Teradata (TDC) 10-Q 10 Aug 20 2020 Q2 Quarterly report Financial data

Cover page

Cover page - shares shares in Millions	6 Months Ended
	Jun. 30, 2020	Jul. 31, 2020
Entity Information [Line Items]
Document Type	10-Q
Document Period End Date	Jun. 30, 2020
Document Quarterly Report	true
Document Transition Report	false
Entity File Number	001-33458
Entity Registrant Name	TERADATA CORP /DE/
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	75-3236470
Entity Address, Address Line One	17095 Via Del Campo
Entity Address, City or Town	San Diego
Entity Address, State or Province	CA
Entity Address, Postal Zip Code	92127
City Area Code	866
Local Phone Number	548-8348
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		109
Amendment Flag	false
Document Fiscal Year Focus	2020
Document Fiscal Period Focus	Q2
Entity Central Index Key	0000816761
Current Fiscal Year End Date	--12-31
New York Stock Exchange
Entity Information [Line Items]
Title of each class:	Common Stock, $0.01 par value
Trading Symbol	TDC
Name of Each Exchange on which Registered:	NYSE

Condensed Consolidated Statemen

Condensed Consolidated Statements of (Loss) Income (Unaudited) - USD ($) shares in Millions, $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Revenue
Revenue	$ 457	$ 478	$ 891	$ 946
Cost of revenue
Cost of revenue	201	242	410	486
Gross profit	256	236	481	460
Operating expenses
Selling, general and administrative expenses	165	145	323	296
Research and development expenses	83	81	156	159
Total operating expenses	248	226	479	455
Income from operations	8	10	2	5
Interest expense	(7)	(8)	(14)	(17)
Interest income	1	6	3	12
Other expense	(5)	(3)	(8)	(5)
Total other expense, net	(11)	(5)	(19)	(10)
(Loss) income before income taxes	(3)	5	(17)	(5)
Income tax expense (benefit)	40	6	(142)	6
Net (loss) income	$ (43)	$ (1)	$ 125	$ (11)
Net (loss) income per common share
Basic (in dollars per share)	$ (0.40)	$ (0.01)	$ 1.14	$ (0.09)
Diluted (in dollars per share)	$ (0.40)	$ (0.01)	$ 1.13	$ (0.09)
Weighted average common shares outstanding
Basic (in shares)	108.5	115.5	109.4	116.3
Diluted (in shares)	108.5	115.5	110.6	116.3
Recurring
Revenue
Revenue	$ 358	$ 338	$ 703	$ 669
Cost of revenue
Cost of revenue	116	107	236	213
Perpetual software licenses and hardware
Revenue
Revenue	17	29	31	60
Cost of revenue
Cost of revenue	11	26	20	51
Consulting services
Revenue
Revenue	82	111	157	217
Cost of revenue
Cost of revenue	$ 74	$ 109	$ 154	$ 222

Condensed Consolidated Statem_2

Condensed Consolidated Statements of Comprehensive Income (Loss) (Unaudited) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Statement of Comprehensive Income [Abstract]
Net (loss) income	$ (43)	$ (1)	$ 125	$ (11)
Other comprehensive income (loss):
Foreign currency translation adjustments	2	(1)	(17)	(7)
Derivatives:
Unrealized gain (loss) on derivatives, before tax	1	(9)	(13)	(13)
Unrealized gain (loss) on derivatives, tax portion	0	2	3	3
Unrealized gain (loss) on derivatives, net of tax	1	(7)	(10)	(10)
Defined benefit plans:
Defined benefit plan adjustment, before tax	1	1	4	2
Defined benefit plan adjustment, tax portion	0	0	(1)	0
Defined benefit plan adjustment, net of tax	1	1	3	2
Other comprehensive income (loss)	4	(7)	(24)	(15)
Comprehensive (loss) income	$ (39)	$ (8)	$ 101	$ (26)

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets (Unaudited) - USD ($) $ in Millions	Jun. 30, 2020	Dec. 31, 2019
Current assets
Cash and cash equivalents	$ 494	$ 494
Accounts receivable, net	339	398
Inventories	26	31
Other current assets	89	91
Total current assets	948	1,014
Property and equipment, net	337	350
Capitalized software, net	25	36
Right of use assets - operating lease, net	46	51
Goodwill	395	396
Capitalized contract costs, net	88	91
Deferred income taxes	236	87
Other assets	27	32
Total assets	2,102	2,057
Current liabilities
Current portion of long-term debt	31	25
Current portion of finance lease liability	69	55
Current portion of operating lease liability	18	20
Accounts payable	62	66
Payroll and benefits liabilities	119	157
Deferred revenue	518	472
Other current liabilities	76	91
Total current liabilities	893	886
Long-term debt	436	454
Finance lease liability	75	75
Operating lease liability	33	38
Pension and other postemployment plan liabilities	135	137
Long-term deferred revenue	41	61
Deferred tax liabilities	6	6
Other liabilities	137	138
Total liabilities	1,756	1,795
Commitments and contingencies (Note 8)
Stockholders’ equity
Preferred stock: par value $0.01 per share, 100.0 shares authorized, no shares issued and outstanding at June 30, 2020 and December 31, 2019, respectively	0	0
Common stock: par value $0.01 per share, 500.0 shares authorized, 108.9 and 110.9 shares issued at June 30, 2020 and December 31, 2019, respectively	1	1
Paid-in capital	1,603	1,545
Accumulated deficit	(1,093)	(1,143)
Accumulated other comprehensive loss	(165)	(141)
Total stockholders’ equity	346	262
Total liabilities and stockholders’ equity	$ 2,102	$ 2,057

Condensed Consolidated Balanc_2

Condensed Consolidated Balance Sheets (Unaudited) (Parenthetical) - $ / shares	Jun. 30, 2020	Dec. 31, 2019
Statement of Financial Position [Abstract]
Preferred stock, par value (in dollars per share)	$ 0.01	$ 0.01
Preferred stock, shares authorized (in shares)	100,000,000	100,000,000
Preferred stock, shares issued (in shares)	0	0
Preferred stock, shares outstanding (in shares)	0	0
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, shares authorized (in shares)	500,000,000	500,000,000
Common stock, shares issued (in shares)	108,900,000	110,900,000

Condensed Consolidated Statem_3

Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Millions	6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019
Operating activities
Net (loss) income	$ 125	$ (11)
Adjustments to reconcile net income (loss) to net cash provided by operating activities:
Depreciation and amortization	85	77
Stock-based compensation expense	52	37
Deferred income taxes	(149)	0
Changes in assets and liabilities:
Receivables	59	211
Inventories	5	(7)
Current payables and accrued expenses	(32)	(155)
Deferred revenue	26	(15)
Other assets and liabilities	(31)	(33)
Net cash provided by operating activities	140	104
Investing activities
Expenditures for property and equipment	(23)	(27)
Additions to capitalized software	(4)	(2)
Net cash used in investing activities	(27)	(29)
Financing activities
Repurchases of common stock	(75)	(175)
Repayments of long-term borrowings	(13)	(6)
Payments of finance leases	(25)	(9)
Other financing activities, net	6	36
Net cash used in financing activities	(107)	(154)
Effect of exchange rate changes on cash, cash equivalents and restricted cash	(7)	0
Decrease in cash, cash equivalents and restricted cash	(1)	(79)
Cash, cash equivalents and restricted cash at beginning of period	496	716
Cash, cash equivalents and restricted cash at end of period	495	637
Supplemental cash flow disclosure:
Assets acquired under operating lease	5	4
Assets acquired under finance lease	39	48
Total cash, cash equivalents and restricted cash	$ 496	$ 637

