Microsoft (MSFT) 10-Q30 Jan 242024 Q2 Quarterly reportFinancial data

Company Profile

Document and Entity Information

Document and Entity Information - $ / shares	6 Months Ended
Document and Entity Information - $ / shares	Dec. 31, 2023	Jan. 25, 2024
Entity Information [Line Items]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Dec. 31, 2023
Document Fiscal Year Focus	2024
Document Fiscal Period Focus	Q2
Entity Registrant Name	MICROSOFT CORPORATION
Entity Central Index Key	0000789019
Current Fiscal Year End Date	--06-30
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity File Number	001-37845
Entity Incorporation, State or Country Code	WA
Entity Tax Identification Number	91-1144442
Entity Address, Address Line One	ONE MICROSOFT WAY
Entity Address, City or Town	REDMOND
Entity Address, State or Province	WA
Entity Address, Postal Zip Code	98052-6399
City Area Code	425
Local Phone Number	882-8080
Document Quarterly Report	true
Document Transition Report	false
Entity Common Stock, Shares Outstanding		7,430,436,229
Entity Common Stock, Par Value Per Share	$ 0.00000625
Common Stock
Entity Information [Line Items]
Trading Symbol	MSFT
Title of 12(b) Security	Common stock, $0.00000625 par value per share
Security Exchange Name	NASDAQ
3.125% Notes Due 2028
Entity Information [Line Items]
Trading Symbol	MSFT
Title of 12(b) Security	3.125% Notes due 2028
Security Exchange Name	NASDAQ
2.625% Notes Due 2033
Entity Information [Line Items]
Trading Symbol	MSFT
Title of 12(b) Security	2.625% Notes due 2033
Security Exchange Name	NASDAQ

INCOME STATEMENTS

INCOME STATEMENTS - USD ($) shares in Millions, $ in Millions	3 Months Ended		6 Months Ended
	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2023	Dec. 31, 2022
Revenue	$ 62,020	$ 52,747	$ 118,537	$ 102,869
Cost of revenue	19,623	17,488	35,925	32,940
Gross margin	42,397	35,259	82,612	69,929
Research and development	7,142	6,844	13,801	13,472
Sales and marketing	6,246	5,679	11,433	10,805
General and administrative	1,977	2,337	3,451	3,735
Operating income	27,032	20,399	53,927	41,917
Other expense, net	(506)	(60)	(117)	(6)
Income before income taxes	26,526	20,339	53,810	41,911
Provision for income taxes	4,656	3,914	9,649	7,930
Net income	$ 21,870	$ 16,425	$ 44,161	$ 33,981
Earnings per share:
Basic	$ 2.94	$ 2.2	$ 5.94	$ 4.56
Diluted	$ 2.93	$ 2.2	$ 5.92	$ 4.54
Weighted average shares outstanding:
Basic	7,432	7,451	7,431	7,454
Diluted	7,468	7,473	7,465	7,479
Product
Revenue	$ 18,941	$ 16,517	$ 34,476	$ 32,258
Cost of revenue	5,964	5,690	9,495	9,992
Service and Other
Revenue	43,079	36,230	84,061	70,611
Cost of revenue	$ 13,659	$ 11,798	$ 26,430	$ 22,948

COMPREHENSIVE INCOME STATEMENTS

COMPREHENSIVE INCOME STATEMENTS - USD ($) $ in Millions	3 Months Ended		6 Months Ended
COMPREHENSIVE INCOME STATEMENTS - USD ($) $ in Millions	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2023	Dec. 31, 2022
Statement of Comprehensive Income [Abstract]
Net income	$ 21,870	$ 16,425	$ 44,161	$ 33,981
Other comprehensive income (loss), net of tax:
Net change related to derivatives	(3)	(32)	18	(25)
Net change related to investments	1,331	348	1,071	(1,549)
Translation adjustments and other	660	570	305	(205)
Other comprehensive income (loss)	1,988	886	1,394	(1,779)
Comprehensive income	$ 23,858	$ 17,311	$ 45,555	$ 32,202

BALANCE SHEETS

BALANCE SHEETS - USD ($) $ in Millions	Dec. 31, 2023	Jun. 30, 2023
Current assets:
Cash and cash equivalents	$ 17,305	$ 34,704
Short-term investments	63,712	76,558
Total cash, cash equivalents, and short-term investments	81,017	111,262
Accounts receivable, net of allowance for doubtful accounts of $591 and $650	42,831	48,688
Inventories	1,615	2,500
Other current assets	21,930	21,807
Total current assets	147,393	184,257
Property and equipment, net of accumulated depreciation of $72,949 and $68,251	112,308	95,641
Operating lease right-of-use assets	16,398	14,346
Equity investments	13,367	9,879
Goodwill	118,931	67,886
Intangible assets, net	29,896	9,366
Other long-term assets	32,265	30,601
Total assets	470,558	411,976
Current liabilities:
Accounts payable	17,695	18,095
Short-term debt	27,041	0
Current portion of long-term debt	2,250	5,247
Accrued compensation	8,813	11,009
Short-term income taxes	5,787	4,152
Short-term unearned revenue	43,068	50,901
Other current liabilities	16,362	14,745
Total current liabilities	121,016	104,149
Long-term debt	44,928	41,990
Long-term income taxes	25,890	25,560
Long-term unearned revenue	2,966	2,912
Deferred income taxes	2,548	433
Operating lease liabilities	14,155	12,728
Other long-term liabilities	20,787	17,981
Total liabilities	232,290	205,753
Commitments and contingencies
Stockholders’ equity:
Common stock and paid-in capital - shares authorized 24,000; outstanding 7,432 and 7,432	97,480	93,718
Retained earnings	145,737	118,848
Accumulated other comprehensive loss	(4,949)	(6,343)
Total stockholders’ equity	238,268	206,223
Total liabilities and stockholders’ equity	$ 470,558	$ 411,976

BALANCE SHEETS (Parenthetical)

BALANCE SHEETS (Parenthetical) - USD ($) $ in Millions	Dec. 31, 2023	Jun. 30, 2023
Statement of Financial Position [Abstract]
Accounts receivable, allowance for doubtful accounts	$ 591	$ 650
Property and equipment, accumulated depreciation	$ 72,949	$ 68,251
Common stock, shares authorized	24,000,000,000	24,000,000,000
Common stock, outstanding	7,432,000,000	7,432,000,000

CASH FLOWS STATEMENTS

CASH FLOWS STATEMENTS - USD ($) $ in Millions	3 Months Ended		6 Months Ended
CASH FLOWS STATEMENTS - USD ($) $ in Millions	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2023	Dec. 31, 2022
Operations
Net income	$ 21,870	$ 16,425	$ 44,161	$ 33,981
Adjustments to reconcile net income to net cash from operations:
Depreciation, amortization, and other	5,959	3,648	9,880	6,438
Stock-based compensation expense	2,828	2,538	5,335	4,730
Net recognized losses on investments and derivatives	198	214	212	192
Deferred income taxes	(1,702)	(1,305)	(2,270)	(2,496)
Changes in operating assets and liabilities:
Accounts receivable	(2,951)	(3,164)	8,083	8,565
Inventories	1,474	1,305	969	762
Other current assets	725	(392)	(71)	(724)
Other long-term assets	(1,427)	(65)	(3,440)	(731)
Accounts payable	(2,521)	(2,058)	(1,307)	(3,625)
Unearned revenue	(5,538)	(5,186)	(9,664)	(8,508)
Income taxes	(1,554)	(2,863)	(129)	(2,453)
Other current liabilities	1,518	1,819	(2,588)	(2,205)
Other long-term liabilities	(26)	257	265	445
Net cash from operations	18,853	11,173	49,436	34,371
Financing
Proceeds from issuance (repayments) of debt, maturities of 90 days or less, net	(8,490)	0	10,202	0
Proceeds from issuance of debt	10,773	0	17,846	0
Repayments of debt	(2,916)	(750)	(4,416)	(1,750)
Common stock issued	261	243	946	818
Common stock repurchased	(4,000)	(5,459)	(8,831)	(11,032)
Common stock cash dividends paid	(5,574)	(5,066)	(10,625)	(9,687)
Other, net	(201)	(317)	(508)	(581)
Net cash from (used in) financing	(10,147)	(11,349)	4,614	(22,232)
Investing
Additions to property and equipment	(9,735)	(6,274)	(19,652)	(12,557)
Acquisition of companies, net of cash acquired, and purchases of intangible and other assets	(65,029)	(679)	(66,215)	(1,028)
Purchases of investments	(4,258)	(11,599)	(12,718)	(16,612)
Maturities of investments	4,150	6,928	19,868	13,590
Sales of investments	1,600	4,775	6,930	7,486
Other, net	1,347	(301)	365	(1,161)
Net cash used in investing	(71,925)	(7,150)	(71,422)	(10,282)
Effect of foreign exchange rates on cash and cash equivalents	72	88	(27)	(142)
Net change in cash and cash equivalents	(63,147)	(7,238)	(17,399)	1,715
Cash and cash equivalents, beginning of period	80,452	22,884	34,704	13,931
Cash and cash equivalents, end of period	$ 17,305	$ 15,646	$ 17,305	$ 15,646

STOCKHOLDERS' EQUITY STATEMENTS

STOCKHOLDERS' EQUITY STATEMENTS - USD ($) $ in Millions	Total	Common stock and paid-in capital	Retained earnings	Accumulated other comprehensive loss
Balance, beginning of period at Jun. 30, 2022		$ 86,939	$ 84,281	$ (4,678)
Common stock cash dividends	$ (5,066)
Balance, end of period at Sep. 30, 2022		88,535	92,374	(7,343)
Cash dividends declared per common share	$ 0.68
Balance, beginning of period at Jun. 30, 2022		86,939	84,281	(4,678)
Common stock issued		818
Net income	$ 33,981		33,981
Other comprehensive income (loss)	(1,779)			(1,779)
Common stock cash dividends	(10,125)		(10,123)
Common stock repurchased		(2,261)	(8,771)
Stock-based compensation expense		4,730
Other, net		(1)
Balance, end of period at Dec. 31, 2022	$ 183,136	90,225	99,368	(6,457)
Cash dividends declared per common share	$ 1.36
Balance, beginning of period at Sep. 30, 2022		88,535	92,374	(7,343)
Common stock issued		243
Net income	$ 16,425		16,425
Other comprehensive income (loss)	886			886
Common stock cash dividends	(5,059)		(5,059)
Common stock repurchased		(1,090)	(4,372)
Stock-based compensation expense		2,538
Other, net		(1)
Balance, end of period at Dec. 31, 2022	$ 183,136	90,225	99,368	(6,457)
Cash dividends declared per common share	$ 0.68
Balance, beginning of period at Jun. 30, 2023	$ 206,223	93,718	118,848	(6,343)
Common stock cash dividends	$ (5,574)
Balance, end of period at Sep. 30, 2023		95,508	132,143	(6,937)
Cash dividends declared per common share	$ 0.75
Balance, beginning of period at Jun. 30, 2023	$ 206,223	93,718	118,848	(6,343)
Common stock issued		946
Net income	44,161		44,161
Other comprehensive income (loss)	1,394			1,394
Common stock cash dividends	(11,148)		(11,145)
Common stock repurchased		(2,701)	(6,127)
Stock-based compensation expense		5,335
Other, net		182
Balance, end of period at Dec. 31, 2023	$ 238,268	97,480	145,737	(4,949)
Cash dividends declared per common share	$ 1.5
Balance, beginning of period at Sep. 30, 2023		95,508	132,143	(6,937)
Common stock issued		261
Net income	$ 21,870		21,870
Other comprehensive income (loss)	1,988			1,988
Common stock cash dividends	(5,574)		(5,574)
Common stock repurchased		(1,300)	(2,702)
Stock-based compensation expense		2,828
Other, net		183
Balance, end of period at Dec. 31, 2023	$ 238,268	$ 97,480	$ 145,737	$ (4,949)
Cash dividends declared per common share	$ 0.75

Pay vs Performance Disclosure

Pay vs Performance Disclosure - USD ($) $ in Millions	3 Months Ended		6 Months Ended
Pay vs Performance Disclosure - USD ($) $ in Millions	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2023	Dec. 31, 2022
Pay vs Performance Disclosure
Net Income (Loss)	$ 21,870	$ 16,425	$ 44,161	$ 33,981

Insider Trading Arrangements

Insider Trading Arrangements	3 Months Ended
Insider Trading Arrangements	Dec. 31, 2023
Trading Arrangements, by Individual
Rule 10b5-1 Arrangement Adopted	false
Non-Rule 10b5-1 Arrangement Adopted	false
Rule 10b5-1 Arrangement Terminated	false
Non-Rule 10b5-1 Arrangement Terminated	false
Rule 10b5-1 Arrangement Modified	false
Non-Rule 10b5-1 Arrangement Modified	false

ACCOUNTING POLICIES

ACCOUNTING POLICIES	6 Months Ended
ACCOUNTING POLICIES	Dec. 31, 2023
Accounting Policies [Abstract]
ACCOUNTING POLICIES	NOTE 1 — ACCOUNTING POLICIES Accounting Principles Our unaudited interim consolidated financial statements and accompanying notes are prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”). In the opinion of management, the unaudited interim consolidated financial statements reflect all adjustments of a normal recurring nature that are necessary for a fair presentation of the results for the interim periods presented. Interim results are not necessarily indicative of results for a full year. The information included in this Form 10-Q should be read in conjunction with information included in the Microsoft Corporation fiscal year 2023 Form 10-K filed with the U.S. Securities and Exchange Commission on July 27, 2023. We have recast certain prior period amounts to conform to the current period presentation. The recast of these prior period amounts had no impact on our consolidated balance sheets, consolidated income statements, or consolidated cash flows statements. Principles of Consolidation The consolidated financial statements include the accounts of Microsoft Corporation and its subsidiaries. Intercompany transactions and balances have been eliminated. Estimates and Assumptions Preparing financial statements requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenue, and expenses. Examples of estimates and assumptions include: for revenue recognition, determining the nature and timing of satisfaction of performance obligations, and determining the standalone selling price of performance obligations, variable consideration, and other obligations such as product returns and refunds; loss contingencies; product warranties; the fair value of and/or potential impairment of goodwill and intangible assets for our reporting units; product life cycles; useful lives of our tangible and intangible assets; allowances for doubtful accounts; the market value of, and demand for, our inventory; stock-based compensation forfeiture rates; when technological feasibility is achieved for our products; the potential outcome of uncertain tax positions that have been recognized in our consolidated financial statements or tax returns; and determining the timing and amount of impairments for investments. Actual results and outcomes may differ from management’s estimates and assumptions due to risks and uncertainties. Financial Instruments Investments We consider all highly liquid interest-earning investments with a maturity of three months or less at the date of purchase to be cash equivalents. The fair values of these investments approximate their carrying values. In general, investments with original maturities of greater than three months and remaining maturities of less than one year are classified as short-term investments. Investments with maturities beyond one year may be classified as short-term based on their highly liquid nature and because such marketable securities represent the investment of cash that is available for current operations. Debt investments are classified as available-for-sale and realized gains and losses are recorded using the specific identification method. Changes in fair value, excluding credit losses and impairments, are recorded in other comprehensive income. Fair value is calculated based on publicly available market information or other estimates determined by management. If the cost of an investment exceeds its fair value, we evaluate, among other factors, general market conditions, credit quality of debt instrument issuers, and the extent to which the fair value is less than cost. To determine credit losses, we employ a systematic methodology that considers available quantitative and qualitative evidence. In addition, we consider specific adverse conditions related to the financial health of, and business outlook for, the investee. If we have plans to sell the security or it is more likely than not that we will be required to sell the security before recovery, then a decline in fair value below cost is recorded as an impairment charge in other income (expense), net and a new cost basis in the investment is established. If market, industry, and/or investee conditions deteriorate, we may incur future impairments. Equity investments with readily determinable fair values are measured at fair value. Equity investments without readily determinable fair values are measured using the equity method or measured at cost with adjustments for observable changes in price or impairments (referred to as the measurement alternative). We perform a qualitative assessment on a periodic basis and recognize an impairment if there are sufficient indicators that the fair value of the investment is less than carrying value. Changes in value are recorded in other income (expense), net. Derivatives Derivative instruments are recognized as either assets or liabilities and measured at fair value. The accounting for changes in the fair value of a derivative depends on the intended use of the derivative and the resulting designation. For derivative instruments designated as fair value hedges, gains and losses are recognized in other income (expense), net with offsetting gains and losses on the hedged items. Gains and losses representing hedge components excluded from the assessment of effectiveness are recognized in other income (expense), net. For derivative instruments designated as cash flow hedges, gains and losses are initially reported as a component of other comprehensive income and subsequently recognized in other income (expense), net with the corresponding hedged item. Gains and losses representing hedge components excluded from the assessment of effectiveness are recognized in other income (expense), net. For derivative instruments that are not designated as hedges, gains and losses from changes in fair values are primarily recognized in other income (expense), net. Fair Value Measurements We account for certain assets and liabilities at fair value. The hierarchy below lists three levels of fair value based on the extent to which inputs used in measuring fair value are observable in the market. We categorize each of our fair value measurements in one of these three levels based on the lowest level input that is significant to the fair value measurement in its entirety. These levels are: • Level 1 – inputs are based upon unadjusted quoted prices for identical instruments in active markets. Our Level 1 investments include U.S. government securities, common and preferred stock, and mutual funds. Our Level 1 derivative assets and liabilities include those actively traded on exchanges. • Level 2 – inputs are based upon quoted prices for similar instruments in active markets, quoted prices for identical or similar instruments in markets that are not active, and model-based valuation techniques (e.g. the Black-Scholes model) for which all significant inputs are observable in the market or can be corroborated by observable market data for substantially the full term of the assets or liabilities. Where applicable, these models project future cash flows and discount the future amounts to a present value using market-based observable inputs including interest rate curves, credit spreads, foreign exchange rates, and forward and spot prices for currencies. Our Level 2 investments include commercial paper, certificates of deposit, U.S. agency securities, foreign government bonds, mortgage- and asset-backed securities, corporate notes and bonds, and municipal securities. Our Level 2 derivative assets and liabilities include certain cleared swap contracts and over-the-counter forward, option, and swap contracts. • Level 3 – inputs are generally unobservable and typically reflect management’s estimates of assumptions that market participants would use in pricing the asset or liability. The fair values are therefore determined using model-based techniques, including option pricing models and discounted cash flow models. Our Level 3 assets and liabilities include investments in corporate notes and bonds, municipal securities, and goodwill and intangible assets, when they are recorded at fair value due to an impairment charge. Unobservable inputs used in the models are significant to the fair values of the assets and liabilities. We measure equity investments without readily determinable fair values on a nonrecurring basis. The fair values of these investments are determined based on valuation techniques using the best information available, and may include quoted market prices, market comparables, and discounted cash flow projections. Our other current financial assets and current financial liabilities have fair values that approximate their carrying values. Contract Balances and Other Receivables As of December 31, 2023 and June 30, 2023, long-term accounts receivable, net of allowance for doubtful accounts, was $ 4.8 billion and $ 4.5 billion, respectively, and is included in other long-term assets in our consolidated balance sheets. As of December 31, 2023 and June 30, 2023, other receivables related to activities to facilitate the purchase of server components were $ 8.8 billion and $ 9.2 billion, respectively, and are included in other current assets in our consolidated balance sheets. We record financing receivables when we offer certain of our customers the option to acquire our software products and services offerings through a financing program in a limited number of countries. As of December 31 , 2023 and June 30, 2023, our financing receivables, net were $ 3.6 billion and $ 5.3 billion, respectively, for short-term and long-term financing receivables, which are included in other current assets and other long-term assets in our consolidated balance sheets. We record an allowance to cover expected losses based on troubled accounts, historical experience, and other currently available evidence. Recent Accounting Guidance Segment Reporting – Improvements to Reportable Segment Disclosures In November 2023, the Financial Accounting Standards Board (“FASB”) issued a new standard to improve reportable segment disclosures. The guidance expands the disclosures required for reportable segments in our annual and interim consolidated financial statements, primarily through enhanced disclosures about significant segment expenses. The standard will be effective for us beginning with our annual reporting for fiscal year 2025 and interim periods thereafter, with early adoption permitted. We are currently evaluating the impact of this standard on our segment disclosures. Income Taxes – Improvements to Income Tax Disclosures In December 2023, the FASB issued a new standard to improve income tax disclosures. The guidance requires disclosure of disaggregated income taxes paid, prescribes standardized categories for the components of the effective tax rate reconciliation, and modifies other income tax-related disclosures. The standard will be effective for us beginning with our annual reporting for fiscal year 2026, with early adoption permitted. We are currently evaluating the impact of this standard on our income tax disclosures.

