We recognize stock-based compensation expense from grants of restricted stock units, or RSUs, performance stock units, or PSUs, and market-based PSUs, and issuances under our employee stock purchase plan, or ESPP.

Condensed Consolidated Statements of Income include stock-based compensation expense as follows:


	Three Months Ended				Six Months Ended
	Jul 26, 2026		Jul 27, 2025		Jul 26, 2026		Jul 27, 2025

	(In millions)
Cost of revenue	$	71	$	58	$	139	$	123
Research and development	1,551		1,191		3,010		2,254
Sales, general and administrative	405		375		805		722
Total	$	2,027	$	1,624	$	3,954	$	3,099

The following is a summary of our equity award transactions under our equity incentive plans:


	RSUs, PSUs and Market-based PSUs Outstanding
	Number of Shares	Weighted Average Grant-Date Fair Value Per Share

	(In millions, except per share data)
Balance as of Jan 25, 2026	189	$	81.51
Granted	49	$	183.74
Vested	(63)	$	54.60
Canceled and forfeited	(7)	$	102.16
Balance as of Jul 26, 2026	168	$	120.41

As of July 26, 2026, aggregate unearned stock-based compensation expense was $19.4 billion, which is expected to be recognized over a weighted average period of 2.6 years for RSUs, PSUs, and market-based PSUs, and 0.9 years for ESPP.