Microsoft (MSFT) 10-Q25 Jan 222022 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, 2021	Jan. 20, 2022
Entity Information [Line Items]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Dec. 31, 2021
Document Fiscal Year Focus	2022
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		7,496,866,428
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, 2021	Dec. 31, 2020	Dec. 31, 2021	Dec. 31, 2020
Revenue	$ 51,728	$ 43,076	$ 97,045	$ 80,230
Cost of revenue	16,960	14,194	30,606	25,196
Gross margin	34,768	28,882	66,439	55,034
Research and development	5,758	4,899	11,357	9,825
Sales and marketing	5,379	4,947	9,926	9,178
General and administrative	1,384	1,139	2,671	2,258
Operating income	22,247	17,897	42,485	33,773
Other income, net	268	440	554	688
Income before income taxes	22,515	18,337	43,039	34,461
Provision for income taxes	3,750	2,874	3,769	5,105
Net income	$ 18,765	$ 15,463	$ 39,270	$ 29,356
Earnings per share:
Basic	$ 2.50	$ 2.05	$ 5.23	$ 3.88
Diluted	$ 2.48	$ 2.03	$ 5.19	$ 3.85
Weighted average shares outstanding:
Basic	7,505	7,555	7,509	7,561
Diluted	7,555	7,616	7,561	7,627
Product
Revenue	$ 20,779	$ 19,460	$ 37,410	$ 35,263
Cost of revenue	6,331	6,058	10,123	9,655
Service and Other
Revenue	30,949	23,616	59,635	44,967
Cost of revenue	$ 10,629	$ 8,136	$ 20,483	$ 15,541

COMPREHENSIVE INCOME STATEMENTS

COMPREHENSIVE INCOME STATEMENTS - USD ($) $ in Millions	3 Months Ended		6 Months Ended
COMPREHENSIVE INCOME STATEMENTS - USD ($) $ in Millions	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2021	Dec. 31, 2020
Statement Of Income And Comprehensive Income [Abstract]
Net income	$ 18,765	$ 15,463	$ 39,270	$ 29,356
Other comprehensive income (loss), net of tax:
Net change related to derivatives	0	8	2	12
Net change related to investments	(743)	(492)	(1,165)	(693)
Translation adjustments and other	(103)	741	(222)	852
Other comprehensive income (loss)	(846)	257	(1,385)	171
Comprehensive income	$ 17,919	$ 15,720	$ 37,885	$ 29,527

BALANCE SHEETS

BALANCE SHEETS - USD ($) $ in Millions	Dec. 31, 2021	Jun. 30, 2021
Current assets:
Cash and cash equivalents	$ 20,604	$ 14,224
Short-term investments	104,765	116,110
Total cash, cash equivalents, and short-term investments	125,369	130,334
Accounts receivable, net of allowance for doubtful accounts of $551 and $751	33,520	38,043
Inventories	3,019	2,636
Other current assets	12,280	13,393
Total current assets	174,188	184,406
Property and equipment, net of accumulated depreciation of $55,277 and $51,351	67,214	59,715
Operating lease right-of-use assets	12,354	11,088
Equity investments	6,994	5,984
Goodwill	50,921	49,711
Intangible assets, net	7,462	7,800
Other long-term assets	21,256	15,075
Total assets	340,389	333,779
Current liabilities:
Accounts payable	15,314	15,163
Current portion of long-term debt	4,998	8,072
Accrued compensation	7,782	10,057
Short-term income taxes	3,731	2,174
Short-term unearned revenue	34,001	41,525
Other current liabilities	11,684	11,666
Total current liabilities	77,510	88,657
Long-term debt	48,260	50,074
Long-term income taxes	26,121	27,190
Long-term unearned revenue	2,768	2,616
Deferred income taxes	199	198
Operating lease liabilities	10,774	9,629
Other long-term liabilities	14,747	13,427
Total liabilities	180,379	191,791
Commitments and contingencies
Stockholders’ equity:
Common stock and paid-in capital – shares authorized 24,000; outstanding 7,500 and 7,519	84,528	83,111
Retained earnings	75,045	57,055
Accumulated other comprehensive income	437	1,822
Total stockholders’ equity	160,010	141,988
Total liabilities and stockholders’ equity	$ 340,389	$ 333,779

