The following table presents the revenue, segment cost of revenue, significant segment expenses, and other segment items that are reflected in operating income (loss) of the Company’s reportable operating segment under its internal management reporting system, along with a reconciliation to consolidated net income (loss). This presentation aligns with how the CODM reviews financial information, using both operating income (loss) and net income (loss) to evaluate performance and allocate resources.

In the financial information presented below, Segment cost of revenue, Segment research and development and Segment selling, general and administrative consist of Cost of revenue, Research and development and Selling, general and administrative, respectively, as reported in the Company’s Consolidated Statement of Operations, less stock-based compensation costs allocated to those captions. Additional significant segment expenses include Stock-based compensation and Goodwill impairment. Other segment items include Loss on debt extinguishment, Business separation costs, Employee termination and other, Loss on business divestiture, and in past comparative periods, Business separation costs, Employee termination and other, and Gain on business divestiture.


	Year Ended
	July 3, 2026		June 27, 2025		June 28, 2024
	(in millions)
Revenue	20,248		7,355		6,663
Segment cost of revenue	(5,757)		(5,127)		(5,571)
Segment research and development	(1,223)		(1,051)		(990)
Segment selling, general and administrative	(568)		(488)		(397)
Stock-based compensation	(232)		(182)		(149)
Goodwill impairment	—		(1,830)		—
Other segment items	(79)		(54)		(24)
Operating income (loss)	12,389		(1,377)		(468)
Total interest and other income (expense), net	628		(102)		(35)
Income tax expense	(1,584)		(162)		(169)
Net income (loss)	$	11,433	$	(1,641)	$	(672)