carrying Amount $ 594 $ 642  
Accumulated Amortization (570) (596)  
Intangible assets, net $ 24 $ 46  
Weighted Average Useful Life (Years) 5 years 5 years  
Developed technologies      
Intangible Assets:      
Gross Carrying Amount $ 238 $ 237  
Accumulated Amortization (215) (195)  
Intangible assets, net $ 23 $ 42  
Weighted Average Useful Life (Years) 4 years 4 years  
All other      
Intangible Assets:      
Gross Carrying Amount $ 157 $ 144  
Accumulated Amortization (134) (126)  
Intangible assets, net $ 23 $ 18  
Weighted Average Useful Life (Years) 4 years 4 years  
v3.3.1.900
Goodwill and Intangible Assets - Expected Future Intangible Asset Amortization (Details) - USD ($)
$ in Millions
Dec. 31, 2015
Dec. 31, 2014
Goodwill and Intangible Assets Disclosure [Abstract]    
2016 $ 47  
2017 33  
2018 10  
2019 0  
2020 0  
Thereafter 0  
Intangible assets, net $ 90 $ 133
v3.3.1.900
Segments (Details)
$ in Millions
3 Months Ended 12 Months Ended
Dec. 31, 2015
USD ($)
Sep. 30, 2015
USD ($)
Jun. 30, 2015
USD ($)
Mar. 31, 2015
USD ($)
Dec. 31, 2014
USD ($)
Sep. 30, 2014
USD ($)
Jun. 30, 2014
USD ($)
Mar. 31, 2014
USD ($)
Dec. 31, 2015
USD ($)
segment
Dec. 31, 2014
USD ($)
Dec. 31, 2013
USD ($)
Segment Reporting [Abstract]                      
Number of reportable segments | segment                 1    
Segment Reporting Information [Line Items]                      
Total net transaction revenues                 $ 6,828 $ 6,980 $ 6,553
Total marketing services and other revenues                 1,764 1,810 1,704
Total net revenues $ 2,322 $ 2,099 $ 2,110 $ 2,061 $ 2,323 $ 2,150 $ 2,168 $ 2,149 8,592 8,790 8,257
Total long-lived tangible assets 1,784       1,710       1,784 1,710  
U.S.                      
Segment Reporting Information [Line Items]                      
Total net revenues                 3,624 3,525 3,419
Total long-lived tangible assets 1,668       1,578       1,668 1,578  
United Kingdom                      
Segment Reporting Information [Line Items]                      
Total net revenues                 1,403 1,464 1,290
Germany                      
Segment Reporting Information [Line Items]                      
Total net revenues                 1,310 1,511 1,466
Rest of world                      
Segment Reporting Information [Line Items]                      
Total net revenues                 2,255 2,290 2,082
International                      
Segment Reporting Information [Line Items]                      
Total long-lived tangible assets $ 116       $ 132       116 132  
Marketplace                      
Segment Reporting Information [Line Items]                      
Total net transaction revenues                 6,103 6,351 5,900
Total marketing services and other revenues                 1,078 1,103 1,090
StubHub                      
Segment Reporting Information [Line Items]                      
Total net transaction revenues                 725 629 653
Classifieds                      
Segment Reporting Information [Line Items]                      
Total marketing services and other revenues                 703 716 621
Corporate and other                      
Segment Reporting Information [Line Items]                      
Total marketing services and other revenues                 $ (17) $ (9) $ (7)
v3.3.1.900
Investments (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2015
Dec. 31, 2014
Available-for-sale Securities, Continuous Unrealized Loss Position [Abstract]    
Investment securities in a continuous loss position for greater than 12 months, estimated fair value $ 769  
Investment securities in a continuous loss position for greater than 12 months, estimated fair value, unrealized loss $ 40  
Weighted average remaining duration (months) 12 months  
Maximum maturity of fixed income portfolio (years) 8 years  
Available-for-sale Securities, Debt Maturities, Fair Value, Fiscal Year Maturity [Abstract]    
One year or less (including restricted cash of $28) $ 3,370  
One year through two years 1,190  
Two years through three years 1,464  
Three years through four years 547  
Four years through five years 59  
Five years through six years 0  
Six years through seven years 0  
Seven years through eight years 6  
Eight years through nine years 0  
Nine years through ten years 0  
Estimated Fair Value 6,636  
Short-term Investments    
Schedule of Available-for-sale Securities [Line Items]    
Restricted cash 28 $ 19
Available-for-sale Securities, Gross Unrealized Gain (Loss) [Abstract]    
Gross Amortized Cost 3,394 2,702
Gross Unrealized Gains 921 1,029
Gross Unrealized Losses (16) (1)
Estimated Fair Value 4,299 3,730
Short-term Investments | Corporate debt securities    
Available-for-sale Securities, Gross Unrealized Gain (Loss) [Abstract]    
Gross Amortized Cost 3,302 2,519
Gross Unrealized Gains 1 1
Gross Unrealized Losses (16) (1)
Estimated Fair Value 3,287 2,519
Short-term Investments | Government and agency securities    
Available-for-sale Securities, Gross Unrealized Gain (Loss) [Abstract]    
Gross Amortized Cost 55 3
Gross Unrealized Gains 0 0
Gross Unrealized Losses 0 0
Estimated Fair Value 55 3
Short-term Investments | Equity instruments    
Available-for-sale Securities, Gross Unrealized Gain (Loss) [Abstract]    
Gross Amortized Cost 9 9
Gross Unrealized Gains 920 1,028
Gross Unrealized Losses 0 0
Estimated Fair Value 929 1,037
Long-term Investment    
Available-for-sale Securities, Gross Unrealized Gain (Loss) [Abstract]    
Gross Amortized Cost 3,327 5,551
Gross Unrealized Gains 7 19
Gross Unrealized Losses (67) (18)
Estimated Fair Value 3,267 5,552
Long-term Investment | Corporate debt securities    
Available-for-sale Securities, Gross Unrealized Gain (Loss) [Abstract]    
Gross Amortized Cost 3,327 5,319
Gross Unrealized Gains 7 18
Gross Unrealized Losses (67) (18)
Estimated Fair Value $ 3,267 5,319
Long-term Investment | Government and agency securities    
Available-for-sale Securities, Gross Unrealized Gain (Loss) [Abstract]    
Gross Amortized Cost   232
Gross Unrealized Gains   1
Gross Unrealized Losses   0
Estimated Fair Value   233
Time deposits and other | Short-term Investments    
Available-for-sale Securities, Gross Unrealized Gain (Loss) [Abstract]    
Gross Amortized Cost   152
Gross Unrealized Gains   0
Gross Unrealized Losses   0
Estimated Fair Value   $ 152
v3.3.1.900
Investments - Cost and Equity Method Investments (Details) - USD ($)
$ in Millions
Dec. 31, 2015
Dec. 31, 2014
Long-term Investment    
Schedule of Equity Method Investments [Line Items]    
