NXP Semiconductors (NXPI) 10-Q 26 Jul 22 2022 Q2 Quarterly report Financial data

Cover Document

Cover Document - shares	6 Months Ended
	Jul. 03, 2022	Jul. 22, 2022
Cover [Abstract]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Jul. 03, 2022
Document Transition Report	false
Entity File Number	001-34841
Entity Registrant Name	NXP Semiconductors N.V.
Entity Incorporation, State or Country Code	P7
Entity Tax Identification Number	98-1144352
Entity Address, Address Line One	60 High Tech Campus
Entity Address, City or Town	Eindhoven
Entity Address, Country	NL
Entity Address, Postal Zip Code	5656 AG
Country Region	+31
City Area Code	40
Local Phone Number	2729999
Title of 12(b) Security	Common shares, EUR 0.20 par value
Trading Symbol	NXPI
Security Exchange Name	NASDAQ
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		262,598,471
Amendment Flag	false
Entity Central Index Key	0001413447
Document Fiscal Year Focus	2022
Document Fiscal Period Focus	Q2
Current Fiscal Year End Date	--12-31

CONDENSED CONSOLIDATED STATEMEN

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) - USD ($) shares in Thousands, $ in Millions	3 Months Ended		6 Months Ended
	Jul. 03, 2022	Jul. 04, 2021	Jul. 03, 2022	Jul. 04, 2021
Income Statement [Abstract]
Revenue	$ 3,312	$ 2,596	$ 6,448	$ 5,163
Cost of revenue	(1,430)	(1,174)	(2,789)	(2,386)
Gross profit	1,882	1,422	3,659	2,777
Research and development	(542)	(476)	(1,060)	(937)
Selling, general and administrative	(265)	(234)	(516)	(456)
Amortization of acquisition-related intangible assets	(134)	(139)	(269)	(319)
Total operating expenses	(941)	(849)	(1,845)	(1,712)
Other income (expense)	2	0	2	0
Operating income (loss)	943	573	1,816	1,065
Financial income (expense):
(Gain) loss on extinguishment of debt	(18)	0	(18)	0
Other financial income (expense)	(110)	(100)	(215)	(187)
Income (loss) before income taxes	815	473	1,583	878
Benefit (provision) for income taxes	(129)	(65)	(243)	(105)
Results relating to equity-accounted investees	(3)	(2)	9	(3)
Net income (loss)	683	406	1,349	770
Less: Net income (loss) attributable to non-controlling interests	13	9	22	20
Net income (loss) attributable to stockholders	$ 670	$ 397	$ 1,327	$ 750
Earnings per share data:
Basic net income (loss) (in dollars per share)	$ 2.55	$ 1.46	$ 5.05	$ 2.73
Diluted net income (loss) (in dollars per share)	$ 2.53	$ 1.42	$ 5.01	$ 2.67
Weighted average number of shares of common stock outstanding during the period (in thousands):
Basic (in shares)	262,579	272,686	262,837	275,145
Diluted (in shares)	264,692	278,735	264,909	281,063

CONDENSED CONSOLIDATED STATEM_2

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Unaudited) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jul. 03, 2022	Jul. 04, 2021	Jul. 03, 2022	Jul. 04, 2021
Statement of Comprehensive Income [Abstract]
Net income (loss)	$ 683	$ 406	$ 1,349	$ 770
Other comprehensive income (loss), net of tax:
Change in fair value cash flow hedges	(8)	0	(12)	(14)
Change in foreign currency translation adjustment	(69)	9	(87)	(33)
Change in net actuarial gain (loss)	(1)	0	(1)	0
Total other comprehensive income (loss)	(78)	9	(100)	(47)
Total comprehensive income (loss)	605	415	1,249	723
Less: Comprehensive income (loss) attributable to non-controlling interests	13	9	22	20
Total comprehensive income (loss) attributable to stockholders	$ 592	$ 406	$ 1,227	$ 703

CONDENSED CONSOLIDATED BALANCE

CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) $ in Millions	Jul. 03, 2022 USD ($) shares	Dec. 31, 2021 USD ($) shares
Current assets:
Cash and cash equivalents	$ 3,545	$ 2,830
Accounts receivable, net	996	923
Inventories, net	1,462	1,189
Other current assets	317	286
Total current assets	6,320	5,228
Non-current assets:
Other non-current assets	1,848	1,346
Property, plant and equipment, net of accumulated depreciation of $4,931 and $4,676	2,914	2,635
Identified intangible assets, net of accumulated amortization of $3,111 and $3,021	1,527	1,694
Goodwill	9,930	9,961
Total non-current assets	16,219	15,636
Total assets	22,539	20,864
Current liabilities:
Accounts payable	1,462	1,252
Restructuring liabilities-current	12	25
Other current liabilities	1,467	1,175
Total current liabilities	2,941	2,452
Non-current liabilities:
Long-term debt	11,160	10,572
Restructuring liabilities	12	12
Deferred tax liabilities	41	57
Other non-current liabilities	1,159	1,001
Total non-current liabilities	12,372	11,642
Total liabilities	15,313	14,094
Equity:
Non-controlling interests	264	242
Stockholders’ equity:
Common stock, par value €0.20 per share:	56	56
Capital in excess of par value	$ 13,904	$ 13,727
Treasury shares (in shares) | shares	11,924,962	9,569,359
Treasury shares, at cost : 36,518,520 shares (2019: 34,082,242 shares)	$ (2,424)	$ (1,932)
Accumulated other comprehensive income (loss)	(52)	48
Accumulated deficit	(4,522)	(5,371)
Total stockholders’ equity	6,962	6,528
Total equity	7,226	6,770
Total liabilities and equity	$ 22,539	$ 20,864

CONDENSED CONSOLIDATED BALANC_2

CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) (Parenthetical) $ in Millions	Jul. 03, 2022 USD ($) shares	Jul. 03, 2022 € / shares	Dec. 31, 2021 USD ($) shares	Dec. 31, 2021 € / shares
Statement of Financial Position [Abstract]
Accumulated amortization	$ (3,111)		$ (3,021)
Common stock, par value (in euros per share) | € / shares		€ 0.20		€ 0.20
Treasury shares (in shares) | shares	11,924,962		9,569,359
Accumulated depreciation	$ 4,931		$ 4,676

CONDENSED CONSOLIDATED STATEM_3

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($) $ in Millions	6 Months Ended
	Jul. 03, 2022	Jul. 04, 2021
Cash flows from operating activities:
Net income (loss)	$ 1,349	$ 770
Adjustments to reconcile net income (loss) to net cash provided by (used for) operating activities:
Depreciation and amortization	627	646
Share-based compensation	178	184
Amortization of discount (premium) on debt, net	1	1
Amortization of debt issuance costs	3	3
Net (gain) loss on sale of assets	(1)	0
(Gain) loss on equity security, net	4	2
(Gain) loss on extinguishment of debt	18	0
Results relating to equity-accounted investees	(9)	3
Deferred tax expense (benefit)	(98)	12
Changes in operating assets and liabilities:
(Increase) decrease in receivables and other current assets	(111)	(230)
(Increase) decrease in inventories	(273)	(86)
Increase (decrease) in accounts payable and other liabilities	270	124
Decrease (increase) in other non-current assets	(288)	(60)
Exchange differences	(3)	0
Other items	8	(1)
Net cash provided by (used for) operating activities	1,675	1,368
Cash flows from investing activities:
Purchase of identified intangible assets	(72)	(72)
Capital expenditures on property, plant and equipment	(548)	(300)
Payments to Acquire Equipment on Lease	(5)	0
Proceeds from disposals of property, plant and equipment	1	0
Purchase of interests in businesses, net of cash acquired	(5)	(1)
Purchase of investments	(2)	(6)
Proceeds from Sale of Other Investments	12	8
Proceeds from sale of investments	2	1
Net cash provided by (used for) investing activities	(617)	(370)
Cash flows from financing activities:
Repayments of Notes Payable	(917)	0
Proceeds from the issuance of long-term debt	1,496	2,000
Cash paid for debt issuance costs	(13)	(22)
Dividends paid to common stockholders	(371)	(260)
Proceeds from issuance of common stock through stock plans	28	31
Purchase of treasury shares and restricted stock unit withholdings	(554)	(2,108)
Proceeds from (Payments for) Other Financing Activities	(1)	(1)
Net cash provided by (used for) financing activities	(332)	(360)
Effect of Exchange Rate on Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents	(11)	(3)
Increase (decrease) in cash and cash equivalents	715	635
Cash and cash equivalents at beginning of period	2,830	2,275
Cash and cash equivalents at end of period	3,545	2,910
Net cash paid during the period for:
Interest	178	160
Income taxes, net of refunds	272	161
Cash proceeds from the sale of assets	1	0
Book value of these assets	0	0
Non-cash capital expenditures	$ 243	$ 167