EARNINGS PER SHARE

EARNINGS PER SHARE	6 Months Ended
EARNINGS PER SHARE	Dec. 31, 2023
Earnings Per Share [Abstract]
EARNINGS PER SHARE	NOTE 2 — EARNINGS PER SHARE Basic earnings per share (“EPS”) is computed based on the weighted average number of shares of common stock outstanding during the period. Diluted EPS is computed based on the weighted average number of shares of common stock plus the effect of dilutive potential common shares outstanding during the period using the treasury stock method. Dilutive potential common shares include outstanding stock options and stock awards. The components of basic and diluted EPS were as follows: (In millions, except per share amounts) Three Months Ended December 31, Six Months Ended December 31, 2023 2022 2023 2022 Net income available for common shareholders (A) $ 21,870 $ 16,425 $ 44,161 $ 33,981 Weighted average outstanding shares of common stock (B) 7,432 7,451 7,431 7,454 Dilutive effect of stock-based awards 36 22 34 25 Common stock and common stock equivalents (C) 7,468 7,473 7,465 7,479 Earnings Per Share Basic (A/B) $ 2.94 $ 2.20 $ 5.94 $ 4.56 Diluted (A/C) $ 2.93 $ 2.20 $ 5.92 $ 4.54 Anti-dilutive stock-based awards excluded from the calculations of diluted EPS were immaterial during the periods presented.

OTHER INCOME (EXPENSE), NET

OTHER INCOME (EXPENSE), NET	6 Months Ended
OTHER INCOME (EXPENSE), NET	Dec. 31, 2023
Other Income and Expenses [Abstract]
OTHER INCOME (EXPENSE), NET	NOTE 3 — OTHER INCOME (EXPENSE), NET The components of other income (expense), net were as follows: (In millions) Three Months Ended December 31, Six Months Ended December 31 , 2023 2022 2023 2022 Interest and dividends income $ 734 $ 700 $ 1,900 $ 1,341 Interest expense ( 909 ) ( 490 ) ( 1,434 ) ( 990 ) Net recognized gains (losses) on investments 69 ( 15 ) ( 38 ) ( 2 ) Net losses on derivatives ( 267 ) ( 199 ) ( 174 ) ( 190 ) Net gains (losses) on foreign currency remeasurements 36 ( 18 ) ( 65 ) ( 96 ) Other, net ( 169 ) ( 38 ) ( 306 ) ( 69 ) Total $ ( 506 ) $ ( 60 ) $ ( 117 ) $ ( 6 ) Net Recognized Gains (Losses) on Investments Net recognized gains (losses) on debt investments were as follows: (In millions) Three Months Ended December 31, Six Months Ended December 31, 2023 2022 2023 2022 Realized gains from sales of available-for-sale securities $ 4 $ 27 $ 6 $ 30 Realized losses from sales of available-for-sale securities ( 29 ) ( 23 ) ( 54 ) ( 43 ) Impairments and allowance for credit losses 18 5 12 ( 13 ) Total $ ( 7 ) $ 9 $ ( 36 ) $ ( 26 ) Net recognized gains (losses) on equity investments were as follows: (In millions) Three Months Ended December 31, Six Months Ended December 31, 2023 2022 2023 2022 Net realized gains (losses) on investments sold $ ( 31 ) $ ( 8 ) $ 14 $ 75 Net unrealized gains (losses) on investments still held 286 ( 7 ) 163 ( 35 ) Impairments of investments ( 179 ) ( 9 ) ( 179 ) ( 16 ) Total $ 76 $ ( 24 ) $ ( 2 ) $ 24

INVESTMENTS

INVESTMENTS	6 Months Ended
INVESTMENTS	Dec. 31, 2023
Investments, Debt and Equity Securities [Abstract]
INVESTMENTS	NOTE 4 — INVESTMENTS Investment Components The components of investments were as follows: (In millions) Fair Value Level Adjusted Cost Basis Unrealized Gains Unrealized Losses Recorded Basis Cash and Cash Equivalents Short-term Investments Equity Investments December 31, 2023 Changes in Fair Value Recorded in Other Comprehensive Income Commercial paper Level 2 $ 4,577 $ 0 $ 0 $ 4,577 $ 4,574 $ 3 $ 0 Certificates of deposit Level 2 2,973 0 0 2,973 2,931 42 0 U.S. government securities Level 1 54,775 11 ( 2,848 ) 51,938 0 51,938 0 U.S. agency securities Level 2 24 0 0 24 0 24 0 Foreign government bonds Level 2 420 4 ( 12 ) 412 7 405 0 Mortgage- and asset-backed securities Level 2 926 5 ( 31 ) 900 0 900 0 Corporate notes and bonds Level 2 10,164 63 ( 349 ) 9,878 0 9,878 0 Corporate notes and bonds Level 3 129 0 0 129 0 129 0 Municipal securities Level 2 282 1 ( 13 ) 270 0 270 0 Municipal securities Level 3 104 0 ( 16 ) 88 0 88 0 Total debt investments $ 74,374 $ 84 $ ( 3,269 ) $ 71,189 $ 7,512 $ 63,677 $ 0 Changes in Fair Value Recorded in Net Income Equity investments Level 1 $ 3,276 $ 257 $ 0 $ 3,019 Equity investments Other 10,348 0 0 10,348 Total equity investments $ 13,624 $ 257 $ 0 $ 13,367 Cash $ 9,536 $ 9,536 $ 0 $ 0 Derivatives, net (a) 35 0 35 0 Total $ 94,384 $ 17,305 $ 63,712 $ 13,367 (In millions) Fair Value Level Adjusted Cost Basis Unrealized Gains Unrealized Losses Recorded Basis Cash and Cash Equivalents Short-term Investments Equity Investments June 30, 2023 Changes in Fair Value Recorded in Other Comprehensive Income Commercial paper Level 2 $ 16,589 $ 0 $ 0 $ 16,589 $ 12,231 $ 4,358 $ 0 Certificates of deposit Level 2 2,701 0 0 2,701 2,657 44 0 U.S. government securities Level 1 65,237 2 ( 3,870 ) 61,369 2,991 58,378 0 U.S. agency securities Level 2 2,703 0 0 2,703 894 1,809 0 Foreign government bonds Level 2 498 1 ( 24 ) 475 0 475 0 Mortgage- and asset-backed securities Level 2 824 1 ( 39 ) 786 0 786 0 Corporate notes and bonds Level 2 10,809 8 ( 583 ) 10,234 0 10,234 0 Corporate notes and bonds Level 3 120 0 0 120 0 120 0 Municipal securities Level 2 285 1 ( 18 ) 268 7 261 0 Municipal securities Level 3 103 0 ( 16 ) 87 0 87 0 Total debt investments $ 99,869 $ 13 $ ( 4,550 ) $ 95,332 $ 18,780 $ 76,552 $ 0 Changes in Fair Value Recorded in Net Income Equity investments Level 1 $ 10,138 $ 7,446 $ 0 $ 2,692 Equity investments Other 7,187 0 0 7,187 Total equity investments $ 17,325 $ 7,446 $ 0 $ 9,879 Cash $ 8,478 $ 8,478 $ 0 $ 0 Derivatives, net (a) 6 0 6 0 Total $ 121,141 $ 34,704 $ 76,558 $ 9,879 (a) Refer to Note 5 – Derivatives for further information on the fair value of our derivative instruments. Equity investments presented as “Other” in the tables above include investments without readily determinable fair values measured using the equity method or measured at cost with adjustments for observable changes in price or impairments, and investments measured at fair value using net asset value as a practical expedient which are not categorized in the fair value hierarchy. As of December 31 , 2023 and June 30, 2023, equity investments without readily determinable fair values measured at cost with adjustments for observable changes in price or impairments were $ 4.0 billion and $ 4.2 billion, respectively. Unrealized Losses on Debt Investments Debt investments with continuous unrealized losses for less than 12 months and 12 months or greater and their related fair values were as follows: Less than 12 Months 12 Months or Greater Total (In millions) Fair Value Unrealized Fair Value Unrealized Total December 31, 2023 U.S. government and agency securities $ 292 $ ( 8 ) $ 51,092 $ ( 2,840 ) $ 51,384 $ ( 2,848 ) Foreign government bonds 26 ( 1 ) 312 ( 11 ) 338 ( 12 ) Mortgage- and asset-backed securities 185 ( 1 ) 403 ( 30 ) 588 ( 31 ) Corporate notes and bonds 396 ( 6 ) 7,208 ( 343 ) 7,604 ( 349 ) Municipal securities 46 0 240 ( 29 ) 286 ( 29 ) Total $ 945 $ ( 16 ) $ 59,255 $ ( 3,253 ) $ 60,200 $ ( 3,269 ) Less than 12 Months 12 Months or Greater Total (In millions) Fair Value Unrealized Fair Value Unrealized Total June 30, 2023 U.S. government and agency securities $ 7,950 $ ( 336 ) $ 45,273 $ ( 3,534 ) $ 53,223 $ ( 3,870 ) Foreign government bonds 77 ( 5 ) 391 ( 19 ) 468 ( 24 ) Mortgage- and asset-backed securities 257 ( 5 ) 412 ( 34 ) 669 ( 39 ) Corporate notes and bonds 2,326 ( 49 ) 7,336 ( 534 ) 9,662 ( 583 ) Municipal securities 111 ( 3 ) 186 ( 31 ) 297 ( 34 ) Total $ 10,721 $ ( 398 ) $ 53,598 $ ( 4,152 ) $ 64,319 $ ( 4,550 ) Unrealized losses from fixed-income securities are primarily attributable to changes in interest rates. Management does not believe any remaining unrealized losses represent impairments based on our evaluation of available evidence. Debt Investment Maturities The following table outlines maturities of our debt investments as of December 31, 2023: (In millions) Adjusted Cost Basis Estimated Fair Value December 31, 2023 Due in one year or less $ 17,257 $ 17,145 Due after one year through five years 46,857 44,848 Due after five years through 10 years 8,932 7,976 Due after 10 years 1,328 1,220 Total $ 74,374 $ 71,189

DERIVATIVES

DERIVATIVES	6 Months Ended
DERIVATIVES	Dec. 31, 2023
Derivative Instruments and Hedging Activities Disclosure [Abstract]
DERIVATIVES	NOTE 5 — DERIVATIVES We use derivative instruments to manage risks related to foreign currencies, interest rates, equity prices, and credit; to enhance investment returns; and to facilitate portfolio diversification. Our objectives for holding derivatives include reducing, eliminating, and efficiently managing the economic impact of these exposures as effectively as possible. Our derivative programs include strategies that both qualify and do not qualify for hedge accounting treatment. Foreign Currencies Certain forecasted transactions, assets, and liabilities are exposed to foreign currency risk. We monitor our foreign currency exposures daily to maximize the economic effectiveness of our foreign currency hedge positions. Foreign currency risks related to certain non-U.S. dollar-denominated investments are hedged using foreign exchange forward contracts that are designated as fair value hedging instruments. Foreign currency risks related to certain Euro-denominated debt are hedged using foreign exchange forward contracts that are designated as cash flow hedging instruments. Certain options and forwards not designated as hedging instruments are also used to manage the variability in foreign exchange rates on certain balance sheet amounts and to manage other foreign currency exposures. Interest Rate Interest rate risks related to certain fixed-rate debt are hedged using interest rate swaps that are designated as fair value hedging instruments to effectively convert the fixed interest rates to floating interest rates. Securities held in our fixed-income portfolio are subject to different interest rate risks based on their maturities. We manage the average maturity of our fixed-income portfolio to achieve economic returns that correlate to certain broad-based fixed-income indices using option , futures, and swap contracts. These contracts are not designated as hedging instruments and are included in “Other contracts” in the tables below. Equity Securities held in our equity investments portfolio are subject to market price risk. At times, we may hold options, futures, and swap contracts. These contracts are not designated as hedging instruments. Credit Our fixed-income portfolio is diversified and consists primarily of investment-grade securities. We use credit default swap contracts to manage credit exposures relative to broad-based indices and to facilitate portfolio diversification. These contracts are not designated as hedging instruments and are included in “Other contracts” in the tables below. Credit-Risk-Related Contingent Features Certain counterparty agreements for derivative instruments contain provisions that require our issued and outstanding long-term unsecured debt to maintain an investment grade credit rating and require us to maintain minimum liquidity of $ 1.0 billion. To the extent we fail to meet these requirements, we will be required to post collateral, similar to the standard convention related to over-the-counter derivatives. As of December 31 , 2023, our long-term unsecured debt rating was AAA , and cash investments were in excess of $ 1.0 billion. As a result, no collateral was required to be posted. The following table presents the notional amounts of our outstanding derivative instruments measured in U.S. dollar equivalents: (In millions) December 31, 2023 June 30, 2023 Designated as Hedging Instruments Foreign exchange contracts purchased $ 1,492 $ 1,492 Interest rate contracts purchased 1,106 1,078 Not Designated as Hedging Instruments Foreign exchange contracts purchased 8,113 7,874 Foreign exchange contracts sold 20,772 25,159 Equity contracts purchased 3,731 3,867 Equity contracts sold 2,154 2,154 Other contracts purchased 1,643 1,224 Other contracts sold 739 581 Fair Values of Derivative Instruments The following table presents our derivative instruments: (In millions) Derivative Assets Derivative Liabilities Derivative Assets Derivative Liabilities December 31, 2023 June 30, 2023 Designated as Hedging Instruments Foreign exchange contracts $ 53 $ ( 59 ) $ 34 $ ( 67 ) Interest rate contracts 21 0 16 0 Not Designated as Hedging Instruments Foreign exchange contracts 300 ( 702 ) 249 ( 332 ) Equity contracts 104 ( 513 ) 165 ( 400 ) Other contracts 42 0 5 ( 6 ) Gross amounts of derivatives 520 ( 1,274 ) 469 ( 805 ) Gross amounts of derivatives offset in the balance sheet ( 227 ) 229 ( 202 ) 206 Cash collateral received 0 ( 190 ) 0 ( 125 ) Net amounts of derivatives $ 293 $ ( 1,235 ) $ 267 $ ( 724 ) Reported as Short-term investments $ 35 $ 0 $ 6 $ 0 Other current assets 237 0 245 0 Other long-term assets 21 0 16 0 Other current liabilities 0 ( 786 ) 0 ( 341 ) Other long-term liabilities 0 ( 449 ) 0 ( 383 ) Total $ 293 $ ( 1,235 ) $ 267 $ ( 724 ) Gross derivative assets and liabilities subject to legally enforceable master netting agreements for which we have elected to offset were $ 459 million and $ 1.3 billion, respectively, as of December 31, 2023, and $ 442 million and $ 804 million, respectively, as of June 30, 2023. The following table presents the fair value of our derivatives instruments on a gross basis: (In millions) Level 1 Level 2 Level 3 Total December 31, 2023 Derivative assets $ 0 $ 511 $ 9 $ 520 Derivative liabilities 0 ( 1,274 ) 0 ( 1,274 ) June 30, 2023 Derivative assets 0 462 7 469 Derivative liabilities 0 ( 805 ) 0 ( 805 ) Gains (losses) on derivative instruments recognized in other income (expense), net were as follows: (In millions) Three Months Ended December 31, Six Months Ended December 31, 2023 2022 2023 2022 Designated as Fair Value Hedging Instruments Interest rate contracts Derivatives $ 22 $ 5 $ 6 $ ( 38 ) Hedged items ( 34 ) ( 8 ) ( 31 ) 35 Designated as Cash Flow Hedging Instruments Foreign exchange contracts Amount reclassified from accumulated other comprehensive loss 51 103 5 44 Not Designated as Hedging Instruments Foreign exchange contracts ( 334 ) ( 250 ) ( 128 ) ( 10 ) Equity contracts ( 287 ) ( 181 ) ( 174 ) ( 169 ) Other contracts 36 ( 25 ) 3 ( 35 ) Gains, net of tax, on derivative instruments recognized in our consolidated comprehensive income statements were as follows: (In millions) Three Months Ended December 31, Six Months Ended December 31, 2023 2022 2023 2022 Designated as Cash Flow Hedging Instruments Foreign exchange contracts Included in effectiveness assessment $ 37 $ 49 $ 22 $ 9

INVENTORIES

INVENTORIES	6 Months Ended
INVENTORIES	Dec. 31, 2023
Inventory Disclosure [Abstract]
INVENTORIES	NOTE 6 — INVENTORIES The components of inventories were as follows: (In millions) December 31, 2023 June 30, 2023 Raw materials $ 382 $ 709 Work in process 12 23 Finished goods 1,221 1,768 Total $ 1,615 $ 2,500

BUSINESS COMBINATIONS

BUSINESS COMBINATIONS	6 Months Ended
BUSINESS COMBINATIONS	Dec. 31, 2023
Business Combinations [Abstract]
BUSINESS COMBINATIONS	NOTE 7 — BUSINESS COMBINATIONS Activision Blizzard, Inc. On October 13, 2023 , we completed our acquisition of Activision Blizzard, Inc. (“Activision Blizzard”) for a total purchase price of $ 75.4 billion, consisting primarily of cash. Activision Blizzard is a leader in game development and an interactive entertainment content publisher. The acquisition will accelerate the growth in our gaming business across mobile, PC, console, and cloud gaming. The financial results of Activision Blizzard have been included in our consolidated financial statements since the date of the acquisition. Activision Blizzard is reported as part of our More Personal Computing segment. The purchase price allocation as of the date of acquisition was based on a preliminary valuation and is subject to revision as more detailed analyses are completed and additional information about the fair value of assets acquired and liabilities assumed becomes available. The primary areas that remain preliminary relate to the fair values of goodwill, intangible assets, and income taxes. The major classes of assets and liabilities to which we have preliminarily allocated the purchase price were as follows: (In millions) Cash and cash equivalents $ 12,976 Goodwill 50,945 Intangible assets 22,046 Other assets 2,420 Long-term debt ( 2,800 ) Long-term income taxes ( 1,853 ) Deferred income taxes ( 4,644 ) Other liabilities ( 3,684 ) Total purchase price $ 75,406 Goodwill was assigned to our More Personal Computing segment. The goodwill was primarily attributed to increased synergies that are expected to be achieved from the integration of Activision Blizzard. Substantially all of the goodwill is expected to be non-deductible for income tax purposes. Following are the details of the purchase price allocated to the intangible assets acquired: (In millions, except average life) Amount Weighted Average Life Marketing-related $ 11,619 24 years Technology-based 9,767 4 years Customer-related 660 4 years Fair value of intangible assets acquired $ 22,046 15 years Since the date of acquisition, the net impact of the Activision Blizzard acquisition on our consolidated income statements was revenue and operating loss of $ 2.1 billion and $ 437 million, respectively, for both the three and six months ended December 31, 2023. The change of Activision Blizzard content from third-party to first-party is reflected in the net impact. Following are the supplemental consolidated financial results of Microsoft Corporation on an unaudited pro forma basis, as if the acquisition had been consummated on July 1, 2022: (In millions, except per share amounts) Three Months Ended December 31, Six Months Ended December 31, 2023 2022 2023 2022 Revenue $ 62,297 $ 55,002 $ 120,857 $ 106,799 Net income 22,025 16,364 44,334 33,266 Diluted earnings per share 2.95 2.19 5.94 4.45 These pro forma results were based on estimates and assumptions, which we believe are reasonable. They are not the results that would have been realized had we been a combined company during the periods presented and are not necessarily indicative of our consolidated results of operations in future periods. The pro forma results include adjustments related to purchase accounting, primarily amortization of intangible assets. Acquisition costs and other nonrecurring charges were immaterial and are included in the earliest period presented.