Consolidated Statements of Chan

Consolidated Statements of Changes in Stockholders' Equity (Unaudited) - USD ($) shares in Millions, $ in Millions	Total	Common Stock	Paid-in Capital	Accumulated Deficit	Accumulated Other Comprehensive Income (Loss)
Shares issued, beginning balance (in shares) at Dec. 31, 2018		117
Stockholders’ equity, beginning balance at Dec. 31, 2018	$ 495	$ 1	$ 1,418	$ (823)	$ (101)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net (loss) income	(10)			(10)
Employee stock compensation, employee stock purchase programs and option exercises, net of tax (in shares)		1
Employee stock compensation, employee stock purchase programs and option exercises, net of tax	48		48
Repurchases of common stock, retired (in shares)		(1)
Repurchases of common stock, retired	(58)			(58)
Pension and postemployment benefit plans, net of tax	1				1
Unrealized gain (loss) on derivatives, net of tax	(3)				(3)
Currency translation adjustment	(6)				(6)
Shares issued, beginning balance (in shares) at Mar. 31, 2019		117
Stockholders’ equity, ending balance at Mar. 31, 2019	467	$ 1	1,466	(891)	(109)
Shares issued, beginning balance (in shares) at Dec. 31, 2018		117
Stockholders’ equity, beginning balance at Dec. 31, 2018	495	$ 1	1,418	(823)	(101)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net (loss) income	(11)
Pension and postemployment benefit plans, net of tax	2
Currency translation adjustment	(7)
Shares issued, beginning balance (in shares) at Jun. 30, 2019		114
Stockholders’ equity, ending balance at Jun. 30, 2019	367	$ 1	1,491	(1,009)	(116)
Shares issued, beginning balance (in shares) at Mar. 31, 2019		117
Stockholders’ equity, beginning balance at Mar. 31, 2019	467	$ 1	1,466	(891)	(109)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net (loss) income	(1)			(1)
Employee stock compensation, employee stock purchase programs and option exercises, net of tax	25		25
Repurchases of common stock, retired (in shares)		(3)
Repurchases of common stock, retired	(117)			(117)
Pension and postemployment benefit plans, net of tax	1				1
Unrealized gain (loss) on derivatives, net of tax	(7)				(7)
Currency translation adjustment	(1)				(1)
Shares issued, beginning balance (in shares) at Jun. 30, 2019		114
Stockholders’ equity, ending balance at Jun. 30, 2019	367	$ 1	1,491	(1,009)	(116)
Shares issued, beginning balance (in shares) at Dec. 31, 2019		111
Stockholders’ equity, beginning balance at Dec. 31, 2019	262	$ 1	1,545	(1,143)	(141)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net (loss) income	168			168
Employee stock compensation, employee stock purchase programs and option exercises, net of tax (in shares)		1
Employee stock compensation, employee stock purchase programs and option exercises, net of tax	22		22
Repurchases of common stock, retired (in shares)		(4)
Repurchases of common stock, retired	(75)			(75)
Pension and postemployment benefit plans, net of tax	2				2
Unrealized gain (loss) on derivatives, net of tax	(11)				(11)
Currency translation adjustment	(19)				(19)
Shares issued, beginning balance (in shares) at Mar. 31, 2020		108
Stockholders’ equity, ending balance at Mar. 31, 2020	349	$ 1	1,567	(1,050)	(169)
Shares issued, beginning balance (in shares) at Dec. 31, 2019		111
Stockholders’ equity, beginning balance at Dec. 31, 2019	262	$ 1	1,545	(1,143)	(141)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net (loss) income	125
Pension and postemployment benefit plans, net of tax	3
Currency translation adjustment	(17)
Shares issued, beginning balance (in shares) at Jun. 30, 2020		109
Stockholders’ equity, ending balance at Jun. 30, 2020	346	$ 1	1,603	(1,093)	(165)
Shares issued, beginning balance (in shares) at Mar. 31, 2020		108
Stockholders’ equity, beginning balance at Mar. 31, 2020	349	$ 1	1,567	(1,050)	(169)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net (loss) income	(43)			(43)
Employee stock compensation, employee stock purchase programs and option exercises, net of tax (in shares)		1
Employee stock compensation, employee stock purchase programs and option exercises, net of tax	36		36
Pension and postemployment benefit plans, net of tax	1				1
Unrealized gain (loss) on derivatives, net of tax	1				1
Currency translation adjustment	2				2
Shares issued, beginning balance (in shares) at Jun. 30, 2020		109
Stockholders’ equity, ending balance at Jun. 30, 2020	$ 346	$ 1	$ 1,603	$ (1,093)	$ (165)

Basis of Presentation

Basis of Presentation	6 Months Ended
	Jun. 30, 2020
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Basis of Presentation	Basis of PresentationThese statements have been prepared pursuant to the rules and regulations of the United States Securities and Exchange Commission ("SEC") and, in accordance with those rules and regulations, do not include all information and footnote disclosures normally included in annual financial statements prepared in accordance with accounting principles generally accepted in the United States of America ("GAAP"). In the opinion of management, the condensed consolidated financial statements reflect all adjustments, consisting only of normal recurring adjustments, necessary to fairly state the results of operations, financial position and cash flows of Teradata Corporation ("Teradata" or the "Company") for the interim periods presented herein. The year-end 2019 condensed consolidated balance sheet data was derived from audited financial statements but does not include all disclosures required by GAAP. The preparation of condensed consolidated financial statements in conformity with GAAP requires management to make use of estimates and assumptions that affect the reported amounts and disclosures. Actual results may vary from these estimates.  These condensed consolidated interim financial statements should be read in conjunction with the consolidated financial statements and notes thereto included in Teradata’s most recent Annual Report on Form 10-K for the fiscal year ended December 31, 2019 (the "2019 Annual Report"). The results of operations for any interim period are not necessarily indicative of the results of operations to be expected for the full year.

New Accounting Pronouncements

New Accounting Pronouncements	6 Months Ended
	Jun. 30, 2020
Accounting Standards Update and Change in Accounting Principle [Abstract]
New Accounting Pronouncements	New Accounting Pronouncements Compensation-Retirement Benefits-Defined Benefit Plans-General. In August 2018, the Financial Accounting Standards Board ("FASB") issued new guidance that modifies the disclosure requirements for employers that sponsor defined benefit pension or other postretirement plans. For public companies, the amendments in this update are effective for fiscal years beginning after December 15, 2020, with early adoption permitted, and is to be applied on a retrospective basis to all periods presented. The Company is currently evaluating this guidance to determine the impact it may have on its disclosures. Accounting for Income Taxes. In December 2019, the FASB issued new guidance to simplify the accounting for income taxes. The new guidance changes various subtopics of accounting for income taxes including, but not limited to, accounting for "hybrid" tax regimes, tax basis step-up in goodwill obtained in a transaction that is not a business combination, intraperiod tax allocation exception to incremental approach, ownership changes in investments, interim-period accounting for enacted changes in tax law, and year-to-date loss limitation in interim-period tax accounting. The guidance is effective for fiscal years beginning after December 15, 2020 with early adoption permitted, including interim periods within those years. The Company is currently evaluating this new guidance to determine the impact it may have on our financial position, results of operations or cash flows. Reference rate reform. In March 2020, the FASB issued new guidance to provide relief to companies that will be impacted by the expected change in benchmark interest rates at the end of 2021, when participating banks will no longer be required to submit London Interbank Offered Rate ("LIBOR") quotes by the UK Financial Conduct Authority. The new guidance allows companies to, provided the only change to existing contracts are a change to an approved benchmark interest rate, account for modifications as a continuance of the existing contract without additional analysis. For new and existing contracts, companies may elect to apply the amendments as of March 12, 2020 through December 31, 2022. The Company is currently evaluating this new guidance to determine the impact it may have on our financial statements and disclosures. Recently Adopted Guidance Fair Value Measurement. In August 2018, the FASB issued new guidance that modifies disclosure requirements related to fair value measurement. The Company adopted this guidance on January 1, 2020, which did not have a material impact on our condensed consolidated financial statements. Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract. In August 2018, the FASB issued new guidance that reduces complexity for the accounting for costs of implementing a cloud computing service arrangement and aligns the requirements for capitalizing