CONDENSED CONSOLIDATED STATEM_4

CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY (Unaudited) - USD ($) shares in Millions, $ in Millions	Total	Common stock	Capital in excess of par value	Treasury shares at cost	Accumulated other comprehensive income (loss)	Accumulated deficit	Total stock- holders’ equity	Non- controlling interests
Shares, Issued, Beginning Balance at Dec. 31, 2020		280,475
Beginning balance at Dec. 31, 2020	$ 9,151	$ 59	$ 14,133	$ (1,037)	$ 117	$ (4,328)	$ 8,944	$ 207
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income (loss)	364					353	353	11
Other comprehensive income	(56)				(56)		(56)
Share-based compensation plans	91		91				91
Shares issued pursuant to stock awards (in shares)		361
Shares issued pursuant to stock awards	31			37		(6)	31
Treasury share repurchase and retired (in shares)		(5,087)
Treasury shares repurchased and retired	$ (905)			(905)			(905)
Dividends common stock (in dollars per share)	$ 0.5625
Dividends common stock	$ (155)					(155)	(155)
Balance (in shares) at Apr. 04, 2021		275,749
Ending balance at Apr. 04, 2021	8,521	$ 59	14,224	(1,905)	61	(4,136)	8,303	218
Shares, Issued, Beginning Balance at Dec. 31, 2020		280,475
Beginning balance at Dec. 31, 2020	9,151	$ 59	14,133	(1,037)	117	(4,328)	8,944	207
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income (loss)	770
Other comprehensive income	(47)
Balance (in shares) at Jul. 04, 2021		269,710
Ending balance at Jul. 04, 2021	7,669	$ 59	14,312	(3,102)	70	(3,897)	7,442	227
Shares, Issued, Beginning Balance at Apr. 04, 2021		275,749
Beginning balance at Apr. 04, 2021	8,521	$ 59	14,224	(1,905)	61	(4,136)	8,303	218
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income (loss)	406					397	397	9
Other comprehensive income	9				9		9
Share-based compensation plans	88		88				88
Shares issued pursuant to stock awards (in shares)		64
Shares issued pursuant to stock awards	0			6		(6)	0
Treasury share repurchase and retired (in shares)		(6,103)
Treasury shares repurchased and retired	$ (1,203)			(1,203)			(1,203)
Dividends common stock (in dollars per share)	$ 0.5625
Dividends common stock	$ (152)					(152)	(152)
Balance (in shares) at Jul. 04, 2021		269,710
Ending balance at Jul. 04, 2021	7,669	$ 59	14,312	(3,102)	70	(3,897)	7,442	227
Shares, Issued, Beginning Balance at Dec. 31, 2021		264,950
Beginning balance at Dec. 31, 2021	6,770	$ 56	13,727	(1,932)	48	(5,371)	6,528	242
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income (loss)	666					657	657	9
Other comprehensive income	(22)				(22)		(22)
Share-based compensation plans	92		92				92
Shares issued pursuant to stock awards (in shares)		256
Shares issued pursuant to stock awards	28			51		(23)	28
Treasury share repurchase and retired (in shares)		(2,653)
Treasury shares repurchased and retired	$ (552)			(552)			(552)
Dividends common stock (in dollars per share)	$ 0.845
Dividends common stock	$ (222)					(222)	(222)
Balance (in shares) at Apr. 03, 2022		262,553
Ending balance at Apr. 03, 2022	6,760	$ 56	13,819	(2,433)	26	(4,959)	6,509	251
Shares, Issued, Beginning Balance at Dec. 31, 2021		264,950
Beginning balance at Dec. 31, 2021	6,770	$ 56	13,727	(1,932)	48	(5,371)	6,528	242
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income (loss)	1,349
Other comprehensive income	(100)
Balance (in shares) at Jul. 03, 2022		262,595
Ending balance at Jul. 03, 2022	7,226	$ 56	13,904	(2,424)	(52)	(4,522)	6,962	264
Shares, Issued, Beginning Balance at Apr. 03, 2022		262,553
Beginning balance at Apr. 03, 2022	6,760	$ 56	13,819	(2,433)	26	(4,959)	6,509	251
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income (loss)	683					670	670	13
Other comprehensive income	(78)				(78)		(78)
Share-based compensation plans	85		85				85
Shares issued pursuant to stock awards (in shares)		57
Shares issued pursuant to stock awards	0			11		(11)	0
Treasury share repurchase and retired (in shares)		(15)
Treasury shares repurchased and retired	$ (2)			(2)			(2)
Dividends common stock (in dollars per share)	$ 0.845
Dividends common stock	$ (222)					(222)	(222)
Balance (in shares) at Jul. 03, 2022		262,595
Ending balance at Jul. 03, 2022	$ 7,226	$ 56	$ 13,904	$ (2,424)	$ (52)	$ (4,522)	$ 6,962	$ 264

CONDENSED CONSOLIDATED STATEM_5

CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY (Unaudited) (Parenthetical) - USD ($) $ in Millions	3 Months Ended				6 Months Ended
	Jul. 03, 2022	Apr. 03, 2022	Jul. 04, 2021	Apr. 04, 2021	Jul. 03, 2022	Jul. 04, 2021	Dec. 31, 2021	Dec. 31, 2020
Statement of Stockholders' Equity [Abstract]
Dividends common stock (in dollars per share)	$ 0.845	$ 0.845	$ 0.5625	$ 0.5625
Net income (loss)	$ 683	$ 666	$ 406	$ 364	$ 1,349	$ 770
Other comprehensive income	(78)	(22)	9	(56)	(100)	(47)
Share-based compensation plans	85	92	88	91
Shares issued pursuant to stock awards	0	28	0	31
Treasury shares repurchased and retired	(2)	(552)	(1,203)	(905)
Dividends common stock	(222)	(222)	(152)	(155)
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest	$ 7,226	$ 6,760	$ 7,669	$ 8,521	$ 7,226	$ 7,669	$ 6,770	$ 9,151

Basis of Presentation and Overv

Basis of Presentation and Overview	6 Months Ended
	Jul. 03, 2022
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Basis of Presentation and Overview	Basis of Presentation and Overview We prepared our interim condensed consolidated financial statements that accompany these notes in conformity with U.S. generally accepted accounting principles, consistent in all material respects with those applied in our Annual Report on Form 10-K for the year ended December 31, 2021. We have made estimates and judgments affecting the amounts reported in our condensed consolidated financial statements and the accompanying notes. The actual results that we experience may differ materially from our estimates. The interim financial information is unaudited, but reflects all normal adjustments that are, in our opinion, necessary to provide a fair statement of results for the interim periods presented. This interim information should be read in conjunction with the consolidated financial statements in our Annual Report on Form 10-K for the year ended December 31, 2021.

Significant Accounting Policies

Significant Accounting Policies and Recent Accounting Pronouncements	6 Months Ended
	Jul. 03, 2022
Accounting Policies [Abstract]
Significant Accounting Policies and Recent Accounting Pronouncements	Significant Accounting Policies and Recent Accounting Pronouncements Significant Accounting Policies For a discussion of our significant accounting policies see, “Part II – Item 8. Financial Statements and Supplementary Data – Notes to Consolidated Financial Statements – “Significant Accounting Policies” of our Annual Report on Form 10-K for the year ended December 31, 2021. There have been no changes to our significant accounting policies since our Annual Report on Form 10-K for the year ended December 31, 2021. Accounting standards recently adopted No new accounting pronouncements were issued or became effective in the period that had, or are expected to have, a material impact on our Consolidated Financial Statements.