Cost and equity method investments included in long-term investments $ 124 $ 184
v3.3.1.900
Fair Value Measurement of Assets and Liabilities (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2015
Dec. 31, 2014
Fair Value, Assets Measured on Recurring Basis, Financial Statement Captions [Line Items]    
Derivative assets $ 97 $ 84
Derivative liabilities $ 5  
Foreign Exchange Contract    
Fair Value Disclosure, additional details    
Derivative lower range (in months) 1 month  
Derivative higher range (in years) 1 year  
Short-term Investments    
Fair Value, Assets Measured on Recurring Basis, Financial Statement Captions [Line Items]    
Investments $ 4,299 3,730
Long-term Investment    
Fair Value, Assets Measured on Recurring Basis, Financial Statement Captions [Line Items]    
Investments 3,267 5,552
Fair Value Disclosure, additional details    
Cost and equity method investments included in long-term investments 124 184
Corporate debt securities | Short-term Investments    
Fair Value, Assets Measured on Recurring Basis, Financial Statement Captions [Line Items]    
Investments 3,287 2,519
Corporate debt securities | Long-term Investment    
Fair Value, Assets Measured on Recurring Basis, Financial Statement Captions [Line Items]    
Investments 3,267 5,319
Equity instruments | Short-term Investments    
Fair Value, Assets Measured on Recurring Basis, Financial Statement Captions [Line Items]    
Investments $ 929 1,037
Cash Flow Hedging | Designated as Hedging Instrument | Foreign Exchange Contract    
Fair Value Disclosure, additional details    
Derivative higher range (in years) 18 months  
Cash Flow Hedging | Designated as Hedging Instrument | Other Current Assets | Foreign Exchange Contract    
Fair Value, Assets Measured on Recurring Basis, Financial Statement Captions [Line Items]    
Derivative assets $ 42 42
Fair Value, Measurements, Recurring    
Fair Value, Assets Measured on Recurring Basis, Financial Statement Captions [Line Items]    
Cash and cash equivalents 1,832 4,105
Total financial assets 9,495 13,471
Fair Value, Measurements, Recurring | Short-term Investments    
Fair Value, Assets Measured on Recurring Basis, Financial Statement Captions [Line Items]    
Investments 4,299 3,730
Fair Value, Measurements, Recurring | Other Current Assets    
Fair Value, Assets Measured on Recurring Basis, Financial Statement Captions [Line Items]    
Derivative assets 97 84
Fair Value, Measurements, Recurring | Long-term Investment    
Fair Value, Assets Measured on Recurring Basis, Financial Statement Captions [Line Items]    
Investments 3,267 5,552
Fair Value, Measurements, Recurring | Other Current Liabilities    
Fair Value, Assets Measured on Recurring Basis, Financial Statement Captions [Line Items]    
Derivative liabilities 25 20
Fair Value, Measurements, Recurring | Restricted cash | Short-term Investments    
Fair Value, Assets Measured on Recurring Basis, Financial Statement Captions [Line Items]    
Investments 28 19
Fair Value, Measurements, Recurring | Corporate debt securities | Short-term Investments    
Fair Value, Assets Measured on Recurring Basis, Financial Statement Captions [Line Items]    
Investments 3,287 2,519
Fair Value, Measurements, Recurring | Corporate debt securities | Long-term Investment    
Fair Value, Assets Measured on Recurring Basis, Financial Statement Captions [Line Items]    
Investments 3,267 5,319
Fair Value, Measurements, Recurring | Government and agency securities | Short-term Investments    
Fair Value, Assets Measured on Recurring Basis, Financial Statement Captions [Line Items]    
Investments 55 3
Fair Value, Measurements, Recurring | Government and agency securities | Long-term Investment    
Fair Value, Assets Measured on Recurring Basis, Financial Statement Captions [Line Items]    
Investments   233
Fair Value, Measurements, Recurring | Time deposits | Short-term Investments    
Fair Value, Assets Measured on Recurring Basis, Financial Statement Captions [Line Items]    
Investments   152
Fair Value, Measurements, Recurring | Equity instruments | Short-term Investments    
Fair Value, Assets Measured on Recurring Basis, Financial Statement Captions [Line Items]    
Investments 929 1,037
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1)    
Fair Value, Assets Measured on Recurring Basis, Financial Statement Captions [Line Items]    
Cash and cash equivalents 1,664 1,694
Total financial assets 2,621 2,750
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Short-term Investments    
Fair Value, Assets Measured on Recurring Basis, Financial Statement Captions [Line Items]    
Investments 957 1,056
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Other Current Assets    
Fair Value, Assets Measured on Recurring Basis, Financial Statement Captions [Line Items]    
Derivative assets 0 0
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Long-term Investment    
Fair Value, Assets Measured on Recurring Basis, Financial Statement Captions [Line Items]    
Investments 0 0
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Other Current Liabilities    
Fair Value, Assets Measured on Recurring Basis, Financial Statement Captions [Line Items]    
Derivative liabilities 0 0
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Restricted cash | Short-term Investments    
Fair Value, Assets Measured on Recurring Basis, Financial Statement Captions [Line Items]    
Investments 28 19
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Corporate debt securities | Short-term Investments    
Fair Value, Assets Measured on Recurring Basis, Financial Statement Captions [Line Items]    
Investments 0 0
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Corporate debt securities | Long-term Investment    
Fair Value, Assets Measured on Recurring Basis, Financial Statement Captions [Line Items]    
Investments 0 0
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Government and agency securities | Short-term Investments    
Fair Value, Assets Measured on Recurring Basis, Financial Statement Captions [Line Items]    
Investments 0 0
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Government and agency securities | Long-term Investment    
Fair Value, Assets Measured on Recurring Basis, Financial Statement Captions [Line Items]    
Investments   0
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Time deposits | Short-term Investments    
Fair Value, Assets Measured on Recurring Basis, Financial Statement Captions [Line Items]    
Investments   0
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Equity instruments | Short-term Investments    
