v3.22.0.1
Acquisitions & Divestitures (Tables)
12 Months Ended
Dec. 31, 2021
Acquisitions & Divestitures  
Business acquisition, goodwill segment allocation

($ in billions)

    

 

Goodwill

Segment

    

Allocated

*

Software

$

18.4

Consulting

 

1.1

Infrastructure

 

0.8

Total

$

20.3

**

*

Approximately seven percent of the goodwill was determined to be deductible for tax purposes.

** Goodwill of approximately $2.7 billion related to the Red Hat acquisition was derecognized at the time of the Kyndryl separation. Refer to note A, “Significant Accounting Policies,” and note C, “Separation of Kyndryl,” for additional details.

Business acquisition, pro forma information

($ in millions)

 

For the year ended December 31:

    

2019

 

Revenue

$

60,195

*

Net income

$

7,438

*

*

Adjusted to reflect the Kyndryl separation. Refer to note A, “Significant Accounting Policies,” and note C, “Separation of Kyndryl,” for additional information.

2021 Acquisitions  
Acquisitions & Divestitures  
Business acquisition, purchase price allocation

($ in millions)

Amortization

Other

    

Life (in Years)

    

Turbonomic

    

Acquisitions

Current assets

 

  

$

126

$

108

Property, plant and equipment/noncurrent assets

 

  

 

 

12

Intangible assets

 

  

 

 

Goodwill

 

N/A

 

1,439

 

1,110

Client relationships

 

410

 

290

 

200

Completed technology

 

47

 

117

 

196

Trademarks

 

16

 

18

 

30

Total assets acquired

 

  

$

1,990

$

1,656

Current liabilities

 

  

 

49

 

59

Noncurrent liabilities

 

  

 

113

 

84

Total liabilities assumed

 

  

$

161

$

143

Total purchase price

 

  

$

1,829

$

1,513

N/A–Not applicable

2020 Acquisitions  
Acquisitions & Divestitures  
Business acquisition, purchase price allocation

($ in millions)

    

    

Amortization

Allocated

Life (in Years)

Amount

Current assets

 

  

$

35

Property, plant and equipment/noncurrent assets

 

  

 

7

Intangible assets

 

  

 

Goodwill

 

N/A

 

575

Client relationships

 

5—7

 

84

Completed technology

 

2—7

 

73

Trademarks

 

1—7

 

11

Total assets acquired

 

  

$

784

Current liabilities

 

  

 

19

Noncurrent liabilities

 

  

 

41

Total liabilities assumed

 

  

$

61

Total purchase price

 

  

$

723

N/A—Not applicable

Red Hat, Inc.  
Acquisitions & Divestitures  
Business acquisition, purchase price allocation

($ in millions)

    

    

Amortization

Allocated

Life (in Years)

Amount

Current assets*

 

  

$

3,186

Property, plant and equipment/noncurrent assets

 

  

 

948

Intangible assets

 

  

 

Goodwill

 

N/A

 

22,985

Client relationships

 

10

 

7,215

Completed technology

 

9

 

4,571

Trademarks

 

20

 

1,686

Total assets acquired

 

  

$

40,592

Current liabilities**

 

  

 

1,395

Noncurrent liabilities

 

  

 

4,117

Total liabilities assumed

 

  

$

5,512

Total purchase price

 

  

$

35,080

*

Includes $2.2 billion of cash and cash equivalents.

**

Includes $485 million of short-term debt related to the convertible notes acquired from Red Hat that were recognized at their fair value on the acquisition date, which was fully settled as of October 1, 2019.

N/A—Not applicable