Supplemental Financial Informat

Supplemental Financial Information	6 Months Ended
	Jul. 03, 2022
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Supplemental Financial Information	Supplemental Financial Information Statement of Operations Information: Disaggregation of revenue The following table presents revenue disaggregated by sales channel: For the three months ended For the six months ended July 3, 2022 July 4, 2021 July 3, 2022 July 4, 2021 Distributors 1,829 1,518 3,509 2,986 Original Equipment Manufacturers and Electronic Manufacturing Services 1,441 1,040 2,853 2,104 Other 42 38 86 73 Total 3,312 2,596 6,448 5,163 Depreciation, amortization and impairment For the three months ended For the six months ended July 3, 2022 July 4, 2021 July 3, 2022 July 4, 2021 Depreciation of property, plant and equipment 149 135 291 267 Amortization of internal use software 4 2 6 4 Amortization of other identified intangible assets 1) 164 168 330 375 Total - Depreciation, amortization and impairment 317 305 627 646 1) For the six month period ending July 4, 2021, the amount includes an impairment charge as a result of the discontinuation of an IPR&D project for an amount of $36 million. Financial income and expense For the three months ended For the six months ended July 3, 2022 July 4, 2021 July 3, 2022 July 4, 2021 Interest income 6 1 8 2 Interest expense (106) (90) (210) (177) Total interest expense, net (100) (89) (202) (175) Extinguishment of debt (18) — (18) — Foreign exchange rate results 3 (1) 3 — Miscellaneous financing costs/income and other, net (13) (10) (16) (12) Total other financial income/ (expense) (28) (11) (31) (12) Total - Financial income and expenses (128) (100) (233) (187) Earnings per share The computation of earnings per share (EPS) is presented in the following table: For the three months ended For the six months ended July 3, 2022 July 4, 2021 July 3, 2022 July 4, 2021 Net income (loss) 683 406 1,349 770 Less: net income (loss) attributable to non-controlling interests 13 9 22 20 Net income (loss) attributable to stockholders 670 397 1,327 750 Weighted average number of shares outstanding (after deduction of treasury shares) during the year (in thousands) 262,579 272,686 262,837 275,145 Plus incremental shares from assumed conversion of: Options 1) 295 394 309 406 Restricted Share Units, Performance Share Units and Equity Rights 2) 1,818 5,655 1,763 5,512 Dilutive potential common shares 2,113 6,049 2,072 5,918 Adjusted weighted average number of shares outstanding (after deduction of treasury shares) during the year (in thousands) 264,692 278,735 264,909 281,063 EPS attributable to stockholders in $: Basic net income (loss) 2.55 1.46 5.05 2.73 Diluted net income (loss) 2.53 1.42 5.01 2.67 1) There were no stock options to purchase shares of NXP’s common stock that were outstanding in Q2 2022 and YTD 2022 (Q2 2021 and YTD 2021: no shares) that were anti-dilutive and were not included in the computation of diluted EPS because the exercise price was greater than the average fair market value of the common stock or the number of shares assumed to be repurchased using the proceeds of unrecognized compensation expense and exercise prices were greater than the weighted average number of shares underlying outstanding stock options. 2) There were 0.3 million unvested RSUs, PSUs and equity rights that were outstanding in Q2 2022 and 0.3 million outstanding YTD 2022 (Q2 2021 and YTD 2021: no shares) that were anti-dilutive and were not included in the computation of diluted EPS because the number of shares assumed to be repurchased using the proceeds of unrecognized compensation expense were greater than the weighted average number of outstanding unvested RSUs, PSUs and equity rights or the performance goal has not been met yet. Balance Sheet Information Cash and cash equivalents At July 3, 2022 and December 31, 2021, our cash balance was $3,545 million and $2,830 million, respectively, of which $193 million and $208 million was held by SSMC, our consolidated joint venture company with TSMC. Under the terms of our joint venture agreement with TSMC, a portion of this cash can be distributed by way of a dividend to us, but 38.8% of the dividend will be paid to our joint venture partner. During both first six months of 2022 and 2021, no dividends were declared by SSMC. Inventories The portion of finished goods stored at customer locations under consignment amounted to $8 million as of July 3, 2022 (December 31, 2021: $12 million). Inventories are summarized as follows: July 3, 2022 December 31, 2021 Raw materials 129 107 Work in process 1,083 846 Finished goods 250 236 1,462 1,189 The amounts recorded above are net of allowance for obsolescence of $136 million as of July 3, 2022 (December 31, 2021: $120 million). Equity Investments At July 3, 2022 and December 31, 2021, the total carrying value of investments in equity securities is summarized as follows: July 3, 2022 December 31, 2021 Marketable equity securities 10 18 Non-marketable equity securities 10 19 Equity-accounted investments 88 75 108 112 The total carrying value of investments in equity-accounted investees is summarized as follows: July 3, 2022 December 31, 2021 Shareholding % Amount Shareholding % Amount SMART Growth Fund, L.P. 1) 8.41 % 44 8.41 % 31 Others — 44 — 44 88 75 1) Previously named “Wise Road Industry Investment Fund I, L.P.” Results related to equity-accounted investees at the end of each period were as follows: For the three months ended For the six months ended July 3, 2022 July 4, 2021 July 3, 2022 July 4, 2021 Company's share in income (loss) (3) (2) 8 (3) Other results — — 1 — (3) (2) 9 (3) Other current liabilities Other current liabilities at July 3, 2022 and December 31, 2021 consisted of the following: July 3, 2022 December 31, 2021 Accrued compensation and benefits 463 476 Income taxes payable 134 82 Dividend payable 222 149 Other 648 468 1,467 1,175 Accumulated other comprehensive income (loss) Total comprehensive income (loss) represents net income (loss) plus the results of certain equity changes not reflected in the condensed consolidated statements of operations. The after-tax components of accumulated other comprehensive income (loss) and their corresponding changes are shown below: Currency Change in fair Net actuarial Accumulated As of December 31, 2021 207 — (159) 48 Other comprehensive income (loss) before (87) (24) (1) (112) Amounts reclassified out of accumulated other — 8 — 8 Tax effects — 4 — 4 Other comprehensive income (loss) (87) (12) (1) (100) As of July 3, 2022 120 (12) (160) (52) Cash dividends The following dividends were declared during the first two quarters of 2022 and 2021 under NXP’s quarterly dividend program: Fiscal year 2022 Fiscal year 2021 Dividend per share Amount Dividend per share Amount First quarter 0.845 222 0.5625 155 Second quarter 0.845 222 0.5625 152 The dividend declared in the second quarter (not yet paid) is classified in the condensed consolidated balance sheet in other current liabilities as of July 3, 2022 and was subsequently paid on July 6, 2022.

Restructuring

Restructuring	6 Months Ended
	Jul. 03, 2022
Restructuring and Related Activities [Abstract]
Restructuring	Restructuring At each reporting date, we evaluate our restructuring liabilities, which consist primarily of termination benefits, to ensure that our accruals are still appropriate. The following table presents the changes in restructuring liabilities in 2022: As of January 1, 2022 Additions Utilized Released Other As of July 3, 2022 Restructuring liabilities 37 1 (8) (5) (1) 24 There were no significant restructuring costs incurred for both six month periods ended July 3, 2022 and July 4, 2021 and the utilization of the restructuring liabilities mainly reflects the execution of ongoing restructuring programs the Company initiated in earlier years. These restructuring charges recorded in operating income, for the periods indicated, are included in the following line items in the statement of operations: For the three months ended For the six months ended July 3, 2022 July 4, 2021 July 3, 2022 July 4, 2021 Cost of revenue (3) — (3) — Research and development (1) 1 (2) 1 Selling, general and administrative — — — — Net restructuring charges (4) 1 (5) 1

Income Taxes

Income Taxes	6 Months Ended
	Jul. 03, 2022
Income Tax Disclosure [Abstract]
Income Taxes	Income Taxes Benefit/provision for income taxes: For the three months ended For the six months ended July 3, 2022 July 4, 2021 July 3, 2022 July 4, 2021 Tax expense (benefit) 129 65 243 105 Effective tax rate 15.8 % 13.7 % 15.4 % 12.0 % Our provision for income taxes for the first six months of 2022 was $243 million (15.4% effective tax rate) compared to a provision from income taxes of $105 million (12.0% effective tax rate) for the first six months of 2021. The increase in the income tax expense was due to higher income before income taxes as a result of the improved operational performance of the company which was partly offset by an increase in tax incentives also taking into account the effect of specific US tax law that became effective as from 2022. In addition to this, in the first six months of 2021 there were income tax benefits due to changes in estimates of prior positions and a net change in the valuation allowance. The Company benefits from income tax incentives in certain jurisdictions which provide that we pay reduced income taxes in those jurisdictions for a fixed period of time that varies depending on the jurisdiction. The predominant income tax holiday is expected to expire at the end of 2026. The impact of this tax holiday decreased foreign income taxes for the second quarter of 2022 by $4 million and decreased by $3 million for the second quarter 2021 (YTD 2022: a decrease of $7 million and YTD 2021: a decrease of $7 million). The benefit of this tax holiday on net income per share (diluted) was $0.02 for the second quarter of 2022 (YTD 2022: $0.03) and $0.02 for the second quarter of 2021 (YTD 2021: $0.03).