Fair Value, Assets Measured on Recurring Basis, Financial Statement Captions [Line Items]    
Investments 929 1,037
Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2)    
Fair Value, Assets Measured on Recurring Basis, Financial Statement Captions [Line Items]    
Cash and cash equivalents 168 2,411
Total financial assets 6,874 10,721
Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2) | Short-term Investments    
Fair Value, Assets Measured on Recurring Basis, Financial Statement Captions [Line Items]    
Investments 3,342 2,674
Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2) | Other Current Assets    
Fair Value, Assets Measured on Recurring Basis, Financial Statement Captions [Line Items]    
Derivative assets 97 84
Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2) | Long-term Investment    
Fair Value, Assets Measured on Recurring Basis, Financial Statement Captions [Line Items]    
Investments 3,267 5,552
Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2) | Other Current Liabilities    
Fair Value, Assets Measured on Recurring Basis, Financial Statement Captions [Line Items]    
Derivative liabilities 25 20
Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2) | Restricted cash | Short-term Investments    
Fair Value, Assets Measured on Recurring Basis, Financial Statement Captions [Line Items]    
Investments 0 0
Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2) | Corporate debt securities | Short-term Investments    
Fair Value, Assets Measured on Recurring Basis, Financial Statement Captions [Line Items]    
Investments 3,287 2,519
Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2) | Corporate debt securities | Long-term Investment    
Fair Value, Assets Measured on Recurring Basis, Financial Statement Captions [Line Items]    
Investments 3,267 5,319
Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2) | Government and agency securities | Short-term Investments    
Fair Value, Assets Measured on Recurring Basis, Financial Statement Captions [Line Items]    
Investments 55 3
Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2) | Government and agency securities | Long-term Investment    
Fair Value, Assets Measured on Recurring Basis, Financial Statement Captions [Line Items]    
Investments   233
Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2) | Time deposits | Short-term Investments    
Fair Value, Assets Measured on Recurring Basis, Financial Statement Captions [Line Items]    
Investments   152
Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2) | Equity instruments | Short-term Investments    
Fair Value, Assets Measured on Recurring Basis, Financial Statement Captions [Line Items]    
Investments $ 0 $ 0
v3.3.1.900
Derivative Instruments - Additional Information (Details) - USD ($)
$ in Millions
Dec. 31, 2015
Jul. 31, 2014
Derivatives, Fair Value [Line Items]    
Net derivative gain reclassified into earnings within next 12 months $ 33  
Offset asset 20  
Offset liability 20  
Net derivative assets 36  
Net derivative liabilities 5  
Fair Value Hedging | Designated as Hedging Instrument | Interest Rate Swap    
Derivatives, Fair Value [Line Items]    
Derivative liability $ 2,400 $ 2,400
v3.3.1.900
Derivative Instruments - Fair Value of Derivative Instruments (Details) - USD ($)
$ in Millions
Dec. 31, 2015
Dec. 31, 2014
Derivatives, Fair Value [Line Items]    
Derivative Assets $ 97 $ 84
Derivative Liabilities 25 20
Total fair value of derivative instruments 72 64
Foreign Exchange Contract | Not Designated as Hedging Instrument | Other Current Assets    
Derivatives, Fair Value [Line Items]    
Derivative Assets 14 20
Foreign Exchange Contract | Not Designated as Hedging Instrument | Other Current Liabilities    
Derivatives, Fair Value [Line Items]    
Derivative Liabilities 24 20
Cash Flow Hedging | Foreign Exchange Contract | Designated as Hedging Instrument | Other Current Assets    
Derivatives, Fair Value [Line Items]    
Derivative Assets 42 42
Cash Flow Hedging | Foreign Exchange Contract | Designated as Hedging Instrument | Other Current Liabilities    
Derivatives, Fair Value [Line Items]    
Derivative Liabilities 1 0
Fair Value Hedging | Interest Rate Contract | Designated as Hedging Instrument | Other Assets    
Derivatives, Fair Value [Line Items]    
Derivative Assets $ 41 $ 22
v3.3.1.900
Derivative Instruments - Effect of Derivative Contracts on Accumulated Other Comprehensive Income (Details) - Designated as Hedging Instrument - Cash Flow Hedging - Foreign Exchange Contract - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2015
Dec. 31, 2014
Effect of Derivative Contracts on Accumulated Other Comprehensive Income:    
Accumulated OCI - Foreign exchange contracts designated as cash flow hedges, beginning of period $ 41 $ (15)
Amount of gain (loss) recognized in other comprehensive income (effective portion) 66 56
Amount of gain (loss) reclassified from accumulated other comprehensive income to cost of net revenue and operating expense (effective portion) 71 0
Accumulated OCI - Foreign exchange contracts designated as cash flow hedges, end of period $ 36 $ 41
v3.3.1.900
Derivative Instruments - Effect of Derivative Contracts on Condensed Consolidated Financial Information (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2015
Dec. 31, 2014
Dec. 31, 2013
Foreign Exchange Contract      
Derivative Instruments, Gain (Loss)      
Gain (loss) recognized from derivative contracts in the consolidated statement of income $ 70 $ 10 $ 2
Designated as Hedging Instrument | Cost Of Revenues And Operating Expenses | Cash Flow Hedging | Foreign Exchange Contract      
Derivative Instruments, Gain (Loss)      
Gain (loss) recognized from derivative contracts in the consolidated statement of income 71 0 (9)
Designated as Hedging Instrument | Interest and Other, Net | Fair Value Hedging | Interest Rate Contract      
Derivative Instruments, Gain (Loss)      
Gain (loss) recognized from derivative contracts in the consolidated statement of income 0 0 0
Gain (loss) from interest rate contracts designated as fair value hedges recognized in interest and other, net 19 22 0
Gain (loss) from hedged items attributable to hedged risk recognized in interest and other, net (19) (22) 0
Not Designated as Hedging Instrument | Interest and Other, Net | Foreign Exchange Contract      
Derivative Instruments, Gain (Loss)      
Gain (loss) recognized from derivative contracts in the consolidated statement of income $ (1) $ 10 $ 11
v3.3.1.900
Derivative Instruments - Notional Amount of Derivatives Outstanding (Details) - USD ($)