BALANCE SHEETS (Parenthetical)

BALANCE SHEETS (Parenthetical) - USD ($) $ in Millions	Dec. 31, 2021	Jun. 30, 2021
Statement Of Financial Position [Abstract]
Accounts receivable, allowance for doubtful accounts	$ 551	$ 751
Property and equipment, accumulated depreciation	$ 55,277	$ 51,351
Common stock, shares authorized	24,000,000,000	24,000,000,000
Common stock, outstanding	7,500,000,000	7,519,000,000

CASH FLOWS STATEMENTS

CASH FLOWS STATEMENTS - USD ($) $ in Millions	3 Months Ended		6 Months Ended
CASH FLOWS STATEMENTS - USD ($) $ in Millions	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2021	Dec. 31, 2020
Operations
Net income	$ 18,765	$ 15,463	$ 39,270	$ 29,356
Adjustments to reconcile net income to net cash from operations:
Depreciation, amortization, and other	3,496	2,761	6,708	5,406
Stock-based compensation expense	1,897	1,566	3,599	3,022
Net recognized gains on investments and derivatives	(307)	(354)	(671)	(482)
Deferred income taxes	183	(17)	(5,787)	(28)
Changes in operating assets and liabilities:
Accounts receivable	(5,543)	(4,008)	4,943	4,835
Inventories	394	788	(383)	(20)
Other current assets	830	730	1,770	676
Other long-term assets	(908)	(1,499)	(1,506)	(1,561)
Accounts payable	235	33	(236)	348
Unearned revenue	(4,343)	(3,227)	(7,228)	(6,291)
Income taxes	(2,057)	(2,368)	596	(3,351)
Other current liabilities	1,745	1,755	(2,398)	(1,196)
Other long-term liabilities	93	893	343	1,137
Net cash from operations	14,480	12,516	39,020	31,851
Financing
Repayments of debt	0	(3,250)	(4,826)	(3,250)
Common stock issued	291	302	903	847
Common stock repurchased	(7,433)	(6,535)	(15,117)	(13,278)
Common stock cash dividends paid	(4,652)	(4,230)	(8,858)	(8,086)
Other, net	(192)	79	(364)	(156)
Net cash used in financing	(11,986)	(13,634)	(28,262)	(23,923)
Investing
Additions to property and equipment	(5,865)	(4,174)	(11,675)	(9,081)
Acquisition of companies, net of cash acquired, and purchases of intangible and other assets	(850)	(415)	(2,056)	(896)
Purchases of investments	(2,505)	(15,092)	(12,814)	(29,672)
Maturities of investments	5,253	15,264	14,115	29,530
Sales of investments	2,895	2,421	8,525	4,835
Other, net	(89)	327	(506)	(1,756)
Net cash used in investing	(1,161)	(1,669)	(4,411)	(7,040)
Effect of foreign exchange rates on cash and cash equivalents	106	14	33	(32)
Net change in cash and cash equivalents	1,439	(2,773)	6,380	856
Cash and cash equivalents, beginning of period	19,165	17,205	14,224	13,576
Cash and cash equivalents, end of period	$ 20,604	$ 14,432	$ 20,604	$ 14,432