Identified Intangible Assets

Identified Intangible Assets	6 Months Ended
	Jul. 03, 2022
Goodwill and Intangible Assets Disclosure [Abstract]
Identified Intangible Assets	Identified Intangible Assets Identified intangible assets as of July 3, 2022 and December 31, 2021, respectively, were composed of the following: July 3, 2022 December 31, 2021 Gross carrying Accumulated Gross carrying Accumulated In-process R&D (IPR&D) 1) 53 — 96 — Marketing-related — — 81 (81) Customer-related 849 (345) 852 (325) Technology-based 3,736 (2,766) 3,686 (2,615) Identified intangible assets 4,638 (3,111) 4,715 (3,021) 1) IPR&D is not subject to amortization until completion or abandonment of the associated research and development effort. The estimated amortization expense for these identified intangible assets for each of the five succeeding years is: 2022 (remaining) 308 2023 436 2024 251 2025 133 2026 69 Thereafter 330 All intangible assets, excluding IPR&D and goodwill, are subject to amortization and have no assumed residual value. The expected weighted average remaining life of identified intangibles is 4 years as of July 3, 2022 (December 31, 2021: 4 years).

Debt

Debt	6 Months Ended
	Jul. 03, 2022
Debt Disclosure [Abstract]
Debt	Debt Exchange Offers On April 14, 2022, we initiated a registered exchange offering of our outstanding Senior Unsecured Notes (the “Notes”) for new issues of substantially identical registered debt securities (the “Exchange Offers”). The Exchange Offers expired on May 16, 2022, at which time substantially all of the Notes were exchanged for registered senior unsecured notes with the U.S. Securities and Exchange Commission. Debt Issuance and redemption On May 16, 2022, NXP B.V., together with NXP Funding LLC and NXP USA, Inc., issued $500 million of 4.4% senior unsecured notes due June 1, 2027 and $1 billion of 5.0% senior unsecured notes due January 15, 2033. On May 27, 2022 we redeemed the $900 million aggregate principal amount of outstanding dollar-denominated 4.625% Senior Unsecured Notes due 2023 in accordance with the terms of the indenture. The following table summarizes the outstanding debt as of July 3, 2022 and December 31, 2021: July 3, 2022 December 31, 2021 Maturities Amount Interest Amount Interest Fixed-rate 4.625% senior unsecured notes Jun, 2023 — 4.625 900 4.625 Fixed-rate 4.875% senior unsecured notes Mar, 2024 1,000 4.875 1,000 4.875 Fixed-rate 2.7% senior unsecured notes May, 2025 500 2.700 500 2.700 Fixed-rate 5.35% senior unsecured notes Mar, 2026 500 5.350 500 5.350 Fixed-rate 3.875% senior unsecured notes Jun, 2026 750 3.875 750 3.875 Fixed-rate 3.15% senior unsecured notes May, 2027 500 3.150 500 3.150 Fixed-rate 4.40% senior unsecured notes June, 2027 500 4.400 — — Fixed-rate 5.55% senior unsecured notes Dec, 2028 500 5.550 500 5.550 Fixed-rate 4.3% senior unsecured notes Jun, 2029 1,000 4.300 1,000 4.300 Fixed-rate 3.4% senior unsecured notes May, 2030 1,000 3.400 1,000 3.400 Fixed-rate 2.5% senior unsecured notes May, 2031 1,000 2.500 1,000 2.500 Fixed-rate 2.65% senior unsecured notes Feb, 2032 1,000 2.650 1,000 2.650 Fixed-rate 5.00% senior unsecured notes Jan, 2033 1,000 5.000 — — Fixed-rate 3.25% senior unsecured notes May, 2041 1,000 3.250 1,000 3.250 Fixed-rate 3.125% senior unsecured notes Feb, 2042 500 3.125 500 3.125 Fixed-rate 3.25% senior unsecured notes Nov, 2051 500 3.250 500 3.250 Floating-rate revolving credit facility (RCF) Jun, 2024 — — — — Total principal 11,250 10,650 Unamortized discounts, premiums and debt (90) (78) Total debt, including unamortized discounts, 11,160 10,572 Current portion of long-term debt — — Long-term debt 11,160 10,572

Related-Party Transactions

Related-Party Transactions	6 Months Ended
	Jul. 03, 2022
Related Party Transactions [Abstract]
Related-Party Transactions	Related-Party Transactions The Company's related parties are the members of the board of directors of NXP Semiconductors N.V., the executive officers of NXP Semiconductors N.V. and equity-accounted investees. The following table presents the amounts related to revenue and other income and purchase of goods and services incurred in transactions with these related parties: For the three months ended For the six months ended July 3, 2022 July 4, 2021 July 3, 2022 July 4, 2021 Revenue and other income 2 2 5 4 Purchase of goods and services 1 1 2 2 The following table presents the amounts related to receivable and payable balances with these related parties: July 3, 2022 December 31, 2021 Receivables 1 1 Payables 3 3

Fair Value Measurements

Fair Value Measurements	6 Months Ended
	Jul. 03, 2022
Fair Value Disclosures [Abstract]
Fair Value Measurements	Fair Value Measurements The following table summarizes the estimated fair value of our financial instruments which are measured at fair value on a recurring basis: Estimated fair value Fair value July 3, 2022 December 31, 2021 Assets: Money market funds 1 2,554 2,111 Marketable equity securities 1 10 18 Derivative instruments-assets 2 1 5 Liabilities: Derivative instruments-liabilities 2 (26) (3) The following methods and assumptions were used to estimate the fair value of financial instruments: Assets and liabilities measured at fair value on a recurring basis Investments in money market funds (as part of our cash and cash equivalents) and marketable equity securities (as part of other non-current assets) have fair value measurements which are all based on quoted prices in active markets for identical assets or liabilities. For derivatives (as part of other current assets or accrued liabilities) the fair value is based upon significant other observable inputs depending on the nature of the derivative. Assets and liabilities recorded at fair value on a non-recurring basis We measure and record our non-marketable equity securities, equity method investments and non-financial assets, such as intangible assets and property, plant and equipment, at fair value when an impairment charge is required. Assets and liabilities not recorded at fair value on a recurring basis Financial instruments not recorded at fair value on a recurring basis include non-marketable equity securities and equity method investments that have not been remeasured or impaired in the current period and debt. As of July 3, 2022, the estimated fair value of current and non-current debt was $10.2 billion ($11.3 billion as of December 31, 2021). The fair value is estimated on the basis of broker-dealer quotes, which are Level 2 inputs. Accrued interest is included under accrued liabilities and not within the carrying amount or estimated fair value of debt.

Commitments and Contingencies

Commitments and Contingencies	6 Months Ended
	Jul. 03, 2022
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies Disclosure	Commitments and Contingencies Purchase Commitments The Company maintains purchase commitments with certain suppliers, primarily for raw materials, semi-finished goods and manufacturing services and for some non-production items. Purchase commitments for inventory materials are generally restricted to a forecasted time-horizon as mutually agreed upon between the parties. This forecasted time-horizon can vary for different suppliers. As of July 3, 2022, the Company had purchase commitments of $3,885 million, which are due through 2044. Our long-term obligations increased substantially in 2021 as we locked in long-term supply with our key manufacturing partners. Litigation We are regularly involved as plaintiffs or defendants in claims and litigation relating to a variety of matters such as contractual disputes, personal injury claims, employee grievances and intellectual property litigation. In addition, our acquisitions, divestments and financial transactions sometimes result in, or are followed by, claims or litigation. Some of these claims may possibly be recovered from insurance reimbursements. Although the ultimate disposition of asserted claims cannot be predicted with certainty, it is our belief that the outcome of any such claims, either individually or on a combined basis, will not have a material adverse effect on our consolidated financial position. However, such outcomes may be material to our condensed consolidated statement of operations for a particular period. The Company records an accrual for any claim that arises whenever it considers that it is probable that it is exposed to a loss contingency and the amount of the loss contingency can be reasonably estimated. The Company does not record a gain contingency until the period in which all contingencies are resolved and the gain is realized or realizable. Legal fees are expensed when incurred. Based on the most current information available to it and based on its best estimate, the Company also reevaluates at least on a quarterly basis the claims that have arisen to determine whether any new accruals need to be made or whether any accruals made need to be adjusted. Based on the procedures described above, the Company has an aggregate amount of $61 million accrued for potential and current legal proceedings pending as of July 3, 2022, compared to $65 million accrued at December 31, 2021 (without reduction for any related insurance reimbursements). The accruals are included in “Other non-current liabilities”. As of July 3, 2022, the Company’s related balance of insurance reimbursements was $43 million (December 31, 2021: $46 million) and is included in “Other non-current assets”. The Company also estimates the aggregate range of reasonably possible losses in excess of the amount accrued based on currently available information for those cases for which such estimate can be made. The estimated aggregate range requires significant judgment, given the varying stages of the proceedings, the existence of multiple defendants (including the Company) in such claims whose share of liability has yet to be determined, the numerous yet-unresolved issues in many of the claims, and the attendant uncertainty of the various potential outcomes of such claims. Accordingly, the Company’s estimate will change from time to time, and actual losses may be more than the current estimate. As at July 3, 2022, the Company believes that for all litigation pending its potential aggregate exposure to loss in excess of the amount accrued (without reduction for any amounts that may possibly be recovered under insurance programs) could range between $0 and $72 million. Based upon our past experience with these matters, the Company would expect to receive additional insurance reimbursement of up to $89 million on certain of these claims that would partially offset the potential aggregate exposure to loss in excess of the amount accrued. In addition, the Company is currently assisting Motorola in the defense of personal injury lawsuits due to indemnity obligations included in the agreement that separated Freescale from Motorola in 2004. The multi-plaintiff Motorola lawsuits are pending in the Circuit Court of Cook County, Illinois. These claims allege a link between working in semiconductor manufacturing clean room facilities and birth defects in 22 individuals. The Motorola suits allege exposures between 1980 and 2005. Each claim seeks an unspecified amount of damages for the alleged injuries; however, legal counsel representing the plaintiffs has indicated they will seek substantial compensatory and punitive damages from Motorola for the entire inventory of claims which, if proven and recovered, the Company considers to be material. A portion of any indemnity due to Motorola will be reimbursed to NXP if Motorola receives an indemnification payment from its insurance coverage. Motorola has potential insurance coverage for many of the years indicated above, but with differing types and levels of coverage, self-insurance retention amounts and deductibles. We are in discussions with Motorola and their insurers regarding the availability of applicable insurance coverage for each of the individual cases. Motorola and NXP have denied liability for these alleged injuries based on numerous defenses.