$ in Millions
Dec. 31, 2015
Dec. 31, 2014
Dec. 31, 2013
Derivatives, Fair Value [Line Items]      
Notional amount $ 5,032 $ 4,242 $ 2,588
Foreign Exchange Contract | Not Designated as Hedging Instrument      
Derivatives, Fair Value [Line Items]      
Notional amount 1,317 1,535 2,257
Cash Flow Hedging | Foreign Exchange Contract | Designated as Hedging Instrument      
Derivatives, Fair Value [Line Items]      
Notional amount 1,315 307 331
Fair Value Hedging | Interest Rate Contract | Designated as Hedging Instrument      
Derivatives, Fair Value [Line Items]      
Notional amount $ 2,400 $ 2,400 $ 0
v3.3.1.900
Balance Sheet Components - Property, Plant and Equipment (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2015
Dec. 31, 2014
Dec. 31, 2013
Property, Plant and Equipment [Line Items]      
Property and equipment, gross $ 5,078 $ 4,544  
Accumulated depreciation (3,524) (3,058)  
Property and equipment, net 1,554 1,486  
Depreciation expense 614 559 $ 495
Computer equipment and software      
Property, Plant and Equipment [Line Items]      
Property and equipment, gross 3,894 3,455  
Land and buildings, including building improvements      
Property, Plant and Equipment [Line Items]      
Property and equipment, gross 591 535  
Leasehold improvements      
Property, Plant and Equipment [Line Items]      
Property and equipment, gross 305 253  
Furniture and fixtures      
Property, Plant and Equipment [Line Items]      
Property and equipment, gross 157 158  
Construction in progress and other      
Property, Plant and Equipment [Line Items]      
Property and equipment, gross $ 131 $ 143  
v3.3.1.900
Balance Sheet Components - Accrued Expense and Other Current Liabilities (Details) - USD ($)
$ in Millions
Dec. 31, 2015
Dec. 31, 2014
Balance Sheet Components [Abstract]    
Compensation and related benefits $ 448 $ 422
Advertising accruals $ 135 $ 160
v3.3.1.900
Debt - Carrying Value of Outstanding Debt (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2015
Dec. 31, 2014
Long-Term Debt    
Long-term debt $ 6,779 $ 6,777
Hedge accounting fair value adjustments 41 22
Other indebtedness 0 19
Short-Term Debt    
Total short-term debt 0 850
Total Debt $ 6,779 $ 7,627
Senior notes due 2015 | Senior Notes    
Long-Term Debt    
Coupon rate, fixed rate notes 0.70%  
Effective Interest Rate 0.00% 0.82%
Short-Term Debt    
Current maturities of long-term debt $ 0 $ 250
Senior notes due 2015 | Senior Notes    
Long-Term Debt    
Coupon rate, fixed rate notes 1.625%  
Effective Interest Rate 0.00% 1.805%
Short-Term Debt    
Current maturities of long-term debt $ 0 $ 600
Senior Notes    
Long-Term Debt    
Long-term debt 6,738 6,736
Senior Notes | Senior notes due 2017    
Long-Term Debt    
Long-term debt $ 450 $ 450
Effective Interest Rate 0.586% 0.56%
Senior Notes | Senior notes due 2019    
Long-Term Debt    
Long-term debt $ 400 $ 400
Effective Interest Rate 0.825% 0.811%
Senior Notes | Senior notes due 2017    
Long-Term Debt    
Coupon rate, fixed rate notes 1.35%  
Long-term debt $ 1,000 $ 1,000
Effective Interest Rate 1.456% 1.456%
Senior Notes | Senior notes due 2019    
Long-Term Debt    
Coupon rate, fixed rate notes 2.20%  
Long-term debt $ 1,148 $ 1,148
Effective Interest Rate 2.346% 2.346%
Senior Notes | Senior notes due 2020    
Long-Term Debt    
Coupon rate, fixed rate notes 3.25%  
Long-term debt $ 499 $ 498
Effective Interest Rate 3.389% 3.389%
Senior Notes | Senior notes due 2021    
Long-Term Debt    
Coupon rate, fixed rate notes 2.875%  
Long-term debt $ 749 $ 749
Effective Interest Rate 2.993% 2.993%
Senior Notes | Senior notes due 2022    
Long-Term Debt    
Coupon rate, fixed rate notes 2.60%  
Long-term debt $ 999 $ 999
Effective Interest Rate 2.678% 2.678%
Senior Notes | Senior notes due 2024    
Long-Term Debt    
Coupon rate, fixed rate notes 3.45%  
Long-term debt $ 749 $ 749
Effective Interest Rate 3.531% 3.531%
Senior Notes | Senior notes due 2042    
Long-Term Debt    
Coupon rate, fixed rate notes 4.00%  
Long-term debt $ 744 $ 743
Effective Interest Rate 4.114% 4.114%
LIBOR | Senior Notes | Senior notes due 2017    
Long-Term Debt    
Coupon rate, floating rate notes 0.20%  
LIBOR | Senior Notes | Senior notes due 2019    
Long-Term Debt    
Coupon rate, floating rate notes 0.48%  
v3.3.1.900
Debt - Senior Notes (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2015
Dec. 31, 2014
Jul. 31, 2014
Fair Value Hedging | Interest Rate Swap | Designated as Hedging Instrument      
Debt Instrument [Line Items]      
Derivative liability $ 2,400   $ 2,400
Senior Notes      
Debt Instrument [Line Items]      
Interest expense 178 $ 137  
Fair value of long-term debt 6,500    
Senior Notes | Senior notes due 2015      
Debt Instrument [Line Items]      
Aggregate principal amount repaid $ 250    
Coupon rate, fixed rate notes 0.70%    
Senior Notes | Senior notes due 2015      
Debt Instrument [Line Items]      
Aggregate principal amount repaid $ 600    
Coupon rate, fixed rate notes 1.625%    
v3.3.1.900
Debt - Other Indebtedness (Details) - USD ($)
1 Months Ended
Nov. 30, 2015
Dec. 31, 2015
Oct. 31, 2015
Nov. 30, 2011
LIBOR | Effective Rate Calculation Option 1 | Minimum        
Debt Instrument [Line Items]        
Coupon rate, floating rate notes 0.875%      
LIBOR | Effective Rate Calculation Option 1 | Maximum        
Debt Instrument [Line Items]        
Coupon rate, floating rate notes 1.50%      
LIBOR | Effective Rate Calculation Option 2        
Debt Instrument [Line Items]        
Coupon rate, floating rate notes 1.00%      
LIBOR | Effective Rate Calculation Option 3 | Minimum        
Debt Instrument [Line Items]        
Coupon rate, floating rate notes 0.00%      
LIBOR | Effective Rate Calculation Option 3 | Maximum        
Debt Instrument [Line Items]        
Coupon rate, floating rate notes 0.50%      
Federal Funds Effective Rate        
Debt Instrument [Line Items]        
Coupon rate, floating rate notes 0.50%      
Commercial Paper        
Debt Instrument [Line Items]        
Commercial paper program $ 1,500,000,000   $ 2,000,000,000.0  
Revolving Credit Facility | Unsecured Debt        
Debt Instrument [Line Items]        
Debt term 5 years      
Outstanding debt   $ 0    
Maximum borrowing capacity $ 2,000,000,000     $ 3,000,000,000.0
Allowable increase in borrowing capacity, maximum $ 1,000,000,000      
Outstanding letters of credit   0    
Remaining borrowing capacity   500,000,000    
Commercial Paper        
Debt Instrument [Line Items]        
Debt term 397 days      
Borrowing capacity reserved, commercial paper $ 1,500,000,000      