STOCKHOLDERS' EQUITY STATEMENTS

STOCKHOLDERS' EQUITY STATEMENTS - USD ($) $ in Millions	Total	Common stock and paid-in capital	Retained earnings	Retained earningsCumulative effect of accounting changes	Accumulated other comprehensive income	Accumulated other comprehensive incomeCumulative effect of accounting changes
Balance, beginning of period at Jun. 30, 2020		$ 80,552	$ 34,566	$ (32)	$ 3,186	$ 10
Common stock cash dividends	$ (4,230)
Balance, end of period at Sep. 30, 2020		81,089	39,193	0	3,110	0
Cash dividends declared per common share	$ 0.56
Balance, beginning of period at Jun. 30, 2020		80,552	34,566	(32)	3,186	10
Accounting Standards Update [Extensible Enumeration]	us-gaap:AccountingStandardsUpdate201601Member
Common stock issued		1,117
Net income	$ 29,356		29,356
Other comprehensive income (loss)	171				171
Common stock cash dividends	(8,451)		(8,451)
Common stock repurchased		(2,794)	(10,466)
Stock-based compensation expense		3,022
Other, net		(1)
Balance, end of period at Dec. 31, 2020	$ 130,236	81,896	44,973		3,367
Cash dividends declared per common share	$ 1.12
Balance, beginning of period at Sep. 30, 2020		81,089	39,193	0	3,110	0
Accounting Standards Update [Extensible Enumeration]	us-gaap:AccountingStandardsUpdate201601Member
Common stock issued		302
Net income	$ 15,463		15,463
Other comprehensive income (loss)	257				257
Common stock cash dividends	(4,221)		(4,220)
Common stock repurchased		(1,062)	(5,463)
Stock-based compensation expense		1,566
Other, net		1
Balance, end of period at Dec. 31, 2020	$ 130,236	81,896	44,973		3,367
Cash dividends declared per common share	$ 0.56
Balance, beginning of period at Jun. 30, 2021	$ 141,988	83,111	57,055	0	1,822	0
Common stock cash dividends	$ (4,652)
Balance, end of period at Sep. 30, 2021		83,751	66,944	0	1,283	0
Cash dividends declared per common share	$ 0.62
Balance, beginning of period at Jun. 30, 2021	$ 141,988	83,111	57,055	0	1,822	0
Accounting Standards Update [Extensible Enumeration]	us-gaap:AccountingStandardsUpdate201601Member
Common stock issued		903
Net income	$ 39,270		39,270
Other comprehensive income (loss)	(1,385)				(1,385)
Common stock cash dividends	(9,302)		(9,297)
Common stock repurchased		(3,088)	(11,983)
Stock-based compensation expense		3,599
Other, net		3
Balance, end of period at Dec. 31, 2021	$ 160,010	84,528	75,045		437
Cash dividends declared per common share	$ 1.24
Balance, beginning of period at Sep. 30, 2021		83,751	66,944	$ 0	1,283	$ 0
Accounting Standards Update [Extensible Enumeration]	us-gaap:AccountingStandardsUpdate201601Member
Common stock issued		291
Net income	$ 18,765		18,765
Other comprehensive income (loss)	(846)				(846)
Common stock cash dividends	(4,650)		(4,646)
Common stock repurchased		(1,411)	(6,018)
Stock-based compensation expense		1,897
Other, net		0
Balance, end of period at Dec. 31, 2021	$ 160,010	$ 84,528	$ 75,045		$ 437
Cash dividends declared per common share	$ 0.62

ACCOUNTING POLICIES

ACCOUNTING POLICIES	6 Months Ended
ACCOUNTING POLICIES	Dec. 31, 2021
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 2021 Form 10-K filed with the U.S. Securities and Exchange Commission (“SEC”) on July 29, 2021. 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 (“SSP”) 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, including uncertainty in the current economic environment due to COVID-19. 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 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, 2021 and June 30, 2021, other receivables due from suppliers were $987 million and $965 million, respectively, and are included in accounts receivable, net in our consolidated balance sheets. As of December 31, 2021 and June 30, 2021, long-term accounts receivable, net of allowance for doubtful accounts, was $3.5 billion and $3.4 billion, respectively, and is included in other long-term 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, 2021 and June 30, 2021, our financing receivables, net were $2.9 billion and $4.4 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 Accounting for Income Taxes In December 2019, the FASB issued a new standard to simplify the accounting for income taxes. The guidance eliminates certain exceptions related to the approach for intraperiod tax allocation, the methodology for calculating income taxes in an interim period, and the recognition of deferred tax liabilities for outside basis differences related to changes in ownership of equity method investments and foreign subsidiaries. The guidance also simplifies aspects of accounting for franchise taxes and enacted changes in tax laws or rates and clarifies the accounting for transactions that result in a step-up in the tax basis of goodwill. We adopted the standard effective July 1, 2021. Adoption of the standard did not have a material impact on our consolidated financial statements.

