| 1000 - CONDENSED CONSOLIDATED BALANCE SHEETS (USD $) | |||||||||||||||||||
| In Millions | 9 Months Ended
Jun. 28, 2009 | Sep. 28, 2008
| |||||||||||||||||
| Current assets: | |||||||||||||||||||
| Cash and cash equivalents | $3,721 | $1,840 | |||||||||||||||||
| Marketable securities | 6,159 | 4,571 | |||||||||||||||||
| Accounts receivable, net | 943 | 4,038 | |||||||||||||||||
| Inventories | 375 | 521 | |||||||||||||||||
| Deferred tax assets | 286 | 289 | |||||||||||||||||
| Other current assets | 247 | 464 | |||||||||||||||||
| Total current assets | 11,731 | 11,723 | |||||||||||||||||
| Marketable securities | 5,801 | 4,858 | |||||||||||||||||
| Deferred tax assets | 822 | 830 | |||||||||||||||||
| Property, plant and equipment, net | 2,311 | 2,162 | |||||||||||||||||
| Goodwill | 1,512 | 1,517 | |||||||||||||||||
| Other intangible assets, net | 3,138 | 3,104 | |||||||||||||||||
| Other assets | 398 | 369 | |||||||||||||||||
| Total assets | 25,713 | 24,563 | |||||||||||||||||
| Current liabilities: | |||||||||||||||||||
| Accounts Payable Current | 561 | 570 | |||||||||||||||||
| Payroll and other benefits related liabilities | 459 | 406 | |||||||||||||||||
| Unearned revenues | 447 | 394 | |||||||||||||||||
| Other current liabilities | 905 | 921 | |||||||||||||||||
| Total current liabilities | 2,372 | 2,291 | |||||||||||||||||
| Unearned revenues | 3,528 | 3,768 | |||||||||||||||||
| Income taxes payable | 263 | 227 | |||||||||||||||||
| Other liabilities | 839 | 333 | |||||||||||||||||
| Total liabilities | 7,002 | 6,619 | |||||||||||||||||
| Commitments and contingencies | 0 | [1] | |||||||||||||||||
| Stockholders' equity: | |||||||||||||||||||
| Preferred stock, $0.0001 par value; issuable in series; 8 shares authorized; none outstanding at June 28, 2009 and September 28, 2008 | 0 | 0 | |||||||||||||||||
| Common stock, $0.0001 par value; 6,000 shares authorized; 1,659 and 1,656 shares issued and outstanding at June 28, 2009 and September 28, 2008, respectively | 0 | 0 | |||||||||||||||||
| Paid-in capital | 7,988 | 7,511 | |||||||||||||||||
| Retained earnings | 10,716 | 10,717 | |||||||||||||||||
| Accumulated other comprehensive income (loss) | 7 | (284) | |||||||||||||||||
| Total stockholders' equity | 18,711 | 17,944 | |||||||||||||||||
| Total liabilities and stockholders' equity | $25,713 | $24,563 | |||||||||||||||||
| [1]Refer to Note 8 | |||||||||||||||||||
| 1100 - PARENTHETICAL DISCLOSURES TO THE CONDENSED CONSOLIDATED BALANCE SHEET (USD $) | ||
| Share data in Millions, except Per Share data | Jun. 28, 2009
| Sep. 28, 2008
|
| Stockholders' equity: | ||
| Preferred stock, par value | 0.0001 | 0.0001 |
| Preferred stock, shares authorized | 8 | 8 |
| Preferred stock, shares outstanding | 0 | 0 |
| Common stock, par value | 0.0001 | 0.0001 |
| Common stock, shares authorized | 6,000 | 6,000 |
| Common stock, shares issued | 1,659 | 1,656 |
| Common stock, shares outstanding | 1,659 | 1,656 |
| 2000 - CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS (USD $) | |||||||||||||||||||
| In Millions, except Per Share data | 3 Months Ended
Jun. 28, 2009 | 3 Months Ended
Jun. 29, 2008 | 9 Months Ended
Jun. 28, 2009 | 9 Months Ended
Jun. 29, 2008 | |||||||||||||||
| Revenues: | |||||||||||||||||||
| Equipment and services | $1,862 | $1,867 | $4,698 | $5,295 | |||||||||||||||
| Licensing and royalty fees | 891 | 895 | 3,028 | 2,513 | |||||||||||||||
| Total revenues | 2,753 | 2,762 | 7,726 | 7,808 | |||||||||||||||
| Operating expenses: | |||||||||||||||||||
| Cost of equipment and services revenues | 864 | 889 | 2,357 | 2,493 | |||||||||||||||
| Research and development | 618 | 596 | 1,826 | 1,660 | |||||||||||||||
| Selling, general and administrative | 377 | 453 | 1,165 | 1,261 | |||||||||||||||
| Litigation settlement | 0 | [1] | 0 | [1] | 748 | [1] | 0 | [1] | |||||||||||
| Total operating expenses | 1,859 | 1,938 | 6,096 | 5,414 | |||||||||||||||
| Operating income | 894 | 824 | 1,630 | 2,394 | |||||||||||||||
| Investment income (loss), net: | |||||||||||||||||||
| Total other-than-temporary impairment losses | (124) | (83) | (725) | (202) | |||||||||||||||
| Portion of loss recognized in other comprehensive income | 8 | 0 | 8 | 0 | |||||||||||||||
| Net impairment losses recognized in earnings | (116) | (83) | (717) | (202) | |||||||||||||||
| Other investment income, net | 206 | 141 | 421 | 526 | |||||||||||||||
| Total investment income (loss), net | 90 | 58 | (296) | 324 | |||||||||||||||
| Income before income taxes | 984 | 882 | 1,334 | 2,718 | |||||||||||||||