Revenue from Contracts with Cus

Revenue from Contracts with Customers	6 Months Ended
	Jun. 30, 2020
Revenue from Contract with Customer [Abstract]
Revenue from Contract with Customer	Revenue from Contracts with Customers Disaggregation of Revenue from Contracts with Customers The following table presents a disaggregation of revenue: Three Months Ended June 30, Six months ended June 30, in millions 2020 2019 2020 2019 Americas Recurring $ 221 $ 217 $ 435 $ 430 Perpetual software licenses and hardware 10 12 14 31 Consulting services 28 40 54 77 Total Americas 259 269 503 538 EMEA Recurring 87 75 171 148 Perpetual software licenses and hardware 4 10 13 17 Consulting services 27 37 52 70 Total EMEA 118 122 236 235 APJ Recurring 50 46 97 91 Perpetual software licenses and hardware 3 7 4 12 Consulting services 27 34 51 70 Total APJ 80 87 152 173 Total Revenue $ 457 $ 478 $ 891 $ 946 Rental revenue, which is included in recurring revenue in the above table, was as follows: Three Months Ended June 30, Six Months Ended June 30, in millions 2020 2019 2020 2019 Rental revenue* $ 25 $ 16 $ 44 $ 30 *Rental revenue includes hardware maintenance. Contract Balances The timing of revenue recognition, billings and cash collections results in billed accounts receivable, contract assets, and customer advances and deposits (deferred revenue or contract liabilities) on the condensed consolidated balance sheet. Accounts receivable include amounts due from customers that are unconditional. Contract assets relate to the Company’s rights to consideration for goods delivered or services completed and recognized as revenue but billing and the right to receive payment is conditional upon the completion of other performance obligations. Contract assets are included in Other current assets on the balance sheet and are transferred to accounts receivable when the rights become unconditional. Deferred revenue consists of advance payments and billings in excess of revenue recognized. Deferred revenue is classified as either current or noncurrent based on the timing of when the Company expects to recognize revenue. These assets and liabilities are reported on a contract-by-contract basis at the end of each reporting period. The following table provides information about receivables, contract assets and deferred revenue from contracts with customers: As of in millions June 30, 2020 December 31, 2019 Accounts receivable, net $ 339 $ 398 Contract assets $ 12 $ 8 Current deferred revenue $ 518 $ 472 Long-term deferred revenue $ 41 $ 61 Revenue recognized during the six months ended June 30, 2020 from amounts included in deferred revenue at the beginning of the period was $306 million. Transaction Price Allocated to Unsatisfied Obligations The following table includes estimated revenue expected to be recognized in the future related to the Company's unsatisfied (or partially satisfied) obligations at June 30, 2020: in millions Total at June 30, 2020 Year 1 Year 2 and Thereafter Remaining unsatisfied obligations $ 2,595 $ 1,382 $ 1,213 The Company capitalizes sales commissions and other contract costs that are incremental direct costs of obtaining customer contracts if the expected amortization period of the asset is greater than one year. These costs are recorded in Capitalized contract costs, net on the Company’s balance sheet. The capitalized amounts are calculated based on the annual recurring revenue and total contract value for individual multi-term contracts. The judgments made in determining the amount of costs incurred include whether the commissions are in fact incremental and would not have occurred absent the customer contract. Costs to obtain a contract are amortized as selling, general and administrative expenses on a straight-line basis over the expected period of benefit, which is typically around four years. These costs are periodically reviewed for impairment. The following table identifies the activity relating to capitalized contract costs: in millions December 31, 2019 Capitalized Amortization June 30, 2020 Capitalized contract costs $ 91 $ 14 $ (17) $ 88 in millions December 31, 2018 Capitalized Amortization June 30, 2019 Capitalized contract costs $ 54 $ 17 $ (8) $ 63

Contract Costs

Contract Costs	6 Months Ended
	Jun. 30, 2020
Revenue from Contract with Customer [Abstract]
Contract Costs	Revenue from Contracts with Customers Disaggregation of Revenue from Contracts with Customers The following table presents a disaggregation of revenue: Three Months Ended June 30, Six months ended June 30, in millions 2020 2019 2020 2019 Americas Recurring $ 221 $ 217 $ 435 $ 430 Perpetual software licenses and hardware 10 12 14 31 Consulting services 28 40 54 77 Total Americas 259 269 503 538 EMEA Recurring 87 75 171 148 Perpetual software licenses and hardware 4 10 13 17 Consulting services 27 37 52 70 Total EMEA 118 122 236 235 APJ Recurring 50 46 97 91 Perpetual software licenses and hardware 3 7 4 12 Consulting services 27 34 51 70 Total APJ 80 87 152 173 Total Revenue $ 457 $ 478 $ 891 $ 946 Rental revenue, which is included in recurring revenue in the above table, was as follows: Three Months Ended June 30, Six Months Ended June 30, in millions 2020 2019 2020 2019 Rental revenue* $ 25 $ 16 $ 44 $ 30 *Rental revenue includes hardware maintenance. Contract Balances The timing of revenue recognition, billings and cash collections results in billed accounts receivable, contract assets, and customer advances and deposits (deferred revenue or contract liabilities) on the condensed consolidated balance sheet. Accounts receivable include amounts due from customers that are unconditional. Contract assets relate to the Company’s rights to consideration for goods delivered or services completed and recognized as revenue but billing and the right to receive payment is conditional upon the completion of other performance obligations. Contract assets are included in Other current assets on the balance sheet and are transferred to accounts receivable when the rights become unconditional. Deferred revenue consists of advance payments and billings in excess of revenue recognized. Deferred revenue is classified as either current or noncurrent based on the timing of when the Company expects to recognize revenue. These assets and liabilities are reported on a contract-by-contract basis at the end of each reporting period. The following table provides information about receivables, contract assets and deferred revenue from contracts with customers: As of in millions June 30, 2020 December 31, 2019 Accounts receivable, net $ 339 $ 398 Contract assets $ 12 $ 8 Current deferred revenue $ 518 $ 472 Long-term deferred revenue $ 41 $ 61 Revenue recognized during the six months ended June 30, 2020 from amounts included in deferred revenue at the beginning of the period was $306 million. Transaction Price Allocated to Unsatisfied Obligations The following table includes estimated revenue expected to be recognized in the future related to the Company's unsatisfied (or partially satisfied) obligations at June 30, 2020: in millions Total at June 30, 2020 Year 1 Year 2 and Thereafter Remaining unsatisfied obligations $ 2,595 $ 1,382 $ 1,213 The Company capitalizes sales commissions and other contract costs that are incremental direct costs of obtaining customer contracts if the expected amortization period of the asset is greater than one year. These costs are recorded in Capitalized contract costs, net on the Company’s balance sheet. The capitalized amounts are calculated based on the annual recurring revenue and total contract value for individual multi-term contracts. The judgments made in determining the amount of costs incurred include whether the commissions are in fact incremental and would not have occurred absent the customer contract. Costs to obtain a contract are amortized as selling, general and administrative expenses on a straight-line basis over the expected period of benefit, which is typically around four years. These costs are periodically reviewed for impairment. The following table identifies the activity relating to capitalized contract costs: in millions December 31, 2019 Capitalized Amortization June 30, 2020 Capitalized contract costs $ 91 $ 14 $ (17) $ 88 in millions December 31, 2018 Capitalized Amortization June 30, 2019 Capitalized contract costs $ 54 $ 17 $ (8) $ 63