EARNINGS PER SHARE

EARNINGS PER SHARE	6 Months Ended
EARNINGS PER SHARE	Dec. 31, 2021
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 earnings per share) Three Months Ended December 31, Six Months Ended December 31, 2021 2020 2021 2020 Net income available for common shareholders (A) $ 18,765 $ 15,463 $ 39,270 $ 29,356 Weighted average outstanding shares of common stock (B) 7,505 7,555 7,509 7,561 Dilutive effect of stock-based awards 50 61 52 66 Common stock and common stock equivalents (C) 7,555 7,616 7,561 7,627 Earnings Per Share Basic (A/B) $ 2.50 $ 2.05 $ 5.23 $ 3.88 Diluted (A/C) $ 2.48 $ 2.03 $ 5.19 $ 3.85 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, 2021
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, 2021 2020 2021 2020 Interest and dividends income $ 503 $ 545 $ 1,023 $ 1,115 Interest expense (525 ) (571 ) (1,064 ) (1,160 ) Net recognized gains on investments 300 359 671 484 Net gains (losses) on derivatives 7 (5 ) 0 (2 ) Net gains (losses) on foreign currency remeasurements (13 ) 42 (78 ) 181 Other, net (4 ) 70 2 70 Total $ 268 $ 440 $ 554 $ 688 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, 2021 2020 2021 2020 Realized gains from sales of available-for-sale securities $ 12 $ 32 $ 31 $ 51 Realized losses from sales of available-for-sale securities (6 ) (13 ) (13 ) (18 ) Impairments and allowance for credit losses (5 ) 0 (8 ) 3 Total $ 1 $ 19 $ 10 $ 36 Net recognized gains (losses) on equity investments were as follows: (In millions) Three Months Ended December 31, Six Months Ended December 31, 2021 2020 2021 2020 Net realized gains on investments sold $ 31 $ 16 $ 68 $ 33 Net unrealized gains on investments still held 268 326 593 426 Impairments of investments 0 (2 ) 0 (11 ) Total $ 299 $ 340 $ 661 $ 448