| Income tax expense | (247) | (134) | (544) | (436) | |||||||||||||||
| Net income | $737 | $748 | $790 | $2,282 | |||||||||||||||
| Basic earnings per common share | 0.45 | 0.46 | 0.48 | 1.4 | |||||||||||||||
| Diluted earnings per common share | 0.44 | 0.45 | 0.47 | 1.38 | |||||||||||||||
| Shares used in per share calculations: | |||||||||||||||||||
| Basic | 1,656 | 1,626 | 1,653 | 1,626 | |||||||||||||||
| Diluted | 1,675 | 1,654 | 1,668 | 1,654 | |||||||||||||||
| Dividends per share announced | 0.17 | 0.16 | 0.49 | 0.44 | |||||||||||||||
| [1]Refer to Note 8 | |||||||||||||||||||
| 3000 - CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $) | ||
| In Millions | 9 Months Ended
Jun. 28, 2009 | 9 Months Ended
Jun. 29, 2008 |
| Operating Activities: | ||
| Net income | $790 | $2,282 |
| Adjustments to reconcile net income to net cash provided by operating activities: | ||
| Depreciation and amortization | 460 | 336 |
| Revenues related to non-monetary exchanges | (86) | 0 |
| Non-cash portion of income tax expense | 222 | 148 |
| Non-cash portion of share-based compensation expense | 436 | 393 |
| Incremental tax benefit from stock options exercised | (54) | (310) |
| Net realized gains on marketable securities and other investments | (57) | (158) |
| Net impairment losses on marketable securities and other investments | 717 | 202 |
| Other items, net | (22) | 1 |
| Changes in assets and liabilities, net of effects of acquisitions: | ||
| Accounts receivable, net | 2,691 | (178) |
| Inventories | 143 | (142) |
| Other assets | (17) | 35 |
| Trade accounts payable | (8) | (4) |
| Payroll, benefits and other liabilities | 737 | 12 |
| Unearned revenues | (101) | (50) |
| Net cash provided by operating activities | 5,851 | 2,567 |
| Investing Activities: | ||
| Capital expenditures | (617) | (983) |
| Purchases of available-for-sale securities | (6,497) | (4,944) |
| Proceeds from sale of available-for-sale securities | 3,606 | 5,548 |
| Cash received for partial settlement of investment receivables | 349 | 0 |
| Other investments and acquisitions, net of cash acquired | (47) | (283) |
| Change in collateral held under securities lending | 173 | 95 |
| Other items, net | 6 | 30 |
| Net cash used by investing activities | (3,027) | (537) |
| Financing Activities: | ||
| Proceeds from issuance of common stock | 276 | 700 |
| Incremental tax benefit from stock options exercised | 54 | 310 |
| Dividends paid | (810) | (716) |
| Repurchase and retirement of common stock | (285) | (1,670) |
| Change in obligations under securities lending | (173) | (95) |
| Net cash used by financing activities | (938) | (1,471) |
| Effect of exchange rate changes on cash | (5) | 0 |
| Net increase in cash and cash equivalents | 1,881 | 559 |
| Cash and cash equivalents at beginning of period | 1,840 | 2,411 |
| Cash and cash equivalents at end of period | $3,721 | $2,970 |
| 6000 - Basis of Presentation | |
| 9 Months Ended
Jun. 28, 2009 USD / shares | |
| Basis of Presentation | |
| Note 1 - Basis of Presentation | Note 1 Basis of Presentation Financial Statement Preparation. The accompanying interim condensed consolidated financial statements have been prepared by QUALCOMM Incorporated (the Company or QUALCOMM), without audit, in accordance with the instructions to Form 10-Q and, therefore, do not necessarily include all information and footnotes necessary for a fair presentation of its consolidated financial position, results of operations and cash flows in accordance with accounting principles generally accepted in the United States. The condensed consolidated balance sheet at September 28, 2008 was derived from the audited financial statements at that date but may not include all disclosures required by accounting principles generally accepted in the United States. The Company operates and reports using a 52-53week fiscal year ending on the last Sunday in September. The three-month and nine-month periods ended June 28, 2009 and June 29, 2008 both included 13 weeks and 39 weeks, respectively. In the opinion of management, the unaudited financial information for the interim periods presented reflects all adjustments, which are only normal and recurring, necessary for a fair statement of results of operations, financial position and cash flows. These condensed consolidated financial statements should be read in conjunction with the consolidated financial statements included in the Companys Annual Report on Form 10-K for the fiscal year ended September 28, 2008. Operating results for interim periods are not necessarily indicative of operating results