Supplemental Financial Informat

Supplemental Financial Information	6 Months Ended
	Jun. 30, 2020
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Supplemental Financial Information	Supplemental Financial Information As of In millions June 30, December 31, Inventories Finished goods $ 14 $ 19 Service parts 12 12 Total inventories $ 26 $ 31 Deferred revenue Deferred revenue, current $ 518 $ 472 Long-term deferred revenue 41 61 Total deferred revenue $ 559 $ 533

Income Taxes

Income Taxes	6 Months Ended
	Jun. 30, 2020
Income Tax Disclosure [Abstract]
Income Taxes	Income Taxes Income tax provisions for interim periods are based on estimated annual income tax rates, adjusted to reflect the effects of any significant infrequent or unusual items which are required to be discretely recognized within the current interim period. As a result of the Tax Cuts and Jobs Act of 2017 (the "2017 Tax Act"), the Company changed its indefinite reversal assertion related to its undistributed earnings of its foreign subsidiaries and no longer considers a majority of its foreign earnings permanently reinvested outside of the United States ("U.S."). As a result, the effective tax rates in the periods presented are largely based upon the forecasted pre-tax earnings mix and allocation of certain expenses in various taxing jurisdictions where the Company conducts its business. The effective tax rate is as follows: Three Months Ended June 30, Six Months Ended June 30, In millions 2020 2019 2020 2019 Effective tax rate (1,333.3) % 120.0 % 835.3 % (120.0) % For the three months ended June 30, 2020, the Company recorded $39 million of discrete tax expense, a majority of which related to the adjustment of the marginal tax rate from the first quarter based on revised full-year forecasted earnings. As a result, the Company recorded income tax expense of $40 million on a pre-tax net loss of $3 million for the three months ended June 30, 2020, resulting in an effective income tax rate of (1,333.3)%. For the six months ended June 30, 2020, the Company recorded $113 million of discrete tax benefit. The discrete tax expense of $39 million recorded in the second quarter described above was offset by $152 million of discrete tax benefit recorded in the first quarter, a majority of which related to an intra-entity asset transfer of certain of the Company's intellectual property ("IP") to one of its Irish subsidiaries, which occurred on January 1, 2020. As a result, the Company recorded income tax benefit of $142 million on a pre-tax net loss of $17 million for the six months ended June 30, 2020, resulting in an effective income tax rate of 835.3%. For the three months ended June 30, 2019, the Company recorded $5 million of discrete tax expense, of which $4 million related to an uncertain tax position resulting from the reversal of the United States Tax Court’s decision in the Altera Corp v. Commissioner case (the "Altera Case") by the Ninth Circuit Court of Appeals in June 2019. The Altera Case focused on whether current U.S. Treasury Regulations requiring the inclusion of stock-based compensation expense in a taxpayer's cost-sharing calculations are valid. As a result, the Company recorded income tax expense of $6 million on a pre-tax net income of $5 million for the three months ended June 30, 2019, resulting in an effective income tax rate of 120.0%. For the six months ended June 30, 2019, the Company recorded $7 million of discrete tax expense, a majority of which related to the uncertain tax position resulting from the reversal of the Tax Court’s decision in the Altera Case.

Derivative Instruments and Hedg

Derivative Instruments and Hedging Activities	6 Months Ended
	Jun. 30, 2020
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Derivative Instruments and Hedging Activities	Derivative Instruments and Hedging Activities As a portion of Teradata’s operations is conducted outside the U.S. and in currencies other than the U.S. dollar, the Company is exposed to potential gains and losses from changes in foreign currency exchange rates. In an attempt to mitigate the impact of currency fluctuations, the Company uses foreign exchange forward contracts to hedge transactional exposures resulting predominantly from foreign currency denominated inter-company receivables and payables. The forward contracts are designated as fair value hedges of specified foreign currency denominated inter-company receivables and payables and generally mature in three months or less. The fair values of foreign exchange contracts are based on market spot and forward exchange rates and represent estimates of possible value that may not be realized in the future. Across its portfolio of contracts, Teradata has both long and short positions relative to the U.S. dollar. As a result, Teradata’s net involvement is less than the total contract notional amount of the Company’s foreign exchange forward contracts. Gains and losses from foreign exchange forward contracts are fully recognized each period and reported along with the offsetting gain or loss of the related hedged item, either in cost of revenues, operating expenses or in other income (expense), depending on the nature of the related hedged item. In June 2018, Teradata executed a five The Company performed an initial effectiveness assessment in the third quarter of 2018 on the interest rate swap, and the hedge was determined to be effective. The hedge is being evaluated qualitatively on a quarterly basis for effectiveness. Changes in fair value are recorded in Accumulated Other Comprehensive Loss and periodic settlements of the swap will be recorded in interest expense along with the interest on amounts outstanding under the term loan. The following table identifies the contract notional amount of the Company’s derivative financial instruments: As of In millions June 30, December 31, Contract notional amount of foreign exchange forward contracts $ 147 $ 150 Net contract notional amount of foreign exchange forward contracts $ 61 $ 41 Contract notional amount of interest rate swap $ 469 $ 482 All derivatives are recognized in the condensed consolidated balance sheets at their fair value. The notional amounts represent agreed-upon amounts on which calculations of dollars to be exchanged are based and are an indication of the extent of Teradata’s involvement in such instruments. These notional amounts do not represent amounts exchanged by the parties and, therefore, are not a measure of the instruments. Refer to Note 9 for disclosures related to the fair value of all derivative assets and liabilities. The Company does not hold or issue derivative financial instruments for trading purposes, nor does it hold or issue leveraged derivative instruments. By using derivative financial instruments to hedge exposures to changes in foreign