INVESTMENTS

INVESTMENTS	6 Months Ended
INVESTMENTS	Dec. 31, 2021
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, 2021 Changes in Fair Value Recorded in Other Comprehensive Income Commercial paper Level 2 $ 7,464 $ 0 $ 0 $ 7,464 $ 7,233 $ 231 $ 0 Certificates of deposit Level 2 4,179 0 0 4,179 3,938 241 0 U.S. government securities Level 1 89,746 2,552 (136 ) 92,162 850 91,312 0 U.S. agency securities Level 2 2,007 0 (1 ) 2,006 1,199 807 0 Foreign government bonds Level 2 198 4 (4 ) 198 0 198 0 Mortgage- and asset-backed securities Level 2 3,089 11 (15 ) 3,085 0 3,085 0 Corporate notes and bonds Level 2 8,261 144 (38 ) 8,367 0 8,367 0 Corporate notes and bonds Level 3 46 0 0 46 0 46 0 Municipal securities Level 2 304 57 0 361 0 361 0 Municipal securities Level 3 103 0 (7 ) 96 0 96 0 Total debt investments $ 115,397 $ 2,768 $ (201 ) $ 117,964 $ 13,220 $ 104,744 $ 0 Changes in Fair Value Recorded in Net Income Equity investments Level 1 $ 1,982 $ 1,129 $ 0 $ 853 Equity investments Other 6,141 0 0 6,141 Total equity investments $ 8,123 $ 1,129 $ 0 $ 6,994 Cash $ 6,255 $ 6,255 $ 0 $ 0 Derivatives, net (a) 21 0 21 0 Total $ 132,363 $ 20,604 $ 104,765 $ 6,994 (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, 2021 Changes in Fair Value Recorded in Other Comprehensive Income Commercial paper Level 2 $ 4,316 $ 0 $ 0 $ 4,316 $ 1,331 $ 2,985 $ 0 Certificates of deposit Level 2 3,615 0 0 3,615 2,920 695 0 U.S. government securities Level 1 90,664 3,832 (111 ) 94,385 1,500 92,885 0 U.S. agency securities Level 2 807 2 0 809 0 809 0 Foreign government bonds Level 2 6,213 9 (2 ) 6,220 225 5,995 0 Mortgage- and asset-backed securities Level 2 3,442 22 (6 ) 3,458 0 3,458 0 Corporate notes and bonds Level 2 8,443 249 (9 ) 8,683 0 8,683 0 Corporate notes and bonds Level 3 63 0 0 63 0 63 0 Municipal securities Level 2 308 63 0 371 0 371 0 Municipal securities Level 3 95 0 (7 ) 88 0 88 0 Total debt investments $ 117,966 $ 4,177 $ (135 ) $ 122,008 $ 5,976 $ 116,032 $ 0 Changes in Fair Value Recorded in Net Income Equity investments Level 1 $ 1,582 $ 976 $ 0 $ 606 Equity investments Other 5,378 0 0 5,378 Total equity investments $ 6,960 $ 976 $ 0 $ 5,984 Cash $ 7,272 $ 7,272 $ 0 $ 0 Derivatives, net (a) 78 0 78 0 Total $ 136,318 $ 14,224 $ 116,110 $ 5,984 (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, 2021 and June 30, 2021, equity investments without readily determinable fair values measured at cost with adjustments for observable changes in price or impairments were $3.6 billion and $3.3 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, 2021 U.S. government and agency securities $ 3,382 $ (40 ) $ 2,206 $ (97 ) $ 5,588 $ (137 ) Foreign government bonds 82 (2 ) 13 (2 ) 95 (4 ) Mortgage- and asset-backed securities 1,679 (12 ) 191 (3 ) 1,870 (15 ) Corporate notes and bonds 2,773 (31 ) 250 (7 ) 3,023 (38 ) Municipal securities 20 0 54 (7 ) 74 (7 ) Total $ 7,936 $ (85 ) $ 2,714 $ (116 ) $ 10,650 $ (201 ) Less than 12 Months 12 Months or Greater Total (In millions) Fair Value Unrealized Fair Value Unrealized Total June 30, 2021 U.S. government and agency securities $ 5,294 $ (111 ) $ 0 $ 0 $ 5,294 $ (111 ) Foreign government bonds 3,148 (1 ) 5 (1 ) 3,153 (2 ) Mortgage- and asset-backed securities 1,211 (5 ) 87 (1 ) 1,298 (6 ) Corporate notes and bonds 1,678 (8 ) 34 (1 ) 1,712 (9 ) Municipal securities 58 (7 ) 1 0 59 (7 ) Total $ 11,389 $ (132 ) $ 127 $ (3 ) $ 11,516 $ (135 ) 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 (In millions) Adjusted Cost Basis Estimated Fair Value December 31, 2021 Due in one year or less $ 34,136 $ 34,305 Due after one year through five years 56,690 58,435 Due after five years through 10 years 21,898 22,472 Due after 10 years 2,673 2,752 Total $ 115,397 $ 117,964