GOODWILL

GOODWILL	6 Months Ended
GOODWILL	Dec. 31, 2023
Goodwill and Intangible Assets Disclosure [Abstract]
GOODWILL	NOTE 8 — GOODWILL Changes in the carrying amount of goodwill were as follows: (In millions) June 30, 2023 Acquisitions Other December 31, 2023 Productivity and Business Processes $ 24,775 $ 0 $ 42 $ 24,817 Intelligent Cloud 30,469 0 ( 6 ) 30,463 More Personal Computing 12,642 50,945 (a) 64 63,651 Total $ 67,886 $ 50,945 $ 100 $ 118,931 (a) Includes goodwill of $ 50.9 billion related to Activision Blizzard. See Note 7 – Business Combinations for further information. The measurement periods for the valuation of assets acquired and liabilities assumed end as soon as information on the facts and circumstances that existed as of the acquisition dates becomes available, but do not exceed 12 months. Adjustments in purchase price allocations may require a change in the amounts allocated to goodwill during the periods in which the adjustments are determined. Any change in the goodwill amounts resulting from foreign currency translations and purchase accounting adjustments are presented as “Other” in the table above. Also included in “Other” are business dispositions and transfers between segments due to reorganizations, as applicable.

INTANGIBLE ASSETS

INTANGIBLE ASSETS	6 Months Ended
INTANGIBLE ASSETS	Dec. 31, 2023
Goodwill and Intangible Assets Disclosure [Abstract]
INTANGIBLE ASSETS	NOTE 9 — INTANGIBLE ASSETS The components of intangible assets, all of which are finite-lived, were as follows: (In millions) Gross Accumulated Net Gross Accumulated Net Carrying Amount December 31, 2023 June 30, 2023 Marketing-related $ 16,555 $ ( 2,745 ) $ 13,810 $ 4,935 $ ( 2,473 ) $ 2,462 Technology-based 21,426 ( 8,758 ) 12,668 11,245 ( 7,589 ) 3,656 Customer-related 7,939 ( 4,533 ) 3,406 7,281 ( 4,047 ) 3,234 Contract-based 31 ( 19 ) 12 29 ( 15 ) 14 Total $ 45,951 (a) $ ( 16,055 ) $ 29,896 $ 23,490 $ ( 14,124 ) $ 9,366 (a) Includes intangible assets of $ 22.0 billion related to Activision Blizzard. See Note 7 – Business Combinations for further information. Intangible assets amortization expense was $ 1.3 billion and $ 2.0 billion for the three and six months ended December 31, 2023, respectively, and $ 632 million and $ 1.3 billion for the three and six months ended December 31, 2022, respectively. The following table outlines the estimated future amortization expense related to intangible assets held as of December 31, 2023: (In millions) Year Ending June 30, 2024 (excluding the six months ended December 31, 2023) $ 2,870 2025 5,746 2026 4,315 2027 2,681 2028 1,864 Thereafter 12,420 Total $ 29,896

DEBT

DEBT	6 Months Ended
DEBT	Dec. 31, 2023
Debt Disclosure [Abstract]
DEBT	NOTE 10 — DEBT Short-term Debt As of December 31, 2023, we had $ 27.0 billion of commercial paper issued and outstanding, with a weighted average interest rate of 5.5 % and maturities ranging from 33 days to 216 days. The estimated fair value of this commercial paper approximates its carrying value. As of June 30, 2023, we had no commercial paper issued or outstanding. Long-term Debt The components of long-term debt were as follows: (In millions, issuance by calendar year) Maturities (calendar year) Stated Interest Rate Effective Interest Rate December 31, 2023 June 30, 2023 2009 issuance of $ 3.8 billion 2039 5.20 % 5.24 % $ 520 $ 520 2010 issuance of $ 4.8 billion 2040 4.50 % 4.57 % 486 486 2011 issuance of $ 2.3 billion 2041 5.30 % 5.36 % 718 718 2012 issuance of $ 2.3 billion 2042 3.50 % 3.57 % 454 454 2013 issuance of $ 5.2 billion 2043 3.75 % – 4.88 % 3.83 % – 4.92 % 314 1,814 2013 issuance of € 4.1 billion 2028 – 2033 2.63 % – 3.13 % 2.69 % – 3.22 % 2,541 2,509 2015 issuance of $ 23.8 billion 2025 – 2055 2.70 % – 4.75 % 2.77 % – 4.78 % 9,805 9,805 2016 issuance of $ 19.8 billion 2026 – 2056 2.40 % – 3.95 % 2.46 % – 4.03 % 7,930 9,430 2017 issuance of $ 17.1 billion (a) 2024 – 2057 2.88 % – 4.50 % 3.04 % – 5.49 % 9,083 8,945 2020 issuance of $ 10.1 billion (a) 2030 – 2060 1.35 % – 2.68 % 2.53 % – 5.43 % 10,111 10,000 2021 issuance of $ 8.2 billion 2052 – 2062 2.92 % – 3.04 % 2.92 % – 3.04 % 8,185 8,185 2023 issuance of $ 3.4 billion (a) 2026 – 2050 1.35 % – 4.50 % 5.16 % – 5.49 % 3,401 0 Total face value 53,548 52,866 Unamortized discount and issuance costs ( 1,264 ) ( 438 ) Hedge fair value adjustments (b) ( 75 ) ( 106 ) Premium on debt exchange ( 5,031 ) ( 5,085 ) Total debt 47,178 47,237 Current portion of long-term debt ( 2,250 ) ( 5,247 ) Long-term debt $ 44,928 $ 41,990 (a) Includes $ 3.6 billion of debt at face value related to the Activision Blizzard acquisition. See Note 7 – Business Combinations for further information. (b) Refer to Note 5 – Derivatives for further information on the interest rate swaps related to fixed-rate debt. As of December 31, 2023 and June 30, 2023, the estimated fair value of long-term debt, including the current portion, was $ 46.6 billion and $ 46.2 billion, respectively. The estimated fair values are based on Level 2 inputs. Debt in the table above is comprised of senior unsecured obligations and ranks equally with our other outstanding obligations. Interest is paid semi-annually, except for the Euro-denominated debt, which is paid annually. The following table outlines maturities of our long-term debt, including the current portion, as of December 31, 2023: (In millions) Year Ending June 30, 2024 (excluding the six months ended December 31, 2023) $ 2,250 2025 2,250 2026 3,000 2027 9,250 2028 0 Thereafter 36,798 Total $ 53,548

INCOME TAXES

INCOME TAXES	6 Months Ended
INCOME TAXES	Dec. 31, 2023
Income Tax Disclosure [Abstract]
INCOME TAXES	NOTE 11 — INCOME TAXES Effective Tax Rate Our effective tax rate was 18 % and 19 % for the three months ended December 31, 2023 and 2022, respectively, and 18 % and 19 % for the six months ended December 31, 2023 and 2022, respectively. The decrease in our effective tax rate for the three and six months ended December 31, 2023 compared to the prior year was primarily due to tax benefits from tax law changes, including the impact from the issuance of Notice 2023-55 and Notice 2023-80 by the Internal Revenue Service (“IRS”) and U.S. Treasury Department. Notice 2023-55, issued in the first quarter of fiscal year 2024, delayed the effective date of final foreign tax credit regulations to fiscal year 2024 for Microsoft. Notice 2023-80, issued in the second quarter of fiscal year 2024, further delayed the effective date of final foreign tax credit regulations indefinitely. Our effective tax rate was lower than the U.S. federal statutory rate for the three and six months ended December 31, 2023, primarily due to earnings taxed at lower rates in foreign jurisdictions resulting from producing and distributing our products and services through our foreign regional operations center in Ireland. Uncertain Tax Positions As of December 31, 2023 and June 30, 2023, unrecognized tax benefits and other income tax liabilities were $ 22.9 billion and $ 18.7 billion, respectively, and are included in long-term income taxes in our consolidated balance sheets. The balance as of December 31, 2023 includes $ 1.9 billion of acquired unrecognized tax benefits and other income tax liabilities due to the acquisition of Activision Blizzard. See Note 7 – Business Combinations for further information. We remain under audit by the IRS for tax years 2014 to 2017 . With respect to the audit for tax years 2004 to 2013 , on September 26, 2023, we received Notices of Proposed Adjustment (“NOPAs”) from the IRS. The primary issues in the NOPAs relate to intercompany transfer pricing. In the NOPAs, the IRS is seeking an additional tax payment of $ 28.9 billion plus penalties and interest. As of December 31, 2023, we believe our allowances for income tax contingencies are adequate. We disagree with the proposed adjustments and will vigorously contest the NOPAs through the IRS’s administrative appeals office and, if necessary, judicial proceedings. We do not expect a final resolution of these issues in the next 12 months. Based on the information currently available, we do not anticipate a significant increase or decrease to our income tax contingencies for these issues within the next 12 months. We are subject to income tax in many jurisdictions outside the U.S. Our operations in certain jurisdictions remain subject to examination for tax years 1996 to 2023 , some of which are currently under audit by local tax authorities. The resolution of each of these audits is not expected to be material to our consolidated financial statements.

UNEARNED REVENUE

UNEARNED REVENUE	6 Months Ended
UNEARNED REVENUE	Dec. 31, 2023
Revenue from Contract with Customer [Abstract]
UNEARNED REVENUE	NOTE 12 — UNEARNED REVENUE Unearned revenue by segment was as follows: (In millions) December 31, 2023 June 30, 2023 Productivity and Business Processes $ 22,591 $ 27,572 Intelligent Cloud 17,696 21,563 More Personal Computing 5,747 4,678 Total $ 46,034 $ 53,813 Changes in unearned revenue were as follows: (In millions) Six Months Ended December 31, 2023 Balance, beginning of period $ 53,813 Deferral of revenue 59,828 Recognition of unearned revenue ( 67,607 ) Balance, end of period $ 46,034 Revenue allocated to remaining performance obligations, which includes unearned revenue and amounts that will be invoiced and recognized as revenue in future periods, was $ 229 billion as of December 31 , 2023, of which $ 222 billion is related to the commercial portion of revenue. We expect to recognize approximately 45 % of this revenue over the next 12 months and the remainder thereafter.

LEASES

LEASES	6 Months Ended
LEASES	Dec. 31, 2023
Leases [Abstract]
LEASES	NOTE 13 — LEASES We have operating and finance leases for datacenters, corporate offices, research and development facilities, Microsoft Experience Centers, and certain equipment. Our leases have remaining lease terms of less than 1 year to 18 years, some of which include options to extend the leases for up to 5 years, and some of which include options to terminate the leases within 1 year. The components of lease expense were as follows: (In millions) Three Months Ended December 31, Six Months Ended December 31, 2023 2022 2023 2022 Operating lease cost $ 817 $ 684 $ 1,591 $ 1,346 Finance lease cost: Amortization of right-of-use assets $ 408 $ 457 $ 788 $ 646 Interest on lease liabilities 168 119 317 232 Total finance lease cost $ 576 $ 576 $ 1,105 $ 878 Supplemental cash flow information related to leases was as follows: (In millions) Three Months Ended December 31, Six Months Ended December 31, 2023 2022 2023 2022 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 803 $ 645 $ 1,597 $ 1,299 Operating cash flows from finance leases 168 119 317 232 Financing cash flows from finance leases 288 262 573 518 Right-of-use assets obtained in exchange for lease obligations: Operating leases 847 525 2,651 1,714 Finance leases 1,796 598 3,500 1,209 Supplemental balance sheet information related to leases was as follows: (In millions, except lease term and discount rate) December 31, 2023 June 30, 2023 Operating Leases Operating lease right-of-use assets $ 16,398 $ 14,346 Other current liabilities $ 2,787 $ 2,409 Operating lease liabilities 14,155 12,728 Total operating lease liabilities $ 16,942 $ 15,137 Finance Leases Property and equipment, at cost $ 24,245 $ 20,538 Accumulated depreciation ( 5,484 ) ( 4,647 ) Property and equipment, net $ 18,761 $ 15,891 Other current liabilities $ 1,691 $ 1,197 Other long-term liabilities 18,506 15,870 Total finance lease liabilities $ 20,197 $ 17,067 Weighted Average Remaining Lease Term Operating leases 8 years 8 years Finance leases 12 years 11 years Weighted Average Discount Rate Operating leases 3.3 % 2.9 % Finance leases 3.7 % 3.4 % The following table outlines maturities of our lease liabilities as of December 31, 2023: (In millions) Year Ending June 30, Operating Leases Finance Leases 2024 (excluding the six months ended December 31, 2023) $ 1,614 $ 1,021 2025 3,091 2,411 2026 2,633 2,101 2027 2,179 2,109 2028 1,933 2,121 Thereafter 7,615 15,326 Total lease payments 19,065 25,089 Less imputed interest ( 2,123 ) ( 4,892 ) Total $ 16,942 $ 20,197 As of December 31, 2023, we had additional operating and finance leases, primarily for datacenters, that had not yet commenced of $ 7.5 billion and $ 85.1 billion, respectively. These operating and finance leases will commence between fiscal year 2024 and fiscal year 2030 with lease terms of 1 year to 20 years.

CONTINGENCIES

CONTINGENCIES	6 Months Ended
CONTINGENCIES	Dec. 31, 2023
Commitments and Contingencies Disclosure [Abstract]
CONTINGENCIES	NOTE 14 — CONTINGENCIES U.S. Cell Phone Litigation Microsoft Mobile Oy, a subsidiary of Microsoft, along with other handset manufacturers and network operators, is a defendant in 45 lawsuits filed in the Superior Court for the District of Columbia by individual plaintiffs who allege that radio emissions from cellular handsets caused their brain tumors and other adverse health effects. We assumed responsibility for these claims in our agreement to acquire Nokia’s Devices and Services business and have been substituted for the Nokia defendants. Twelve of these cases were consolidated for certain pre-trial proceedings; the remaining cases are stayed. In a separate 2009 decision, the Court of Appeals for the District of Columbia held that adverse health effect claims arising from the use of cellular handsets that operate within the U.S. Federal Communications Commission radio frequency emission guidelines (“FCC Guidelines”) are pre-empted by federal law. The plaintiffs allege that their handsets either operated outside the FCC Guidelines or were manufactured before the FCC Guidelines went into effect. The lawsuits also allege an industry-wide conspiracy to manipulate the science and testing around emission guidelines. In 2013, the defendants in the consolidated cases moved to exclude the plaintiffs’ expert evidence of general causation on the basis of flawed scientific methodologies. In 2014, the trial court granted in part and denied in part the defendants’ motion to exclude the plaintiffs’ general causation experts. The defendants filed an interlocutory appeal to the District of Columbia Court of Appeals challenging the standard for evaluating expert scientific evidence. In October 2016, the Court of Appeals issued its decision adopting the standard advocated by the defendants and remanding the cases to the trial court for further proceedings under that standard. The plaintiffs have filed supplemental expert evidence, portions of which were stricken by the court. A hearing on general causation took place in September of 2022. In April of 2023, the court granted defendants’ motion to strike the testimony of plaintiffs’ experts that cell phones cause brain cancer and entered an order excluding all of plaintiffs’ experts from testifying. The parties agreed to a stipulated dismissal of the consolidated cases to allow plaintiffs to appeal the expert testimony order. Plaintiffs appealed the court’s order in August of 2023. A hearing on the status of the stayed cases occurred in December of 2023. Irish Data Protection Commission Matter In 2018, the Irish Data Protection Commission (“IDPC”) began investigating a complaint against LinkedIn as to whether LinkedIn’s targeted advertising practices violated the recently implemented European Union General Data Protection Regulation (“GDPR”). Microsoft cooperated throughout the period of inquiry. In April 2023, the IDPC provided LinkedIn with a non-public preliminary draft decision alleging GDPR violations and proposing a fine. Microsoft intends to challenge the preliminary draft decision. There is no set timeline for the IDPC to issue a final decision. Other Contingencies We also are subject to a variety of other claims and suits that arise from time to time in the ordinary course of our business. Although management currently believes that resolving claims against us, individually or in aggregate, will not have a material adverse impact in our consolidated financial statements, these matters are subject to inherent uncertainties and management’s view of these matters may change in the future. As of December 31, 2023, we accrued aggregate legal liabilities of $ 703 million. While we intend to defend these matters vigorously, adverse outcomes that we estimate could reach approximately $ 600 million in aggregate beyond recorded amounts are reasonably possible. Were unfavorable final outcomes to occur, there exists the possibility of a material adverse impact in our consolidated financial statements for the period in which the effects become reasonably estimable.

STOCKHOLDERS' EQUITY

STOCKHOLDERS' EQUITY	6 Months Ended
STOCKHOLDERS' EQUITY	Dec. 31, 2023
Equity [Abstract]
STOCKHOLDERS' EQUITY	NOTE 15 — STOCKHOLDERS’ EQUITY Share Repurchases On September 14, 2021, our Board of Directors approved a share repurchase program authorizing up to $ 60.0 billion in share repurchases. This share repurchase program commenced in November 2021, has no expiration date, and may be terminated at any time. As of December 31, 2023, $ 15.9 billion remained of this $ 60.0 billion share repurchase program. We repurchased the following shares of common stock under the share repurchase program: (In millions) Shares Amount Shares Amount Fiscal Year 2024 2023 First Quarter 11 $ 3,560 17 $ 4,600 Second Quarter 7 2,800 20 4,600 Total 18 $ 6,360 37 $ 9,200 All repurchases were made using cash resources. All shares repurchased were under the share repurchase program approved on September 14, 2021. The above table excludes shares repurchased to settle employee tax withholding related to the vesting of stock awards of $ 1.2 billion and $ 2.5 billion for the three and six months ended December 31, 2023, respectively, and $ 859 million and $ 1.8 billion for the three and six months ended December 31, 2022, respectively. Dividends Our Board of Directors declared the following dividends: Declaration Date Record Date Payment Date Dividend Per Share Amount Fiscal Year 2024 (In millions) September 19, 2023 November 16, 2023 December 14, 2023 $ 0.75 $ 5,574 November 28, 2023 February 15, 2024 March 14, 2024 0.75 5,574 Total $ 1.50 $ 11,148 Fiscal Year 2023 September 20, 2022 November 17, 2022 December 8, 2022 $ 0.68 $ 5,066 November 29, 2022 February 16, 2023 March 9, 2023 0.68 5,059 Total $ 1.36 $ 10,125 The dividend declared on November 28, 2023 was included in other current liabilities as of December 31, 2023.