Significant Accounting Polici_2

Significant Accounting Policies and Recent Accounting Pronouncements (Policies)	6 Months Ended
	Jul. 03, 2022
Accounting Policies [Abstract]
Recently adopted accounting pronouncements	Accounting standards recently adopted No new accounting pronouncements were issued or became effective in the period that had, or are expected to have, a material impact on our Consolidated Financial Statements.

Supplemental Financial Inform_2

Supplemental Financial Information (Tables)	6 Months Ended
	Jul. 03, 2022
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Disaggregation of revenue	The following table presents revenue disaggregated by sales channel: For the three months ended For the six months ended July 3, 2022 July 4, 2021 July 3, 2022 July 4, 2021 Distributors 1,829 1,518 3,509 2,986 Original Equipment Manufacturers and Electronic Manufacturing Services 1,441 1,040 2,853 2,104 Other 42 38 86 73 Total 3,312 2,596 6,448 5,163
Depreciation Amortization And Impairment Charges [Table Text Block]	For the three months ended For the six months ended July 3, 2022 July 4, 2021 July 3, 2022 July 4, 2021 Depreciation of property, plant and equipment 149 135 291 267 Amortization of internal use software 4 2 6 4 Amortization of other identified intangible assets 1) 164 168 330 375 Total - Depreciation, amortization and impairment 317 305 627 646
Schedule of financial income and expense	For the three months ended For the six months ended July 3, 2022 July 4, 2021 July 3, 2022 July 4, 2021 Interest income 6 1 8 2 Interest expense (106) (90) (210) (177) Total interest expense, net (100) (89) (202) (175) Extinguishment of debt (18) — (18) — Foreign exchange rate results 3 (1) 3 — Miscellaneous financing costs/income and other, net (13) (10) (16) (12) Total other financial income/ (expense) (28) (11) (31) (12) Total - Financial income and expenses (128) (100) (233) (187)
Schedule of earnings per share	The computation of earnings per share (EPS) is presented in the following table: For the three months ended For the six months ended July 3, 2022 July 4, 2021 July 3, 2022 July 4, 2021 Net income (loss) 683 406 1,349 770 Less: net income (loss) attributable to non-controlling interests 13 9 22 20 Net income (loss) attributable to stockholders 670 397 1,327 750 Weighted average number of shares outstanding (after deduction of treasury shares) during the year (in thousands) 262,579 272,686 262,837 275,145 Plus incremental shares from assumed conversion of: Options 1) 295 394 309 406 Restricted Share Units, Performance Share Units and Equity Rights 2) 1,818 5,655 1,763 5,512 Dilutive potential common shares 2,113 6,049 2,072 5,918 Adjusted weighted average number of shares outstanding (after deduction of treasury shares) during the year (in thousands) 264,692 278,735 264,909 281,063 EPS attributable to stockholders in $: Basic net income (loss) 2.55 1.46 5.05 2.73 Diluted net income (loss) 2.53 1.42 5.01 2.67 1) There were no stock options to purchase shares of NXP’s common stock that were outstanding in Q2 2022 and YTD 2022 (Q2 2021 and YTD 2021: no shares) that were anti-dilutive and were not included in the computation of diluted EPS because the exercise price was greater than the average fair market value of the common stock or the number of shares assumed to be repurchased using the proceeds of unrecognized compensation expense and exercise prices were greater than the weighted average number of shares underlying outstanding stock options. 2) There were 0.3 million unvested RSUs, PSUs and equity rights that were outstanding in Q2 2022 and 0.3 million outstanding YTD 2022 (Q2 2021 and YTD 2021: no shares) that were anti-dilutive and were not included in the computation of diluted EPS because the number of shares assumed to be repurchased using the proceeds of unrecognized compensation expense were greater than the weighted average number of outstanding unvested RSUs, PSUs and equity rights or the performance goal has not been met yet.
Schedule of inventories	Inventories are summarized as follows: July 3, 2022 December 31, 2021 Raw materials 129 107 Work in process 1,083 846 Finished goods 250 236 1,462 1,189
Marketable Securities	At July 3, 2022 and December 31, 2021, the total carrying value of investments in equity securities is summarized as follows: July 3, 2022 December 31, 2021 Marketable equity securities 10 18 Non-marketable equity securities 10 19 Equity-accounted investments 88 75 108 112
Summary of Carrying Value of Investments in Equity-Accounted Investees	The total carrying value of investments in equity-accounted investees is summarized as follows: July 3, 2022 December 31, 2021 Shareholding % Amount Shareholding % Amount SMART Growth Fund, L.P. 1) 8.41 % 44 8.41 % 31 Others — 44 — 44 88 75 1) Previously named “Wise Road Industry Investment Fund I, L.P.”
Results Relating to Equity-Accounted Investees	Results related to equity-accounted investees at the end of each period were as follows: For the three months ended For the six months ended July 3, 2022 July 4, 2021 July 3, 2022 July 4, 2021 Company's share in income (loss) (3) (2) 8 (3) Other results — — 1 — (3) (2) 9 (3)
Other Current Liabilities	Other current liabilities at July 3, 2022 and December 31, 2021 consisted of the following: July 3, 2022 December 31, 2021 Accrued compensation and benefits 463 476 Income taxes payable 134 82 Dividend payable 222 149 Other 648 468 1,467 1,175
Schedule of accumulated other comprehensive income (loss)	The after-tax components of accumulated other comprehensive income (loss) and their corresponding changes are shown below: Currency Change in fair Net actuarial Accumulated As of December 31, 2021 207 — (159) 48 Other comprehensive income (loss) before (87) (24) (1) (112) Amounts reclassified out of accumulated other — 8 — 8 Tax effects — 4 — 4 Other comprehensive income (loss) (87) (12) (1) (100) As of July 3, 2022 120 (12) (160) (52)
Schedule of cash dividends	The following dividends were declared during the first two quarters of 2022 and 2021 under NXP’s quarterly dividend program: Fiscal year 2022 Fiscal year 2021 Dividend per share Amount Dividend per share Amount First quarter 0.845 222 0.5625 155 Second quarter 0.845 222 0.5625 152

Restructuring (Tables)

Restructuring (Tables)	6 Months Ended
	Jul. 03, 2022
Restructuring and Related Activities [Abstract]
Schedule of Restructuring Charges	The following table presents the changes in restructuring liabilities in 2022: As of January 1, 2022 Additions Utilized Released Other As of July 3, 2022 Restructuring liabilities 37 1 (8) (5) (1) 24 These restructuring charges recorded in operating income, for the periods indicated, are included in the following line items in the statement of operations: For the three months ended For the six months ended July 3, 2022 July 4, 2021 July 3, 2022 July 4, 2021 Cost of revenue (3) — (3) — Research and development (1) 1 (2) 1 Selling, general and administrative — — — — Net restructuring charges (4) 1 (5) 1

Income Taxes (Tables)