DERIVATIVES

DERIVATIVES	6 Months Ended
DERIVATIVES	Dec. 31, 2021
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 exchange-traded option and futures contracts and over-the-counter swap and option contracts . These contracts are not designated as hedging instruments and are included in “O ther 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 and are included in “Other contracts” in the tables below. 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 of our 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, 2021, 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, 2021 June 30, 2021 Designated as Hedging Instruments Foreign exchange contracts purchased $ 635 $ 635 Foreign exchange contracts sold 0 6,081 Interest rate contracts purchased 1,224 1,247 Not Designated as Hedging Instruments Foreign exchange contracts purchased 7,956 14,223 Foreign exchange contracts sold 18,931 23,391 Other contracts purchased 3,126 2,456 Other contracts sold 664 763 Fair Values of Derivative Instruments The following table presents our derivative instruments: Derivative Derivative Derivative Derivative (In millions) Assets Liabilities Assets Liabilities December 31, 2021 June 30, 2021 Designated as Hedging Instruments Foreign exchange contracts $ 0 $ (33 ) $ 76 $ (8 ) Interest rate contracts 18 0 40 0 Not Designated as Hedging Instruments Foreign exchange contracts 241 (187 ) 227 (291 ) Other contracts 101 (18 ) 56 (36 ) Gross amounts of derivatives 360 (238 ) 399 (335 ) Gross amounts of derivatives offset in the balance sheet (64 ) 65 (141 ) 142 Cash collateral received 0 (100 ) 0 (42 ) Net amounts of derivatives $ 296 $ (273 ) $ 258 $ (235 ) Reported as Short-term investments $ 21 $ 0 $ 78 $ 0 Other current assets 253 0 137 0 Other long-term assets 22 0 43 0 Other current liabilities 0 (160 ) 0 (182 ) Other long-term liabilities 0 (113 ) 0 (53 ) Total $ 296 $ (273 ) $ 258 $ (235 ) Gross derivative assets and liabilities subject to legally enforceable master netting agreements for which we have elected to offset were $346 million and $238 million, respectively, as of December 31, 2021, and $395 million and $335 million, respectively, as of June 30, 2021. 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, 2021 Derivative assets $ 0 $ 347 $ 13 $ 360 Derivative liabilities 0 (238 ) 0 (238 ) June 30, 2021 Derivative assets 0 396 3 399 Derivative liabilities 0 (335 ) 0 (335 ) 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, 2021 2020 2021 2020 Designated as Fair Value Hedging Instruments Foreign exchange contracts Derivatives $ 46 $ (124 ) $ 49 $ (293 ) Hedged items (45 ) 125 (50 ) 293 Excluded from effectiveness assessment 0 10 4 18 Interest rate contracts Derivatives (11 ) (9 ) (14 ) (9 ) Hedged items 15 12 22 16 Designated as Cash Flow Hedging Instruments Foreign exchange contracts Amount reclassified from accumulated other comprehensive income (14 ) 21 (29 ) 41 Not Designated as Hedging Instruments Foreign exchange contracts 96 139 273 197 Other contracts 6 3 (12 ) 7 Gains (losses), 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, 2021 2020 2021 2020 Designated as Cash Flow Hedging Instruments Foreign exchange contracts Included in effectiveness assessment $ (11 ) $ 25 $ (21 ) $ 45

INVENTORIES

INVENTORIES	6 Months Ended
INVENTORIES	Dec. 31, 2021
Inventory Disclosure [Abstract]
INVENTORIES	NOTE 6 — INVENTORIES The components of inventories were as follows: (In millions) December 31, 2021 June 30, 2021 Raw materials $ 944 $ 1,190 Work in process 73 79 Finished goods 2,002 1,367 Total $ 3,019 $ 2,636

