Goodwill represents the excess of the purchase price over the fair value of the net tangible and identifiable intangible assets acquired in a business combination. The carrying value of goodwill as of August 1, 2026 and January 31, 2026 was $13.9 billion and $11.1 billion, respectively. During the first quarter of fiscal 2027, the Company completed the acquisitions of Celestial and XConn, and an immaterial acquisition, which collectively increased goodwill by approximately $2.8 billion. During the second quarter of fiscal 2027, goodwill decreased due to measurement period adjustments. See “Note 4 – Business Combinations” for further information.

In connection with the Celestial and XConn acquisitions in the first quarter of fiscal 2027, the Company acquired $1.0 billion of intangible assets as follows (in millions, except for weighted-average useful life as of acquisition date):


	Celestial		XConn		Total		Weighted-Average Useful Life (Years)
Developed technology	$	—	$	31.0	$	31.0	4.0
Customer contracts and related relationships	—		4.0		4.0		1.0
In-process research and development	951.0		46.0		997.0		n/a
	$	951.0	$	81.0	$	1,032.0

As of August 1, 2026 and January 31, 2026, net carrying amounts excluding fully amortized intangible assets are as follows (in millions, except for weighted-average remaining amortization period):


	August 1, 2026
	Gross Carrying Amounts		Accumulated Amortization		Net Carrying Amounts		Weighted-Average Remaining Amortization Period (Years)
Developed technologies	$	3,231.0	$	(2,414.6)	$	816.4	3.4
Customer contracts and related relationships	2,005.0		(1,771.8)		233.2		1.0


Total acquired amortizable intangible assets	$	5,236.0	$	(4,186.4)	$	1,049.6	2.9
In-process research and development	1,297.0		—		1,297.0		n/a
Total acquired intangible assets	$	6,533.0	$	(4,186.4)	$	2,346.6


	January 31, 2026
	Gross Carrying Amounts		Accumulated Amortization and Impairment		Net Carrying Amounts		Weighted-Average Remaining Amortization Period (Years)
Developed technologies	$	4,625.0	$	(3,546.0)	$	1,079.0	3.3
Customer contracts and related relationships	2,001.0		(1,627.5)		373.5		1.4
Trade names	50.0		(47.8)		2.2		0.2

Total acquired amortizable intangible assets	$	6,676.0	$	(5,221.3)	$	1,454.7	2.8
In-process research and development	300.0		—		300.0		n/a
Total acquired intangible assets	$	6,976.0	$	(5,221.3)	$	1,754.7

The intangible assets are amortized on a straight-line basis over the estimated useful lives, except for certain customer contracts and related relationships, which are amortized using an accelerated method of amortization over the expected customer lives, which more closely align with the pattern of realization of economic benefits expected to be obtained. Each IPR&D will be accounted for as an indefinite-lived intangible asset and will not be amortized until the underlying project reaches technological feasibility and commercial production, at which point, the IPR&D is reclassified as an amortizable acquired intangible asset and amortized over the asset’s estimated useful life. Useful lives for these IPR&D projects are expected to range between 6 to 13 years. In the event the IPR&D is abandoned, the related assets will be written off.

Amortization expense for acquired intangible assets for the three and six months ended August 1, 2026 was $214.9 million and $440.1 million, respectively. Amortization expense for acquired intangible assets for the three and six months ended August 2, 2025 was $243.7 million and $489.4 million, respectively.