for an entire fiscal year. The preparation of financial statements in conformity with accounting principles generally accepted in the United States requires management to make estimates and assumptions that affect the reported amounts and the disclosure of contingent amounts in the Companys financial statements and the accompanying notes. Actual results could differ from those estimates. Certain prior year amounts have been reclassified to conform to the current year presentation. The Company evaluated subsequent events through July 22, 2009, the date on which this Quarterly Report on Form 10-Q was filed with the Securities and Exchange Commission. Principles of Consolidation. The Companys condensed consolidated financial statements include the assets, liabilities and operating results of majority-owned subsidiaries. The ownership of the other interest holders of consolidated subsidiaries is reflected as minority interest and is not significant. All significant intercompany accounts and transactions have been eliminated. Certain of the Companys foreign subsidiaries are included in the consolidated financial statements one month in arrears to facilitate the timely inclusion of such entities in the Companys condensed consolidated financial statements. The Company is not the primary beneficiary, nor does it hold a significant variable interest, in any variable interest entity. Marketable Securities.The appropriate classification of marketable securities is determined at the time of purchase and reevaluated as of each balance sheet date. Actively traded available-for-sale securities are stated |
| 6010 - Fair Value Measurements | |
| 9 Months Ended
Jun. 28, 2009 USD / shares | |
| Fair Value Measurements | |
| Note 2 - Fair Value Measurements | Note 2 Fair Value Measurements Effective September 29, 2008, the first day of the Companys fiscal year 2009, the Company adopted the authoritative guidance for fair value measurements and the fair value option for financial assets and financial liabilities. The Company did not record an adjustment to retained earnings as a result of the adoption of the guidance for fair value measurements, and the adoption did not have a material effect on the Companys results of operations. The guidance for the fair value option for financial assets and financial liabilities provides companies the irrevocable option to measure many financial assets and liabilities at fair value with changes in fair value recognized in earnings. The Company has not elected to measure any financial assets or liabilities at fair value that were not previously required to be measured at fair value. Fair value is defined as the exit price, or the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants as of the measurement date. The guidance also establishes a hierarchy for inputs used in measuring fair value that maximizes the use of observable inputs and minimizes the use of unobservable inputs by requiring that the most observable inputs be used when available. Observable inputs are inputs market participants would use in valuing the asset or liability and are developed based on market data obtained from sources independent of the Company. Unobservable inputs are inputs that reflect the Companys assumptions about the factors market participants would use in valuing the asset or liability. The guidance establishes three levels of inputs that may be used to measure fair value: Level 1 includes financial instruments for which quoted market prices for identical instruments are available in active markets. Level 1 assets consist of money market funds, equity mutual and exchange-traded funds, equity securities and U.S. Treasury securities as they are traded in an active market with sufficient volume and frequency of transactions. Level 1 liabilities are associated with the Companys deferred incentive compensation plans. Level 2 includes financial instruments for which there are inputs other than quoted prices included within Level 1 that are observable for the instrument such as quoted prices for similar instruments in active markets, quoted prices for identical or similar instruments in markets with insufficient volume or infrequent transactions (less active markets) or model-driven valuations in which significant inputs are observable or can be derived principally from, or corroborated by, observable market data, including market interest rate curves, referenced credit spreads and pre-payment rates. Level 2 assets and liabilities consist of certain marketable debt instruments and derivative contracts whose values are determined using inputs that are observable in the market or can be derived principally from or corroborated by observable market data. Marketable debt instruments in this category include government-related securities, corporate bonds and notes, preferred securities, AAA-rate |