ACCUMULATED OTHER COMPREHENSIVE

ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS)	6 Months Ended
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS)	Dec. 31, 2023
Equity [Abstract]
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS)	NOTE 16 — ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) The following table summarizes the changes in accumulated other comprehensive income (loss) by component: (In millions) Three Months Ended December 31, Six Months Ended December 31, 2023 2022 2023 2022 Derivatives Balance, beginning of period $ ( 6 ) $ ( 6 ) $ ( 27 ) $ ( 13 ) Unrealized gains, net of tax of $ 10 , $ 13 , $ 6 , and $ 2 37 49 22 9 Reclassification adjustments for gains included in other income (expense), net ( 51 ) ( 103 ) ( 5 ) ( 44 ) Tax expense included in provision for income taxes 11 22 1 10 Amounts reclassified from accumulated other comprehensive loss ( 40 ) ( 81 ) ( 4 ) ( 34 ) Net change related to derivatives, net of tax of $( 1 ), $( 9 ) , $ 5 , and $( 8 ) ( 3 ) ( 32 ) 18 ( 25 ) Balance, end of period $ ( 9 ) $ ( 38 ) $ ( 9 ) $ ( 38 ) Investments Balance, beginning of period $ ( 3,842 ) $ ( 4,035 ) $ ( 3,582 ) $ ( 2,138 ) Unrealized gains (losses), net of tax of $ 352 , $ 89 , $ 277 , and $( 421 ) 1,325 340 1,042 ( 1,585 ) Reclassification adjustments for losses included in other income (expense), net 7 10 36 45 Tax benefit included in provision for income taxes ( 1 ) ( 2 ) ( 7 ) ( 9 ) Amounts reclassified from accumulated other comprehensive loss 6 8 29 36 Net change related to investments, net of tax of $ 353 , $ 91 , $ 284 , and $( 412 ) 1,331 348 1,071 ( 1,549 ) Balance, end of period $ ( 2,511 ) $ ( 3,687 ) $ ( 2,511 ) $ ( 3,687 ) Translation Adjustments and Other Balance, beginning of period $ ( 3,089 ) $ ( 3,302 ) $ ( 2,734 ) $ ( 2,527 ) Translation adjustments and other, net of tax of $ 0 , $ 0 , $ 0 , and $ 0 660 570 305 ( 205 ) Balance, end of period $ ( 2,429 ) $ ( 2,732 ) $ ( 2,429 ) $ ( 2,732 ) Accumulated other comprehensive loss, end of period $ ( 4,949 ) $ ( 6,457 ) $ ( 4,949 ) $ ( 6,457 )

SEGMENT INFORMATION AND GEOGRAP

SEGMENT INFORMATION AND GEOGRAPHIC DATA	6 Months Ended
SEGMENT INFORMATION AND GEOGRAPHIC DATA	Dec. 31, 2023
Segment Reporting [Abstract]
SEGMENT INFORMATION AND GEOGRAPHIC DATA	NOTE 17 — SEGMENT INFORMATION AND GEOGRAPHIC DATA In its operation of the business, management, including our chief operating decision maker, who is also our Chief Executive Officer, reviews certain financial information, including segmented internal profit and loss statements prepared on a basis not consistent with GAAP. During the periods presented, we reported our financial performance based on the following segments: Productivity and Business Processes, Intelligent Cloud, and More Personal Computing. Our reportable segments are described below. Productivity and Business Processes Our Productivity and Business Processes segment consists of products and services in our portfolio of productivity, communication, and information services, spanning a variety of devices and platforms. This segment primarily comprises: • Office Commercial (Office 365 subscriptions, the Office 365 portion of Microsoft 365 Commercial subscriptions, and Office licensed on-premises), comprising Office, Exchange, SharePoint, Microsoft Teams, Office 365 Security and Compliance, Microsoft Viva, and Copilot for Microsoft 365. • Office Consumer, including Microsoft 365 Consumer subscriptions, Office licensed on-premises, and other Office services. • LinkedIn, including Talent Solutions, Marketing Solutions, Premium Subscriptions, and Sales Solutions. • Dynamics business solutions, including Dynamics 365, comprising a set of intelligent, cloud-based applications across ERP, CRM (including Customer Insights), Power Apps, and Power Automate; and on-premises ERP and CRM applications. Intelligent Cloud Our Intelligent Cloud segment consists of our public, private, and hybrid server products and cloud services that can power modern business and developers. This segment primarily comprises: • Server products and cloud services, including Azure and other cloud services; SQL Server, Windows Server, Visual Studio, System Center, and related Client Access Licenses (“CALs”); and Nuance and GitHub. • Enterprise and partner services, including Enterprise Support Services, Industry Solutions, Nuance professional services, Microsoft Partner Network, and Learning Experience. More Personal Computing Our More Personal Computing segment consists of products and services that put customers at the center of the experience with our technology. This segment primarily comprises: • Windows, including Windows original equipment manufacturer (“OEM”) licensing and other non-volume licensing of the Windows operating system; Windows Commercial, comprising volume licensing of the Windows operating system, Windows cloud services, and other Windows commercial offerings; patent licensing; and Windows Internet of Things. • Devices, including Surface, HoloLens, and PC accessories. • Gaming, including Xbox hardware and Xbox content and services, comprising first-party content (such as Activision Blizzard) and third-party content, including games and in-game content; Xbox Game Pass and other subscriptions; Xbox Cloud Gaming; advertising; third-party disc royalties; and other cloud services. • Search and news advertising, comprising Bing (including Copilot), Microsoft News, Microsoft Edge, and third-party affiliates. Revenue and costs are generally directly attributed to our segments. However, due to the integrated structure of our business, certain revenue recognized and costs incurred by one segment may benefit other segments. Revenue from certain contracts is allocated among the segments based on the relative value of the underlying products and services, which can include allocation based on actual prices charged, prices when sold separately, or estimated costs plus a profit margin. Cost of revenue is allocated in certain cases based on a relative revenue methodology. Operating expenses that are allocated primarily include those relating to marketing of products and services from which multiple segments benefit and are generally allocated based on relative gross margin. In addition, certain costs are incurred at a corporate level and allocated to our segments. These allocated costs generally include legal, including settlements and fines, information technology, human resources, finance, excise taxes, field selling, shared facilities services, customer service and support, and severance incurred as part of a corporate program. Each allocation is measured differently based on the specific facts and circumstances of the costs being allocated and is generally based on relative gross margin or relative headcount. Segment revenue and operating income were as follows during the periods presented: (In millions) Three Months Ended December 31, Six Months Ended December 31, 2023 2022 2023 2022 Revenue Productivity and Business Processes $ 19,249 $ 17,002 $ 37,841 $ 33,467 Intelligent Cloud 25,880 21,508 50,139 41,833 More Personal Computing 16,891 14,237 30,557 27,569 Total $ 62,020 $ 52,747 $ 118,537 $ 102,869 Operating Income Productivity and Business Processes $ 10,284 $ 8,175 $ 20,254 $ 16,498 Intelligent Cloud 12,461 8,904 24,212 17,882 More Personal Computing 4,287 3,320 9,461 7,537 Total $ 27,032 $ 20,399 $ 53,927 $ 41,917 No sales to an individual customer or country other than the United States accounted for more than 10% of revenue for the three or six months ended December 31, 2023 or 2022. Revenue, classified by the major geographic areas in which our customers were located, was as follows: (In millions) Three Months Ended December 31, Six Months Ended December 31, 2023 2022 2023 2022 United States (a) $ 32,295 $ 26,976 $ 61,107 $ 52,843 Other countries 29,725 25,771 57,430 50,026 Total $ 62,020 $ 52,747 $ 118,537 $ 102,869 (a) Includes billings to OEMs and certain multinational organizations because of the nature of these businesses and the impracticability of determining the geographic source of the revenue. Revenue, classified by significant product and service offerings, was as follows: (In millions) Three Months Ended December 31, Six Months Ended December 31, 2023 2022 2023 2022 Server products and cloud services $ 23,953 $ 19,594 $ 46,261 $ 37,982 Office products and cloud services 13,477 11,867 26,617 23,444 Gaming 7,111 4,758 11,030 8,368 Windows 5,262 4,808 10,829 10,121 LinkedIn 4,195 3,833 8,108 7,461 Search and news advertising 3,220 3,209 6,273 6,122 Enterprise and partner services 1,917 1,907 3,861 3,836 Dynamics products and cloud services 1,576 1,302 3,116 2,562 Devices 1,298 1,430 2,423 2,878 Other 11 39 19 95 Total $ 62,020 $ 52,747 $ 118,537 $ 102,869 We have recast certain prior period amounts to conform to the way we internally manage and monitor our business. Our Microsoft Cloud revenue, which includes Azure and other cloud services, Office 365 Commercial, the commercial portion of LinkedIn, Dynamics 365, and other commercial cloud properties, was $ 33.7 billion and $ 65.5 billion for the three and six months ended December 31, 2023, respectively, and $ 27.1 billion and $ 52.8 billion for the three and six months ended December 31, 2022, respectively. These amounts are primarily included in Server products and cloud services, Office products and cloud services, LinkedIn, and Dynamics products and cloud services in the table above. Assets are not allocated to segments for internal reporting presentations. A portion of amortization and depreciation is included with various other costs in an overhead allocation to each segment. It is impracticable for us to separately identify the amount of amortization and depreciation by segment that is included in the measure of segment profit or loss.

ACCOUNTING POLICIES (Policies)

ACCOUNTING POLICIES (Policies)	6 Months Ended
ACCOUNTING POLICIES (Policies)	Dec. 31, 2023
Accounting Policies [Abstract]
Accounting Principles	Accounting Principles Our unaudited interim consolidated financial statements and accompanying notes are prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”). In the opinion of management, the unaudited interim consolidated financial statements reflect all adjustments of a normal recurring nature that are necessary for a fair presentation of the results for the interim periods presented. Interim results are not necessarily indicative of results for a full year. The information included in this Form 10-Q should be read in conjunction with information included in the Microsoft Corporation fiscal year 2023 Form 10-K filed with the U.S. Securities and Exchange Commission on July 27, 2023. We have recast certain prior period amounts to conform to the current period presentation. The recast of these prior period amounts had no impact on our consolidated balance sheets, consolidated income statements, or consolidated cash flows statements.
Principles of Consolidation	Principles of Consolidation The consolidated financial statements include the accounts of Microsoft Corporation and its subsidiaries. Intercompany transactions and balances have been eliminated.
Estimates and Assumptions	Estimates and Assumptions Preparing financial statements requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenue, and expenses. Examples of estimates and assumptions include: for revenue recognition, determining the nature and timing of satisfaction of performance obligations, and determining the standalone selling price of performance obligations, variable consideration, and other obligations such as product returns and refunds; loss contingencies; product warranties; the fair value of and/or potential impairment of goodwill and intangible assets for our reporting units; product life cycles; useful lives of our tangible and intangible assets; allowances for doubtful accounts; the market value of, and demand for, our inventory; stock-based compensation forfeiture rates; when technological feasibility is achieved for our products; the potential outcome of uncertain tax positions that have been recognized in our consolidated financial statements or tax returns; and determining the timing and amount of impairments for investments. Actual results and outcomes may differ from management’s estimates and assumptions due to risks and uncertainties.
Investments	Investments We consider all highly liquid interest-earning investments with a maturity of three months or less at the date of purchase to be cash equivalents. The fair values of these investments approximate their carrying values. In general, investments with original maturities of greater than three months and remaining maturities of less than one year are classified as short-term investments. Investments with maturities beyond one year may be classified as short-term based on their highly liquid nature and because such marketable securities represent the investment of cash that is available for current operations. Debt investments are classified as available-for-sale and realized gains and losses are recorded using the specific identification method. Changes in fair value, excluding credit losses and impairments, are recorded in other comprehensive income. Fair value is calculated based on publicly available market information or other estimates determined by management. If the cost of an investment exceeds its fair value, we evaluate, among other factors, general market conditions, credit quality of debt instrument issuers, and the extent to which the fair value is less than cost. To determine credit losses, we employ a systematic methodology that considers available quantitative and qualitative evidence. In addition, we consider specific adverse conditions related to the financial health of, and business outlook for, the investee. If we have plans to sell the security or it is more likely than not that we will be required to sell the security before recovery, then a decline in fair value below cost is recorded as an impairment charge in other income (expense), net and a new cost basis in the investment is established. If market, industry, and/or investee conditions deteriorate, we may incur future impairments. Equity investments with readily determinable fair values are measured at fair value. Equity investments without readily determinable fair values are measured using the equity method or measured at cost with adjustments for observable changes in price or impairments (referred to as the measurement alternative). We perform a qualitative assessment on a periodic basis and recognize an impairment if there are sufficient indicators that the fair value of the investment is less than carrying value. Changes in value are recorded in other income (expense), net.
Derivatives	Derivatives Derivative instruments are recognized as either assets or liabilities and measured at fair value. The accounting for changes in the fair value of a derivative depends on the intended use of the derivative and the resulting designation. For derivative instruments designated as fair value hedges, gains and losses are recognized in other income (expense), net with offsetting gains and losses on the hedged items. Gains and losses representing hedge components excluded from the assessment of effectiveness are recognized in other income (expense), net. For derivative instruments designated as cash flow hedges, gains and losses are initially reported as a component of other comprehensive income and subsequently recognized in other income (expense), net with the corresponding hedged item. Gains and losses representing hedge components excluded from the assessment of effectiveness are recognized in other income (expense), net. For derivative instruments that are not designated as hedges, gains and losses from changes in fair values are primarily recognized in other income (expense), net.
Fair Value Measurements	Fair Value Measurements We account for certain assets and liabilities at fair value. The hierarchy below lists three levels of fair value based on the extent to which inputs used in measuring fair value are observable in the market. We categorize each of our fair value measurements in one of these three levels based on the lowest level input that is significant to the fair value measurement in its entirety. These levels are: • Level 1 – inputs are based upon unadjusted quoted prices for identical instruments in active markets. Our Level 1 investments include U.S. government securities, common and preferred stock, and mutual funds. Our Level 1 derivative assets and liabilities include those actively traded on exchanges. • Level 2 – inputs are based upon quoted prices for similar instruments in active markets, quoted prices for identical or similar instruments in markets that are not active, and model-based valuation techniques (e.g. the Black-Scholes model) for which all significant inputs are observable in the market or can be corroborated by observable market data for substantially the full term of the assets or liabilities. Where applicable, these models project future cash flows and discount the future amounts to a present value using market-based observable inputs including interest rate curves, credit spreads, foreign exchange rates, and forward and spot prices for currencies. Our Level 2 investments include commercial paper, certificates of deposit, U.S. agency securities, foreign government bonds, mortgage- and asset-backed securities, corporate notes and bonds, and municipal securities. Our Level 2 derivative assets and liabilities include certain cleared swap contracts and over-the-counter forward, option, and swap contracts. • Level 3 – inputs are generally unobservable and typically reflect management’s estimates of assumptions that market participants would use in pricing the asset or liability. The fair values are therefore determined using model-based techniques, including option pricing models and discounted cash flow models. Our Level 3 assets and liabilities include investments in corporate notes and bonds, municipal securities, and goodwill and intangible assets, when they are recorded at fair value due to an impairment charge. Unobservable inputs used in the models are significant to the fair values of the assets and liabilities. We measure equity investments without readily determinable fair values on a nonrecurring basis. The fair values of these investments are determined based on valuation techniques using the best information available, and may include quoted market prices, market comparables, and discounted cash flow projections. Our other current financial assets and current financial liabilities have fair values that approximate their carrying values.
Contract Balances and Other Receivables	Contract Balances and Other Receivables As of December 31, 2023 and June 30, 2023, long-term accounts receivable, net of allowance for doubtful accounts, was $ 4.8 billion and $ 4.5 billion, respectively, and is included in other long-term assets in our consolidated balance sheets. As of December 31, 2023 and June 30, 2023, other receivables related to activities to facilitate the purchase of server components were $ 8.8 billion and $ 9.2 billion, respectively, and are included in other current assets in our consolidated balance sheets. We record financing receivables when we offer certain of our customers the option to acquire our software products and services offerings through a financing program in a limited number of countries. As of December 31 , 2023 and June 30, 2023, our financing receivables, net were $ 3.6 billion and $ 5.3 billion, respectively, for short-term and long-term financing receivables, which are included in other current assets and other long-term assets in our consolidated balance sheets. We record an allowance to cover expected losses based on troubled accounts, historical experience, and other currently available evidence.
Earnings Per Share	Basic earnings per share (“EPS”) is computed based on the weighted average number of shares of common stock outstanding during the period. Diluted EPS is computed based on the weighted average number of shares of common stock plus the effect of dilutive potential common shares outstanding during the period using the treasury stock method. Dilutive potential common shares include outstanding stock options and stock awards.
Segment Reporting	Revenue and costs are generally directly attributed to our segments. However, due to the integrated structure of our business, certain revenue recognized and costs incurred by one segment may benefit other segments. Revenue from certain contracts is allocated among the segments based on the relative value of the underlying products and services, which can include allocation based on actual prices charged, prices when sold separately, or estimated costs plus a profit margin. Cost of revenue is allocated in certain cases based on a relative revenue methodology. Operating expenses that are allocated primarily include those relating to marketing of products and services from which multiple segments benefit and are generally allocated based on relative gross margin. In addition, certain costs are incurred at a corporate level and allocated to our segments. These allocated costs generally include legal, including settlements and fines, information technology, human resources, finance, excise taxes, field selling, shared facilities services, customer service and support, and severance incurred as part of a corporate program. Each allocation is measured differently based on the specific facts and circumstances of the costs being allocated and is generally based on relative gross margin or relative headcount. Assets are not allocated to segments for internal reporting presentations. A portion of amortization and depreciation is included with various other costs in an overhead allocation to each segment. It is impracticable for us to separately identify the amount of amortization and depreciation by segment that is included in the measure of segment profit or loss.
Recent Accounting Guidance	Recent Accounting Guidance Segment Reporting – Improvements to Reportable Segment Disclosures In November 2023, the Financial Accounting Standards Board (“FASB”) issued a new standard to improve reportable segment disclosures. The guidance expands the disclosures required for reportable segments in our annual and interim consolidated financial statements, primarily through enhanced disclosures about significant segment expenses. The standard will be effective for us beginning with our annual reporting for fiscal year 2025 and interim periods thereafter, with early adoption permitted. We are currently evaluating the impact of this standard on our segment disclosures. Income Taxes – Improvements to Income Tax Disclosures In December 2023, the FASB issued a new standard to improve income tax disclosures. The guidance requires disclosure of disaggregated income taxes paid, prescribes standardized categories for the components of the effective tax rate reconciliation, and modifies other income tax-related disclosures. The standard will be effective for us beginning with our annual reporting for fiscal year 2026, with early adoption permitted. We are currently evaluating the impact of this standard on our income tax disclosures.

EARNINGS PER SHARE (Tables)

EARNINGS PER SHARE (Tables)	6 Months Ended
EARNINGS PER SHARE (Tables)	Dec. 31, 2023
Earnings Per Share [Abstract]
Basic and Diluted Earnings Per Share	The components of basic and diluted EPS were as follows: (In millions, except per share amounts) Three Months Ended December 31, Six Months Ended December 31, 2023 2022 2023 2022 Net income available for common shareholders (A) $ 21,870 $ 16,425 $ 44,161 $ 33,981 Weighted average outstanding shares of common stock (B) 7,432 7,451 7,431 7,454 Dilutive effect of stock-based awards 36 22 34 25 Common stock and common stock equivalents (C) 7,468 7,473 7,465 7,479 Earnings Per Share Basic (A/B) $ 2.94 $ 2.20 $ 5.94 $ 4.56 Diluted (A/C) $ 2.93 $ 2.20 $ 5.92 $ 4.54

OTHER INCOME (EXPENSE), NET (Ta

OTHER INCOME (EXPENSE), NET (Tables)	6 Months Ended
OTHER INCOME (EXPENSE), NET (Tables)	Dec. 31, 2023
Components of Other Income (Expense), Net	The components of other income (expense), net were as follows: (In millions) Three Months Ended December 31, Six Months Ended December 31 , 2023 2022 2023 2022 Interest and dividends income $ 734 $ 700 $ 1,900 $ 1,341 Interest expense ( 909 ) ( 490 ) ( 1,434 ) ( 990 ) Net recognized gains (losses) on investments 69 ( 15 ) ( 38 ) ( 2 ) Net losses on derivatives ( 267 ) ( 199 ) ( 174 ) ( 190 ) Net gains (losses) on foreign currency remeasurements 36 ( 18 ) ( 65 ) ( 96 ) Other, net ( 169 ) ( 38 ) ( 306 ) ( 69 ) Total $ ( 506 ) $ ( 60 ) $ ( 117 ) $ ( 6 )
Debt Securities
Net Recognized Gains (Losses) on Investments	Net recognized gains (losses) on debt investments were as follows: (In millions) Three Months Ended December 31, Six Months Ended December 31, 2023 2022 2023 2022 Realized gains from sales of available-for-sale securities $ 4 $ 27 $ 6 $ 30 Realized losses from sales of available-for-sale securities ( 29 ) ( 23 ) ( 54 ) ( 43 ) Impairments and allowance for credit losses 18 5 12 ( 13 ) Total $ ( 7 ) $ 9 $ ( 36 ) $ ( 26 )
Equity Securities
Net Recognized Gains (Losses) on Investments	Net recognized gains (losses) on equity investments were as follows: (In millions) Three Months Ended December 31, Six Months Ended December 31, 2023 2022 2023 2022 Net realized gains (losses) on investments sold $ ( 31 ) $ ( 8 ) $ 14 $ 75 Net unrealized gains (losses) on investments still held 286 ( 7 ) 163 ( 35 ) Impairments of investments ( 179 ) ( 9 ) ( 179 ) ( 16 ) Total $ 76 $ ( 24 ) $ ( 2 ) $ 24

INVESTMENTS (Tables)

