v3.26.1
DERIVATIVE INSTRUMENTS (Tables)
 3 Months Ended
Mar. 31, 2026
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Schedule of Fair Value of Derivative Instruments
The fair value of our outstanding derivative instruments as of March 31, 2026 and December 31, 2025 was as follows:

 Balance Sheet LocationMarch 31,
2026		December 31,
2025
(In millions)
Derivative Assets:
Foreign exchange contracts designated as hedging instruments
Other current assets$107 $7 
Foreign exchange contracts not designated as hedging instruments
Other current assets81 13 
Total derivative assets$188 $20 
Derivative Liabilities:
Foreign exchange contracts designated as hedging instruments
Other current liabilities$25 $118 
Foreign exchange contracts not designated as hedging instruments
Other current liabilities35 40 
Total derivative liabilities$60 $158 
Schedule of Gains or Losses Related to Derivative Instruments Designated as Hedging Instruments
The following tables provide the location in the condensed consolidated statements of income (loss) and amount of recognized gains or losses related to our derivative instruments:
Three Months Ended March 31,
 2026
(In millions)
Net revenuesCustomer support and operationsTechnology and developmentOther income (expense), net
Total amounts presented in the condensed consolidated statements of income (loss) in which the effects of cash flow hedges are recorded
$8,353 $446 $793 $(95)
Gains (losses) on derivatives in cash flow hedging relationship:
Amount of net gains (losses) on foreign exchange contracts reclassified from AOCI
(86)(1)(1)— 
Gains (losses) on derivatives not designated as hedging instruments:
Amount of net gains (losses) on foreign exchange contracts
— — — 53 
Total net gains (losses)
$(86)$(1)$(1)$53 

Three Months Ended March 31,
 2025
(In millions)
Net revenuesCustomer support and operationsTechnology and developmentOther income (expense), net
Total amounts presented in the condensed consolidated statements of income (loss) in which the effects of cash flow hedges are recorded
$7,791 $398 $731 $73 
Gains (losses) on derivatives in cash flow hedging relationship:
Amount of net gains (losses) on foreign exchange contracts reclassified from AOCI
35 (1)(1)— 
Gains (losses) on derivatives not designated as hedging instruments:
Amount of net gains (losses) on foreign exchange contracts
— — — (83)
Total net gains (losses)
$35 $(1)$(1)$(83)

The following table provides the amount of pre-tax unrealized gains or losses included in the assessment of hedge effectiveness related to our derivative instruments designated as hedging instruments that are recognized in other comprehensive income (loss):
Three Months Ended March 31,
 20262025
(In millions)
Unrealized net gains (losses) on foreign exchange contracts designated as cash flow hedges
$104 $(143)
Schedule of Recognized Gains or Losses related to Derivative Instruments not Designated as Hedging Instruments
The following tables provide the location in the condensed consolidated statements of income (loss) and amount of recognized gains or losses related to our derivative instruments:
Three Months Ended March 31,
 2026
(In millions)
Net revenuesCustomer support and operationsTechnology and developmentOther income (expense), net
Total amounts presented in the condensed consolidated statements of income (loss) in which the effects of cash flow hedges are recorded
$8,353 $446 $793 $(95)
Gains (losses) on derivatives in cash flow hedging relationship:
Amount of net gains (losses) on foreign exchange contracts reclassified from AOCI
(86)(1)(1)— 
Gains (losses) on derivatives not designated as hedging instruments:
Amount of net gains (losses) on foreign exchange contracts
— — — 53 
Total net gains (losses)
$(86)$(1)$(1)$53 

Three Months Ended March 31,
 2025
(In millions)
Net revenuesCustomer support and operationsTechnology and developmentOther income (expense), net
Total amounts presented in the condensed consolidated statements of income (loss) in which the effects of cash flow hedges are recorded
$7,791 $398 $731 $73 
Gains (losses) on derivatives in cash flow hedging relationship:
Amount of net gains (losses) on foreign exchange contracts reclassified from AOCI
35 (1)(1)— 
Gains (losses) on derivatives not designated as hedging instruments:
Amount of net gains (losses) on foreign exchange contracts
— — — (83)
Total net gains (losses)
$35 $(1)$(1)$(83)