Commitments and Contingencies

Commitments and Contingencies	6 Months Ended
	Jun. 30, 2020
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	Commitments and Contingencies From time to time in the ordinary course of business, the Company is subject to legal proceedings, governmental investigations, claims and other matters, including those that relate to the environment, health and safety, employee benefits, export compliance, IP, tax matters and other regulatory compliance and general matters. We are not currently a party to any legal proceeding, nor are we aware of any threatened legal proceeding against us, that we believe would materially adversely affect our business, operating results, financial condition or cash flows. Guarantees and Product Warranties. Guarantees associated with the Company’s business activities are reviewed for appropriateness and impact to the Company’s financial statements. Periodically, the Company’s customers enter into various leasing arrangements with a third-party leasing company as part of a revenue transaction, whereby the leasing company purchases equipment from Teradata and leases it to the customer. In some instances, the Company guarantees the leasing company a minimum value at the end of the lease term on the leased equipment. As of June 30, 2020, the maximum future payment obligation of this guaranteed value and the associated liability balance was $1 million. For customers that purchase hardware, the Company provides a standard manufacturer’s warranty and records, at the time of the sale, a corresponding estimated liability for potential warranty costs. The estimated liabilities for warranty costs are not material, given that most customers do not purchase hardware under the perpetual model. The Company also offers extended and/or enhanced coverage to its customers in the form of maintenance contracts. Teradata accounts for these contracts by deferring the related maintenance revenue over the extended and/or enhanced coverage period. Costs associated with maintenance support are expensed as incurred. In addition, the Company provides its customers with certain indemnification rights. In general, the Company agrees to indemnify the customer if a third party asserts a patent or other IP infringement claim against the customer for its use of the Company’s offerings. The Company has indemnification obligations under its charter and bylaws to its officers and directors, and has entered into indemnification agreements with the officers and directors of its subsidiaries. From time to time, the Company also enters into agreements in connection with its acquisition and divestiture activities that include indemnification obligations by the Company. The fair value of these indemnification obligations is typically not readily determinable due to the conditional nature of the Company’s potential obligations and the specific facts and circumstances involved with each particular agreement. As such, the Company has generally not recorded a liability in connection with these indemnification arrangements. Historically, payments made by the Company under these types of agreements have not had a material effect on the Company’s consolidated financial condition, results of operations or cash flows Concentrations of Risk . The Company is potentially subject to concentrations of credit risk on accounts receivable and financial instruments such as hedging instruments, and cash and cash equivalents. Credit risk includes the risk of nonperformance by counterparties. The maximum potential loss may exceed the amount recognized on the balance sheet. Exposure to credit risk is managed through credit approvals, credit limits, selecting major international financial institutions (as counterparties to hedging transactions) and monitoring procedures. Teradata’s business often involves large transactions with customers, and if one or more of those customers were to default in its obligations under applicable contractual arrangements, the Company could be exposed to potentially significant losses. However, management believes that the reserves for potential losses were adequate at June 30, 2020 and December 31, 2019. The Company is also potentially subject to concentrations of supplier risk. Our hardware components are assembled exclusively by Flex Ltd. ("Flex"). Flex procures a wide variety of components used in the manufacturing process on behalf of the Company. Although many of these components are available from multiple sources, Teradata utilizes preferred supplier relationships to provide more consistent and optimal quality, cost and delivery. Typically, these preferred suppliers maintain alternative processes and/or facilities to ensure continuity of supply. Given the Company’s strategy to outsource its manufacturing activities to Flex and to source certain components from single suppliers, a disruption in production at Flex or at a supplier could impact the timing of customer shipments and/or

Fair Value Measurements

Fair Value Measurements	6 Months Ended
	Jun. 30, 2018
Fair Value Disclosures [Abstract]
Fair Value Measurements	Fair Value Measurements Fair value measurements are established utilizing a three-tier fair value hierarchy, which prioritizes the inputs used in measuring fair value. These tiers include: Level 1, defined as observable inputs such as quoted prices in active markets for identical assets or liabilities; Level 2, defined as significant other observable inputs, such as quoted prices in active markets for similar assets or liabilities, or quoted prices in less-active markets for identical assets; and Level 3, defined as unobservable inputs in which little or no market data exists, therefore requiring an entity to develop its own assumptions. Financial assets and liabilities are classified in their entirety based on the lowest level of input that is significant to the fair value measurement. The Company’s assets and liabilities measured at fair value on a recurring basis include money market funds, interest rate swaps and foreign currency exchange contracts. A portion of the Company’s excess cash reserves are held in money market funds which generate interest income based on the prevailing market rates. Money market funds are included in cash and cash equivalents in the Company’s balance sheet. Money market fund holdings are measured at fair value using quoted market prices and are classified within Level 1 of the valuation hierarchy. When deemed appropriate, the Company minimizes its exposure to changes in foreign currency exchange rates through the use of derivative financial instruments, specifically, foreign exchange forward contracts. Additionally, in June 2018, Teradata executed a five The Company’s other assets and liabilities measured at fair value on a recurring basis and subject to fair value disclosure requirements at June 30, 2020 and December 31, 2019 were as follows: Fair Value Measurements at Reporting Date Using In millions Total Quoted Prices in Significant Significant Assets Money market funds at June 30, 2020 $ 134 $ 134 $ — $ — Money market funds at December 31, 2019 $ 141 $ 141 $ — $ — Liabilities Interest rate swap at June 30, 2020 $ 32 $ — $ 32 $ — Interest rate swap at December 31, 2019 $ 19 $ — $ 19 $ —

Debt

Debt	6 Months Ended
	Jun. 30, 2020
Debt Disclosure [Abstract]
Debt	DebtIn June 2018, Teradata replaced an existing 5 years, $400 million revolving credit facility with a new $400 million revolving credit facility (the "Credit Facility"). The Credit Facility expires in June 2023, at which point any remaining outstanding borrowings would be due for repayment unless extended by agreement of the parties for up to two additional one based upon, at Teradata’s option, a negotiated base rate or a Eurodollar rate plus, in each case, a margin based on Teradata’s leverage ratio. In the near term, Teradata would anticipate choosing a floating rate based on LIBOR. The Credit Facility is unsecured but is guaranteed by certain of Teradata’s material domestic subsidiaries and contains certain representations and warranties, conditions, affirmative, negative and financial covenants, and events of default customary for such facilities. As of June 30, 2020, the Company had no borrowings outstanding under the Credit Facility, leaving $400 million in additional borrowing capacity available under the Credit Facility. The Company was in compliance with all covenants under the Credit Facility as of June 30, 2020. Also, in June 2018, Teradata closed on a new senior unsecured $500 million five Teradata’s term loan is recognized on the Company’s balance sheet at its unpaid principal balance, net of deferred issuance costs, and is not subject to fair value measurement. However, given that the loan carries a variable rate, the Company estimates that the unpaid principal balance of the term loan would approximate its fair value. If measured at fair value in the financial statements, the Company’s term loan would be classified as Level 2 in the fair value hierarchy.

Earnings per Share

Earnings per Share	6 Months Ended
	Jun. 30, 2020
Earnings Per Share [Abstract]
Earnings per Share	Earnings per Share Basic earnings per share is calculated by dividing net income by the weighted average number of shares outstanding during the reported period. The calculation of diluted earnings per share is similar to basic earnings per share, except that the weighted average number of shares outstanding includes the dilution from potential shares resulting from stock options, restricted stock awards and other stock awards. The components of basic and diluted earnings per share are as follows: Three Months Ended Six Months Ended In millions, except per share amounts 2020 2019 2020 2019 Net (loss) income attributable to common stockholders $ (43) $ (1) $ 125 $ (11) Weighted average outstanding shares of common stock 108.5 115.5 109.4 116.3 Dilutive effect of employee stock options, restricted stock and other stock awards — — 1.2 — Common stock and common stock equivalents 108.5 115.5 110.6 116.3 Net income (loss) per share: Basic $ (0.40) $ (0.01) $ 1.14 $ (0.09) Diluted $ (0.40) $ (0.01) $ 1.13 $ (0.09) For the three months ended June 30, 2020, and 2019 and six months ended June 30, 2019, due to the net loss attributable to Teradata common stockholders, potential common shares that would cause dilution, such as employee stock options, restricted shares and other stock awards, have been excluded from the diluted share count because their effect would have been anti-dilutive. The fully diluted shares would have been 109.7 million and 116.7 million for the three months ended June 30, 2020 and 2019, respectively, and 117.7 million for the six months ended June 30, 2019. Options to purchase 2.1 million and 2.2 million shares of common stock for the three and six months ended June 30, 2020 and 1.6 million