| 6020 - Marketable Securities | |
| 9 Months Ended
Jun. 28, 2009 USD / shares | |
| Marketable Securities | |
| Note 3 - Marketable Securities | Note 3 Marketable Securities Current Noncurrent June 28, 2009 September 28, 2008 June 28, 2009 September 28, 2008 (In millions) (In millions) Available-for-sale: U.S. Treasury securities and government-related securities $ 1,152 $ 514 $ - $ - Corporate bonds and notes 3,354 3,296 836 175 Mortgage- and asset-backed securities 687 499 22 - Auction rate securities - - 181 186 Non-investment-grade debt securities 26 23 2,403 2,030 Equity securities 107 150 1,142 1,187 Equity mutual funds and exchange-traded funds - - 1,009 1,280 Debt mutual funds 833 89 208 - $ 6,159 $ 4,571 $ 5,801 $ 4,858 Marketable securities in the amount of $1 million and $169 million at June 28, 2009 and September 28, 2008, respectively, were loaned under the Companys securities lending program. As of June 28, 2009, the contractual maturities of available-for-sale debt securities were as follows (in millions): Years to Maturity No Single Less Than One Year One to Five Years Five to Ten Years Greater Than Ten Years Maturity Date Total $ 1,991 $ 3,715 $ 834 $ 381 $ 2,781 $ 9,702 Securities with no single maturity date included mortgage- and asset-backed securities, auction rate securities, non-investment-grade debt securities and debt mutual funds. The Company recorded realized gains and losses on sales of available-for-sale marketable securities as follows (in millions): Gross Realized Gains Gross Realized Losses Net Realized Gains For the three months ended June 28, 2009 $ 95 $ (5 ) $ 90 June 29, 2008 63 (24 ) 39 For the nine months ended June 28, 2009 $ 127 $ (70 ) $ 57 June 29, 2008 225 (94 ) 131 Available-for-sale securities were comprised as follows (in millions): Amortized Cost Unrealized Gains Unrealized Losses Fair Value June 28, 2009 Equity securities $ 2,440 $ 138 $ (320 ) $ 2,258 Debt securities 9,545 286 (129 ) 9,702 $ 11,985 $ 424 $ (449 ) $ 11,960 September 28, 2008 Equity securities $ 2,810 $ 90 $ (283 ) $ 2,617 Debt securities 6,966 12 (166 ) 6,812 $ 9,776 $ 102 $ (449 ) $ 9,429 In April 2009, the FASB amended the existing guidance on determining whether an impairment for investments in debt securities is other-than-temporary. The new guidance was effective for the Companys third quarter of fiscal 2009 and resulted in a net after-tax increase to retained earnings and a corresponding decrease to accumulated other comprehensive income (loss) of $19 million primarily for the portion of other-than-temporary impairments recorded in earnings in previous periods on securities in the Companys portfolio at March 30, 2009 that are related to factors other than credit and would not have been required to be recognized in earnings had the new guidance been effective for those periods. Th |
| 6030 - Composition of Certain Financial Statement Items | |
| 9 Months Ended
Jun. 28, 2009 USD / shares | |
| Composition of Certain Financial Statement Items | |
| Note 4 - Composition of Certain Financial Statement Items - AR | Note 4 Composition of Certain Financial Statement Items Accounts Receivable. June 28, 2009 September 28, 2008 (In millions) Trade, net of allowances for doubtful accounts of $43 and $38, respectively $ 890 $ 3,583 Long-term contracts 37 33 Investment receivables - 412 Other 16 10 $ 943 $ 4,038 Trade accounts receivable at September 28, 2008 included a $2.5 billion licensing receivable that was paid in October 2008. Investment receivables at September 28, 2008 primarily related to amounts due for redemptions of money market investments for which the Company received partial payment in the nine months ended June 28, 2009. The remaining $48 million net receivable for such redemptions was classified as an other noncurrent asset at June 28, 2009 due to the uncertainty regarding the timing of distributions. |