Outstanding debt   $ 0    
v3.3.1.900
Debt - Expected Future Maturities of Long Term Debt (Details)
$ in Millions
Dec. 31, 2015
USD ($)
Debt Disclosure [Abstract]  
2016 $ 0
2017 1,450
2018 0
2019 1,550
2020 500
Thereafter 3,250
Total long term debt $ 6,750
v3.3.1.900
Commitments and Contingencies - Future Minimum Payments (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2015
Dec. 31, 2014
Dec. 31, 2013
Commitments and Contingencies Disclosure [Abstract]      
2016 $ 55    
2017 52    
2018 35    
2019 30    
2020 25    
Thereafter 25    
Total minimum lease payments 222    
Rent expense $ 79 $ 85 $ 74
v3.3.1.900
Commitments and Contingencies - Schedule of Commitments (Details)
$ in Billions
Dec. 31, 2015
USD ($)
Commitments and Contingencies Disclosure [Abstract]  
Pooling arrangement, cash withdrawals $ 2.4
Pooling arrangement, aggregate cash deposits $ 2.4
v3.3.1.900
Stockholders' Equity (Details) - $ / shares
Dec. 31, 2015
Dec. 31, 2014
Equity [Abstract]    
Preferred shares authorized 10,000,000 10,000,000.0
Preferred stock, par value (in usd per share) $ 0.001 $ 0.001
Preferred shares issued 0 0
Preferred shares outstanding 0 0
Common stock, shares authorized 3,580,000,000 3,580,000,000
v3.3.1.900
Stock Repurchase Program - Additional Information (Details) - USD ($)
$ in Millions
1 Months Ended 12 Months Ended
Jun. 30, 2015
Jan. 31, 2015
Dec. 31, 2015
Dec. 31, 2014
Jan. 31, 2014
Equity, Class of Treasury Stock [Line Items]          
Repurchase of shares of common stock (in shares)     59,000,000    
Repurchase of shares of common stock     $ 2,100    
Stock repurchase, remaining amount authorized     $ 1,836 $ 985  
Treasury shares retired (in shares)     0    
Stock Repurchase Program January 2014          
Equity, Class of Treasury Stock [Line Items]          
Amount authorized under stock repurchase program         $ 5,000
Stock Repurchase Program January 2015          
Equity, Class of Treasury Stock [Line Items]          
Authorization of additional plan   $ 2,000 $ 2,000    
Stock Repurchase Program June 2015          
Equity, Class of Treasury Stock [Line Items]          
Authorization of additional plan $ 1,000   $ 1,000    
v3.3.1.900
Stock Repurchase Program - Summary of Stock Repurchase Activity (Details) - USD ($)
$ / shares in Units, shares in Millions, $ in Millions
1 Months Ended 12 Months Ended
Jun. 30, 2015
Jan. 31, 2015
Dec. 31, 2015
Dec. 31, 2014
Dec. 31, 2013
Equity, Class of Treasury Stock [Line Items]          
Shares Repurchased (in shares)     59    
Value of Shares Repurchased     $ 2,100    
Shares Repurchased, Remaining Amount Authorized          
Beginning balance   $ 985 985    
Repurchases of shares of common stock     (2,149) $ (4,658) $ (1,343)
Ending balance     1,836 $ 985  
Stock Repurchase Program January 2015          
Shares Repurchased, Remaining Amount Authorized          
Authorization of additional plan   $ 2,000 $ 2,000    
Shares Repurchase Prior To The Distribution          
Equity, Class of Treasury Stock [Line Items]          
Shares Repurchased (in shares)     18    
Average Price per Share (in usd per share)     $ 56.95    
Value of Shares Repurchased     $ 1,000    
Shares Repurchased, Remaining Amount Authorized          
Repurchases of shares of common stock     (1,000)    
Stock Repurchase Program June 2015          
Shares Repurchased, Remaining Amount Authorized          
Authorization of additional plan $ 1,000   $ 1,000    
Shares Repurchase Subsequent To The Distribution          
Equity, Class of Treasury Stock [Line Items]          
Shares Repurchased (in shares)     41    
Average Price per Share (in usd per share)     $ 27.48    
Value of Shares Repurchased     $ 1,149    
Shares Repurchased, Remaining Amount Authorized          
Repurchases of shares of common stock     $ (1,149)    
v3.3.1.900
Stock-Based and Employee Savings Plans - Additional Information (Details) - USD ($)
1 Months Ended 12 Months Ended
Dec. 31, 2014
Dec. 31, 2015
Dec. 31, 2014
Dec. 31, 2013
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Additional compensation expense to be recognized over the remaining vesting life of underlying awards   $ 68,000,000    
Additional compensation expense related to modifications $ 37,000,000      
Unearned stock-based compensation   $ 544,000,000    
Restricted Stock Units (RSUs)        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Number of shares outstanding 36,000,000 36,000,000 36,000,000  
Deferred Stock Unit        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Number of shares outstanding   255,579    
Deferred Stock Unit | Graded Vesting        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Vesting percentage   2.08%    
Deferred Stock Unit | Cliff Vesting        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Vesting percentage   25.00%    
Equity Incentive Plan        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Number of shares authorized   740,000,000    
Shares available for grant   65,000,000    
Equity Incentive Plan | Employee Stock Option | Minimum        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Award expiration term   7 years    
Equity Incentive Plan | Employee Stock Option | Maximum        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Award expiration term   10 years    
Equity Incentive Plan | Employee Stock Option | Graded Vesting        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Vesting percentage   2.08%    
Equity Incentive Plan | Employee Stock Option | Existing Employees | Cliff Vesting, Six Months        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Vesting percentage   12.50%    
Equity Incentive Plan | Employee Stock Option | New Employees | Cliff Vesting, Year One        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Vesting percentage   25.00%    
Equity Incentive Plan | Restricted Stock Units (RSUs) | Minimum        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Award vesting period   3 years    
Equity Incentive Plan | Restricted Stock Units (RSUs) | Maximum        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Award vesting period   5 years    
Employee Stock Purchase Plan        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Maximum duration of common stock purchasing period   2 years    
Employee stock purchase plan, purchase price offered, percentage of fair market value   85.00%    
Maximum employee subscription rate   10.00%    
Number of shares purchased under plan   4,000,000 4,000,000 4,000,000
Employee stock purchase plan, average price of purchased shares (in usd per share)   $ 30.83 $ 42.06 $ 35.51