Income Taxes (Tables)	6 Months Ended
	Jul. 03, 2022
Income Tax Disclosure [Abstract]
Schedule of Income Tax Expense (Benefits) and Effective Tax Rates	Benefit/provision for income taxes: For the three months ended For the six months ended July 3, 2022 July 4, 2021 July 3, 2022 July 4, 2021 Tax expense (benefit) 129 65 243 105 Effective tax rate 15.8 % 13.7 % 15.4 % 12.0 %

Identified Intangible Assets (T

Identified Intangible Assets (Tables)	6 Months Ended
	Jul. 03, 2022
Goodwill and Intangible Assets Disclosure [Abstract]
Schedule of Identified Intangible Assets	Identified intangible assets as of July 3, 2022 and December 31, 2021, respectively, were composed of the following: July 3, 2022 December 31, 2021 Gross carrying Accumulated Gross carrying Accumulated In-process R&D (IPR&D) 1) 53 — 96 — Marketing-related — — 81 (81) Customer-related 849 (345) 852 (325) Technology-based 3,736 (2,766) 3,686 (2,615) Identified intangible assets 4,638 (3,111) 4,715 (3,021) 1) IPR&D is not subject to amortization until completion or abandonment of the associated research and development effort.
Schedule of Estimated Amortization Expense	The estimated amortization expense for these identified intangible assets for each of the five succeeding years is: 2022 (remaining) 308 2023 436 2024 251 2025 133 2026 69 Thereafter 330

Debt (Tables)

Debt (Tables)	6 Months Ended
	Jul. 03, 2022
Debt Disclosure [Abstract]
Schedule of Outstanding Debt	The following table summarizes the outstanding debt as of July 3, 2022 and December 31, 2021: July 3, 2022 December 31, 2021 Maturities Amount Interest Amount Interest Fixed-rate 4.625% senior unsecured notes Jun, 2023 — 4.625 900 4.625 Fixed-rate 4.875% senior unsecured notes Mar, 2024 1,000 4.875 1,000 4.875 Fixed-rate 2.7% senior unsecured notes May, 2025 500 2.700 500 2.700 Fixed-rate 5.35% senior unsecured notes Mar, 2026 500 5.350 500 5.350 Fixed-rate 3.875% senior unsecured notes Jun, 2026 750 3.875 750 3.875 Fixed-rate 3.15% senior unsecured notes May, 2027 500 3.150 500 3.150 Fixed-rate 4.40% senior unsecured notes June, 2027 500 4.400 — — Fixed-rate 5.55% senior unsecured notes Dec, 2028 500 5.550 500 5.550 Fixed-rate 4.3% senior unsecured notes Jun, 2029 1,000 4.300 1,000 4.300 Fixed-rate 3.4% senior unsecured notes May, 2030 1,000 3.400 1,000 3.400 Fixed-rate 2.5% senior unsecured notes May, 2031 1,000 2.500 1,000 2.500 Fixed-rate 2.65% senior unsecured notes Feb, 2032 1,000 2.650 1,000 2.650 Fixed-rate 5.00% senior unsecured notes Jan, 2033 1,000 5.000 — — Fixed-rate 3.25% senior unsecured notes May, 2041 1,000 3.250 1,000 3.250 Fixed-rate 3.125% senior unsecured notes Feb, 2042 500 3.125 500 3.125 Fixed-rate 3.25% senior unsecured notes Nov, 2051 500 3.250 500 3.250 Floating-rate revolving credit facility (RCF) Jun, 2024 — — — — Total principal 11,250 10,650 Unamortized discounts, premiums and debt (90) (78) Total debt, including unamortized discounts, 11,160 10,572 Current portion of long-term debt — — Long-term debt 11,160 10,572

Related-Party Transactions (Tab

Related-Party Transactions (Tables)	6 Months Ended
	Jul. 03, 2022
Related Party Transactions [Abstract]
Schedule of Related Party Transactions	The following table presents the amounts related to revenue and other income and purchase of goods and services incurred in transactions with these related parties: For the three months ended For the six months ended July 3, 2022 July 4, 2021 July 3, 2022 July 4, 2021 Revenue and other income 2 2 5 4 Purchase of goods and services 1 1 2 2
Schedule Of Amounts Receivable From And Payable To Related Parties	The following table presents the amounts related to receivable and payable balances with these related parties: July 3, 2022 December 31, 2021 Receivables 1 1 Payables 3 3

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	6 Months Ended
	Jul. 03, 2022
Fair Value Disclosures [Abstract]
Fair Value, Assets Measured on Recurring and Nonrecurring Basis	The following table summarizes the estimated fair value of our financial instruments which are measured at fair value on a recurring basis: Estimated fair value Fair value July 3, 2022 December 31, 2021 Assets: Money market funds 1 2,554 2,111 Marketable equity securities 1 10 18 Derivative instruments-assets 2 1 5 Liabilities: Derivative instruments-liabilities 2 (26) (3)

Acquisitions and Divestments (D

Acquisitions and Divestments (Details) $ in Millions		6 Months Ended
	Jul. 06, 2021 USD ($)	Jul. 03, 2022 business
Business Acquisition [Line Items]
Number of businesses acquired		0
Number of businesses divested		0
Retune DSP
Business Acquisition [Line Items]
Payment to acquire business unit | $	$ 15.7

Supplemental Financial Inform_3

Supplemental Financial Information - Disaggregation of revenue (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jul. 03, 2022	Jul. 04, 2021	Jul. 03, 2022	Jul. 04, 2021
Disaggregation of Revenue [Line Items]
Revenue	$ 3,312	$ 2,596	$ 6,448	$ 5,163
Distributors
Disaggregation of Revenue [Line Items]
Revenue	1,829	1,518	3,509	2,986
Original Equipment Manufacturers and Electronic Manufacturing Services
Disaggregation of Revenue [Line Items]
Revenue	1,441	1,040	2,853	2,104
Other
Disaggregation of Revenue [Line Items]
Revenue	$ 42	$ 38	$ 86	$ 73

Supplemental Financial Inform_4

Supplemental Financial Information - Depreciation, amortization and impairment (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jul. 03, 2022	Jul. 04, 2021	Jul. 03, 2022	Jul. 04, 2021
Finite-Lived Intangible Assets [Line Items]
Depreciation of property, plant and equipment	$ 149	$ 135	$ 291	$ 267
Total - Depreciation, amortization and impairment	317	305	627	646
Internal Use Software
Finite-Lived Intangible Assets [Line Items]
Amortization of intangible assets	4	2	6	4
Other Intangible Assets
Finite-Lived Intangible Assets [Line Items]
Amortization of intangible assets	$ 164	$ 168	$ 330	375
Other Intangible Assets | Marvell
Finite-Lived Intangible Assets [Line Items]
Amortization of intangible assets				$ 36

Supplemental Financial Inform_5

Supplemental Financial Information - Financial income and expense (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jul. 03, 2022	Jul. 04, 2021	Jul. 03, 2022	Jul. 04, 2021
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Interest income	$ 6	$ 1	$ 8	$ 2
Interest expense	(106)	(90)	(210)	(177)
Total interest expense, net	(100)	(89)	(202)	(175)
Foreign exchange rate results	3	(1)	3	0
Miscellaneous financing costs/income and other, net	(13)	(10)	(16)	(12)
Total other financial income/ (expense)	(28)	(11)	(31)	(12)
Total - Financial income and expenses	(128)	(100)	(233)	(187)
(Gain) loss on extinguishment of debt	$ (18)	$ 0	$ (18)	$ 0

Supplemental Financial Inform_6

Supplemental Financial Information - Earnings per share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Millions	3 Months Ended				6 Months Ended
	Jul. 03, 2022	Apr. 03, 2022	Jul. 04, 2021	Apr. 04, 2021	Jul. 03, 2022	Jul. 04, 2021
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Net income (loss)	$ 683	$ 666	$ 406	$ 364	$ 1,349	$ 770
Less: Net income (loss) attributable to non-controlling interests	13		9		22	20
Net income (loss) attributable to stockholders	$ 670		$ 397		$ 1,327	$ 750
Basic (in shares)	262,579		272,686		262,837	275,145
Options (in shares)	295		394		309	406
Restricted Share Units, Performance Share Units and Equity Rights (in shares)	1,818		5,655		1,763	5,512
Dilutive potential common shares (in shares)	2,113		6,049		2,072	5,918
Adjusted weighted average number of shares outstanding (after deduction of treasury shares) during the year (in thousands) (in shares)	264,692		278,735		264,909	281,063
Basic net income (loss) (in dollars per share)	$ 2.55		$ 1.46		$ 5.05	$ 2.73
Diluted net income (loss) (in dollars per share)	$ 2.53		$ 1.42		$ 5.01	$ 2.67
Maximum | Share-based Payment Arrangement, Option
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities excluded from computation of earnings per share (in shares)	0		0		0	0
Maximum | Restricted Stock Units Performance Share Units And Equity Rights
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities excluded from computation of earnings per share (in shares)	300		0		300	0