| Note 4 - Composition of Certain Financial Statement Items - PPE | Note 4 Composition of Certain Financial Statement Items Property, Plant and Equipment. June 28, 2009 September 28, 2008 (In millions) Land $ 187 $ 183 Buildings and improvements 1,355 1,287 Computer equipment 988 932 Machinery and equipment 1,358 1,184 Furniture and office equipment 63 59 Leasehold improvements 332 206 4,283 3,851 Less accumulated depreciation and amortization (1,972 ) (1,689 ) $ 2,311 $ 2,162 The gross book values of property under capital leases included in buildings and improvements totaled $170 million and $140 million at June 28, 2009 and September 28, 2008, respectively. Capital lease additions were $8 million and $32 million during the three months and nine months ended June 28, 2009, respectively, and $18 million and $32 million during the three months and nine months ended June 29, 2008, respectively. |
| 6040 - Investment (Loss) Income, Net | |
| 9 Months Ended
Jun. 28, 2009 USD / shares | |
| Investment Income (Loss), Net | |
| Note 5 - Investment Income (Loss), Net | Note 5 Investment Income (Loss), Net Three Months Ended Nine Months Ended June 28, June 29, June 28, June 29, 2009 2008 2009 2008 (In millions) (In millions) Interest and dividend income $ 132 $ 108 $ 389 $ 378 Interest expense (8 ) (4 ) (16 ) (17 ) Net realized gains on marketable securities 90 39 57 131 Net realized gains on other investments - - - 27 Net other-than-temporary losses on marketable securities (112 ) (71 ) (704 ) (175 ) Other-than-temporary losses on other investments (4 ) (12 ) (13 ) (27 ) (Losses) gains on derivative instruments (7 ) - 5 6 Equity in (losses) earnings of investees (1 ) (2 ) (14 ) 1 $ 90 $ 58 $ (296 ) $ 324 |
| 6050 - Income Taxes | |
| 9 Months Ended
Jun. 28, 2009 USD / shares | |
| Income Taxes | |
| Note 6 - Income Taxes | Note 6 Income Taxes The Company currently estimates its annual effective income tax rate to be approximately 33% for fiscal 2009, compared to the 17% effective income tax rate in fiscal 2008. The 2009 annual effective rate includes the impact of recording a $748 million pre-tax litigation settlement charge (Note 8) in the second fiscal quarter with a discretetax benefit computed at a rate less than the United States federal rate and tax expense of $140 million to adjust net deferred tax assets to reflect the future impact of California budget legislation enacted February 20, 2009. The effective tax rate for the third quarter of fiscal 2009 was 25% as compared to the 33% estimated annual effective tax rate. The estimated annual effective tax rate for fiscal 2009 of 33% is less than the United States federal statutory rate primarily due to benefits of approximately 20% related to foreign earnings taxed at less than the United States federal rate and 5% related to research and development tax credits, offset by the impact of an increase in valuation allowance related to capital losses of 11%, the revaluation of deferred items of 6% and state taxes of approximately 5%. The fiscal 2008 rate was lower than the United States federal statutory rate primarily due to benefits related to foreign earnings taxed at less than the United States federal rate and the generation of research and development credits, partially offset by state taxes and an increase in the valuation allowance. The Company files income tax returns in the U.S. federal jurisdiction and various state and foreign jurisdictions. The Company is no longer subject to U.S. federal examinations by taxing authorities for years prior to fiscal 2005. The Internal Revenue Service is currently conducting an examination of the Companys U.S. income tax returns for fiscal 2005, 2006 and 2007, which is anticipated to be completed by August 2009. The U.S. income tax return for fiscal 2008 will be examined by the IRS in limited scope, and this examination is expected to be completed no later than May 2010. The Company is participating in the IRS Compliance Assurance Program, whereby the IRS and the Company endeavor to agree on the treatment of all issues in the fiscal 2009 tax return prior to the return being filed. The Company is subject to examination by the California Franchise Tax Board for fiscal 2003 through 2007 and is currently under examination for fiscal 2003, 2004 and 2005. The Company is also subject to income taxes in many state and local taxing jurisdictions in the U.S. and around the world, many of which are open to tax examinations for periods after fiscal 2002. Due to the anticipated resolution of the U.S. federal tax examinations, it is reasonably possible that the Companys unrecognized tax benefits will decrease significantly within the next twelve months and result in adjustments to the Company's deferred tax assets, income taxes payable and income tax provision. The Company has not provided United States income taxes nor foreign withholding taxes on a cumulative total of approximately $7.6 billion of undistributed earnings of certain non-United States subsidiaries inde |