Number of shares reserved for future issuance   24,000,000    
Employee Savings Plan        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Defined contribution, maximum employee contribution, percentage of eligible compensation   50.00%    
Defined contribution, maximum annual contributions per employee, percent   4.00%    
Defined contribution, maximum annual contributions per employee   $ 10,600 $ 10,400 $ 10,200
Defined contribution, total expenses   51,000,000 $ 43,000,000 $ 39,000,000
2011 Plan | Deferred Stock Unit        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Fair value of stock received by board members   220,000    
Pre 2015 | Deferred Stock Unit        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Fair value of stock received by board members   $ 150,000    
Executive | Equity Incentive Plan | Restricted Stock Units (RSUs) | Vesting in March following the end of performance period        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Vesting percentage   50.00% 50.00% 50.00%
Executive | Equity Incentive Plan | Restricted Stock Units (RSUs) | Vesting period 2        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Vesting percentage   50.00% 50.00% 50.00%
v3.3.1.900
Stock-Based and Employee Savings Plans - Stock Option Activity (Details) - Employee Stock Option
shares in Millions, $ in Millions
12 Months Ended
Dec. 31, 2015
USD ($)
$ / shares
shares
Dec. 31, 2014
USD ($)
$ / shares
shares
Dec. 31, 2013
USD ($)
$ / shares
Stock Option Activity      
Stock options outstanding, beginning of period (in shares) 10    
Granted and assumed (in shares) 2    
Exercised (in shares) (6)    
Forfeited/expired/canceled (in shares) (1)    
Adjustment due to the Distribution (in shares) 2    
Stock options outstanding, end of period (in shares) 7 10  
Expected to vest (in shares) 6    
Options exercisable (in shares) 4    
Weighted Average Exercise Price      
Weighted average exercise price, outstanding at beginning of period (in usd per share) | $ / shares $ 34.14    
Weighted average exercise price, granted and assumed (in usd per share) | $ / shares 49.59    
Weighted average exercise price, exercised (in usd per share) | $ / shares $ 18.46    
Weighted average exercise price, forfeited/expired/canceled (in usd per share) | $ / shares 29.44    
Weighted average exercise price, outstanding at end of period (in usd per share) | $ / shares 20.05 $ 34.14  
Weighted average exercise price, expected to vest (in usd per share) | $ / shares 19.88    
Weighted average exercise price, options exercisable (in usd per share) | $ / shares $ 17.44    
Weighted average remaining contractual term, outstanding 4 years 3 months 22 days    
Weighted average remaining contractual term, expected to vest 4 years 2 months 20 days    
Weighted average remaining contractual term, options exercisable 2 years 11 months 23 days    
Aggregate intrinsic value, options outstanding | $ $ 50    
Aggregate intrinsic value, expected to vest | $ 48    
Aggregate intrinsic value, options exercisable | $ $ 37    
Additional Disclosures      
Options to purchase common shares in the money (in shares) 7    
Weighted average grant date fair value of options granted, during period (in usd per share) | $ / shares $ 6.84 $ 13.59 $ 15.39
Aggregate intrinsic value of options exercised determined as of the date of option exercise | $ $ 130 $ 159 $ 292
v3.3.1.900
Stock-Based and Employee Savings Plans - Restricted Stock Units (Details) - Restricted Stock Units (RSUs)
$ / shares in Units, shares in Millions, $ in Millions
12 Months Ended
Dec. 31, 2015
USD ($)
$ / shares
shares
Dec. 31, 2014
USD ($)
$ / shares
shares
Dec. 31, 2013
USD ($)
Restricted Stock Unit Activity      
Outstanding, beginning of period (in shares) 36    
Awarded and assumed (in shares) 19    
Vested (in shares) (14)    
Forfeited (in shares) (15)    
Adjustment due to the Distribution (in shares) 10    
Outstanding, end of period (in shares) 36 36  
Expected to vest (in shares) 29    
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract]      
Weighted Average Grant Date Fair Value, Outstanding, beginning of period (in usd per share) | $ / shares $ 22.50 $ 50.21  
Weighted Average Grant Date Fair Value, Awarded and assumed (in usd per share) | $ / shares 53.67    
Weighted Average Grant Date Fair Value, Vested (in usd per share) | $ / shares $ 39.42    
Weighted Average Grant Date Fair Value, Forfeited (in usd per share) | $ / shares 31.18    
Weighted Average Grant Date Fair Value, Outstanding, end of period (in usd per share) | $ / shares $ 22.50 $ 50.21  
Additional Disclosures      
Aggregate intrinsic value of restricted stock vested | $ $ 697 $ 759 $ 813
v3.3.1.900
Stock-Based and Employee Savings Plans - Stock Based Compensation Expense (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2015
Dec. 31, 2014
Dec. 31, 2013
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items]      
Stock-based compensation expense $ 379 $ 344 $ 298
Capitalized in product development 136 144  
Unearned stock-based compensation 544    
Cost of net revenues      
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items]      
Stock-based compensation expense 38 33 27
Sales and marketing      
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items]      
Stock-based compensation expense 94 93 67
Product development      
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items]      
Stock-based compensation expense 108 116 97
Capitalized in product development 13 12 10
General and administrative      
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items]      
Stock-based compensation expense $ 139 $ 102 $ 107
v3.3.1.900
Stock-Based and Employee Savings Plans - Fair Value Calculation Assumptions (Details)
12 Months Ended
Dec. 31, 2015
Dec. 31, 2014
Dec. 31, 2013
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]      
Risk-free interest rate 1.40% 1.20% 0.60%
Expected life (in years) 4 years 1 month 5 days 4 years 1 month 6 days 4 years 1 month 6 days
Dividend yield 0.00% 0.00% 0.00%
Expected volatility 27.00% 29.00% 34.00%
v3.3.1.900
Income Taxes - Components of Pretax Income and Provision for Income Taxes (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2015
Dec. 31, 2014
Dec. 31, 2013
Income Tax Disclosure [Abstract]      
United States $ 396 $ 510 $ 768
International 2,010 2,005 1,803
Income before income taxes 2,406 2,515 2,571
Current:      
Federal 363 489 408
State and local 22 20 (5)
Foreign 106 127 134
Current income tax expense (benefit) 491 636 537
Deferred:      
