| Financial Instruments |
Financial Instruments Fair Value Measurements
Our cash equivalents, marketable securities, and restricted cash equivalents are classified within Level 1 or Level 2 of the fair value hierarchy because their fair values are derived from quoted market prices or alternative pricing sources and models utilizing market observable inputs. Certain other assets are classified within Level 3 because factors used to develop the estimated fair value are unobservable inputs that are not supported by market activity.
The following tables summarize our assets measured at fair value on a recurring basis and the classification by level of input within the fair value hierarchy (in millions): | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | Fair Value Measurement at Reporting Date Using | | Description | | December 31, 2025 | | Quoted Prices in Active Markets for Identical Assets
(Level 1) | | Significant Other Observable Inputs
(Level 2) | | Significant Unobservable Inputs
(Level 3) | | Cash equivalents: | | | | | | | | | | Money market funds | | $ | 27,928 | | | $ | 27,928 | | | $ | — | | | $ | — | | | U.S. government securities | | 1,623 | | | 1,623 | | | — | | | — | | | | | | | | | | | | Time deposits | | 328 | | | — | | | 328 | | | — | | | Corporate debt securities | | 1,603 | | | — | | | 1,603 | | | — | | | Total cash equivalents | | 31,482 | | | 29,551 | | | 1,931 | | | — | | | Marketable securities: | | | | | | | | | | U.S. government securities | | 21,483 | | | 21,483 | | | — | | | — | | | U.S. government agency securities | | 767 | | | 767 | | | — | | | — | | | Corporate debt securities | | 17,477 | | | — | | | 17,477 | | | — | | | Marketable equity securities | | 5,992 | | | 5,992 | | | — | | | — | | | Total marketable securities | | 45,719 | | | 28,242 | | | 17,477 | | | — | | | Restricted cash equivalents | | 2,539 | | | 2,539 | | | — | | | — | | | Other assets | | 106 | | | — | | | — | | | 106 | | | Total | | $ | 79,846 | | | $ | 60,332 | | | $ | 19,408 | | | $ | 106 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | Fair Value Measurement at Reporting Date Using | | Description | | December 31, 2024 | | Quoted Prices in Active Markets for Identical Assets
(Level 1) | | Significant Other Observable Inputs
(Level 2) | | Significant Unobservable Inputs
(Level 3) | | | | | | | | | | | Cash equivalents: | | | | | | | | | | Money market funds | | $ | 36,165 | | | $ | 36,165 | | | $ | — | | | $ | — | | | U.S. government and agency securities | | 23 | | | 23 | | | — | | | — | | | Time deposits | | 369 | | | — | | | 369 | | | — | | | Corporate debt securities | | 114 | | | — | | | 114 | | | — | | | Total cash equivalents | | 36,671 | | | 36,188 | | | 483 | | | — | | | Marketable securities: | | | | | | | | | | U.S. government securities | | 14,889 | | | 14,889 | | | — | | | — | | | U.S. government agency securities | | 3,053 | | | 3,053 | | | — | | | — | | | Corporate debt securities | | 14,758 | | | — | | | 14,758 | | | — | | | Marketable equity securities | | 1,226 | | | 1,226 | | | — | | | — | | | Total marketable securities | | 33,926 | | | 19,168 | | | 14,758 | | | — | | | Restricted cash equivalents | | 1,193 | | | 1,193 | | | — | | | — | | | Other assets | | 101 | | | — | | | — | | | 101 | | | Total | | $ | 71,891 | | | $ | 56,549 | | | $ | 15,241 | | | $ | 101 | |
Marketable Debt Securities
The following tables summarize our available-for-sale marketable debt securities with unrealized losses as of December 31, 2025 and 2024, aggregated by major security type and the length of time that individual securities have been in a continuous loss position (in millions): | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | December 31, 2025 | | Less than 12 months | | 12 months or greater | | Total | | Fair Value | | Unrealized Losses | | Fair Value | | Unrealized Losses | | Fair Value | | Unrealized Losses | | U.S. government securities | $ | 1,491 | | | $ | (2) | | | $ | 1,570 | | | $ | (18) | | | $ | 3,061 | | | $ | (20) | | | U.S. government agency securities | 17 | | | — | | | 25 | | | — | | | 42 | | | — | | | Corporate debt securities | 1,213 | | | (1) | | | 1,534 | | | (20) | | | 2,747 | | | (21) | | | Total | $ | 2,721 | | | $ | (3) | | | $ | 3,129 | | | $ | (38) | | | $ | 5,850 | | | $ | (41) | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | December 31, 2024 | | Less than 12 months | | 12 months or greater | | Total | | Fair Value | | Unrealized Losses | | Fair Value | | Unrealized Losses | | Fair Value | | Unrealized Losses | | U.S. government securities | $ | 6,860 | | | $ | (71) | | | $ | 4,330 | | | $ | (146) | | | $ | 11,190 | | | $ | (217) | | | U.S. government agency securities | 435 | | | (2) | | | 2,083 | | | (44) | | | 2,518 | | | (46) | | | Corporate debt securities | 2,989 | | | (26) | | | 6,373 | | | (192) | | | 9,362 | | | (218) | | | Total | $ | 10,284 | | | $ | (99) | | | $ | 12,786 | | | $ | (382) | | | $ | 23,070 | | | $ | (481) | |
The gross unrealized gains on our marketable debt securities were $300 million and not material as of December 31, 2025 and 2024, respectively, and the allowance for credit losses were not material for both periods. The following table classifies our marketable debt securities by contractual maturities (in millions): | | | | | | | December 31, 2025 | | Due within one year | $ | 13,023 | | | Due after one year to five years | 26,704 | | | Total | $ | 39,727 | |
Marketable Equity Securities
The net unrealized gains on our marketable equity securities recognized in interest and other income, net on our consolidated statements of income were $413 million and not material during the years ended December 31, 2025 and 2024, respectively.
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