| 6060 - Stockholders' Equity | |
| 9/29/2008 - 6/28/2009
USD / shares | |
| Stockholders' Equity | |
| Note 7 - Stockholders' Equity | Note 7 Stockholders Equity Changes in stockholders equity for the nine months ended June 28, 2009 were as follows (in millions): Balance at September 28, 2008 $ 17,944 Net income 790 Other comprehensive income 310 Repurchase of common stock (285 ) Net proceeds from the issuance of common stock 298 Share-based compensation 437 Tax benefit from exercise of stock options 24 Dividends (810 ) Other 3 Balance at June 28, 2009 $ 18,711 Stock Repurchase Program. During the nine months ended June 28, 2009 and June 29, 2008, the Company repurchased and retired 8,920,000 and 42,616,000 shares of the Companys common stock, respectively, for $284 million and $1.7 billion, respectively, before commissionsand net of the premiums received related to put options that were exercised during the nine months ended June 29, 2008. The Company did not repurchase any shares during the three months ended June 28, 2009 and June 29, 2008. At June 28, 2009, approximately $1.7 billion remained authorized for repurchase under the Companys stock repurchase program. The stock repurchase program has no expiration date. Dividends. On March 3, 2009, the Company announced an increase in its quarterly dividend effective for dividends payable after March 27, 2009 from $0.16 to $0.17 per share of common stock. On July 8, 2009, the Company announced a cash dividend of $0.17 per share on the Companys common stock, payable on September 25, 2009 to stockholders of record as of August 28, 2009. Cash dividends announced in the nine months ended June 28, 2009 and June 29, 2008 were as follows (in millions, except per share data): 2009 2008 Per Share Total Per Share Total First quarter $ 0.16 $ 264 $ 0.14 $ 228 Second quarter 0.16 264 0.14 227 Third quarter 0.17 282 0.16 261 $ 0.49 $ 810 $ 0.44 $ 716 |
| 6070 - Commitments and Contingencies | |
| 9 Months Ended
Jun. 28, 2009 USD / shares | |
| Commitments and Contingencies | |
| Note 8 - Commitments and Contingencies | Note 8 Commitments and Contingencies Litigation. European Commission Complaint: On October 28, 2005, it was reported that six companies (Broadcom, Nokia, Texas Instruments, NEC, Panasonic and Ericsson) filed complaints with the European Commission,alleging that the Company violated European Union competition law in its WCDMA licensing practices. The Company has received the complaints and has submitted replies to the allegations, as well as documents and other information requested by the European Commission. On October 1, 2007, the European Commission announced that it was initiating a proceeding, though it has not decided whether to issue a Statement of Objections, and it has not made any conclusions as to the merits of the complaints. As part of their agreements with the Company, Nokia and Broadcom have each withdrawn their complaints filed with the European Commission, though the investigation remains active. Tessera, Inc. v. QUALCOMM Incorporated: On April 17, 2007, Tessera, Inc. filed a patent infringement lawsuit in the United States District Court for the Eastern Division of Texas and a complaint with the United States International Trade Commission (ITC) pursuant to Section 337 of the Tariff Act of 1930 against the Company and other companies, alleging infringement of two patents relating to semiconductor packaging structures and seeking monetary damages and injunctive and other relief. The District Court action is stayed pending resolution of the ITC proceeding. The U.S. Patent and Trademark Offices (USPTO) Central Reexamination Unit has issued office actions rejecting all of the asserted patent claims on the grounds that they are invalid in view of certain prior art and has made these rejections final; Tessera may now appeal the rejections. On December 1, 2008, the Administrative Law Judge (ALJ) ruled that the patents are valid but not infringed. On May 20, 2009, however, the ITC reversed the ALJs determination that the patents were not infringed and it issued the following remedial orders: (1) a limited exclusion order that bans the Company and the other named respondents from importing into the United States the accused chip packages (except to the extent those products are licensed) and (2) a cease and desist order that prohibitsthe Company from engaging in certain domestic activities respecting those products. The ITC declined to stay its decision pending appeal, and the President declined to review the decision. The Company has