Federal (53) 2,091 (15)
State and local (2) 21 (7)
Foreign 23 632 (11)
Deferred income tax expense (benefit) (32) 2,744 (33)
Income tax expense (benefit) $ 459 $ 3,380 $ 504
v3.3.1.900
Income Taxes - Income Tax Reconciliation (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2015
Dec. 31, 2014
Dec. 31, 2013
Income Tax Disclosure [Abstract]      
Federal statutory rate 35.00% 35.00% 35.00%
Provision at statutory rate $ 843 $ 881 $ 900
Permanent differences:      
Prior year foreign earnings no longer considered indefinitely reinvested 0 2,991 0
Foreign income taxed at different rates (399) (432) (403)
Change in valuation allowance 1 (142) 0
Stock-based compensation 23 22 18
State taxes, net of federal benefit 20 42 (12)
Research and other tax credits (27) (14) (26)
Divested business 0 0 21
Other (2) 32 6
Income tax expense (benefit) $ 459 $ 3,380 $ 504
v3.3.1.900
Income Taxes - Deferred Tax Assets and Deferred Tax Liabilities (Details) - USD ($)
$ in Millions
Dec. 31, 2015
Dec. 31, 2014
Mar. 31, 2014
Deferred tax assets:      
Net operating loss, capital loss and credits $ 206 $ 61  
Accruals and allowances 209 208  
Stock-based compensation 65 88  
Net unrealized losses 8 0  
Net deferred tax assets 488 357  
Valuation allowance (41) (25)  
Deferred tax assets, net of valuation allowance 447 332  
Deferred tax liabilities:      
Unremitted foreign earnings (1,656) (2,109) $ (3,000)
Acquisition-related intangibles (19) (11)  
Depreciation and amortization (190) (212)  
Available-for-sale securities (251) (286)  
Other 0 (17)  
Deferred tax liabilities (2,116) (2,635)  
Net deferred tax liabilities $ (1,669) $ (2,303)  
v3.3.1.900
Income Taxes - Operating Loss Carryforwards (Details)
$ in Millions
Dec. 31, 2015
USD ($)
Federal  
Operating Loss Carryforwards [Line Items]  
Operating loss carryforward $ 29
State  
Operating Loss Carryforwards [Line Items]  
Operating loss carryforward 64
Foreign  
Operating Loss Carryforwards [Line Items]  
Operating loss carryforward $ 116
v3.3.1.900
Income Taxes - Tax Credit Carryforwards (Details) - USD ($)
$ / shares in Units, $ in Millions
12 Months Ended
Dec. 31, 2015
Dec. 31, 2014
Mar. 31, 2014
Tax Credit Carryforward [Line Items]      
Deferred tax assets not subject to expiration $ 38    
Undistributed foreign earnings 6,000   $ 9,000
Deferred tax liabilities on undistributed foreign earnings 1,656 $ 2,109 $ 3,000
Net deferred tax liabilities 1,669 2,303  
Tax savings $ 319 $ 339  
Increase in diluted earnings per share, tax benefits (in usd per share) $ 0.26 $ 0.27  
State Tax Credit Carryforward      
Tax Credit Carryforward [Line Items]      
Tax credit carryforward $ 58    
Federal Tax Credit Carryforward      
Tax Credit Carryforward [Line Items]      
Tax credit carryforward 336 $ 45  
Federal Tax Credit Carryforward | Discontinued Operations      
Tax Credit Carryforward [Line Items]      
Tax credit carryforward 291    
Tax Year 2017      
Tax Credit Carryforward [Line Items]      
Deferred tax assets subject to expiration 78    
Accrued Expenses and Other Current Liabilities      
Tax Credit Carryforward [Line Items]      
Deferred tax liabilities on undistributed foreign earnings   $ 2,100  
Other Long Term Liabilities      
Tax Credit Carryforward [Line Items]      
Net deferred tax liabilities $ 1,700    
v3.3.1.900
Income Taxes - Changes Unrecognized Tax Benefits (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2015
Dec. 31, 2014
Dec. 31, 2013
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns      
Gross amounts of unrecognized tax benefits as of the beginning of the period $ 367 $ 304 $ 314
Increases related to prior period tax positions 36 35 98
Decreases related to prior period tax positions (8) (18) (139)
Increases related to current period tax positions 51 59 35
Settlements (6) (13) (4)
Gross amounts of unrecognized tax benefits as of the end of the period $ 440 $ 367 $ 304
v3.3.1.900
Income Taxes - Unrecognized Tax Benefits - Additional Information (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2015
Dec. 31, 2014
Dec. 31, 2013
Dec. 31, 2012
Income Tax Contingency [Line Items]        
Unrecognized tax benefits increases $ 73      
Unrecognized tax benefits that would impact effective tax rate 372      
Interest and penalties, net of tax benefits, in uncertain tax positions 2      
Unrecognized tax benefits, interest and penalties accrued 61 $ 55    
Unrecognized tax balance 440 $ 367 $ 304 $ 314
Paypal        
Income Tax Contingency [Line Items]        
Unrecognized tax benefits that would impact effective tax rate 140      
Unrecognized tax balance $ 151      
v3.3.1.900
Interest and Other, Net (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2015
Dec. 31, 2014
Dec. 31, 2013
Nonoperating Income (Expense) [Abstract]      
Interest income $ 97 $ 125 $ 102
Interest expense (144) (109) (95)
Gains (losses) associated with cost and equity method investments 268 33 82
Other (12) (10) 28
Interest and other, net $ 209 $ 39 $ 117
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Accumulated Other Comprehensive Income (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2015
Dec. 31, 2014
Dec. 31, 2013
Accumulated Other Comprehensive Income (Loss), Tax      
Beginning balance, tax $ (360) $ (316)  
Other comprehensive income before reclassifications, tax 50 (44)  
Amount of gain (loss) reclassified from accumulated other comprehensive income, tax 0 0  
Net current period other comprehensive income, tax 50 (44)  
Distribution of PayPal, tax 0    
Ending balance, tax (310) (360) $ (316)
Accumulated Other Comprehensive Income (Loss), Net of Tax      
Beginning balance, net of tax 1,171 1,156  
Other comprehensive income before reclassifications, net of tax (428) 31  
Amount of gain (loss) reclassified form accumulated other comprehensive income, net of tax 205 16  
Other comprehensive income (loss), net of tax (633) 15 300
Distribution of PayPal, net of tax (12)    
Ending balance, net of tax 526 1,171 1,156
Unrealized Gains (Losses) on Cash Flow Hedges      
Accumulated Other Comprehensive Income (Loss), Before Tax      
Beginning balance, before Tax 168 (106)  
Other comprehensive income before reclassifications, before tax 139 238  
Amount of gain (loss) reclassified from accumulated other comprehensive income, before tax 204 (36)  
Net current period other comprehensive income, before tax (65) 274  
Distribution of PayPal, before tax (67)    
Ending balance, before Tax 36 168 (106)
Unrealized Gains on Investments      
Accumulated Other Comprehensive Income (Loss), Before Tax      
Beginning balance, before Tax 1,029 921  
