v3.20.2
UNEARNED REVENUE
 12 Months Ended
Jun. 30, 2020
Revenue From Contract With Customer [Abstract]  
UNEARNED REVENUE

NOTE 13 — UNEARNED REVENUE

Unearned revenue by segment was as follows:

 

(In millions)

 

 

 

 

 

 

 

 

 

 

 

 

June 30,

 

2020

 

 

2019

 

 

 

 

Productivity and Business Processes

 

$

18,643

 

 

$

16,831

 

Intelligent Cloud

 

 

16,620

 

 

 

16,988

 

More Personal Computing

 

 

3,917

 

 

 

3,387

 

 

 

 

 

 

 

 

 

 

 

 

 

Total

 

$

39,180

 

 

$

37,206

 

 

 

 

 

 

 

 

 

 

 

Changes in unearned revenue were as follows:

 

(In millions)

 

 

 

 

 

 

 

 

 

 

 

Year Ended June 30, 2020

 

 

 

 

 

 

 

 

Balance, beginning of period

 

 

$

37,206

 

Deferral of revenue

 

 

 

78,922

 

Recognition of unearned revenue

 

 

 

(76,948

)

 

 

 

 

 

 

 

 

 

 

 

 

Balance, end of period

 

 

$

39,180

 

 

 

 

 

 

 

 

Revenue allocated to remaining performance obligations, which includes unearned revenue and amounts that will be invoiced and recognized as revenue in future periods, was $111 billion as of June 30, 2020, of which $107 billion is related to the commercial portion of revenue. We expect to recognize approximately 50% of this revenue over the next 12 months and the remainder thereafter.