INVESTMENTS (Tables)	6 Months Ended
INVESTMENTS (Tables)	Dec. 31, 2023
Investments, Debt and Equity Securities [Abstract]
Investment Components	The components of investments were as follows: (In millions) Fair Value Level Adjusted Cost Basis Unrealized Gains Unrealized Losses Recorded Basis Cash and Cash Equivalents Short-term Investments Equity Investments December 31, 2023 Changes in Fair Value Recorded in Other Comprehensive Income Commercial paper Level 2 $ 4,577 $ 0 $ 0 $ 4,577 $ 4,574 $ 3 $ 0 Certificates of deposit Level 2 2,973 0 0 2,973 2,931 42 0 U.S. government securities Level 1 54,775 11 ( 2,848 ) 51,938 0 51,938 0 U.S. agency securities Level 2 24 0 0 24 0 24 0 Foreign government bonds Level 2 420 4 ( 12 ) 412 7 405 0 Mortgage- and asset-backed securities Level 2 926 5 ( 31 ) 900 0 900 0 Corporate notes and bonds Level 2 10,164 63 ( 349 ) 9,878 0 9,878 0 Corporate notes and bonds Level 3 129 0 0 129 0 129 0 Municipal securities Level 2 282 1 ( 13 ) 270 0 270 0 Municipal securities Level 3 104 0 ( 16 ) 88 0 88 0 Total debt investments $ 74,374 $ 84 $ ( 3,269 ) $ 71,189 $ 7,512 $ 63,677 $ 0 Changes in Fair Value Recorded in Net Income Equity investments Level 1 $ 3,276 $ 257 $ 0 $ 3,019 Equity investments Other 10,348 0 0 10,348 Total equity investments $ 13,624 $ 257 $ 0 $ 13,367 Cash $ 9,536 $ 9,536 $ 0 $ 0 Derivatives, net (a) 35 0 35 0 Total $ 94,384 $ 17,305 $ 63,712 $ 13,367 (In millions) Fair Value Level Adjusted Cost Basis Unrealized Gains Unrealized Losses Recorded Basis Cash and Cash Equivalents Short-term Investments Equity Investments June 30, 2023 Changes in Fair Value Recorded in Other Comprehensive Income Commercial paper Level 2 $ 16,589 $ 0 $ 0 $ 16,589 $ 12,231 $ 4,358 $ 0 Certificates of deposit Level 2 2,701 0 0 2,701 2,657 44 0 U.S. government securities Level 1 65,237 2 ( 3,870 ) 61,369 2,991 58,378 0 U.S. agency securities Level 2 2,703 0 0 2,703 894 1,809 0 Foreign government bonds Level 2 498 1 ( 24 ) 475 0 475 0 Mortgage- and asset-backed securities Level 2 824 1 ( 39 ) 786 0 786 0 Corporate notes and bonds Level 2 10,809 8 ( 583 ) 10,234 0 10,234 0 Corporate notes and bonds Level 3 120 0 0 120 0 120 0 Municipal securities Level 2 285 1 ( 18 ) 268 7 261 0 Municipal securities Level 3 103 0 ( 16 ) 87 0 87 0 Total debt investments $ 99,869 $ 13 $ ( 4,550 ) $ 95,332 $ 18,780 $ 76,552 $ 0 Changes in Fair Value Recorded in Net Income Equity investments Level 1 $ 10,138 $ 7,446 $ 0 $ 2,692 Equity investments Other 7,187 0 0 7,187 Total equity investments $ 17,325 $ 7,446 $ 0 $ 9,879 Cash $ 8,478 $ 8,478 $ 0 $ 0 Derivatives, net (a) 6 0 6 0 Total $ 121,141 $ 34,704 $ 76,558 $ 9,879 (a) Refer to Note 5 – Derivatives for further information on the fair value of our derivative instruments.
Unrealized Losses on Debt Investments	Debt investments with continuous unrealized losses for less than 12 months and 12 months or greater and their related fair values were as follows: Less than 12 Months 12 Months or Greater Total (In millions) Fair Value Unrealized Fair Value Unrealized Total December 31, 2023 U.S. government and agency securities $ 292 $ ( 8 ) $ 51,092 $ ( 2,840 ) $ 51,384 $ ( 2,848 ) Foreign government bonds 26 ( 1 ) 312 ( 11 ) 338 ( 12 ) Mortgage- and asset-backed securities 185 ( 1 ) 403 ( 30 ) 588 ( 31 ) Corporate notes and bonds 396 ( 6 ) 7,208 ( 343 ) 7,604 ( 349 ) Municipal securities 46 0 240 ( 29 ) 286 ( 29 ) Total $ 945 $ ( 16 ) $ 59,255 $ ( 3,253 ) $ 60,200 $ ( 3,269 ) Less than 12 Months 12 Months or Greater Total (In millions) Fair Value Unrealized Fair Value Unrealized Total June 30, 2023 U.S. government and agency securities $ 7,950 $ ( 336 ) $ 45,273 $ ( 3,534 ) $ 53,223 $ ( 3,870 ) Foreign government bonds 77 ( 5 ) 391 ( 19 ) 468 ( 24 ) Mortgage- and asset-backed securities 257 ( 5 ) 412 ( 34 ) 669 ( 39 ) Corporate notes and bonds 2,326 ( 49 ) 7,336 ( 534 ) 9,662 ( 583 ) Municipal securities 111 ( 3 ) 186 ( 31 ) 297 ( 34 ) Total $ 10,721 $ ( 398 ) $ 53,598 $ ( 4,152 ) $ 64,319 $ ( 4,550 )
Debt Investment Maturities	Debt Investment Maturities The following table outlines maturities of our debt investments as of December 31, 2023: (In millions) Adjusted Cost Basis Estimated Fair Value December 31, 2023 Due in one year or less $ 17,257 $ 17,145 Due after one year through five years 46,857 44,848 Due after five years through 10 years 8,932 7,976 Due after 10 years 1,328 1,220 Total $ 74,374 $ 71,189

DERIVATIVES (Tables)

DERIVATIVES (Tables)	6 Months Ended
DERIVATIVES (Tables)	Dec. 31, 2023
Notional Amounts of Outstanding Derivative Instruments Measured in U.S. Dollar Equivalents	The following table presents the notional amounts of our outstanding derivative instruments measured in U.S. dollar equivalents: (In millions) December 31, 2023 June 30, 2023 Designated as Hedging Instruments Foreign exchange contracts purchased $ 1,492 $ 1,492 Interest rate contracts purchased 1,106 1,078 Not Designated as Hedging Instruments Foreign exchange contracts purchased 8,113 7,874 Foreign exchange contracts sold 20,772 25,159 Equity contracts purchased 3,731 3,867 Equity contracts sold 2,154 2,154 Other contracts purchased 1,643 1,224 Other contracts sold 739 581
Fair Values of Derivative Instruments	The following table presents our derivative instruments: (In millions) Derivative Assets Derivative Liabilities Derivative Assets Derivative Liabilities December 31, 2023 June 30, 2023 Designated as Hedging Instruments Foreign exchange contracts $ 53 $ ( 59 ) $ 34 $ ( 67 ) Interest rate contracts 21 0 16 0 Not Designated as Hedging Instruments Foreign exchange contracts 300 ( 702 ) 249 ( 332 ) Equity contracts 104 ( 513 ) 165 ( 400 ) Other contracts 42 0 5 ( 6 ) Gross amounts of derivatives 520 ( 1,274 ) 469 ( 805 ) Gross amounts of derivatives offset in the balance sheet ( 227 ) 229 ( 202 ) 206 Cash collateral received 0 ( 190 ) 0 ( 125 ) Net amounts of derivatives $ 293 $ ( 1,235 ) $ 267 $ ( 724 ) Reported as Short-term investments $ 35 $ 0 $ 6 $ 0 Other current assets 237 0 245 0 Other long-term assets 21 0 16 0 Other current liabilities 0 ( 786 ) 0 ( 341 ) Other long-term liabilities 0 ( 449 ) 0 ( 383 ) Total $ 293 $ ( 1,235 ) $ 267 $ ( 724 ) The following table presents the fair value of our derivatives instruments on a gross basis: (In millions) Level 1 Level 2 Level 3 Total December 31, 2023 Derivative assets $ 0 $ 511 $ 9 $ 520 Derivative liabilities 0 ( 1,274 ) 0 ( 1,274 ) June 30, 2023 Derivative assets 0 462 7 469 Derivative liabilities 0 ( 805 ) 0 ( 805 )
Gains (Losses) on Derivative Instruments	Gains (losses) on derivative instruments recognized in other income (expense), net were as follows: (In millions) Three Months Ended December 31, Six Months Ended December 31, 2023 2022 2023 2022 Designated as Fair Value Hedging Instruments Interest rate contracts Derivatives $ 22 $ 5 $ 6 $ ( 38 ) Hedged items ( 34 ) ( 8 ) ( 31 ) 35 Designated as Cash Flow Hedging Instruments Foreign exchange contracts Amount reclassified from accumulated other comprehensive loss 51 103 5 44 Not Designated as Hedging Instruments Foreign exchange contracts ( 334 ) ( 250 ) ( 128 ) ( 10 ) Equity contracts ( 287 ) ( 181 ) ( 174 ) ( 169 ) Other contracts 36 ( 25 ) 3 ( 35 )
Cash Flow Hedges \| Other Comprehensive Income (Loss)
Gains (Losses) on Derivative Instruments	Gains, net of tax, on derivative instruments recognized in our consolidated comprehensive income statements were as follows: (In millions) Three Months Ended December 31, Six Months Ended December 31, 2023 2022 2023 2022 Designated as Cash Flow Hedging Instruments Foreign exchange contracts Included in effectiveness assessment $ 37 $ 49 $ 22 $ 9

INVENTORIES (Tables)

INVENTORIES (Tables)	6 Months Ended
INVENTORIES (Tables)	Dec. 31, 2023
Inventory Disclosure [Abstract]
Components of Inventories	The components of inventories were as follows: (In millions) December 31, 2023 June 30, 2023 Raw materials $ 382 $ 709 Work in process 12 23 Finished goods 1,221 1,768 Total $ 1,615 $ 2,500

BUSINESS COMBINATIONS (Tables)

BUSINESS COMBINATIONS (Tables) - Activision Blizzard, Inc.	6 Months Ended
BUSINESS COMBINATIONS (Tables) - Activision Blizzard, Inc.	Dec. 31, 2023
Major Classes of Assets and Liabilities Allocated Purchase Price	The major classes of assets and liabilities to which we have preliminarily allocated the purchase price were as follows: (In millions) Cash and cash equivalents $ 12,976 Goodwill 50,945 Intangible assets 22,046 Other assets 2,420 Long-term debt ( 2,800 ) Long-term income taxes ( 1,853 ) Deferred income taxes ( 4,644 ) Other liabilities ( 3,684 ) Total purchase price $ 75,406
Acquired Intangible Assets	Following are the details of the purchase price allocated to the intangible assets acquired: (In millions, except average life) Amount Weighted Average Life Marketing-related $ 11,619 24 years Technology-based 9,767 4 years Customer-related 660 4 years Fair value of intangible assets acquired $ 22,046 15 years
Supplemental Consolidated Financial Results on Unaudited Pro Forma Basis	Following are the supplemental consolidated financial results of Microsoft Corporation on an unaudited pro forma basis, as if the acquisition had been consummated on July 1, 2022: (In millions, except per share amounts) Three Months Ended December 31, Six Months Ended December 31, 2023 2022 2023 2022 Revenue $ 62,297 $ 55,002 $ 120,857 $ 106,799 Net income 22,025 16,364 44,334 33,266 Diluted earnings per share 2.95 2.19 5.94 4.45

GOODWILL (Tables)

GOODWILL (Tables)	6 Months Ended
GOODWILL (Tables)	Dec. 31, 2023
Goodwill and Intangible Assets Disclosure [Abstract]
Carrying Amount of Goodwill	Changes in the carrying amount of goodwill were as follows: (In millions) June 30, 2023 Acquisitions Other December 31, 2023 Productivity and Business Processes $ 24,775 $ 0 $ 42 $ 24,817 Intelligent Cloud 30,469 0 ( 6 ) 30,463 More Personal Computing 12,642 50,945 (a) 64 63,651 Total $ 67,886 $ 50,945 $ 100 $ 118,931 (a) Includes goodwill of $ 50.9 billion related to Activision Blizzard. See Note 7 – Business Combinations for further information.

INTANGIBLE ASSETS (Tables)

INTANGIBLE ASSETS (Tables)	6 Months Ended
INTANGIBLE ASSETS (Tables)	Dec. 31, 2023
Goodwill and Intangible Assets Disclosure [Abstract]
Finite-Lived Intangible Assets	The components of intangible assets, all of which are finite-lived, were as follows: (In millions) Gross Accumulated Net Gross Accumulated Net Carrying Amount December 31, 2023 June 30, 2023 Marketing-related $ 16,555 $ ( 2,745 ) $ 13,810 $ 4,935 $ ( 2,473 ) $ 2,462 Technology-based 21,426 ( 8,758 ) 12,668 11,245 ( 7,589 ) 3,656 Customer-related 7,939 ( 4,533 ) 3,406 7,281 ( 4,047 ) 3,234 Contract-based 31 ( 19 ) 12 29 ( 15 ) 14 Total $ 45,951 (a) $ ( 16,055 ) $ 29,896 $ 23,490 $ ( 14,124 ) $ 9,366 (a) Includes intangible assets of $ 22.0 billion related to Activision Blizzard. See Note 7 – Business Combinations for further information.
Estimated Future Amortization Expense Related to Intangible Assets	The following table outlines the estimated future amortization expense related to intangible assets held as of December 31, 2023: (In millions) Year Ending June 30, 2024 (excluding the six months ended December 31, 2023) $ 2,870 2025 5,746 2026 4,315 2027 2,681 2028 1,864 Thereafter 12,420 Total $ 29,896

DEBT (Tables)

DEBT (Tables)	6 Months Ended
DEBT (Tables)	Dec. 31, 2023
Debt Disclosure [Abstract]
Components of Long-term Debt	The components of long-term debt were as follows: (In millions, issuance by calendar year) Maturities (calendar year) Stated Interest Rate Effective Interest Rate December 31, 2023 June 30, 2023 2009 issuance of $ 3.8 billion 2039 5.20 % 5.24 % $ 520 $ 520 2010 issuance of $ 4.8 billion 2040 4.50 % 4.57 % 486 486 2011 issuance of $ 2.3 billion 2041 5.30 % 5.36 % 718 718 2012 issuance of $ 2.3 billion 2042 3.50 % 3.57 % 454 454 2013 issuance of $ 5.2 billion 2043 3.75 % – 4.88 % 3.83 % – 4.92 % 314 1,814 2013 issuance of € 4.1 billion 2028 – 2033 2.63 % – 3.13 % 2.69 % – 3.22 % 2,541 2,509 2015 issuance of $ 23.8 billion 2025 – 2055 2.70 % – 4.75 % 2.77 % – 4.78 % 9,805 9,805 2016 issuance of $ 19.8 billion 2026 – 2056 2.40 % – 3.95 % 2.46 % – 4.03 % 7,930 9,430 2017 issuance of $ 17.1 billion (a) 2024 – 2057 2.88 % – 4.50 % 3.04 % – 5.49 % 9,083 8,945 2020 issuance of $ 10.1 billion (a) 2030 – 2060 1.35 % – 2.68 % 2.53 % – 5.43 % 10,111 10,000 2021 issuance of $ 8.2 billion 2052 – 2062 2.92 % – 3.04 % 2.92 % – 3.04 % 8,185 8,185 2023 issuance of $ 3.4 billion (a) 2026 – 2050 1.35 % – 4.50 % 5.16 % – 5.49 % 3,401 0 Total face value 53,548 52,866 Unamortized discount and issuance costs ( 1,264 ) ( 438 ) Hedge fair value adjustments (b) ( 75 ) ( 106 ) Premium on debt exchange ( 5,031 ) ( 5,085 ) Total debt 47,178 47,237 Current portion of long-term debt ( 2,250 ) ( 5,247 ) Long-term debt $ 44,928 $ 41,990 (a) Includes $ 3.6 billion of debt at face value related to the Activision Blizzard acquisition. See Note 7 – Business Combinations for further information. (b) Refer to Note 5 – Derivatives for further information on the interest rate swaps related to fixed-rate debt.
Maturities of Long-term Debt Including Current Portion	The following table outlines maturities of our long-term debt, including the current portion, as of December 31, 2023: (In millions) Year Ending June 30, 2024 (excluding the six months ended December 31, 2023) $ 2,250 2025 2,250 2026 3,000 2027 9,250 2028 0 Thereafter 36,798 Total $ 53,548

UNEARNED REVENUE (Tables)

UNEARNED REVENUE (Tables)	6 Months Ended
UNEARNED REVENUE (Tables)	Dec. 31, 2023
Revenue from Contract with Customer [Abstract]
Unearned Revenue by Segment	Unearned revenue by segment was as follows: (In millions) December 31, 2023 June 30, 2023 Productivity and Business Processes $ 22,591 $ 27,572 Intelligent Cloud 17,696 21,563 More Personal Computing 5,747 4,678 Total $ 46,034 $ 53,813
Changes in Unearned Revenue	Changes in unearned revenue were as follows: (In millions) Six Months Ended December 31, 2023 Balance, beginning of period $ 53,813 Deferral of revenue 59,828 Recognition of unearned revenue ( 67,607 ) Balance, end of period $ 46,034

LEASES (Tables)

LEASES (Tables)	6 Months Ended
LEASES (Tables)	Dec. 31, 2023
Leases [Abstract]
Components of Lease Expense	The components of lease expense were as follows: (In millions) Three Months Ended December 31, Six Months Ended December 31, 2023 2022 2023 2022 Operating lease cost $ 817 $ 684 $ 1,591 $ 1,346 Finance lease cost: Amortization of right-of-use assets $ 408 $ 457 $ 788 $ 646 Interest on lease liabilities 168 119 317 232 Total finance lease cost $ 576 $ 576 $ 1,105 $ 878
Supplemental Cash Flow Information Related to Leases	Supplemental cash flow information related to leases was as follows: (In millions) Three Months Ended December 31, Six Months Ended December 31, 2023 2022 2023 2022 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 803 $ 645 $ 1,597 $ 1,299 Operating cash flows from finance leases 168 119 317 232 Financing cash flows from finance leases 288 262 573 518 Right-of-use assets obtained in exchange for lease obligations: Operating leases 847 525 2,651 1,714 Finance leases 1,796 598 3,500 1,209
Supplemental Balance Sheet Information Related to Leases	Supplemental balance sheet information related to leases was as follows: (In millions, except lease term and discount rate) December 31, 2023 June 30, 2023 Operating Leases Operating lease right-of-use assets $ 16,398 $ 14,346 Other current liabilities $ 2,787 $ 2,409 Operating lease liabilities 14,155 12,728 Total operating lease liabilities $ 16,942 $ 15,137 Finance Leases Property and equipment, at cost $ 24,245 $ 20,538 Accumulated depreciation ( 5,484 ) ( 4,647 ) Property and equipment, net $ 18,761 $ 15,891 Other current liabilities $ 1,691 $ 1,197 Other long-term liabilities 18,506 15,870 Total finance lease liabilities $ 20,197 $ 17,067 Weighted Average Remaining Lease Term Operating leases 8 years 8 years Finance leases 12 years 11 years Weighted Average Discount Rate Operating leases 3.3 % 2.9 % Finance leases 3.7 % 3.4 %
Maturities of Lease Liabilities	The following table outlines maturities of our lease liabilities as of December 31, 2023: (In millions) Year Ending June 30, Operating Leases Finance Leases 2024 (excluding the six months ended December 31, 2023) $ 1,614 $ 1,021 2025 3,091 2,411 2026 2,633 2,101 2027 2,179 2,109 2028 1,933 2,121 Thereafter 7,615 15,326 Total lease payments 19,065 25,089 Less imputed interest ( 2,123 ) ( 4,892 ) Total $ 16,942 $ 20,197

STOCKHOLDERS' EQUITY (Tables)

