v3.25.2
Fair Value
 9 Months Ended
Jul. 31, 2025
Fair Value Disclosures [Abstract]  
Fair Value Fair Value
Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability (an exit price) in an orderly transaction between market participants at the measurement date.
The Company uses valuation techniques that are based upon observable and unobservable inputs. Observable inputs are developed using market data such as publicly available information and reflect the assumptions market participants would use, while unobservable inputs are developed using the best information available about the assumptions market participants would use.
The following table presents the Company's assets and liabilities that are measured at fair value on a recurring basis:
 As of July 31, 2025As of October 31, 2024
 Fair Value
Measured Using		Fair Value
Measured Using
 
Quoted Prices in Active Markets for Identical Assets
(Level 1)
Significant Other Observable Remaining Inputs (Level 2)
Significant Other Unobservable Remaining Inputs
(Level 3)
Total
Quoted Prices in Active Markets for Identical Assets
(Level 1)
Significant Other Observable Remaining Inputs (Level 2)
Significant Other Unobservable Remaining Inputs
(Level 3)
Total
 In millions
Assets
Cash Equivalents:
Commercial paper$— $3 $— $3 $— $— $— $— 
Time deposits— 945 — 945 — 601 — 601 
Money market funds1,413 — — 1,413 12,639 — — 12,639 
Total cash equivalents1,413 948 — 2,361 12,639 601 — 13,240 
Available-for-sale Debt Investments:
Asset-backed and mortgage-backed securities— 134 — 134 — — — — 
Certificates of deposit— 16 — 16 — — — — 
Corporate debt securities— 366 — 366 — — — — 
Commercial paper— 47 — 47 — — — — 
U.S. government agency securities— 38 — 38 — — — — 
U.S. government securities105 32 — 137 — — — — 
Foreign bonds1 107 — 108 — 102 1 103 
Other debt securities (1)
— — 47 47 — — 14 14 
Total available-for-sale debt investments106 740 47 893 — 102 15 117 
Equity Investments:
Mutual funds— 56 — 56 — — — — 
Equity securities in public companies6 — — 6 — — — — 
Equity securities— — 54 54 — — 88 88 
Total equity investments6 56 54 116 — — 88 88 
Derivatives Instruments:
Foreign currency contracts— 196 — 196 — 299 — 299 
Other derivatives— 1 — 1 — — — — 
Total assets1,525 1,941 101 3,567 12,639 1,002 103 13,744 
Liabilities
Derivatives Instruments:
Interest rate contracts— 72 — 72 — 58 — 58 
Foreign currency contracts— 302 — 302 — 103 — 103 
Other derivatives— 1 — 1 — 2 — 2 
Total liabilities$— $375 $— $375 $— $163 $— $163 
(1) Available-for-sale debt securities with carrying values that approximate fair value.
Other Fair Value Disclosures
Short-Term and Long-Term Debt: As of July 31, 2025, the estimated fair value and carrying value of the Company's short-term and long-term debt was $23.6 billion and $23.7 billion, respectively. As of October 31, 2024, the estimated fair value and carrying value of the Company's short-term and long-term debt was $18.3 billion and $18.2 billion, respectively. If measured at fair value in the Condensed Consolidated Balance Sheets, short-term and long-term debt would be classified in Level 2 of the fair value hierarchy.
Other Financial Instruments: For the balance of the Company's financial instruments, primarily accounts receivable, accounts payable and financial liabilities included in other accrued liabilities, the carrying amounts approximate fair value due to their short-term nature. If measured at fair value in the Condensed Consolidated Balance Sheets, these other financial instruments would be classified in Level 2 or Level 3 of the fair value hierarchy.
Non-Recurring Fair Value Measurements
Equity Investments without Readily Determinable Fair Value: Equity investments are recorded at cost and measured at fair value when they are deemed to be impaired or when there is an adjustment from observable price changes. For the three months ended July 31, 2025 and 2024, the Company recognized unrealized gains of $1 million and $7 million, respectively, on these investments. For the nine months ended July 31, 2025, the Company recognized a net loss of $1 million primarily resulting from an impairment on these investments. If measured at fair value in the Condensed Consolidated Balance Sheets, these would generally be classified in Level 3 of the fair value hierarchy. For investments still held as of July 31, 2025, the cumulative upward adjustments for observable price changes was $83 million and cumulative downward adjustments for observable price changes and impairments was $89 million. Refer to Note 11 “Financial Instruments,” for further information about equity investments.
Non-Financial Assets: The Company's non-financial assets, such as intangible assets, goodwill, and property, plant and equipment, are recorded at cost. The Company records right-of-use assets based on the lease liability, adjusted for lease prepayments, lease incentives received, and the lessee's initial direct costs. Fair value adjustments are made to these non-financial assets in the period an impairment charge is recognized.
In the second quarter of fiscal 2025, the Company recorded a goodwill impairment charge of $1.4 billion associated with the Hybrid Cloud reporting unit. The fair values of the Company's reporting units were classified in Level 3 of the fair value hierarchy due to the significance of unobservable inputs developed using company-specific information. For more information on the goodwill impairment, see Note 9 “Goodwill”.