Segment and Other Supplemental

Segment and Other Supplemental Information	6 Months Ended
	Jun. 30, 2020
Segment Reporting [Abstract]
Segment and Other Supplemental Information	Segment and Other Supplemental Information Teradata manages its business under three geographic regions, which are also the Company’s operating segments: (1) Americas region (North America and Latin America); (2) EMEA region (Europe, Middle East and Africa) and (3) APJ region (Asia Pacific and Japan). For purposes of discussing results by segment, management excludes the impact of certain items, consistent with the manner by which management evaluates the performance of each segment. This format is useful to investors because it allows analysis and comparability of operating trends. It also includes the same information that is used by Teradata management to make decisions regarding the segments and to assess financial performance. The chief operating decision maker, who is our President and Chief Executive Officer, evaluates the performance of the segments based on revenue and multiple profit measures, including segment gross profit. For management reporting purposes assets are not allocated to the segments. The following table presents segment revenue and segment gross profit for the Company: Three Months Ended Six Months Ended In millions 2020 2019 2020 2019 Segment revenue Americas $ 259 $ 269 $ 503 $ 538 EMEA 118 122 236 235 APJ 80 87 152 173 Total revenue 457 478 891 946 Segment gross profit Americas 161 158 305 315 EMEA 67 57 128 107 APJ 41 37 71 71 Total segment gross profit 269 252 504 493 Stock-based compensation costs 4 4 8 7 Acquisition, integration, reorganization and transformation-related costs 4 2 4 5 Amortization of capitalized software costs 5 10 11 21 Total gross profit 256 236 481 460 Selling, general and administrative expenses 165 145 323 296 Research and development expenses 83 81 156 159 Income from operations $ 8 $ 10 $ 2 $ 5

New Accounting Pronouncements (

New Accounting Pronouncements (Policies)	6 Months Ended
	Jun. 30, 2020
Accounting Standards Update and Change in Accounting Principle [Abstract]
New Accounting Pronouncements	New Accounting Pronouncements Compensation-Retirement Benefits-Defined Benefit Plans-General. In August 2018, the Financial Accounting Standards Board ("FASB") issued new guidance that modifies the disclosure requirements for employers that sponsor defined benefit pension or other postretirement plans. For public companies, the amendments in this update are effective for fiscal years beginning after December 15, 2020, with early adoption permitted, and is to be applied on a retrospective basis to all periods presented. The Company is currently evaluating this guidance to determine the impact it may have on its disclosures. Accounting for Income Taxes. In December 2019, the FASB issued new guidance to simplify the accounting for income taxes. The new guidance changes various subtopics of accounting for income taxes including, but not limited to, accounting for "hybrid" tax regimes, tax basis step-up in goodwill obtained in a transaction that is not a business combination, intraperiod tax allocation exception to incremental approach, ownership changes in investments, interim-period accounting for enacted changes in tax law, and year-to-date loss limitation in interim-period tax accounting. The guidance is effective for fiscal years beginning after December 15, 2020 with early adoption permitted, including interim periods within those years. The Company is currently evaluating this new guidance to determine the impact it may have on our financial position, results of operations or cash flows. Reference rate reform. In March 2020, the FASB issued new guidance to provide relief to companies that will be impacted by the expected change in benchmark interest rates at the end of 2021, when participating banks will no longer be required to submit London Interbank Offered Rate ("LIBOR") quotes by the UK Financial Conduct Authority. The new guidance allows companies to, provided the only change to existing contracts are a change to an approved benchmark interest rate, account for modifications as a continuance of the existing contract without additional analysis. For new and existing contracts, companies may elect to apply the amendments as of March 12, 2020 through December 31, 2022. The Company is currently evaluating this new guidance to determine the impact it may have on our financial statements and disclosures. Recently Adopted Guidance Fair Value Measurement. In August 2018, the FASB issued new guidance that modifies disclosure requirements related to fair value measurement. The Company adopted this guidance on January 1, 2020, which did not have a material impact on our condensed consolidated financial statements. Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract. In August 2018, the FASB issued new guidance that reduces complexity for the accounting for costs of implementing a cloud computing service arrangement and aligns the requirements for capitalizing

Revenue from Contracts with C_2

Revenue from Contracts with Customers (Tables)	6 Months Ended
	Jun. 30, 2020
Revenue from Contract with Customer [Abstract]
Schedule of Disaggregation of Revenue	The following table presents a disaggregation of revenue: Three Months Ended June 30, Six months ended June 30, in millions 2020 2019 2020 2019 Americas Recurring $ 221 $ 217 $ 435 $ 430 Perpetual software licenses and hardware 10 12 14 31 Consulting services 28 40 54 77 Total Americas 259 269 503 538 EMEA Recurring 87 75 171 148 Perpetual software licenses and hardware 4 10 13 17 Consulting services 27 37 52 70 Total EMEA 118 122 236 235 APJ Recurring 50 46 97 91 Perpetual software licenses and hardware 3 7 4 12 Consulting services 27 34 51 70 Total APJ 80 87 152 173 Total Revenue $ 457 $ 478 $ 891 $ 946
Schedule of Rental Revenue	Rental revenue, which is included in recurring revenue in the above table, was as follows: Three Months Ended June 30, Six Months Ended June 30, in millions 2020 2019 2020 2019 Rental revenue* $ 25 $ 16 $ 44 $ 30 *Rental revenue includes hardware maintenance.
Schedule of Assets and Liabilities Related to Contracts with Customers	The following table provides information about receivables, contract assets and deferred revenue from contracts with customers: As of in millions June 30, 2020 December 31, 2019 Accounts receivable, net $ 339 $ 398 Contract assets $ 12 $ 8 Current deferred revenue $ 518 $ 472 Long-term deferred revenue $ 41 $ 61
Schedule of Estimated Revenue Expected to be Recognized in the Future	The following table includes estimated revenue expected to be recognized in the future related to the Company's unsatisfied (or partially satisfied) obligations at June 30, 2020: in millions Total at June 30, 2020 Year 1 Year 2 and Thereafter Remaining unsatisfied obligations $ 2,595 $ 1,382 $ 1,213

Contract Costs (Tables)

Contract Costs (Tables)	6 Months Ended
	Jun. 30, 2020
Revenue from Contract with Customer [Abstract]
Schedule of Activity Related to Capitalized Contract Cost	The following table identifies the activity relating to capitalized contract costs: in millions December 31, 2019 Capitalized Amortization June 30, 2020 Capitalized contract costs $ 91 $ 14 $ (17) $ 88 in millions December 31, 2018 Capitalized Amortization June 30, 2019 Capitalized contract costs $ 54 $ 17 $ (8) $ 63

Supplemental Financial Inform_2

Supplemental Financial Information (Tables)	6 Months Ended
	Jun. 30, 2020
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Schedule of Supplemental Financial Information	As of In millions June 30, December 31, Inventories Finished goods $ 14 $ 19 Service parts 12 12 Total inventories $ 26 $ 31 Deferred revenue Deferred revenue, current $ 518 $ 472 Long-term deferred revenue 41 61 Total deferred revenue $ 559 $ 533