STOCKHOLDERS' EQUITY (Tables)	6 Months Ended
STOCKHOLDERS' EQUITY (Tables)	Dec. 31, 2023
Equity [Abstract]
Share Repurchases	We repurchased the following shares of common stock under the share repurchase program: (In millions) Shares Amount Shares Amount Fiscal Year 2024 2023 First Quarter 11 $ 3,560 17 $ 4,600 Second Quarter 7 2,800 20 4,600 Total 18 $ 6,360 37 $ 9,200
Dividends Declared	Our Board of Directors declared the following dividends: Declaration Date Record Date Payment Date Dividend Per Share Amount Fiscal Year 2024 (In millions) September 19, 2023 November 16, 2023 December 14, 2023 $ 0.75 $ 5,574 November 28, 2023 February 15, 2024 March 14, 2024 0.75 5,574 Total $ 1.50 $ 11,148 Fiscal Year 2023 September 20, 2022 November 17, 2022 December 8, 2022 $ 0.68 $ 5,066 November 29, 2022 February 16, 2023 March 9, 2023 0.68 5,059 Total $ 1.36 $ 10,125

ACCUMULATED OTHER COMPREHENSI_2

ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) (Tables)	6 Months Ended
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) (Tables)	Dec. 31, 2023
Equity [Abstract]
Summary of Changes in Accumulated Other Comprehensive Income (Loss) by Component	The following table summarizes the changes in accumulated other comprehensive income (loss) by component: (In millions) Three Months Ended December 31, Six Months Ended December 31, 2023 2022 2023 2022 Derivatives Balance, beginning of period $ ( 6 ) $ ( 6 ) $ ( 27 ) $ ( 13 ) Unrealized gains, net of tax of $ 10 , $ 13 , $ 6 , and $ 2 37 49 22 9 Reclassification adjustments for gains included in other income (expense), net ( 51 ) ( 103 ) ( 5 ) ( 44 ) Tax expense included in provision for income taxes 11 22 1 10 Amounts reclassified from accumulated other comprehensive loss ( 40 ) ( 81 ) ( 4 ) ( 34 ) Net change related to derivatives, net of tax of $( 1 ), $( 9 ) , $ 5 , and $( 8 ) ( 3 ) ( 32 ) 18 ( 25 ) Balance, end of period $ ( 9 ) $ ( 38 ) $ ( 9 ) $ ( 38 ) Investments Balance, beginning of period $ ( 3,842 ) $ ( 4,035 ) $ ( 3,582 ) $ ( 2,138 ) Unrealized gains (losses), net of tax of $ 352 , $ 89 , $ 277 , and $( 421 ) 1,325 340 1,042 ( 1,585 ) Reclassification adjustments for losses included in other income (expense), net 7 10 36 45 Tax benefit included in provision for income taxes ( 1 ) ( 2 ) ( 7 ) ( 9 ) Amounts reclassified from accumulated other comprehensive loss 6 8 29 36 Net change related to investments, net of tax of $ 353 , $ 91 , $ 284 , and $( 412 ) 1,331 348 1,071 ( 1,549 ) Balance, end of period $ ( 2,511 ) $ ( 3,687 ) $ ( 2,511 ) $ ( 3,687 ) Translation Adjustments and Other Balance, beginning of period $ ( 3,089 ) $ ( 3,302 ) $ ( 2,734 ) $ ( 2,527 ) Translation adjustments and other, net of tax of $ 0 , $ 0 , $ 0 , and $ 0 660 570 305 ( 205 ) Balance, end of period $ ( 2,429 ) $ ( 2,732 ) $ ( 2,429 ) $ ( 2,732 ) Accumulated other comprehensive loss, end of period $ ( 4,949 ) $ ( 6,457 ) $ ( 4,949 ) $ ( 6,457 )

SEGMENT INFORMATION AND GEOGR_2

SEGMENT INFORMATION AND GEOGRAPHIC DATA (Tables)	6 Months Ended
SEGMENT INFORMATION AND GEOGRAPHIC DATA (Tables)	Dec. 31, 2023
Segment Reporting [Abstract]
Segment Revenue	Segment revenue and operating income were as follows during the periods presented: (In millions) Three Months Ended December 31, Six Months Ended December 31, 2023 2022 2023 2022 Revenue Productivity and Business Processes $ 19,249 $ 17,002 $ 37,841 $ 33,467 Intelligent Cloud 25,880 21,508 50,139 41,833 More Personal Computing 16,891 14,237 30,557 27,569 Total $ 62,020 $ 52,747 $ 118,537 $ 102,869 Operating Income Productivity and Business Processes $ 10,284 $ 8,175 $ 20,254 $ 16,498 Intelligent Cloud 12,461 8,904 24,212 17,882 More Personal Computing 4,287 3,320 9,461 7,537 Total $ 27,032 $ 20,399 $ 53,927 $ 41,917
Segment Operating Income (Loss)	Segment revenue and operating income were as follows during the periods presented: (In millions) Three Months Ended December 31, Six Months Ended December 31, 2023 2022 2023 2022 Revenue Productivity and Business Processes $ 19,249 $ 17,002 $ 37,841 $ 33,467 Intelligent Cloud 25,880 21,508 50,139 41,833 More Personal Computing 16,891 14,237 30,557 27,569 Total $ 62,020 $ 52,747 $ 118,537 $ 102,869 Operating Income Productivity and Business Processes $ 10,284 $ 8,175 $ 20,254 $ 16,498 Intelligent Cloud 12,461 8,904 24,212 17,882 More Personal Computing 4,287 3,320 9,461 7,537 Total $ 27,032 $ 20,399 $ 53,927 $ 41,917
Revenue Classified by Major Geographic Areas	Revenue, classified by the major geographic areas in which our customers were located, was as follows: (In millions) Three Months Ended December 31, Six Months Ended December 31, 2023 2022 2023 2022 United States (a) $ 32,295 $ 26,976 $ 61,107 $ 52,843 Other countries 29,725 25,771 57,430 50,026 Total $ 62,020 $ 52,747 $ 118,537 $ 102,869 (a) Includes billings to OEMs and certain multinational organizations because of the nature of these businesses and the impracticability of determining the geographic source of the revenue.
Revenue Classified by Significant Product and Service Offerings	Revenue, classified by significant product and service offerings, was as follows: (In millions) Three Months Ended December 31, Six Months Ended December 31, 2023 2022 2023 2022 Server products and cloud services $ 23,953 $ 19,594 $ 46,261 $ 37,982 Office products and cloud services 13,477 11,867 26,617 23,444 Gaming 7,111 4,758 11,030 8,368 Windows 5,262 4,808 10,829 10,121 LinkedIn 4,195 3,833 8,108 7,461 Search and news advertising 3,220 3,209 6,273 6,122 Enterprise and partner services 1,917 1,907 3,861 3,836 Dynamics products and cloud services 1,576 1,302 3,116 2,562 Devices 1,298 1,430 2,423 2,878 Other 11 39 19 95 Total $ 62,020 $ 52,747 $ 118,537 $ 102,869 We have recast certain prior period amounts to conform to the way we internally manage and monitor our business. Our Microsoft Cloud revenue, which includes Azure and other cloud services, Office 365 Commercial, the commercial portion of LinkedIn, Dynamics 365, and other commercial cloud properties, was $ 33.7 billion and $ 65.5 billion for the three and six months ended December 31, 2023, respectively, and $ 27.1 billion and $ 52.8 billion for the three and six months ended December 31, 2022, respectively. These amounts are primarily included in Server products and cloud services, Office products and cloud services, LinkedIn, and Dynamics products and cloud services in the table above.

Accounting Policies - Additiona

Accounting Policies - Additional Information (Detail) - USD ($) $ in Billions	Dec. 31, 2023	Jun. 30, 2023
Accounting Policies [Abstract]
Long-term accounts receivable, net of allowance for doubtful accounts	$ 4.8	$ 4.5
Other receivables related to purchase of components	8.8	9.2
Financing receivables, net	$ 3.6	$ 5.3

Basic and Diluted Earnings Per

Basic and Diluted Earnings Per Share (Detail) - USD ($) $ / shares in Units, shares in Millions, $ in Millions	3 Months Ended		6 Months Ended
	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2023	Dec. 31, 2022
Earning Per Share Basic And Diluted [Abstract]
Net income available for common shareholders (A)	$ 21,870	$ 16,425	$ 44,161	$ 33,981
Weighted average outstanding shares of common stock (B)	7,432	7,451	7,431	7,454
Dilutive effect of stock-based awards	36	22	34	25
Common stock and common stock equivalents (C)	7,468	7,473	7,465	7,479
Earnings Per Share
Basic (A/B)	$ 2.94	$ 2.2	$ 5.94	$ 4.56
Diluted (A/C)	$ 2.93	$ 2.2	$ 5.92	$ 4.54

Components of Other Income (Exp

Components of Other Income (Expense), Net (Detail) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2023	Dec. 31, 2022
Other Income and Expenses [Abstract]
Interest and dividends income	$ 734	$ 700	$ 1,900	$ 1,341
Interest expense	(909)	(490)	(1,434)	(990)
Net recognized gains (losses) on investments	69	(15)	(38)	(2)
Net losses on derivatives	(267)	(199)	(174)	(190)
Net gains (losses) on foreign currency remeasurements	36	(18)	(65)	(96)
Other, net	(169)	(38)	(306)	(69)
Total	$ (506)	$ (60)	$ (117)	$ (6)

Net Recognized Gains (Losses) o

Net Recognized Gains (Losses) on Debt Investments (Detail) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2023	Dec. 31, 2022
Schedule Of Gain Loss On Investments Including Marketable Securities And Investments Held At Cost Income Statement Reported Amounts Summary [Line Items]
Realized gains from sales of available-for-sale securities	$ 4	$ 27	$ 6	$ 30
Realized losses from sales of available-for-sale securities	(29)	(23)	(54)	(43)
Total	69	(15)	(38)	(2)
Debt Securities
Schedule Of Gain Loss On Investments Including Marketable Securities And Investments Held At Cost Income Statement Reported Amounts Summary [Line Items]
Impairments and allowance for credit losses	18	5	12	(13)
Total	$ (7)	$ 9	$ (36)	$ (26)

Net Recognized Gains (Losses)_2

Net Recognized Gains (Losses) on Equity Investments (Detail) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2023	Dec. 31, 2022
Schedule Of Gain Loss On Investments Including Marketable Securities And Investments Held At Cost Income Statement Reported Amounts Summary [Line Items]
Net realized gains (losses) on investments sold	$ (31)	$ (8)	$ 14	$ 75
Net unrealized gains (losses) on investments still held	286	(7)	163	(35)
Total	69	(15)	(38)	(2)
Equity Securities
Schedule Of Gain Loss On Investments Including Marketable Securities And Investments Held At Cost Income Statement Reported Amounts Summary [Line Items]
Impairments of investments	(179)	(9)	(179)	(16)
Total	$ 76	$ (24)	$ (2)	$ 24

Investment Components (Detail)

Investment Components (Detail) - USD ($) $ in Millions		Dec. 31, 2023	Jun. 30, 2023
Cash Cash Equivalents And Investments [Line Items]
Debt investments, Adjusted Cost Basis		$ 74,374
Debt investments, Recorded Basis		71,189
Derivative, net		293	$ 267
Cash and cash equivalents		17,305	34,704
Short-term Investments		63,712	76,558
Equity Investments		13,367	9,879
Cash, cash equivalents, and investments		94,384	121,141
Equity Securities
Cash Cash Equivalents And Investments [Line Items]
Equity investments, Recorded Basis		13,624	17,325
Cash and cash equivalents		257	7,446
Short-term Investments		0	0
Equity Investments		13,367	9,879
Equity Securities \| Other
Cash Cash Equivalents And Investments [Line Items]
Equity investments, Recorded Basis		10,348	7,187
Cash and cash equivalents		0	0
Short-term Investments		0	0
Equity Investments		10,348	7,187
Equity Securities \| Level 1
Cash Cash Equivalents And Investments [Line Items]
Equity investments, Recorded Basis		3,276	10,138
Cash and cash equivalents		257	7,446
Short-term Investments		0	0
Equity Investments		3,019	2,692
Cash
Cash Cash Equivalents And Investments [Line Items]
Cash		9,536	8,478
Cash and cash equivalents		9,536	8,478
Short-term Investments		0	0
Equity Investments		0	0
Derivatives, net
Cash Cash Equivalents And Investments [Line Items]
Derivative, net	[1]	35	6
Cash and cash equivalents	[1]	0	0
Short-term Investments	[1]	35	6
Equity Investments	[1]	0	0
Debt Securities
Cash Cash Equivalents And Investments [Line Items]
Debt investments, Adjusted Cost Basis		74,374	99,869
Debt investments, Unrealized Gains		84	13
Debt investments, Unrealized Losses		(3,269)	(4,550)
Debt investments, Recorded Basis		71,189	95,332
Cash and cash equivalents		7,512	18,780
Short-term Investments		63,677	76,552
Equity Investments		0	0
Debt Securities \| Commercial Paper \| Level 2
Cash Cash Equivalents And Investments [Line Items]
Debt investments, Adjusted Cost Basis		4,577	16,589
Debt investments, Unrealized Gains		0	0
Debt investments, Unrealized Losses		0	0
Debt investments, Recorded Basis		4,577	16,589
Cash and cash equivalents		4,574	12,231
Short-term Investments		3	4,358
Equity Investments		0	0
Debt Securities \| Certificates of deposit \| Level 2
Cash Cash Equivalents And Investments [Line Items]
Debt investments, Adjusted Cost Basis		2,973	2,701
Debt investments, Unrealized Gains		0	0
Debt investments, Unrealized Losses		0	0
Debt investments, Recorded Basis		2,973	2,701
Cash and cash equivalents		2,931	2,657
Short-term Investments		42	44
Equity Investments		0	0
Debt Securities \| U.S. government securities \| Level 1
Cash Cash Equivalents And Investments [Line Items]
Debt investments, Adjusted Cost Basis		54,775	65,237
Debt investments, Unrealized Gains		11	2
Debt investments, Unrealized Losses		(2,848)	(3,870)
Debt investments, Recorded Basis		51,938	61,369
Cash and cash equivalents		0	2,991
Short-term Investments		51,938	58,378
Equity Investments		0	0
Debt Securities \| U.S. agency securities \| Level 2
Cash Cash Equivalents And Investments [Line Items]
Debt investments, Adjusted Cost Basis		24	2,703
Debt investments, Unrealized Gains		0	0
Debt investments, Unrealized Losses		0	0
Debt investments, Recorded Basis		24	2,703
Cash and cash equivalents		0	894
Short-term Investments		24	1,809
Equity Investments		0	0
Debt Securities \| Foreign government bonds \| Level 2
Cash Cash Equivalents And Investments [Line Items]
Debt investments, Adjusted Cost Basis		420	498
Debt investments, Unrealized Gains		4	1
Debt investments, Unrealized Losses		(12)	(24)
Debt investments, Recorded Basis		412	475
Cash and cash equivalents		7	0
Short-term Investments		405	475
Equity Investments		0	0
Debt Securities \| Mortgage- and asset-backed securities \| Level 2
Cash Cash Equivalents And Investments [Line Items]
Debt investments, Adjusted Cost Basis		926	824
Debt investments, Unrealized Gains		5	1
Debt investments, Unrealized Losses		(31)	(39)
Debt investments, Recorded Basis		900	786
Cash and cash equivalents		0	0
Short-term Investments		900	786
Equity Investments		0	0
Debt Securities \| Corporate notes and bonds \| Level 2
Cash Cash Equivalents And Investments [Line Items]
Debt investments, Adjusted Cost Basis		10,164	10,809
Debt investments, Unrealized Gains		63	8
Debt investments, Unrealized Losses		(349)	(583)
Debt investments, Recorded Basis		9,878	10,234
Cash and cash equivalents		0	0
Short-term Investments		9,878	10,234
Equity Investments		0	0
Debt Securities \| Corporate notes and bonds \| Level 3
Cash Cash Equivalents And Investments [Line Items]
Debt investments, Adjusted Cost Basis		129	120
Debt investments, Unrealized Gains		0	0
Debt investments, Unrealized Losses		0	0
Debt investments, Recorded Basis		129	120
Cash and cash equivalents		0	0
Short-term Investments		129	120
Equity Investments		0	0
Debt Securities \| Municipal securities \| Level 2
Cash Cash Equivalents And Investments [Line Items]
Debt investments, Adjusted Cost Basis		282	285
Debt investments, Unrealized Gains		1	1
Debt investments, Unrealized Losses		(13)	(18)
Debt investments, Recorded Basis		270	268
Cash and cash equivalents		0	7
Short-term Investments		270	261
Equity Investments		0	0
Debt Securities \| Municipal securities \| Level 3
Cash Cash Equivalents And Investments [Line Items]
Debt investments, Adjusted Cost Basis		104	103
Debt investments, Unrealized Gains		0	0
Debt investments, Unrealized Losses		(16)	(16)
Debt investments, Recorded Basis		88	87
Cash and cash equivalents		0	0
Short-term Investments		88	87
Equity Investments		$ 0	$ 0

[1] Refer to Note 5 – Derivatives for further information on the fair value of our derivative instruments.

Investments - Additional Inform

Investments - Additional Information (Detail) - USD ($) $ in Billions	Dec. 31, 2023	Jun. 30, 2023
Investments, Debt and Equity Securities [Abstract]
Equity investments without readily determinable fair values measured at cost with adjustments for observable changes in price or impairments	$ 4	$ 4.2

Unrealized Losses on Debt Inves

Unrealized Losses on Debt Investments (Detail) - USD ($) $ in Millions	Dec. 31, 2023	Jun. 30, 2023
Unrealized Losses on Investments [Line Items]
Less than 12 Months - Fair Value	$ 945	$ 10,721
Less than 12 Months - Unrealized Losses	(16)	(398)
12 Months or Greater - Fair Value	59,255	53,598
12 Months or Greater - Unrealized Losses	(3,253)	(4,152)
Total Fair Value	60,200	64,319
Total Unrealized Losses	(3,269)	(4,550)
U.S. government and agency securities
Unrealized Losses on Investments [Line Items]
Less than 12 Months - Fair Value	292	7,950
Less than 12 Months - Unrealized Losses	(8)	(336)
12 Months or Greater - Fair Value	51,092	45,273
12 Months or Greater - Unrealized Losses	(2,840)	(3,534)
Total Fair Value	51,384	53,223
Total Unrealized Losses	(2,848)	(3,870)
Foreign government bonds
Unrealized Losses on Investments [Line Items]
Less than 12 Months - Fair Value	26	77
Less than 12 Months - Unrealized Losses	(1)	(5)
12 Months or Greater - Fair Value	312	391
12 Months or Greater - Unrealized Losses	(11)	(19)
Total Fair Value	338	468
Total Unrealized Losses	(12)	(24)
Mortgage- and asset-backed securities
Unrealized Losses on Investments [Line Items]
Less than 12 Months - Fair Value	185	257
Less than 12 Months - Unrealized Losses	(1)	(5)
12 Months or Greater - Fair Value	403	412
12 Months or Greater - Unrealized Losses	(30)	(34)
Total Fair Value	588	669
Total Unrealized Losses	(31)	(39)
Corporate notes and bonds
Unrealized Losses on Investments [Line Items]
Less than 12 Months - Fair Value	396	2,326
Less than 12 Months - Unrealized Losses	(6)	(49)
12 Months or Greater - Fair Value	7,208	7,336
12 Months or Greater - Unrealized Losses	(343)	(534)
Total Fair Value	7,604	9,662
Total Unrealized Losses	(349)	(583)
Municipal securities
Unrealized Losses on Investments [Line Items]
Less than 12 Months - Fair Value	46	111
Less than 12 Months - Unrealized Losses	0	(3)
12 Months or Greater - Fair Value	240	186
12 Months or Greater - Unrealized Losses	(29)	(31)
Total Fair Value	286	297
Total Unrealized Losses	$ (29)	$ (34)

Debt Investment Maturities (Det

Debt Investment Maturities (Detail) $ in Millions	Dec. 31, 2023 USD ($)
Adjusted Cost Basis
Due in one year or less	$ 17,257
Due after one year through five years	46,857
Due after five years through 10 years	8,932
Due after 10 years	1,328
Debt investments, Adjusted Cost Basis	74,374
Estimated Fair Value
Due in one year or less	17,145
Due after one year through five years	44,848
Due after five years through 10 years	7,976
Due after 10 years	1,220
Total	$ 71,189

