v3.25.2
Investments and Fair Value Measurement
 6 Months Ended
Jun. 30, 2025
Fair Value Disclosures [Abstract]  
Investments and Fair Value Measurement
Note 2 – Investments and Fair Value Measurement
Investments
Our investments on the condensed consolidated balance sheets consisted of the following (in millions):
As of
December 31, 2024June 30, 2025
Classified as short-term investments:
Marketable debt securities (1):
U.S. government and agency securities$167 $201 
Commercial paper220 306 
Corporate bonds659 384 
Certificates of deposit38 41 
Short-term investments$1,084 $932 
Classified as restricted investments:
Marketable debt securities (1):
U.S. government and agency securities$5,552 $6,112 
Commercial paper179 60 
Corporate bonds1,288 1,678 
Asset-backed securities— 14 
Restricted investments$7,019 $7,864 
Classified as investments:
Non-marketable equity securities:
Didi$2,602 $2,792 
Other (2)
608 778 
Marketable equity securities:
Grab2,529 2,696 
Aurora (3), (4)
2,054 1,708 
Other523 540 
Note receivable from a related party (2)
144 146 
Investments$8,460 $8,660 
(1) Excluding marketable debt securities classified as cash equivalents and restricted cash equivalents.
(2) These balances include certain investments recorded at fair value with changes in fair value recorded in earnings due to the election of the fair value option of accounting for financial instruments.
(3) In connection with Aurora Innovation, Inc. (“Aurora”)’s November 2021 initial public offering, 25% of our initial shares remain subject to lock-up restrictions through November 2025.
(4) In connection with our exchangeable senior notes due in 2028 (the “2028 Exchangeable Senior Notes”), approximately 48% of our Aurora Class A common stocks is pledged as collateral and cannot be sold or transferred during the term of the 2028 Exchangeable Senior Notes until the obligations are fulfilled or the pledged assets are otherwise released under a collateral agreement. Refer to Note 3 – Long-Term Debt and Credit Arrangements for further information.
Assets and Liabilities Measured at Fair Value on a Recurring Basis
The following table presents our financial assets and liabilities measured at fair value on a recurring basis based on the three-tier fair value hierarchy (in millions):
As of December 31, 2024As of June 30, 2025
Level 1Level 2Level 3TotalLevel 1Level 2Level 3Total
Financial Assets
Money market funds$1,868 $— $— $1,868 $434 $— $— $434 
U.S. government and agency securities— 5,848 — 5,848 — 6,943 — 6,943 
Commercial paper— 702 — 702 — 1,306 — 1,306 
Corporate bonds— 1,974 — 1,974 — 2,064 — 2,064 
Asset-backed securities— — — — — 14 — 14 
Certificates of deposit— 38 — 38 — 41 — 41 
Non-marketable equity securities— — 11 11 — — 10 10 
Marketable equity securities5,106 — — 5,106 4,944 — — 4,944 
Note receivable from a related party— — 144 144 — — 146 146 
Total financial assets$6,974 $8,562 $155 $15,691 $5,378 $10,368 $156 $15,902 
Financial Liabilities
2028 Exchangeable Senior Notes (1)
$— $— $— $— $— $1,224 $— $1,224 
Total financial liabilities$— $— $— $— $— $1,224 $— $1,224 
(1) Refer to Note 3 – Long-Term Debt and Credit Arrangements for further information.
During the six months ended June 30, 2025, we did not make any transfers into or out of Level 3 of the fair value hierarchy.
Debt Securities
The following table summarizes the amortized cost, unrealized gains and losses, and fair value of our debt securities (in millions):
 As of December 31, 2024As of June 30, 2025
 Amortized CostUnrealized GainsUnrealized LossesFair ValueAmortized CostUnrealized GainsUnrealized LossesFair Value
U.S. government and agency securities$5,843 $7 $(2)$5,848 $6,941 $3 $(1)$6,943 
Commercial paper702 — — 702 1,306 — — 1,306 
Corporate bonds1,975 1 (2)1,974 2,063 2 (1)2,064 
Asset-backed securities— — — — 14 — — 14 
Certificates of deposit38 — — 38 41 — — 41 
Total$8,558 $8 $(4)$8,562 $10,365 $5 $(2)$10,368 
As of December 31, 2024 and June 30, 2025, there were no allowance for credit losses related to our debt securities. The weighted-average remaining maturity of our debt securities was less than one year as of June 30, 2025.
Derivatives Not Designated as Hedging Instruments
We enter into financial derivative instruments, consisting of foreign currency contracts to mitigate the foreign currency exchange risk of our assets and liabilities denominated in currencies other than the functional currency. We do not use derivatives for trading or speculative purposes. These instruments are recorded on the condensed consolidated balance sheets at fair value and classified within Level 2 of the fair value hierarchy. Gains and losses on the derivative instruments that are not designated as hedging instruments are recognized in other income (expense), net in the condensed consolidated statements of operations. The cash flows associated with our non-designated derivatives are classified in cash flows from investing activities on our condensed consolidated statements of cash flows.
As of June 30, 2025, the fair value of our outstanding derivative assets and liabilities were not material. We did not record any material realized or unrealized gains or losses for our financial derivative instruments during the three and six months ended June 30, 2025.
We have master netting arrangements with certain counterparties to our foreign currency exchange contracts, which are designed to reduce credit risk by permitting net settlement of transactions with the same counterparty. We have elected to present the derivative assets and derivative liabilities on a gross basis on our condensed consolidated balance sheets. As of June 30, 2025, there were no rights of set-off associated with our foreign currency exchange contracts.
The total notional amount of outstanding derivatives not designated as hedging instruments was $2.0 billion as of June 30, 2025.
Assets Measured at Fair Value on a Non-Recurring Basis
Non-Marketable Equity Securities
Our non-marketable equity securities are investments in privately held companies without readily determinable fair values. The carrying value of our non-marketable equity securities are adjusted based on price changes from observable transactions of identical or similar securities of the same issuer (referred to as the measurement alternative) or for impairment. Any changes in carrying value are recorded within other income (expense), net in the condensed consolidated statements of operations. Certain non-marketable equity securities are classified within Level 3 in the fair value hierarchy because we estimate the fair value of these securities based on valuation methods, including the common stock equivalent (“CSE”) method and option-pricing model (“OPM”), using the transaction price of similar securities issued by the investee adjusted for contractual rights and obligations of the securities we hold.
The following table summarizes the total carrying value of our non-marketable equity securities measured at fair value on a non-recurring basis held, including cumulative unrealized upward and downward adjustments made to the initial cost basis of the securities (in millions):
As of
December 31, 2024June 30, 2025
Initial cost basis$2,030 $2,202 
Upward adjustments2,611 2,802 
Downward adjustments (including impairment)(1,442)(1,444)
Total carrying value at the end of the period$3,199 $3,560 
Didi Investment
We measure the fair value of our Didi investment based on the closing share price of the Didi American Depositary Shares on the over-the-counter market as an observable transaction for similar securities.