Income Taxes (Tables)

Income Taxes (Tables)	6 Months Ended
	Jun. 30, 2020
Income Tax Disclosure [Abstract]
Schedule of Effective Tax Rate	: Three Months Ended June 30, Six Months Ended June 30, In millions 2020 2019 2020 2019 Effective tax rate (1,333.3) % 120.0 % 835.3 % (120.0) %

Derivative Instruments and He_2

Derivative Instruments and Hedging Activities (Tables)	6 Months Ended
	Jun. 30, 2020
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Schedule of Derivative Financial Instruments	The following table identifies the contract notional amount of the Company’s derivative financial instruments: As of In millions June 30, December 31, Contract notional amount of foreign exchange forward contracts $ 147 $ 150 Net contract notional amount of foreign exchange forward contracts $ 61 $ 41 Contract notional amount of interest rate swap $ 469 $ 482

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	6 Months Ended
	Jun. 30, 2020
Fair Value Disclosures [Abstract]
Schedule of Assets and Liabilities Measured at Fair Value on Recurring Basis and Subject to Fair Value Disclosure Requirements	The Company’s other assets and liabilities measured at fair value on a recurring basis and subject to fair value disclosure requirements at June 30, 2020 and December 31, 2019 were as follows: Fair Value Measurements at Reporting Date Using In millions Total Quoted Prices in Significant Significant Assets Money market funds at June 30, 2020 $ 134 $ 134 $ — $ — Money market funds at December 31, 2019 $ 141 $ 141 $ — $ — Liabilities Interest rate swap at June 30, 2020 $ 32 $ — $ 32 $ — Interest rate swap at December 31, 2019 $ 19 $ — $ 19 $ —

Earnings per Share (Tables)

Earnings per Share (Tables)	6 Months Ended
	Jun. 30, 2020
Earnings Per Share [Abstract]
Components of Basic and Diluted Earnings Per Share	The components of basic and diluted earnings per share are as follows: Three Months Ended Six Months Ended In millions, except per share amounts 2020 2019 2020 2019 Net (loss) income attributable to common stockholders $ (43) $ (1) $ 125 $ (11) Weighted average outstanding shares of common stock 108.5 115.5 109.4 116.3 Dilutive effect of employee stock options, restricted stock and other stock awards — — 1.2 — Common stock and common stock equivalents 108.5 115.5 110.6 116.3 Net income (loss) per share: Basic $ (0.40) $ (0.01) $ 1.14 $ (0.09) Diluted $ (0.40) $ (0.01) $ 1.13 $ (0.09)

Segment and Other Supplementa_2

Segment and Other Supplemental Information (Tables)	6 Months Ended
	Jun. 30, 2020
Segment Reporting [Abstract]
Regional Segment Revenue and Gross Margin	The following table presents segment revenue and segment gross profit for the Company: Three Months Ended Six Months Ended In millions 2020 2019 2020 2019 Segment revenue Americas $ 259 $ 269 $ 503 $ 538 EMEA 118 122 236 235 APJ 80 87 152 173 Total revenue 457 478 891 946 Segment gross profit Americas 161 158 305 315 EMEA 67 57 128 107 APJ 41 37 71 71 Total segment gross profit 269 252 504 493 Stock-based compensation costs 4 4 8 7 Acquisition, integration, reorganization and transformation-related costs 4 2 4 5 Amortization of capitalized software costs 5 10 11 21 Total gross profit 256 236 481 460 Selling, general and administrative expenses 165 145 323 296 Research and development expenses 83 81 156 159 Income from operations $ 8 $ 10 $ 2 $ 5

Revenue from Contracts with C_3

Revenue from Contracts with Customers - Disaggregation of Revenue from Contracts with Customers (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Disaggregation of Revenue [Line Items]
Revenue	$ 457	$ 478	$ 891	$ 946
Americas
Disaggregation of Revenue [Line Items]
Revenue	259	269	503	538
EMEA
Disaggregation of Revenue [Line Items]
Revenue	118	122	236	235
APJ
Disaggregation of Revenue [Line Items]
Revenue	80	87	152	173
Recurring
Disaggregation of Revenue [Line Items]
Revenue	358	338	703	669
Recurring | Americas
Disaggregation of Revenue [Line Items]
Revenue	221	217	435	430
Recurring | EMEA
Disaggregation of Revenue [Line Items]
Revenue	87	75	171	148
Recurring | APJ
Disaggregation of Revenue [Line Items]
Revenue	50	46	97	91
Perpetual software licenses and hardware
Disaggregation of Revenue [Line Items]
Revenue	17	29	31	60
Perpetual software licenses and hardware | Americas
Disaggregation of Revenue [Line Items]
Revenue	10	12	14	31
Perpetual software licenses and hardware | EMEA
Disaggregation of Revenue [Line Items]
Revenue	4	10	13	17
Perpetual software licenses and hardware | APJ
Disaggregation of Revenue [Line Items]
Revenue	3	7	4	12
Consulting services | Americas
Disaggregation of Revenue [Line Items]
Revenue	28	40	54	77
Consulting services | EMEA
Disaggregation of Revenue [Line Items]
Revenue	27	37	52	70
Consulting services | APJ
Disaggregation of Revenue [Line Items]
Revenue	$ 27	$ 34	$ 51	$ 70

Revenue from Contracts with C_4

Revenue from Contracts with Customers - Schedule of Operating Lease Income (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Revenue from Contract with Customer [Abstract]
Rental revenue	$ 25	$ 16	$ 44	$ 30

Revenue from Contracts with C_5

Revenue from Contracts with Customers - Contract Balances (Details) - USD ($) $ in Millions	Jun. 30, 2020	Dec. 31, 2019
Revenue from Contract with Customer [Abstract]
Accounts receivable, net	$ 339	$ 398
Contract assets	12	8
Current deferred revenue	518	472
Long-term deferred revenue	$ 41	$ 61

Revenue from Contracts with C_6

Revenue from Contracts with Customers - Narrative (Details) $ in Millions	6 Months Ended
	Jun. 30, 2020USD ($)
Revenue from Contract with Customer [Abstract]
Deferred revenue, revenue recognized	$ 306
Remaining performance obligation, amount of customer only general cancellation	1,783
Remaining performance obligation, amount of non-cancelable contracts	$ 374

Revenue from Contracts with C_7

Revenue from Contracts with Customers - Transaction Price Allocated to the Remaining Performance Obligations (Details) $ in Millions	Jun. 30, 2020USD ($)
Revenue from Contract with Customer [Abstract]
Revenue, remaining performance obligation	$ 2,595
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2020-07-01
Revenue from Contract with Customer [Abstract]
Revenue, remaining performance obligation	$ 1,382
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Revenue, remaining performance obligation, period	1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2021-07-01
Revenue from Contract with Customer [Abstract]
Revenue, remaining performance obligation	$ 1,213
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Revenue, remaining performance obligation, period

Contract Costs (Details)

Contract Costs (Details) - USD ($) $ in Millions	6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019
Revenue from Contract with Customer [Abstract]
Capitalized contract cost, amortization period	4 years
Capitalized Contract Cost, Net [Roll Forward]
Capitalized contract cost, net at period start	$ 91	$ 54
Capitalized	14	17
Amortization	(17)	(8)
Capitalized contract cost, net at period end	$ 88	$ 63