Derivatives - Additional Inform

Derivatives - Additional Information (Detail) - USD ($)	6 Months Ended
Derivatives - Additional Information (Detail) - USD ($)	Dec. 31, 2023	Jun. 30, 2023
Derivative [Line Items]
Minimum required liquidity under certain counterparty agreements	$ 1,000,000,000
Minimum liquidity for the period as defined by certain counterparty agreements	1,000,000,000
Gross amounts of derivative assets, elected to offset	459,000,000	$ 442,000,000
Gross amounts of derivative liabilities, elected to offset	$ 1,300,000,000	$ 804,000,000
Senior Unsecured Obligations
Derivative [Line Items]
Debt instrument credit rating	AAA

Notional Amounts of Outstanding

Notional Amounts of Outstanding Derivative Instruments Measured in U.S. Dollar Equivalents (Detail) - USD ($) $ in Millions	Dec. 31, 2023	Jun. 30, 2023
Designated as Hedging Instruments \| Foreign Exchange Contracts \| Derivatives Purchased
Derivative [Line Items]
Notional amounts	$ 1,492	$ 1,492
Designated as Hedging Instruments \| Interest Rate Contracts \| Derivatives Purchased
Derivative [Line Items]
Notional amounts	1,106	1,078
Not Designated as Hedging Instruments \| Foreign Exchange Contracts \| Derivatives Purchased
Derivative [Line Items]
Notional amounts	8,113	7,874
Not Designated as Hedging Instruments \| Foreign Exchange Contracts \| Derivatives Sold
Derivative [Line Items]
Notional amounts	20,772	25,159
Not Designated as Hedging Instruments \| Equity Contracts \| Derivatives Purchased
Derivative [Line Items]
Notional amounts	3,731	3,867
Not Designated as Hedging Instruments \| Equity Contracts \| Derivatives Sold
Derivative [Line Items]
Notional amounts	2,154	2,154
Not Designated as Hedging Instruments \| Other Contracts \| Derivatives Purchased
Derivative [Line Items]
Notional amounts	1,643	1,224
Not Designated as Hedging Instruments \| Other Contracts \| Derivatives Sold
Derivative [Line Items]
Notional amounts	$ 739	$ 581

Fair Values of Derivative Instr

Fair Values of Derivative Instruments (Detail) - USD ($) $ in Millions	Dec. 31, 2023	Jun. 30, 2023
Derivatives Fair Value [Line Items]
Derivative Assets	$ 520	$ 469
Gross amounts of derivatives offset in the balance sheet, assets	(227)	(202)
Cash collateral received, assets	0	0
Net amounts of derivatives, assets	$ 293	$ 267
Derivative Asset, Current, Statement of Financial Position [Extensible Enumeration]	Other current assets	Other current assets
Derivative Asset, Noncurrent, Statement of Financial Position [Extensible Enumeration]	Other long-term assets	Other long-term assets
Derivative Liabilities	$ (1,274)	$ (805)
Gross amounts of derivatives offset in the balance sheet, liabilities	229	206
Cash collateral received, liabilities	(190)	(125)
Net amounts of derivatives, liabilities	$ (1,235)	$ (724)
Derivative Liability, Statement of Financial Position [Extensible Enumeration]	Other current liabilities	Other current liabilities
Derivative Liability, Noncurrent, Statement of Financial Position [Extensible Enumeration]	Other long-term liabilities	Other long-term liabilities
Derivative Asset Statement of Financial Position [Extensible Enumeration not Disclosed Flag]	Net amounts of derivatives, assets	Net amounts of derivatives, assets
Derivative Liability Statement of Financial Position [Extensible Enumeration not Disclosed Flag]	Net amounts of derivatives, liabilities	Net amounts of derivatives, liabilities
Level 1
Derivatives Fair Value [Line Items]
Derivative Assets	$ 0	$ 0
Derivative Liabilities	0	0
Level 2
Derivatives Fair Value [Line Items]
Derivative Assets	511	462
Derivative Liabilities	(1,274)	(805)
Level 3
Derivatives Fair Value [Line Items]
Derivative Assets	9	7
Derivative Liabilities	0	0
Designated as Hedging Instruments \| Foreign Exchange Contracts
Derivatives Fair Value [Line Items]
Derivative Assets	53	34
Derivative Liabilities	(59)	(67)
Designated as Hedging Instruments \| Interest Rate Contracts
Derivatives Fair Value [Line Items]
Derivative Assets	21	16
Derivative Liabilities	0	0
Not Designated as Hedging Instruments \| Foreign Exchange Contracts
Derivatives Fair Value [Line Items]
Derivative Assets	300	249
Derivative Liabilities	(702)	(332)
Not Designated as Hedging Instruments \| Equity Contracts
Derivatives Fair Value [Line Items]
Derivative Assets	104	165
Derivative Liabilities	(513)	(400)
Not Designated as Hedging Instruments \| Other Contracts
Derivatives Fair Value [Line Items]
Derivative Assets	42	5
Derivative Liabilities	0	(6)
Short-term Investments
Derivatives Fair Value [Line Items]
Net amounts of derivatives, assets	35	6
Other Current Assets
Derivatives Fair Value [Line Items]
Net amounts of derivatives, assets	237	245
Other Long-term Assets
Derivatives Fair Value [Line Items]
Net amounts of derivatives, assets	21	16
Other Current Liabilities
Derivatives Fair Value [Line Items]
Net amounts of derivatives, liabilities	(786)	(341)
Other Long-term Liabilities
Derivatives Fair Value [Line Items]
Net amounts of derivatives, liabilities	$ (449)	$ (383)

Gains (Losses) on Derivative In

Gains (Losses) on Derivative Instruments Recognized in Other Income (Expense), Net (Detail) - Other Income (Expense), Net - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2023	Dec. 31, 2022
Foreign Exchange Contracts
Derivative Instruments, Gain (Loss) [Line Items]
Gains (Losses) on Derivatives Not Designated as Hedges	$ (334)	$ (250)	$ (128)	$ (10)
Equity Contracts
Derivative Instruments, Gain (Loss) [Line Items]
Gains (Losses) on Derivatives Not Designated as Hedges	(287)	(181)	(174)	(169)
Other Contracts
Derivative Instruments, Gain (Loss) [Line Items]
Gains (Losses) on Derivatives Not Designated as Hedges	36	(25)	3	(35)
Fair Value Hedges \| Interest Rate Contracts
Derivative Instruments, Gain (Loss) [Line Items]
Derivatives	22	5	6	(38)
Hedged items	(34)	(8)	(31)	35
Cash Flow Hedges \| Foreign Exchange Contracts
Derivative Instruments, Gain (Loss) [Line Items]
Amount reclassified from accumulated other comprehensive loss	$ 51	$ 103	$ 5	$ 44

Gains, Net of Tax, on Derivativ

Gains, Net of Tax, on Derivative Instruments Recognized in Consolidated Comprehensive Income Statements (Detail) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2023	Dec. 31, 2022
Cash Flow Hedges \| Foreign Exchange Contracts
Derivative Instruments, Gain (Loss) [Line Items]
Included in effectiveness assessment	$ 37	$ 49	$ 22	$ 9

Components of Inventories (Deta

Components of Inventories (Detail) - USD ($) $ in Millions	Dec. 31, 2023	Jun. 30, 2023
Inventory Disclosure [Abstract]
Raw materials	$ 382	$ 709
Work in process	12	23
Finished goods	1,221	1,768
Total	$ 1,615	$ 2,500

Business Combinations - Additio

Business Combinations - Additional Information (Detail) - Activision Blizzard, Inc. - USD ($) $ in Millions		3 Months Ended	6 Months Ended
	Oct. 13, 2023	Dec. 31, 2023	Dec. 31, 2023
Business Acquisition [Line Items]
Total consideration transferred	$ 75,400
Acquisition date	Oct. 13, 2023
Revenue		$ 2,100	$ 2,100
Operating loss		$ 437	$ 437

Major Classes of Assets and Lia

Major Classes of Assets and Liabilities Allocated Purchase Price (Detail) - USD ($) $ in Millions	Dec. 31, 2023	Oct. 13, 2023	Jun. 30, 2023
Business Acquisition [Line Items]
Goodwill	$ 118,931		$ 67,886
Activision Blizzard, Inc.
Business Acquisition [Line Items]
Cash and cash equivalents		$ 12,976
Goodwill		50,945
Intangible assets	$ 22,000	22,046
Other assets		2,420
Long-term debt		(2,800)
Long-term income taxes		(1,853)
Deferred income taxes		(4,644)
Other liabilities		(3,684)
Total purchase price		$ 75,406

Acquired Intangible Assets (Det

Acquired Intangible Assets (Detail) - Activision Blizzard, Inc. - USD ($) $ in Millions	Oct. 13, 2023	Dec. 31, 2023
Acquired Finite-Lived Intangible Assets [Line Items]
Fair value of intangible assets acquired	$ 22,046	$ 22,000
Weighted Average Life	15 years
Marketing-related
Acquired Finite-Lived Intangible Assets [Line Items]
Fair value of intangible assets acquired	$ 11,619
Weighted Average Life	24 years
Technology-based
Acquired Finite-Lived Intangible Assets [Line Items]
Fair value of intangible assets acquired	$ 9,767
Weighted Average Life	4 years
Customer-related
Acquired Finite-Lived Intangible Assets [Line Items]
Fair value of intangible assets acquired	$ 660
Weighted Average Life	4 years

Supplemental Consolidated Finan

Supplemental Consolidated Financial Results on Unaudited Pro Forma Basis (Detail) - Activision Blizzard, Inc. - USD ($) $ / shares in Units, $ in Millions	3 Months Ended		6 Months Ended
	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2023	Dec. 31, 2022
Business Acquisition, Pro Forma Information, Nonrecurring Adjustment [Line Items]
Revenue	$ 62,297	$ 55,002	$ 120,857	$ 106,799
Net income	$ 22,025	$ 16,364	$ 44,334	$ 33,266
Diluted earnings per share	$ 2.95	$ 2.19	$ 5.94	$ 4.45

Carrying Amount of Goodwill (De

Carrying Amount of Goodwill (Detail) $ in Millions	6 Months Ended
Carrying Amount of Goodwill (Detail) $ in Millions	Dec. 31, 2023 USD ($)
Goodwill [Line Items]
Beginning Balance	$ 67,886
Acquisitions	50,945
Other	100
Ending Balance	118,931
Productivity and Business Processes
Goodwill [Line Items]
Beginning Balance	24,775
Acquisitions	0
Other	42
Ending Balance	24,817
Intelligent Cloud
Goodwill [Line Items]
Beginning Balance	30,469
Acquisitions	0
Other	(6)
Ending Balance	30,463
More Personal Computing
Goodwill [Line Items]
Beginning Balance	12,642
Acquisitions	50,945	[1]
Other	64
Ending Balance	$ 63,651

[1] Includes goodwill of $ 50.9 billion related to Activision Blizzard. See Note 7 – Business Combinations for further information.

Carrying Amount of Goodwill (Pa

Carrying Amount of Goodwill (Parenthetical) (Detail) - USD ($) $ in Millions	Dec. 31, 2023	Oct. 13, 2023	Jun. 30, 2023
Goodwill [Line Items]
Goodwill	$ 118,931		$ 67,886
Activision Blizzard, Inc.
Goodwill [Line Items]
Goodwill		$ 50,945

Finite-Lived Intangible Assets

Finite-Lived Intangible Assets (Detail) - USD ($) $ in Millions	Dec. 31, 2023		Jun. 30, 2023
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	$ 45,951	[1]	$ 23,490
Accumulated Amortization	(16,055)		(14,124)
Net Carrying Amount	29,896		9,366
Marketing-related
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	16,555		4,935
Accumulated Amortization	(2,745)		(2,473)
Net Carrying Amount	13,810		2,462
Technology-based
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	21,426		11,245
Accumulated Amortization	(8,758)		(7,589)
Net Carrying Amount	12,668		3,656
Customer-related
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	7,939		7,281
Accumulated Amortization	(4,533)		(4,047)
Net Carrying Amount	3,406		3,234
Contract-based
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	31		29
Accumulated Amortization	(19)		(15)
Net Carrying Amount	$ 12		$ 14

[1] Includes intangible assets of $ 22.0 billion related to Activision Blizzard. See Note 7 – Business Combinations for further information.

Finite-Lived Intangible Asset_2

Finite-Lived Intangible Assets (Parenthetical) (Detail) - USD ($) $ in Millions	Dec. 31, 2023	Oct. 13, 2023
Activision Blizzard, Inc.
Finite-Lived Intangible Assets [Line Items]
Intangible assets	$ 22,000	$ 22,046

Intangible Assets - Additional

Intangible Assets - Additional Information (Detail) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2023	Dec. 31, 2022
Goodwill and Intangible Assets Disclosure [Abstract]
Intangible assets amortization expense	$ 1,300	$ 632	$ 2,000	$ 1,300

Estimated Future Amortization E

Estimated Future Amortization Expense Related to Intangible Assets (Detail) - USD ($) $ in Millions	Dec. 31, 2023	Jun. 30, 2023
Goodwill and Intangible Assets Disclosure [Abstract]
Year Ending June 30, 2024 (excluding the six months ended December 31, 2023)	$ 2,870
Year Ending June 30, 2025	5,746
Year Ending June 30, 2026	4,315
Year Ending June 30, 2027	2,681
Year Ending June 30, 2028	1,864
Thereafter	12,420
Net Carrying Amount	$ 29,896	$ 9,366

Components of Long-term Debt (D

Components of Long-term Debt (Detail) - USD ($) $ in Millions		6 Months Ended
		Dec. 31, 2023	Jun. 30, 2023
Debt Instrument [Line Items]
Total face value		$ 53,548	$ 52,866
Unamortized discount and issuance costs		(1,264)	(438)
Hedge fair value adjustments	[1]	(75)	(106)
Premium on debt exchange		(5,031)	(5,085)
Total debt		47,178	47,237
Current portion of long-term debt		(2,250)	(5,247)
Long-term debt		$ 44,928	41,990
2009 Issuance of $3.8 billion
Debt Instrument [Line Items]
Maturities (calendar year)		2039
Stated Interest Rate		5.20%
Effective Interest Rate		5.24%
Total face value		$ 520	520
2010 Issuance of $4.8 billion
Debt Instrument [Line Items]
Maturities (calendar year)		2040
Stated Interest Rate		4.50%
Effective Interest Rate		4.57%
Total face value		$ 486	486
2011 Issuance of $2.3 billion
Debt Instrument [Line Items]
Maturities (calendar year)		2041
Stated Interest Rate		5.30%
Effective Interest Rate		5.36%
Total face value		$ 718	718
2012 Issuance of $2.3 billion
Debt Instrument [Line Items]
Maturities (calendar year)		2042
Stated Interest Rate		3.50%
Effective Interest Rate		3.57%
Total face value		$ 454	454
2013 Issuance of $5.2 billion
Debt Instrument [Line Items]
Maturities (calendar year)		2043
Total face value		$ 314	1,814
2013 Issuance of $5.2 billion \| Minimum
Debt Instrument [Line Items]
Stated Interest Rate		3.75%
Effective Interest Rate		3.83%
2013 Issuance of $5.2 billion \| Maximum
Debt Instrument [Line Items]
Stated Interest Rate		4.88%
Effective Interest Rate		4.92%
2013 Issuance of € 4.1 billion
Debt Instrument [Line Items]
Total face value		$ 2,541	2,509
2013 Issuance of € 4.1 billion \| Minimum
Debt Instrument [Line Items]
Maturities (calendar year)		2028
Stated Interest Rate		2.63%
Effective Interest Rate		2.69%
2013 Issuance of € 4.1 billion \| Maximum
Debt Instrument [Line Items]
Maturities (calendar year)		2033
Stated Interest Rate		3.13%
Effective Interest Rate		3.22%
2015 Issuance of $23.8 billion
Debt Instrument [Line Items]
Total face value		$ 9,805	9,805
2015 Issuance of $23.8 billion \| Minimum
Debt Instrument [Line Items]
Maturities (calendar year)		2025
Stated Interest Rate		2.70%
Effective Interest Rate		2.77%
2015 Issuance of $23.8 billion \| Maximum
Debt Instrument [Line Items]
Maturities (calendar year)		2055
Stated Interest Rate		4.75%
Effective Interest Rate		4.78%
2016 Issuance of $19.8 billion
Debt Instrument [Line Items]
Total face value		$ 7,930	9,430
2016 Issuance of $19.8 billion \| Minimum
Debt Instrument [Line Items]
Maturities (calendar year)		2026
Stated Interest Rate		2.40%
Effective Interest Rate		2.46%
2016 Issuance of $19.8 billion \| Maximum
Debt Instrument [Line Items]
Maturities (calendar year)		2056
Stated Interest Rate		3.95%
Effective Interest Rate		4.03%
2017 Issuance of $17.1 billion
Debt Instrument [Line Items]
Total face value	[2]	$ 9,083	8,945
2017 Issuance of $17.1 billion \| Minimum
Debt Instrument [Line Items]
Maturities (calendar year)	[2]	2024
Stated Interest Rate	[2]	2.88%
Effective Interest Rate	[2]	3.04%
2017 Issuance of $17.1 billion \| Maximum
Debt Instrument [Line Items]
Maturities (calendar year)	[2]	2057
Stated Interest Rate	[2]	4.50%
Effective Interest Rate	[2]	5.49%
2020 Issuance of $10.1 billion
Debt Instrument [Line Items]
Total face value	[2]	$ 10,111	10,000
2020 Issuance of $10.1 billion \| Minimum
Debt Instrument [Line Items]
Maturities (calendar year)	[2]	2030
Stated Interest Rate	[2]	1.35%
Effective Interest Rate	[2]	2.53%
2020 Issuance of $10.1 billion \| Maximum
Debt Instrument [Line Items]
Maturities (calendar year)	[2]	2060
Stated Interest Rate	[2]	2.68%
Effective Interest Rate	[2]	5.43%
2021 issuance of $8.2 billion
Debt Instrument [Line Items]
Total face value		$ 8,185	8,185
2021 issuance of $8.2 billion \| Minimum
Debt Instrument [Line Items]
Maturities (calendar year)		2052
Stated Interest Rate		2.92%
Effective Interest Rate		2.92%
2021 issuance of $8.2 billion \| Maximum
Debt Instrument [Line Items]
Maturities (calendar year)		2062
Stated Interest Rate		3.04%
Effective Interest Rate		3.04%
2023 issuance of $3.4 billion
Debt Instrument [Line Items]
Total face value	[2]	$ 3,401	$ 0
2023 issuance of $3.4 billion \| Minimum
Debt Instrument [Line Items]
Maturities (calendar year)	[2]	2026
Stated Interest Rate	[2]	1.35%
Effective Interest Rate	[2]	5.16%
2023 issuance of $3.4 billion \| Maximum
Debt Instrument [Line Items]
Maturities (calendar year)	[2]	2050
Stated Interest Rate	[2]	4.50%
Effective Interest Rate	[2]	5.49%

[1] Refer to Note 5 – Derivatives for further information on the interest rate swaps related to fixed-rate debt. Includes $ 3.6 billion of debt at face value related to the Activision Blizzard acquisition. See Note 7 – Business Combinations for further information.