Other comprehensive income before reclassifications, before tax (186) 160  
Amount of gain (loss) reclassified from accumulated other comprehensive income, before tax 1 52  
Net current period other comprehensive income, before tax (187) 108  
Distribution of PayPal, before tax 3    
Ending balance, before Tax 845 1,029 921
Foreign Currency Translation      
Accumulated Other Comprehensive Income (Loss), Before Tax      
Beginning balance, before Tax 334 657  
Other comprehensive income before reclassifications, before tax (431) (323)  
Amount of gain (loss) reclassified from accumulated other comprehensive income, before tax 0 0  
Net current period other comprehensive income, before tax (431) (323)  
Distribution of PayPal, before tax 52    
Ending balance, before Tax $ (45) $ 334 $ 657
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Accumulated Other Comprehensive Income - Reclassifications Out of Accumulated Other Comprehensive Income (Details) - USD ($)
$ in Millions
3 Months Ended 12 Months Ended
Dec. 31, 2015
Sep. 30, 2015
Jun. 30, 2015
Mar. 31, 2015
Dec. 31, 2014
Sep. 30, 2014
Jun. 30, 2014
Mar. 31, 2014
Dec. 31, 2015
Dec. 31, 2014
Dec. 31, 2013
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]                      
Cost of net revenues                 $ (1,771) $ (1,663) $ (1,492)
Sales and marketing                 (2,267) (2,442) (2,144)
Product development                 (923) (983) (915)
General and administrative                 (1,122) (889) (880)
Interest and other, net                 209 39 117
Income from continuing operations before income taxes                 2,406 2,515 2,571
Provision for income taxes                 (459) (3,380) (504)
Income (loss) from continuing operations $ 523 $ 545 $ 430 $ 449 $ 729 $ 509 $ 458 $ (2,561) 1,947 (865) 2,067
Income (loss) from discontinued operations, net of income taxes (46) (6) (347) 177 294 164 218 235 (222) 911 789
Net income $ 477 $ 539 $ 83 $ 626 $ 1,023 $ 673 $ 676 $ (2,326) 1,725 46 $ 2,856
Reclassification out of Accumulated Other Comprehensive Income                      
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]                      
Net income                 205 16  
Gains (Losses) on Cash Flow Hedges - Foreign Exchange Contracts | Reclassification out of Accumulated Other Comprehensive Income                      
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]                      
Cost of net revenues                 24 0  
Sales and marketing                 5 1  
Product development                 34 0  
General and administrative                 8 (1)  
Income from continuing operations before income taxes                 71 0  
Provision for income taxes                 0 0  
Income (loss) from continuing operations                 71 0  
Income (loss) from discontinued operations, net of income taxes                 133 (36)  
Net income                 204 (36)  
Unrealized gains (losses) on investments | Reclassification out of Accumulated Other Comprehensive Income                      
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]                      
Interest and other, net                 1 52  
Income from continuing operations before income taxes                 1 52  
Provision for income taxes                 0 0  
Net income                 $ 1 $ 52  
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Restructuring - Reserve Activity (Details) - Employee Severance and Benefits - USD ($)
12 Months Ended
Dec. 31, 2015
Dec. 31, 2014
Restructuring Reserve Activity    
Accrued liability as of January 1, 2015 $ 0  
Charges (benefit) 62,000,000 $ 0
Payments (60,000,000)  
Accrued liability as of December 31, 2015 $ 2,000,000 $ 0
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Quarterly Financial Data (Details) - USD ($)
$ / shares in Units, shares in Millions, $ in Millions
3 Months Ended 12 Months Ended
Dec. 31, 2015
Sep. 30, 2015
Jun. 30, 2015
Mar. 31, 2015
Dec. 31, 2014
Sep. 30, 2014
Jun. 30, 2014
Mar. 31, 2014
Dec. 31, 2015
Dec. 31, 2014
Dec. 31, 2013
Quarterly Financial Data [Abstract]                      
Net revenues $ 2,322 $ 2,099 $ 2,110 $ 2,061 $ 2,323 $ 2,150 $ 2,168 $ 2,149 $ 8,592 $ 8,790 $ 8,257
Gross profit 1,829 1,666 1,676 1,650 1,881 1,737 1,757 1,752 6,821 7,127 6,765
Income (loss) from continuing operations 523 545 430 449 729 509 458 (2,561) 1,947 (865) 2,067
Income (loss) from discontinued operations, net of income taxes (46) (6) (347) 177 294 164 218 235 (222) 911 789
Net income $ 477 $ 539 $ 83 $ 626 $ 1,023 $ 673 $ 676 $ (2,326) $ 1,725 $ 46 $ 2,856
Income (loss) per share - basic:                      
Continuing operations (in usd per share) $ 0.44 $ 0.45 $ 0.35 $ 0.37 $ 0.59 $ 0.41 $ 0.36 $ (2.01) $ 1.61 $ (0.69) $ 1.60
Discontinued operations (in usd per share) (0.04) 0.00 (0.28) 0.14 0.24 0.13 0.18 0.19 (0.18) 0.73 0.60
Net income per share - basic (in usd per share) 0.40 0.45 0.07 0.51 0.83 0.54 0.54 (1.82) 1.43 0.04 2.20
Income (loss) per share - diluted:                      
Continuing operations (in usd per share) 0.43 0.45 0.35 0.37 0.59 0.41 0.36 (2.01) 1.60 (0.69) 1.58
Discontinued operations (in usd per share) (0.04) 0.00 (0.28) 0.14 0.23 0.13 0.17 0.19 (0.18) 0.73 0.60
Net income per share - diluted (in usd per share) $ 0.39 $ 0.45 $ 0.07 $ 0.51 $ 0.82 $ 0.54 $ 0.53 $ (1.82) $ 1.42 $ 0.04 $ 2.18
Weighted average shares:                      
Basic (in shares) 1,191 1,210 1,217 1,216 1,230 1,242 1,258 1,276 1,208 1,251 1,295
Diluted (in shares) 1,204 1,223 1,225 1,229 1,241 1,251 1,267 1,276 1,220 1,251 1,313
v3.3.1.900
Financial Statement Schedule (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2015
Dec. 31, 2014
Dec. 31, 2013
Allowances for Doubtful Accounts and Authorized Credits      
Movement in Valuation Allowances and Reserves      
Balance at Beginning of Period $ 86 $ 88 $ 74
Charged/Credited to Net Income 66 77 64
Charged to Other Account 0 0 0
Charges Utilized/Write-offs (68) (79) (50)
Balance at End of Period 84 86 88
Allowance for Transaction Losses      
Movement in Valuation Allowances and Reserves      
Balance at Beginning of Period 27 23 20
Charged/Credited to Net Income 205 185 172
Charged to Other Account 0 0 0
Charges Utilized/Write-offs (198) (181) (169)
Balance at End of Period 34 27 23
Tax Valuation Allowance      
Movement in Valuation Allowances and Reserves      
Balance at Beginning of Period 25 164 149
Charged/Credited to Net Income 19 (138) 33
Charged to Other Account (3) (1) (2)
Charges Utilized/Write-offs 0 0 (16)
Balance at End of Period $ 41 $ 25 $ 164