Supplemental Financial Inform_3

Supplemental Financial Information (Detail) - USD ($) $ in Millions	Jun. 30, 2020	Dec. 31, 2019
Inventories
Finished goods	$ 14	$ 19
Service parts	12	12
Total inventories	26	31
Deferred revenue
Current deferred revenue	518	472
Long-term deferred revenue	41	61
Total deferred revenue	$ 559	$ 533

Income Taxes (Detail)

Income Taxes (Detail) - USD ($) $ in Millions	3 Months Ended			6 Months Ended		12 Months Ended
	Jun. 30, 2020	Mar. 31, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019	Dec. 31, 2020
Operating Loss Carryforwards [Line Items]
Discrete income tax expense (benefit)	$ 39	$ (152)	$ 5	$ (113)	$ (7)
Income tax expense (benefit)	40		6	(142)	6
Pre-tax net income (loss)	$ (3)		$ 5	$ (17)	$ (5)
Effective tax rate (percentage)	(1333.30%)		120.00%	835.30%	(120.00%)
Discrete tax benefit related to intra-entity asset transfer		$ 157
Discrete tax expense related to an uncertain tax position			$ 4
Scenario, Forecast
Operating Loss Carryforwards [Line Items]
Effective tax rate (percentage)						1000.00%

Derivative Instruments and He_3

Derivative Instruments and Hedging Activities (Detail) - USD ($) $ in Millions	1 Months Ended
	Jun. 30, 2018	Jun. 30, 2020	Dec. 31, 2019
Interest Rate Swap
Derivative
Derivative, term of contract	5 years
Derivative, contract notional amount	$ 500	$ 469	$ 482
Foreign Exchange Contract
Derivative
Derivative, contract notional amount		147	150
Net contract notional amount of foreign exchange forward contracts		$ 61	$ 41

Commitments and Contingencies -

Commitments and Contingencies - Additional Information (Detail) $ in Millions	Jun. 30, 2020USD ($)
Commitments and Contingencies Disclosure [Abstract]
Maximum future payment obligation of the guaranteed value and associated liabilities	$ 1

Fair Value Measurements - Addit

Fair Value Measurements - Additional Information (Details) - Interest Rate Swap - USD ($) $ in Millions	1 Months Ended
	Jun. 30, 2018	Jun. 30, 2020	Dec. 31, 2019
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative, term of contract	5 years
Derivative, contract notional amount	$ 500	$ 469	$ 482

Fair Value Measurements (Detail

Fair Value Measurements (Detail) - USD ($) $ in Millions	Jun. 30, 2020	Dec. 31, 2019
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Money market funds	$ 134	$ 141
Quoted Prices in Active Markets for Identical Assets (Level 1)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Money market funds	134	141
Significant Other Observable Inputs (Level 2)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Money market funds	0	0
Significant Unobservable Inputs (Level 3)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Money market funds	0	0
Interest Rate Swap
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Interest rate swap	32	19
Interest Rate Swap | Quoted Prices in Active Markets for Identical Assets (Level 1)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Interest rate swap	0	0
Interest Rate Swap | Significant Other Observable Inputs (Level 2)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Interest rate swap	32	19
Interest Rate Swap | Significant Unobservable Inputs (Level 3)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Interest rate swap	$ 0	$ 0

Debt - Additional Information (

Debt - Additional Information (Detail)	Jun. 11, 2018USD ($)	May 31, 2018USD ($)	Jun. 30, 2018USD ($)	Jun. 30, 2020USD ($)renewal
Debt Instrument
Number of renewals | renewal				2
Renewal term				1 year
Borrowings outstanding under the Credit Facility				$ 0
Term Loan
Debt Instrument
Extinguishment of debt, amount	$ 525,000,000
Revolving Credit Facility Ending in March 2020 | Revolving Credit Facility
Debt Instrument
Term of loan (years)		5 years
Credit facility maximum borrowing capacity		$ 400,000,000
Credit facility, additional borrowings capacity				200,000,000
Revolving Credit Facility Ending In June 2023 | Revolving Credit Facility
Debt Instrument
Credit facility maximum borrowing capacity			$ 400,000,000	400,000,000
Senior Unsecured term loan Issued June 2018 | Senior Unsecured Term Loan
Debt Instrument
Term of loan (years)			5 years
Debt instrument, face amount	$ 500,000,000
Principal outstanding				$ 469,000,000
Debt Instrument, Redemption, Period One
Debt Instrument
Term loan, payable quarterly installments (percentage)	1.25%
Debt Instrument, Redemption, Period Two
Debt Instrument
Term loan, payable quarterly installments (percentage)	2.50%
Debt Instrument, Redemption, Period Three
Debt Instrument
Term loan, payable quarterly installments (percentage)	5.00%
Interest Rate Swap
Debt Instrument
Fixed rate on term loan (percentage)				2.86%
All-in fixed rate (percentage)				4.36%

Earnings per Share (Detail)

Earnings per Share (Detail) - USD ($) $ / shares in Units, shares in Millions, $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Earnings Per Share [Abstract]
Net (loss) income attributable to common stockholders	$ (43)	$ (1)	$ 125	$ (11)
Weighted average outstanding shares of common stock (in shares)	108.5	115.5	109.4	116.3
Dilutive effect of employee stock options, restricted stock and other stock awards (in shares)	0	0	1.2	0
Common stock and common stock equivalents (in shares)	108.5	115.5	110.6	116.3
Net income (loss) per share:
Basic (in dollars per share)	$ (0.40)	$ (0.01)	$ 1.14	$ (0.09)
Diluted (in dollars per share)	$ (0.40)	$ (0.01)	$ 1.13	$ (0.09)
Weighted average number of shares outstanding, diluted and anti-dilutive (in shares)	109.7	116.7		117.7
Antidilutive options to purchase that were not included in the computation of diluted earnings per share (in shares)	2.1	1.6	2.2	1.8

Segment and Other Supplementa_3

Segment and Other Supplemental Information - Additional Information (Detail)	6 Months Ended
	Jun. 30, 2020segment
Segment Reporting [Abstract]
Number of operating segments	3

Segment and Other Supplementa_4

Segment and Other Supplemental Information - Regional Segment Revenue and Gross Margin for Company (Detail) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Segment Reporting Information
Segment revenue	$ 457	$ 478	$ 891	$ 946
Gross profit	256	236	481	460
Selling, general and administrative expenses	165	145	323	296
Research and development expenses	83	81	156	159
Income from operations	8	10	2	5
Americas
Segment Reporting Information
Segment revenue	259	269	503	538
EMEA
Segment Reporting Information
Segment revenue	118	122	236	235
APJ
Segment Reporting Information
Segment revenue	80	87	152	173
Operating segments
Segment Reporting Information
Gross profit	269	252	504	493
Operating segments | Americas
Segment Reporting Information
Gross profit	161	158	305	315
Operating segments | EMEA
Segment Reporting Information
Gross profit	67	57	128	107
Operating segments | APJ
Segment Reporting Information
Gross profit	41	37	71	71
Segment reconciling items
Segment Reporting Information
Stock-based compensation costs	4	4	8	7
Acquisition, integration, reorganization and transformation-related costs	4	2	4	5
Amortization of capitalized software costs	$ 5	$ 10	$ 11	$ 21

Uncategorized Items - tdc-20200

Label	Element	Value
Restricted Cash and Cash Equivalents	us-gaap_RestrictedCashAndCashEquivalents	$ 2,000,000
Restricted Cash and Cash Equivalents	us-gaap_RestrictedCashAndCashEquivalents	$ 1,000,000