Components of Long-term Debt (P

Components of Long-term Debt (Parenthetical) (Detail) - 6 months ended Dec. 31, 2023 € in Billions, $ in Billions		USD ($)	EUR (€)
Activision Blizzard, Inc.
Debt Instrument [Line Items]
Debt, face value		$ 3.6
2009 Issuance of $3.8 billion
Debt Instrument [Line Items]
Debt, issuance date		2009
Debt, face value		$ 3.8
2010 Issuance of $4.8 billion
Debt Instrument [Line Items]
Debt, issuance date		2010
Debt, face value		$ 4.8
2011 Issuance of $2.3 billion
Debt Instrument [Line Items]
Debt, issuance date		2011
Debt, face value		$ 2.3
2012 Issuance of $2.3 billion
Debt Instrument [Line Items]
Debt, issuance date		2012
Debt, face value		$ 2.3
2013 Issuance of $5.2 billion
Debt Instrument [Line Items]
Debt, issuance date		2013
Debt, face value		$ 5.2
2013 Issuance of € 4.1 billion
Debt Instrument [Line Items]
Debt, issuance date		2013
Debt, face value \| €			€ 4.1
2015 Issuance of $23.8 billion
Debt Instrument [Line Items]
Debt, issuance date		2015
Debt, face value		$ 23.8
2016 Issuance of $19.8 billion
Debt Instrument [Line Items]
Debt, issuance date		2016
Debt, face value		$ 19.8
2017 Issuance of $17.1 billion
Debt Instrument [Line Items]
Debt, issuance date	[1]	2017
Debt, face value	[1]	$ 17.1
2020 Issuance of $10.1 billion
Debt Instrument [Line Items]
Debt, issuance date	[1]	2020
Debt, face value	[1]	$ 10.1
2021 issuance of $8.2 billion
Debt Instrument [Line Items]
Debt, issuance date		2021
Debt, face value		$ 8.2
2023 issuance of $3.4 billion
Debt Instrument [Line Items]
Debt, issuance date	[1]	2023
Debt, face value	[1]	$ 3.4

[1] Includes $ 3.6 billion of debt at face value related to the Activision Blizzard acquisition. See Note 7 – Business Combinations for further information.

Debt - Additional Information (

Debt - Additional Information (Detail) - USD ($) $ in Millions	6 Months Ended
	Dec. 31, 2023	Jun. 30, 2023
Debt Instrument [Line Items]
Long-term debt fair value	$ 46,600	$ 46,200
Short-term debt	$ 27,041	$ 0
Commercial Paper
Debt Instrument [Line Items]
Short term debt, weighted average interest rate	5.50%
Commercial Paper \| Maximum
Debt Instrument [Line Items]
Short term borrowings maturity	216 days
Commercial Paper \| Minimum
Debt Instrument [Line Items]
Short term borrowings maturity	33 days

Maturities of Long-term Debt In

Maturities of Long-term Debt Including Current Portion (Detail) - USD ($) $ in Millions	Dec. 31, 2023	Jun. 30, 2023
Debt Disclosure [Abstract]
Year Ending June 30, 2024 (excluding the six months ended December 31, 2023)	$ 2,250
Year Ending June 30, 2025	2,250
Year Ending June 30, 2026	3,000
Year Ending June 30, 2027	9,250
Year Ending June 30, 2028	0
Thereafter	36,798
Total	$ 53,548	$ 52,866

Income Taxes - Additional Infor

Income Taxes - Additional Information (Detail) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2023	Dec. 31, 2022	Jun. 30, 2023
Income Taxes [Line Items]
Effective tax rate	18%	19%	18%	19%
Long-term income taxes	$ 25,890		$ 25,890		$ 25,560
Unrecognized Tax Benefits and Other Income Tax Liabilities
Income Taxes [Line Items]
Long-term income taxes	22,900		22,900		$ 18,700
Unrecognized Tax Benefits and Other Income Tax Liabilities \| Activision Blizzard, Inc.
Income Taxes [Line Items]
Long-term income taxes	$ 1,900		$ 1,900

Income Taxes - Additional Inf_2

Income Taxes - Additional Information Regarding Examinations (Detail) - USD ($) $ in Billions		6 Months Ended
	Sep. 26, 2023	Dec. 31, 2023
Earliest Tax Year \| Foreign Country
Income Tax Examination [Line Items]
Tax years subject to examination		1996
Latest Tax Year \| Foreign Country
Income Tax Examination [Line Items]
Tax years subject to examination		2023
Internal Revenue Service (IRS)
Income Tax Examination [Line Items]
Settlement payments including tax and interest	$ 28.9
Internal Revenue Service (IRS) \| Earliest Tax Year
Income Tax Examination [Line Items]
Tax years under audit	2004
Tax years subject to examination		2014
Internal Revenue Service (IRS) \| Latest Tax Year
Income Tax Examination [Line Items]
Tax years under audit	2013
Tax years subject to examination		2017

Unearned Revenue by Segment (De

Unearned Revenue by Segment (Detail) - USD ($) $ in Millions	Dec. 31, 2023	Jun. 30, 2023
Contract With Customer Liability [Line Items]
Unearned revenue	$ 46,034	$ 53,813
Productivity and Business Processes
Contract With Customer Liability [Line Items]
Unearned revenue	22,591	27,572
Intelligent Cloud
Contract With Customer Liability [Line Items]
Unearned revenue	17,696	21,563
More Personal Computing
Contract With Customer Liability [Line Items]
Unearned revenue	$ 5,747	$ 4,678

Changes in Unearned Revenue (De

Changes in Unearned Revenue (Detail) $ in Millions	6 Months Ended
Changes in Unearned Revenue (Detail) $ in Millions	Dec. 31, 2023 USD ($)
Revenue from Contract with Customer [Abstract]
Balance, beginning of period	$ 53,813
Deferral of revenue	59,828
Recognition of unearned revenue	(67,607)
Balance, end of period	$ 46,034

Unearned Revenue - Additional I

Unearned Revenue - Additional Information (Detail) $ in Billions	Dec. 31, 2023 USD ($)
Contract With Customer Liability [Line Items]
Revenue allocated to remaining performance obligations	$ 229
Commercial Customers
Contract With Customer Liability [Line Items]
Revenue allocated to remaining performance obligations	$ 222

Unearned Revenue - Remaining Pe

Unearned Revenue - Remaining Performance Obligation - Additional Information (Detail) - Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2024-01-01	Dec. 31, 2023
Revenue Remaining Performance Obligation Expected Timing Of Satisfaction [Line Items]
Revenue allocated to remaining performance obligations, percentage of revenue expected to be recognized	45%
Revenue allocated to remaining performance obligations, expected timing of satisfaction	12 months

Leases - Additional Information

Leases - Additional Information (Detail) $ in Billions	6 Months Ended
Leases - Additional Information (Detail) $ in Billions	Dec. 31, 2023 USD ($)
Operating Lease
Leases [Line Items]
Additional leases, primarily for datacenters, that have not yet commenced	$ 7.5
Finance Lease
Leases [Line Items]
Additional leases, primarily for datacenters, that have not yet commenced	$ 85.1
Minimum
Leases [Line Items]
Operating and Finance leases, remaining lease terms	1 year
Additional operating leases that have not yet commenced, lease terms	1 year
Additional finance leases that have not yet commenced, lease terms	1 year
Maximum
Leases [Line Items]
Operating and Finance leases, remaining lease terms	18 years
Operating leases, options to extend leases term	5 years
Finance leases, options to extend leases term	5 years
Operating and Finance leases, options to terminate leases term	1 year
Additional operating leases that have not yet commenced, lease terms	20 years
Additional finance leases that have not yet commenced, lease terms	20 years

Components of Lease Expense (De

Components of Lease Expense (Detail) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2023	Dec. 31, 2022
Leases [Abstract]
Operating lease cost	$ 817	$ 684	$ 1,591	$ 1,346
Finance lease cost:
Amortization of right-of-use assets	408	457	788	646
Interest on lease liabilities	168	119	317	232
Total finance lease cost	$ 576	$ 576	$ 1,105	$ 878

Supplemental Cash Flow Informat

Supplemental Cash Flow Information Related to Leases (Detail) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2023	Dec. 31, 2022
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$ 803	$ 645	$ 1,597	$ 1,299
Operating cash flows from finance leases	168	119	317	232
Financing cash flows from finance leases	288	262	573	518
Right-of-use assets obtained in exchange for lease obligations:
Operating leases	847	525	2,651	1,714
Finance leases	$ 1,796	$ 598	$ 3,500	$ 1,209

Supplemental Balance Sheet Info

Supplemental Balance Sheet Information Related to Leases (Detail) - USD ($) $ in Millions	Dec. 31, 2023	Jun. 30, 2023
Operating Leases
Operating lease right-of-use assets	$ 16,398	$ 14,346
Total operating lease liabilities	16,942	15,137
Finance Leases
Accumulated depreciation	(72,949)	(68,251)
Property and equipment, net	112,308	95,641
Total finance lease liabilities	$ 20,197	$ 17,067
Weighted Average Remaining Lease Term
Operating leases	8 years	8 years
Finance leases	12 years	11 years
Weighted Average Discount Rate
Operating leases	3.30%	2.90%
Finance leases	3.70%	3.40%
Finance Lease
Finance Leases
Property and equipment, at cost	$ 24,245	$ 20,538
Accumulated depreciation	(5,484)	(4,647)
Property and equipment, net	18,761	15,891
Other Current Liabilities
Operating Leases
Total operating lease liabilities	2,787	2,409
Finance Leases
Total finance lease liabilities	1,691	1,197
Operating Lease Liabilities
Operating Leases
Total operating lease liabilities	14,155	12,728
Other Long-term Liabilities
Finance Leases
Total finance lease liabilities	$ 18,506	$ 15,870

Maturities of Lease Liabilities

Maturities of Lease Liabilities (Detail) - USD ($) $ in Millions	Dec. 31, 2023	Jun. 30, 2023
Leases [Abstract]
Operating Leases, Year Ending June 30, 2024 (excluding the six months ended December 31, 2023)	$ 1,614
Operating Leases, Year Ending June 30, 2025	3,091
Operating Leases, Year Ending June 30, 2026	2,633
Operating Leases, Year Ending June 30, 2027	2,179
Operating Leases, Year Ending June 30, 2028	1,933
Operating Leases, Thereafter	7,615
Operating Leases, Total lease payments	19,065
Operating Leases, Less imputed interest	(2,123)
Operating Leases	16,942	$ 15,137
Finance Leases, Year Ending June 30, 2024 (excluding the six months ended December 31, 2023)	1,021
Finance Leases, Year Ending June 30, 2025	2,411
Finance Leases, Year Ending June 30, 2026	2,101
Finance Leases, Year Ending June 30, 2027	2,109
Finance Leases, Year Ending June 30, 2028	2,121
Finance Leases, Thereafter	15,326
Finance Leases, Total lease payments	25,089
Finance Leases, Less imputed interest	(4,892)
Finance Leases	$ 20,197	$ 17,067

Contingencies - Additional Info

Contingencies - Additional Information (Detail) $ in Millions	Dec. 31, 2023 USD ($)
Commitments and Contingencies Disclosure [Abstract]
Accrual for disclosed loss contingencies, current, ending balance	$ 703
Amount not accrued for estimated maximum losses for disclosed loss contingencies	$ 600

Stockholders' Equity - Addition

Stockholders' Equity - Additional Information (Detail) - USD ($)	3 Months Ended		6 Months Ended
	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2023	Dec. 31, 2022	Sep. 14, 2021
Share Repurchases [Line Items]
Amount of shares repurchased to settle employee tax withholding related to vesting of stock awards	$ 1,200,000,000	$ 859,000,000	$ 2,500,000,000	$ 1,800,000,000
Share Repurchase Program 2021
Share Repurchases [Line Items]
Amount available for repurchase under the share repurchase program approved by the company's Board of Directors					$ 60,000,000,000
Unused amount of share repurchase program	$ 15,900,000,000		$ 15,900,000,000

Share Repurchases (Detail)

Share Repurchases (Detail) - Share Repurchase Program 2021 - USD ($) $ in Millions	3 Months Ended				6 Months Ended
	Dec. 31, 2023	Sep. 30, 2023	Dec. 31, 2022	Sep. 30, 2022	Dec. 31, 2023	Dec. 31, 2022
Share Repurchases [Line Items]
Shares of common stock repurchased	7,000,000	11,000,000	20,000,000	17,000,000	18,000,000	37,000,000
Value of common stock repurchased	$ 2,800	$ 3,560	$ 4,600	$ 4,600	$ 6,360	$ 9,200

Dividends Declared (Detail)

Dividends Declared (Detail) - USD ($) $ / shares in Units, $ in Millions	3 Months Ended				6 Months Ended
	Dec. 31, 2023	Sep. 30, 2023	Dec. 31, 2022	Sep. 30, 2022	Dec. 31, 2023	Dec. 31, 2022
Equity [Abstract]
Declaration Date	Nov. 28, 2023	Sep. 19, 2023	Nov. 29, 2022	Sep. 20, 2022
Record Date	Feb. 15, 2024	Nov. 16, 2023	Feb. 16, 2023	Nov. 17, 2022
Payment Date	Mar. 14, 2024	Dec. 14, 2023	Mar. 09, 2023	Dec. 08, 2022
Dividend Per Share	$ 0.75	$ 0.75	$ 0.68	$ 0.68	$ 1.5	$ 1.36
Amount	$ 5,574	$ 5,574	$ 5,059	$ 5,066	$ 11,148	$ 10,125

Summary of Changes in Accumulat

Summary of Changes in Accumulated Other Comprehensive Income (Loss) by Component (Detail) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2023	Dec. 31, 2022
Accumulated Other Comprehensive Income (Loss) [Line Items]
Balance, beginning of period			$ 206,223
Other comprehensive income (loss)	$ 1,988	$ 886	1,394	$ (1,779)
Balance, end of period	238,268	183,136	238,268	183,136
Derivatives
Accumulated Other Comprehensive Income (Loss) [Line Items]
Balance, beginning of period	(6)	(6)	(27)	(13)
Unrealized gains (losses), net of tax	37	49	22	9
Tax expense (benefit) included in provision for income taxes	11	22	1	10
Amounts reclassified from accumulated other comprehensive loss	(40)	(81)	(4)	(34)
Other comprehensive income (loss)	(3)	(32)	18	(25)
Balance, end of period	(9)	(38)	(9)	(38)
Derivatives \| Other Income (Expense), Net
Accumulated Other Comprehensive Income (Loss) [Line Items]
Reclassification adjustments for (gains) losses included in other income (expense), net	(51)	(103)	(5)	(44)
Investments
Accumulated Other Comprehensive Income (Loss) [Line Items]
Balance, beginning of period	(3,842)	(4,035)	(3,582)	(2,138)
Unrealized gains (losses), net of tax	1,325	340	1,042	(1,585)
Tax expense (benefit) included in provision for income taxes	(1)	(2)	(7)	(9)
Amounts reclassified from accumulated other comprehensive loss	6	8	29	36
Other comprehensive income (loss)	1,331	348	1,071	(1,549)
Balance, end of period	(2,511)	(3,687)	(2,511)	(3,687)
Investments \| Other Income (Expense), Net
Accumulated Other Comprehensive Income (Loss) [Line Items]
Reclassification adjustments for (gains) losses included in other income (expense), net	7	10	36	45
Translation adjustments and other
Accumulated Other Comprehensive Income (Loss) [Line Items]
Balance, beginning of period	(3,089)	(3,302)	(2,734)	(2,527)
Other comprehensive income (loss)	660	570	305	(205)
Balance, end of period	(2,429)	(2,732)	(2,429)	(2,732)
Accumulated other comprehensive loss
Accumulated Other Comprehensive Income (Loss) [Line Items]
Balance, beginning of period	(6,937)	(7,343)	(6,343)	(4,678)
Other comprehensive income (loss)	1,988	886	1,394	(1,779)
Balance, end of period	$ (4,949)	$ (6,457)	$ (4,949)	$ (6,457)

Summary of Changes in Accumul_2

Summary of Changes in Accumulated Other Comprehensive Income (Loss) by Component (Parenthetical) (Detail) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2023	Dec. 31, 2022
Derivatives
Accumulated Other Comprehensive Income (Loss) [Line Items]
Unrealized gains (losses), net of tax	$ 10	$ 13	$ 6	$ 2
Net change related to other comprehensive income (loss), tax	(1)	(9)	5	(8)
Investments
Accumulated Other Comprehensive Income (Loss) [Line Items]
Unrealized gains (losses), net of tax	352	89	277	(421)
Net change related to other comprehensive income (loss), tax	353	91	284	(412)
Translation adjustments and other
Accumulated Other Comprehensive Income (Loss) [Line Items]
Net change related to other comprehensive income (loss), tax	$ 0	$ 0	$ 0	$ 0

Segment Revenue (Detail)

Segment Revenue (Detail) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
Segment Revenue (Detail) - USD ($) $ in Millions	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2023	Dec. 31, 2022
Segment Reporting Information [Line Items]
Revenue	$ 62,020	$ 52,747	$ 118,537	$ 102,869
Productivity and Business Processes
Segment Reporting Information [Line Items]
Revenue	19,249	17,002	37,841	33,467
Intelligent Cloud
Segment Reporting Information [Line Items]
Revenue	25,880	21,508	50,139	41,833
More Personal Computing
Segment Reporting Information [Line Items]
Revenue	$ 16,891	$ 14,237	$ 30,557	$ 27,569

Operating Income (Loss) by Segm

Operating Income (Loss) by Segment (Detail) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2023	Dec. 31, 2022
Segment Reporting Information [Line Items]
Operating income (loss)	$ 27,032	$ 20,399	$ 53,927	$ 41,917
Productivity and Business Processes
Segment Reporting Information [Line Items]
Operating income (loss)	10,284	8,175	20,254	16,498
Intelligent Cloud
Segment Reporting Information [Line Items]
Operating income (loss)	12,461	8,904	24,212	17,882
More Personal Computing
Segment Reporting Information [Line Items]
Operating income (loss)	$ 4,287	$ 3,320	$ 9,461	$ 7,537

Segment Information and Geogr_3

Segment Information and Geographic Data - Additional Information (Detail)	6 Months Ended
	Dec. 31, 2023
Segment Reporting [Abstract]
Sales to an individual customer	No sales to an individual customer or country other than the United States accounted for more than 10% of revenue for the three or six months ended December 31, 2023 or 2022.

Revenue Classified by Major Geo

Revenue Classified by Major Geographic Areas (Detail) - USD ($) $ in Millions		3 Months Ended		6 Months Ended
		Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2023	Dec. 31, 2022
Revenues From External Customers And Long Lived Assets [Line Items]
Revenue		$ 62,020	$ 52,747	$ 118,537	$ 102,869
United States
Revenues From External Customers And Long Lived Assets [Line Items]
Revenue	[1]	32,295	26,976	61,107	52,843
Other Countries
Revenues From External Customers And Long Lived Assets [Line Items]
Revenue		$ 29,725	$ 25,771	$ 57,430	$ 50,026

[1] Includes billings to OEMs and certain multinational organizations because of the nature of these businesses and the impracticability of determining the geographic source of the revenue.

Revenue Classified by Significa

Revenue Classified by Significant Product and Service Offerings (Detail) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2023	Dec. 31, 2022
Revenue from External Customer [Line Items]
Revenue	$ 62,020	$ 52,747	$ 118,537	$ 102,869
Server Products and Cloud Services
Revenue from External Customer [Line Items]
Revenue	23,953	19,594	46,261	37,982
Office Products and Cloud Services
Revenue from External Customer [Line Items]
Revenue	13,477	11,867	26,617	23,444
Gaming
Revenue from External Customer [Line Items]
Revenue	7,111	4,758	11,030	8,368
Windows
Revenue from External Customer [Line Items]
Revenue	5,262	4,808	10,829	10,121
LinkedIn
Revenue from External Customer [Line Items]
Revenue	4,195	3,833	8,108	7,461
Search and News Advertising
Revenue from External Customer [Line Items]
Revenue	3,220	3,209	6,273	6,122
Enterprise and Partner Services
Revenue from External Customer [Line Items]
Revenue	1,917	1,907	3,861	3,836
Dynamics Products and Cloud Services
Revenue from External Customer [Line Items]
Revenue	1,576	1,302	3,116	2,562
Devices
Revenue from External Customer [Line Items]
Revenue	1,298	1,430	2,423	2,878
Other
Revenue from External Customer [Line Items]
Revenue	$ 11	$ 39	$ 19	$ 95

Revenue Classified by Signifi_2

Revenue Classified by Significant Product and Service Offerings (Parenthetical) (Detail) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2023	Dec. 31, 2022
Revenue from External Customer [Line Items]
Revenue	$ 62,020	$ 52,747	$ 118,537	$ 102,869
Microsoft Cloud
Revenue from External Customer [Line Items]
Revenue	$ 33,700	$ 27,100	$ 65,500	$ 52,800