Supplemental Financial Inform_7

Supplemental Financial Information - Cash and cash equivalents (Details) - USD ($) $ in Millions	6 Months Ended
	Jul. 03, 2022	Jul. 04, 2021	Dec. 31, 2021
Cash and Cash Equivalents [Line Items]
Cash and cash equivalents	$ 3,545		$ 2,830
SSMC
Cash and Cash Equivalents [Line Items]
Cash and cash equivalents	193		$ 208
Dividends	$ 0	$ 0
SSMC | TSMC
Cash and Cash Equivalents [Line Items]
Ownership percentage by noncontrolling owners	38.80%

Supplemental Financial Inform_8

Supplemental Financial Information - Inventories (Details) - USD ($) $ in Millions	Jul. 03, 2022	Dec. 31, 2021
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Finished goods under consignment	$ 8	$ 12
Raw materials	129	107
Work in process	1,083	846
Finished goods	250	236
Inventory, Net	1,462	1,189
Allowance for obsolescence	$ 136	$ 120

Supplemental Financial Inform_9

Supplemental Financial Information (Details) - Equity investments - USD ($) $ in Millions	Jul. 03, 2022	Dec. 31, 2021
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Marketable equity securities	$ 10	$ 18
Other Investments	10	19
Equity Method Investments	88	75
Investments	$ 108	$ 112

Supplemental Financial Infor_10

Supplemental Financial Information - Other current liabilities (Details) - USD ($) $ in Millions	Jul. 03, 2022	Apr. 03, 2022	Dec. 31, 2021	Jul. 04, 2021	Apr. 04, 2021
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Accrued Employee Benefits, Current	$ 463		$ 476
Taxes Payable, Current	134		82
Dividends Payable	222	$ 222	149	$ 152	$ 155
Other Accrued Liabilities, Current	648		468
Other current liabilities	$ 1,467		$ 1,175

Supplemental Financial Infor_11

Supplemental Financial Information - Accumulated other comprehensive income (loss) (Details) $ in Millions	6 Months Ended
	Jul. 03, 2022 USD ($)
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward]
Beginning balance	$ 6,770
Other comprehensive income (loss) before reclassifications	(112)
Amounts reclassified out of accumulated other comprehensive income (loss)	8
Other comprehensive income (loss)	4
Other comprehensive income (loss)	(100)
Ending balance	7,226
Currency  translation differences
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward]
Beginning balance	207
Other comprehensive income (loss) before reclassifications	(87)
Amounts reclassified out of accumulated other comprehensive income (loss)	0
Other comprehensive income (loss)	0
Other comprehensive income (loss)	(87)
Ending balance	120
Change in fair  value cash flow hedges
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward]
Beginning balance	0
Other comprehensive income (loss) before reclassifications	(24)
Amounts reclassified out of accumulated other comprehensive income (loss)	8
Other comprehensive income (loss)	4
Other comprehensive income (loss)	(12)
Ending balance	(12)
Net actuarial gain/(losses)
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward]
Beginning balance	(159)
Other comprehensive income (loss) before reclassifications	(1)
Amounts reclassified out of accumulated other comprehensive income (loss)	0
Other comprehensive income (loss)	0
Other comprehensive income (loss)	(1)
Ending balance	(160)
Accumulated other comprehensive income (loss)
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward]
Beginning balance	48
Ending balance	$ (52)

Supplemental Financial Infor_12

Supplemental Financial Information - Cash dividends (Details) - USD ($) $ / shares in Units, $ in Millions	3 Months Ended
	Jul. 03, 2022	Apr. 03, 2022	Jul. 04, 2021	Apr. 04, 2021	Dec. 31, 2021
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Dividends common stock (in dollars per share)	$ 0.845	$ 0.845	$ 0.5625	$ 0.5625
Dividends Payable	$ 222	$ 222	$ 152	$ 155	$ 149

Supplemental Financial Infor_13

Supplemental Financial Information - Summary of carrying value of investments in equity-accounted investees (Details) - USD ($) $ in Millions	Jul. 03, 2022	Dec. 31, 2021
Schedule of Equity Method Investments [Line Items]
Equity Method Investments	$ 88	$ 75
Wiseroad
Schedule of Equity Method Investments [Line Items]
Equity Method Investment, Ownership Percentage	8.41%	8.41%
Equity Method Investments	$ 44	$ 31
Others
Schedule of Equity Method Investments [Line Items]
Equity Method Investment, Ownership Percentage	0%	0%
Equity Method Investments	$ 44	$ 44

Supplemental Financial Infor_14

Supplemental Financial Information - Results relating to equity-accounted investees (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jul. 03, 2022	Jul. 04, 2021	Jul. 03, 2022	Jul. 04, 2021
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Income Loss from Equity Method Investments Before Extraordinary Items	$ (3)	$ (2)	$ 8	$ (3)
Extraordinary Income Loss From Equity Method Investments	0	0	1	0
Income (Loss) from Equity Method Investments	$ (3)	$ (2)	$ 9	$ (3)

Restructuring - Change in Restr

Restructuring - Change in Restructuring Reserve (Details) $ in Millions	6 Months Ended
	Jul. 03, 2022 USD ($)
Restructuring Reserve [Roll Forward]
Restructuring liability, beginning balance	$ 37
Additions	1
Utilized	(8)
Released	(5)
Other changes	(1)
Restructuring liability, ending balance	$ 24

Restructuring - Narrative (Deta

Restructuring - Narrative (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jul. 03, 2022	Jul. 04, 2021	Jul. 03, 2022	Jul. 04, 2021
Restructuring Cost and Reserve [Line Items]
Restructuring charges	$ (4)	$ 1	$ (5)	$ 1
Personnel lay-off costs
Restructuring Cost and Reserve [Line Items]
Restructuring charges			$ 0

Restructuring - Schedule of Res

Restructuring - Schedule of Restructuring Charges Recorded in Operating Income (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jul. 03, 2022	Jul. 04, 2021	Jul. 03, 2022	Jul. 04, 2021
Restructuring Cost and Reserve [Line Items]
Net restructuring charges	$ (4)	$ 1	$ (5)	$ 1
Cost of revenue
Restructuring Cost and Reserve [Line Items]
Net restructuring charges	(3)	0	(3)	0
Research and development
Restructuring Cost and Reserve [Line Items]
Net restructuring charges	(1)	1	(2)	1
Selling, general and administrative
Restructuring Cost and Reserve [Line Items]
Net restructuring charges	$ 0	$ 0	$ 0	$ 0

Income Taxes - Schedule of Inco

Income Taxes - Schedule of Income Tax Expense (Benefits) and Effective Tax Rate (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jul. 03, 2022	Jul. 04, 2021	Jul. 03, 2022	Jul. 04, 2021
Income Tax Disclosure [Abstract]
Tax expense (benefit)	$ 129	$ 65	$ 243	$ 105
Effective tax rate	15.80%	13.70%	15.40%	12%

Income Taxes (Details)

Income Taxes (Details) - USD ($) $ / shares in Units, $ in Millions	3 Months Ended		6 Months Ended
	Jul. 03, 2022	Jul. 04, 2021	Jul. 03, 2022	Jul. 04, 2021
Income Tax Disclosure [Abstract]
Tax expense (benefit)	$ 129	$ 65	$ 243	$ 105
Effective tax rate	15.80%	13.70%	15.40%	12%
Foreign income tax change due to impact of tax holiday	$ 4	$ 3	$ 7	$ 7
Income tax holiday (in dollars per share)	$ 0.02	$ 0.02	$ 0.03	$ 0.03

Identified Intangible Assets -

Identified Intangible Assets - Summary of Identified Intangible Assets (Details) - USD ($) $ in Millions	Jul. 03, 2022	Dec. 31, 2021
Finite-Lived Intangible Assets [Line Items]
Finite-lived intangible assets, gross carrying amount	$ 4,638	$ 4,715
Finite-lived intangible assets, accumulated amortization	(3,111)	(3,021)
Marketing-related
Finite-Lived Intangible Assets [Line Items]
Finite-lived intangible assets, gross carrying amount	0	81
Finite-lived intangible assets, accumulated amortization	0	(81)
Customer-related
Finite-Lived Intangible Assets [Line Items]
Finite-lived intangible assets, gross carrying amount	849	852
Finite-lived intangible assets, accumulated amortization	(345)	(325)
Technology-based
Finite-Lived Intangible Assets [Line Items]
Finite-lived intangible assets, gross carrying amount	3,736	3,686
Finite-lived intangible assets, accumulated amortization	(2,766)	(2,615)
In-process R&D (IPR&D)
Finite-Lived Intangible Assets [Line Items]
Indefinite-lived intangible assets, gross carrying amount	$ 53	$ 96

