v3.26.1
Segment and Other Information
 9 Months Ended
May 28, 2026
Segment Reporting [Abstract]  
Segment and Other Information Segment and Other Information
Segment information reported herein is consistent with the way our Chief Executive Officer, who is our Chief Operating Decision Maker (“CODM”), assesses the performance of our segments based on segment revenue, cost of goods sold, operating expenses, and operating income. The segment information reported herein is regularly provided to and reviewed and evaluated by our CODM to budget, forecast, and decide how to allocate resources for capital investments, human capital, and other strategic investments across our segments.

We have the following four business units, which are based on market segments and our reportable segments:

•Cloud Memory Business Unit (“CMBU”): Focused on memory solutions for large hyperscale cloud customers, and HBM for all data center customers.
•Core Data Center Business Unit (“CDBU”): Focused on memory solutions for mid-tier cloud, enterprise, and OEM data center customers and storage solutions for all data center customers.
•Mobile and Client Business Unit (“MCBU”): Focused on memory and storage solutions for the mobile and client segments.
•Automotive and Embedded Business Unit (“AEBU”): Focused on memory and storage solutions for the automotive, industrial, and consumer segments.

Our other operations do not meet the thresholds of a reportable segment and are reported under All Other. Certain operating expenses directly associated with the activities of a specific segment are charged to that segment. Other indirect operating income and expenses are generally allocated to segments based on their respective percentage of cost of goods sold or forecasted wafer production. Certain income and expenses are not allocated to segments because our CODM does not consider these amounts in the assessment of the performance of our segments. Substantially all of the unallocated amounts are related to stock-based compensation. We do not identify or report internally our assets (other than goodwill) or capital expenditures by segment, nor do we allocate gains and losses from equity method investments, interest, other non-operating income or expense items, or taxes to segments.
Quarter Ended May 28, 2026
CMBUCDBU
MCBU
AEBUAll Other
Unallocated
Total
Revenue$13,769 $11,524 $11,521 $4,634 $8 $— $41,456 
Cost of goods sold2,278 1,537 1,463 975 4 143 6,400 
Gross margin11,491 9,987 10,058 3,659 4 (143)35,056 
Research and development592 391 107 96 — 130 1,316 
Selling, general, and administrative108 79 81 70 — 69 407 
Other operating (income) expense, net(2)(2)(3)— 1 21 15 
Operating income
$10,793 $9,519 $9,873 $3,493 $3 $(363)$33,318 

Quarter Ended May 29, 2025
CMBUCDBU
MCBU
AEBUAll Other
Unallocated
Total
Revenue$3,386 $1,530 $3,255 $1,127 $3 $— $9,301 
Cost of goods sold1,415 956 2,467 837 3 115 5,793 
Gross margin1,971 574 788 290 — (115)3,508 
Research and development337 223 201 114 1 89 965 
Selling, general, and administrative61 45 105 49 (1)59 318 
Other operating (income) expense, net— (1)— 1 (2)58 56 
Operating income
$1,573 $307 $482 $126 $2 $(321)$2,169 

Nine Months Ended May 28, 2026
CMBUCDBU
MCBU
AEBUAll Other
Unallocated
Total
Revenue$26,802 $19,590 $23,487 $9,062 $18 $— $78,959 
Cost of goods sold6,097 4,155 5,090 2,776 13 371 18,502 
Gross margin20,705 15,435 18,397 6,286 5 (371)60,457 
Research and development1,628 1,040 409 302 — 358 3,737 
Selling, general, and administrative274 177 263 182 — 192 1,088 
Other operating (income) expense, net(1)— (1)— — 45 43 
Operating income
$18,804 $14,218 $17,726 $5,802 $5 $(966)$55,589 

Nine Months Ended May 29, 2025
CMBUCDBU
MCBU
AEBUAll Other
Unallocated
Total
Revenue$8,981 $5,652 $8,099 $3,319 $12 $— $26,063 
Cost of goods sold4,025 3,072 6,260 2,579 10 298 16,244 
Gross margin4,956 2,580 1,839 740 2 (298)9,819 
Research and development851 644 671 330 1 254 2,751 
Selling, general, and administrative146 147 290 144 (1)165 891 
Other operating (income) expense, net— — 1 1 1 58 61 
Operating income
$3,959 $1,789 $877 $265 $1 $(775)$6,116 
Depreciation and amortization expense included in operating income was as follows:
Quarter EndedNine Months Ended
May 28,
2026		May 29,
2025		May 28,
2026		May 29,
2025
CMBU$780 $548 $2,291 $1,600 
CDBU550 361 1,534 1,193 
MCBU678 877 2,005 2,361 
AEBU353 306 1,024 1,040 
All Other2 2 5 5 
Unallocated1 — 3 4 
$2,364 $2,094 $6,862 $6,203 

Revenue from one customer was 10% and 16% (primarily included in the CMBU segment) of total revenue for the first nine months of 2026 and 2025, respectively.

As of May 28, 2026 and August 28, 2025, CMBU, CDBU, MCBU, and AEBU had goodwill of $654 million, $109 million, $284 million, and $103 million, respectively.