The following table provides the amount of pre-tax unrealized gains or losses included in the assessment of hedge effectiveness related to our derivative instruments designated as hedging instruments that are recognized in other comprehensive income (loss):
Three Months Ended March 31,
 20262025
(In millions)
Unrealized net gains (losses) on foreign exchange contracts designated as cash flow hedges
$104 $(143)
Schedule of Notional Amounts of Outstanding Derivatives The following table provides the notional amounts of our outstanding derivative instruments:
March 31,
2026		December 31,
2025
(In millions)
Foreign exchange contracts designated as hedging instruments$7,469 $5,878 
Foreign exchange contracts not designated as hedging instruments8,628 11,932 
Total$16,097 $17,810 
Schedule of Offsetting Assets
The following tables present the derivative assets and derivative liabilities not offset on the condensed consolidated balance sheets but available for offset in the event of default. The tables also present the cash and non-cash collateral received or pledged relating to these positions. The amount of collateral presented is limited to the amount presented on our condensed consolidated balance sheets; therefore, instances of over-collateralization are excluded from the table below.

Amounts Not Offset on the Condensed Consolidated Balance Sheets
Amounts Presented on the Condensed Consolidated Balance Sheets
Financial Instruments(1)
Collateral Received(2)
Net Amounts
(In millions)
As of March 31, 2026
Derivative assets(3)
$188 $25 $107 $56 
As of December 31, 2025
Derivative assets(3)
$20 $13 $2 $5 
Amounts Not Offset on the Condensed Consolidated Balance Sheets
Amounts Presented on the Condensed Consolidated Balance Sheets
Financial Instruments(1)
Collateral Pledged(2)
Net Amounts
(In millions)
As of March 31, 2026
Derivative liabilities(3)
$60 $25 $24 $11 
As of December 31, 2025
Derivative liabilities(3)
$158 $13 $122 $23 
(1) For derivative positions, this includes any derivative fair value that could be offset in the event of counterparty default.
(2) Includes cash and the fair value of securities exchanged with the counterparty.
(3) We received cash collateral from derivative counterparties totaling $110 million and $2 million as of March 31, 2026 and December 31, 2025, respectively, and securities from derivative counterparties with a fair value of $61 million and $90 million as of March 31, 2026 and December 31, 2025, respectively. We posted $46 million and $156 million of cash collateral as of March 31, 2026 and December 31, 2025, respectively, and securities to derivative counterparties with a fair value of $77 million and $91 million as of March 31, 2026 and December 31, 2025, respectively.
Schedule of Offsetting Liabilities
The following tables present the derivative assets and derivative liabilities not offset on the condensed consolidated balance sheets but available for offset in the event of default. The tables also present the cash and non-cash collateral received or pledged relating to these positions. The amount of collateral presented is limited to the amount presented on our condensed consolidated balance sheets; therefore, instances of over-collateralization are excluded from the table below.

Amounts Not Offset on the Condensed Consolidated Balance Sheets
Amounts Presented on the Condensed Consolidated Balance Sheets
Financial Instruments(1)
Collateral Received(2)
Net Amounts
(In millions)
As of March 31, 2026
Derivative assets(3)
$188 $25 $107 $56 
As of December 31, 2025
Derivative assets(3)
$20 $13 $2 $5 
Amounts Not Offset on the Condensed Consolidated Balance Sheets
Amounts Presented on the Condensed Consolidated Balance Sheets
Financial Instruments(1)
Collateral Pledged(2)
Net Amounts
(In millions)
As of March 31, 2026
Derivative liabilities(3)
$60 $25 $24 $11 
As of December 31, 2025
Derivative liabilities(3)
$158 $13 $122 $23 
(1) For derivative positions, this includes any derivative fair value that could be offset in the event of counterparty default.
(2) Includes cash and the fair value of securities exchanged with the counterparty.
(3) We received cash collateral from derivative counterparties totaling $110 million and $2 million as of March 31, 2026 and December 31, 2025, respectively, and securities from derivative counterparties with a fair value of $61 million and $90 million as of March 31, 2026 and December 31, 2025, respectively. We posted $46 million and $156 million of cash collateral as of March 31, 2026 and December 31, 2025, respectively, and securities to derivative counterparties with a fair value of $77 million and $91 million as of March 31, 2026 and December 31, 2025, respectively.