Identified Intangible Assets _2

Identified Intangible Assets - Schedule of Estimated Amortization Expense (Details) - Other Intangible Assets $ in Millions	Jul. 03, 2022 USD ($)
Finite-Lived Intangible Assets [Line Items]
2022	$ 308
2023	436
2024	251
2025	133
2026	69
Thereafter	$ 330

Identified Intangible Assets _3

Identified Intangible Assets - Narrative (Details)	6 Months Ended	12 Months Ended
	Jul. 03, 2022	Dec. 31, 2021
Goodwill and Intangible Assets Disclosure [Abstract]
Expected weighted average remaining life of identified intangibles	4 years	4 years

Debt - Schedule of Outstanding

Debt - Schedule of Outstanding Debt (Details) - USD ($) $ in Millions	Jul. 03, 2022	May 27, 2022	May 16, 2022	Dec. 31, 2021
Debt Instrument [Line Items]
Debt instrument, principal amount	$ 11,250			$ 10,650
Unamortized discounts, premiums and debt issuance costs	(90)			(78)
Total debt, including unamortized discounts, premiums, debt issuance costs and fair value adjustments	11,160			10,572
Current portion of long-term debt	0			0
Long-term debt	11,160			10,572
Unsecured Debt | Fixed-rate 4.625% senior unsecured notes
Debt Instrument [Line Items]
Debt instrument, principal amount	$ 0			$ 900
Debt Instrument, Interest Rate, Stated Percentage	4.625%	4.625%		4.625%
Debt Instrument, Repurchase Amount		$ 900
Unsecured Debt | Fixed-rate 4.875% senior unsecured notes
Debt Instrument [Line Items]
Debt instrument, principal amount	$ 1,000			$ 1,000
Debt Instrument, Interest Rate, Stated Percentage	4.875%			4.875%
Unsecured Debt | Fixed-rate 2.7% senior unsecured notes
Debt Instrument [Line Items]
Debt instrument, principal amount	$ 500			$ 500
Debt Instrument, Interest Rate, Stated Percentage	2.70%			2.70%
Unsecured Debt | Fixed-rate 5.35% senior unsecured notes
Debt Instrument [Line Items]
Debt instrument, principal amount	$ 500			$ 500
Debt Instrument, Interest Rate, Stated Percentage	5.35%			5.35%
Unsecured Debt | Fixed-rate 3.875% senior unsecured notes
Debt Instrument [Line Items]
Debt instrument, principal amount	$ 750			$ 750
Debt Instrument, Interest Rate, Stated Percentage	3.875%			3.875%
Unsecured Debt | Fixed-rate 3.15% senior unsecured notes
Debt Instrument [Line Items]
Debt instrument, principal amount	$ 500			$ 500
Debt Instrument, Interest Rate, Stated Percentage	3.15%			3.15%
Unsecured Debt | Fixed-Rate 4.4% Senior Unsecured Notes, Maturing May 2027
Debt Instrument [Line Items]
Debt instrument, principal amount	$ 500		$ 500	$ 0
Debt Instrument, Interest Rate, Stated Percentage	4.40%		4.40%	0%
Unsecured Debt | Fixed-rate 5.55% senior unsecured notes
Debt Instrument [Line Items]
Debt instrument, principal amount	$ 500			$ 500
Debt Instrument, Interest Rate, Stated Percentage	5.55%			5.55%
Unsecured Debt | Fixed-rate 4.3% senior unsecured notes
Debt Instrument [Line Items]
Debt instrument, principal amount	$ 1,000			$ 1,000
Debt Instrument, Interest Rate, Stated Percentage	4.30%			4.30%
Unsecured Debt | Fixed-rate 3.4% senior unsecured notes
Debt Instrument [Line Items]
Debt instrument, principal amount	$ 1,000			$ 1,000
Debt Instrument, Interest Rate, Stated Percentage	3.40%			3.40%
Unsecured Debt | Fixed-Rate 2.5% Senior Unsecured Notes, Maturing May 2031
Debt Instrument [Line Items]
Debt instrument, principal amount	$ 1,000			$ 1,000
Debt Instrument, Interest Rate, Stated Percentage	2.50%			2.50%
Unsecured Debt | Fixed-Rate 2.65% Senior Unsecured Notes, Maturing February 2032
Debt Instrument [Line Items]
Debt instrument, principal amount	$ 1,000			$ 1,000
Debt Instrument, Interest Rate, Stated Percentage	2.65%			2.65%
Unsecured Debt | Fixed-Rate 5.0% Senior Unsecured Notes, Maturing May 2033
Debt Instrument [Line Items]
Debt instrument, principal amount	$ 1,000		$ 1,000	$ 0
Debt Instrument, Interest Rate, Stated Percentage	5%		5%	0%
Unsecured Debt | Fixed-Rate 3.25% Senior Unsecured Notes, Maturing May 2041
Debt Instrument [Line Items]
Debt instrument, principal amount	$ 1,000			$ 1,000
Debt Instrument, Interest Rate, Stated Percentage	3.25%			3.25%
Unsecured Debt | Fixed-Rate 3.125% Senior Unsecured Notes, Maturing February 2042
Debt Instrument [Line Items]
Debt instrument, principal amount	$ 500			$ 500
Debt Instrument, Interest Rate, Stated Percentage	3.125%			3.125%
Unsecured Debt | Fixed-Rate 3.25% Senior Unsecured Notes, Maturing November 2051
Debt Instrument [Line Items]
Debt instrument, principal amount	$ 500			$ 500
Debt Instrument, Interest Rate, Stated Percentage	3.25%			3.25%
Revolving Credit Facility | Floating-rate revolving credit facility (RCF)
Debt Instrument [Line Items]
Debt instrument, principal amount	$ 0			$ 0
Debt Instrument, Interest Rate, Stated Percentage	0%			0%

Related-Party Transactions - Sc

Related-Party Transactions - Schedule of Amounts Related to Revenue and Other Income and Purchase of Goods and Services Incurred in Transactions (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jul. 03, 2022	Jul. 04, 2021	Jul. 03, 2022	Jul. 04, 2021
Related Party Transactions [Abstract]
Revenue and other income	$ 2	$ 2	$ 5	$ 4
Purchase of goods and services	$ 1	$ 1	$ 2	$ 2

Related-Party Transactions - _2

Related-Party Transactions - Schedule of Amounts Related to Receivable and Payable Balances with Related Parties (Details) - USD ($) $ in Millions	Jul. 03, 2022	Dec. 31, 2021
Related Party Transactions [Abstract]
Receivables	$ 1	$ 1
Payables	$ 3	$ 3

Fair Value Measurements - Summa

Fair Value Measurements - Summary of Financial Instruments (Details) - USD ($) $ in Millions	Jul. 03, 2022	Dec. 31, 2021
Assets:
Marketable equity securities	$ 10	$ 18
Estimate of Fair Value Measurement | Level 1
Assets:
Marketable equity securities	10	18
Estimate of Fair Value Measurement | Level 2
Assets:
Derivative instruments-assets	1	5
Liabilities:
Derivative instruments-liabilities	(26)	(3)
Estimate of Fair Value Measurement | Money market funds | Level 1
Assets:
Money market funds	$ 2,554	$ 2,111

Fair Value Measurements (Detail

Fair Value Measurements (Details) - USD ($) $ in Millions	Jul. 03, 2022	Dec. 31, 2021
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Long-term debt	$ 11,160	$ 10,572
Level 2 | Estimate of Fair Value Measurement
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Long-term debt	$ 10,200	$ 11,300

Commitments and Contingencies -

Commitments and Contingencies - Narrative (Details) $ in Millions	6 Months Ended
	Jul. 03, 2022 USD ($) individual	Dec. 31, 2021 USD ($)
Commitments and Contingencies [Line Items]
Purchase Obligation	$ 3,885
Accrued potential and legal fees	61	$ 65
Insurance reimbursements	43	$ 46
Insurance reimbursement of claims potential maximum exposure	$ 89
Number of birth defect individuals | individual	22
Minimum
Commitments and Contingencies [Line Items]
Range of possible loss	$ 0
Maximum
Commitments and Contingencies [Line Items]
Range of possible loss	$ 72