shifted supply of accused chips for the U.S. market to a licensed supplier, Amkor. A licensed source of supply permits the Company to continue to supply the U.S. market without interruption. The Company is appealing the ITCs ruling and has requested the appellate court stay the decision pending appeal, based in part on the PTO examiners findings that the patents are not valid. Korea Fair Trade Commission Complaint: Two U.S. companies (Texas Instruments and Broadcom) and two South Korean companies (Nextreaming Corp. and Thin Multimedia, Inc.) filed complaints with the Korea Fair Trade Commission (KFTC) alleging that certain of the Companys business practices violate South Korean anti-trust reg |
| 6080 - Segment Information | |
| 9 Months Ended
Jun. 28, 2009 USD / shares | |
| Segment Information | |
| Note 9 - Segment Information | Note 9 Segment Information The Company is organized on the basis of products and services. The Company aggregates four of its divisions into the Qualcomm Wireless Internet segment. Reportable segments are as follows: Qualcomm CDMA Technologies (QCT) develops and supplies integrated circuits and system software for wireless voice and data communications, multimedia functions and global positioning system products based on its CDMA technology and other technologies; Qualcomm Technology Licensing (QTL) grants licenses to use portions of the Companys intellectual property portfolio, which includes certain patent rights essential to and/or useful in the manufacture and sale of certain wireless products, including, without limitation, products implementing cdmaOne, CDMA2000, WCDMA, CDMA TDD (including TD-SCDMA), GSM/GPRS/EDGE and/or OFDMA standards and their derivatives, and collects license fees and royalties in partial consideration for such licenses; Qualcomm Wireless Internet (QWI) comprised of: o Qualcomm Internet Services (QIS) provides technology to support and accelerate the convergence of the wireless data market, including its Plaza, BREW and QChat products and services; o Qualcomm Government Technologies (QGOV) provides development, hardware and analytical expertise to United States government agencies involving wireless communications technologies; o Qualcomm Enterprise Services (QES) provides satellite- and terrestrial-based two-way data messaging, position reporting, wireless application services and managed data services to transportation and logistics companies, construction equipment fleets and other enterprise companies; and o Firethorn - builds and manages software applications that enable financial institutions and wireless operators to offer mobile commerce services. Qualcomm Strategic Initiatives (QSI) manages the Companys strategic investment activities, including FLO TV Incorporated (FLO TV), formerly MediaFLO USA, Inc., the Companys wholly-owned wireless multimedia operator subsidiary. QSI makes strategic investments to promote the worldwide adoption of CDMA-based products and services. The Company evaluates the performance of its segments based on earnings (loss) before income taxes (EBT). EBT includes the allocation of certain corporate expenses to the segments, including depreciation and amortization expense related to unallocated corporate assets. Certain income and charges are not allocated to segments in the Companys management reports because they are not considered in evaluating the segments operating performance. The table below presents revenues and EBT for reportable segments (in millions): QCT QTL QWI QSI ReconcilingItems Total For the three months ended: June 28, 2009 Revenues $ 1,786 $ 807 $ 148 $ 9 $ 3 $ 2,753 EBT 548 663 (3 ) (66 ) (158 ) 984 June 29, 2008 Revenues $ 1,762 $ 803 $ 190 $ 4 $ 3 $ 2,762 EBT 487 670 (1 ) (82 ) (192 ) 882 For the nine months ended: June 28, 2009 Revenues $ 4,436 |
| 7000 - Document Information | |
| 9 Months Ended
Jun. 28, 2009 USD / shares | |
| Document Information | |
| Document Type | 10-Q |
| Amendment Flag | false |
| Amendment Description | |
| Document Period End Date | 2009-06-28 |
| 7010 - Entity Information (USD $) | ||
| 9 Months Ended
Jun. 28, 2009 | Jul. 20, 2009
| |
| Entity Information | ||
| Entity Registrant Name | QUALCOMM Incorporated | |
| Entity Central Index Key | 0000804328 | |
| Current Fiscal Year End Date | --09-27 | |
| Entity Well-known Seasoned Issuer | Yes | |
| Entity Voluntary Filers | No | |
| Entity Current Reporting Status | Yes | |
| Entity Filer Category | Large Accelerated Filer | |
| Entity Public Float | $74,231,680,337 | |
| Entity Common Stock, Shares Outstanding | 1,662,310,107 |