BUSINESS COMBINATIONS

BUSINESS COMBINATIONS	6 Months Ended
BUSINESS COMBINATIONS	Dec. 31, 2021
Business Combinations [Abstract]
BUSINESS COMBINATIONS	NOTE 7 — BUSINESS COMBINATIONS ZeniMax Media Inc. On March 9, 2021, we completed our acquisition of ZeniMax Media Inc. (“ZeniMax”), the parent company of Bethesda Softworks LLC (“Bethesda”), for a total purchase price of $8.1 billion, consisting primarily of cash. The purchase price included $766 million of cash and cash equivalents acquired. Bethesda is one of the largest, privately held game developers and publishers in the world, and brings a broad portfolio of games, technology, and talent to Xbox. The financial results of ZeniMax have been included in our consolidated financial statements since the date of the acquisition. ZeniMax is reported as part of our More Personal Computing segment. The allocation of the purchase price to goodwill was completed as of December 31, 2021. The major classes of assets and liabilities to which we have allocated the purchase price were as follows: (In millions) Cash and cash equivalents $ 766 Goodwill 5,510 Intangible assets 1,968 Other assets 121 Other liabilities (244 ) Total $ 8,121 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 ZeniMax. None of the goodwill is expected to be deductible for income tax purposes. Following are details of the purchase price allocated to the intangible assets acquired: (In millions) Amount Weighted Average Life Technology-based $ 1,341 4 years Marketing-related 627 11 years Total $ 1,968 6 years Nuance Communications, Inc. On April 11, 2021, we entered into a definitive agreement to acquire Nuance Communications, Inc. (“Nuance”) for $56.00 per share in an all-cash transaction valued at $19.7 billion, inclusive of Nuance’s net debt. Nuance is a cloud and artificial intelligence (“AI”) software provider with healthcare and enterprise AI experience, and the acquisition will build on our industry-specific cloud offerings. The acquisition has been approved by Nuance’s shareholders, and we expect it to close in the third quarter of fiscal year 2022, subject to the satisfaction of certain regulatory approvals and other customary closing conditions.

GOODWILL

GOODWILL	6 Months Ended
GOODWILL	Dec. 31, 2021
Goodwill And Intangible Assets Disclosure [Abstract]
GOODWILL	NOTE 8 — GOODWILL Changes in the carrying amount of goodwill were as follows: (In millions) June 30, 2021 Acquisitions Other December 31, 2021 Productivity and Business Processes $ 24,317 $ 394 $ (30 ) $ 24,681 Intelligent Cloud 13,256 584 97 13,937 More Personal Computing 12,138 224 (59 ) 12,303 Total $ 49,711 $ 1,202 $ 8 $ 50,921 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, 2021
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, 2021 June 30, 2021 Technology-based $ 9,988 $ (7,121 ) $ 2,867 $ 9,779 $ (7,007 ) $ 2,772 Customer-related 5,005 (3,180 ) 1,825 4,958 (2,859 ) 2,099 Marketing-related 4,802 (2,043 ) 2,759 4,792 (1,878 ) 2,914 Contract-based 343 (332 ) 11 446 (431 ) 15 Total $ 20,138 $ (12,676 ) $ 7,462 $ 19,975 $ (12,175 ) $ 7,800 Intangible assets amortization expense was $446 million and $885 million for the three and six months ended December 31, 2021, respectively, and $378 million and $761 million for the three and six months ended December 31, 2020, respectively. The following table outlines the estimated future amortization expense related to intangible assets held as of December 31, 2021: (In millions) Year Ending June 30, 2022 (excluding the six months ended December 31, 2021) $ 895 2023 1,824 2024 1,515 2025 898 2026 554 Thereafter 1,776 Total $ 7,462

DEBT

DEBT	6 Months Ended
DEBT	Dec. 31, 2021
Debt Disclosure [Abstract]
DEBT	NOTE 10 — DEBT The components of debt were as follows: (In millions, issuance by calendar year) Maturities (calendar year) Stated Interest Rate Effective Interest Rate December 31 , 2021 June 30, 2021 2009 issuance of $3.8 billion (a) 2039 5.20% 5.24% $ 520 $ 520 2010 issuance of $4.8 billion (a) 2040 4.50% 4.57% 486 486 2011 issuance of $2.3 billion (a) 2041 5.30% 5.36% 718 718 2012 issuance of $2.3 billion (a) 2022 – 2042 2.13% – 3.50% 2.24% – 3.57% 1,204 1,204 2013 issuance of $5.2 billion (a) 2023 – 2043 2.38% – 4.88% 2.47% – 4.92% 2,814 2,814 2013 issuance of €4.1 billion 2028 – 2033 2.63% – 3.13% 2.69% – 3.22% 2,615 4,803 2015 issuance of $23.8 billion (a) 2022 – 2055 2.38% – 4.75% 2.47% – 4.78% 12,305 12,305 2016 issuance of $19.8 billion (a) 2023 – 2056 2.00% – 3.95% 2.10% – 4.03% 9,430 12,180 2017 issuance of $17.0 billion (a) 2022 – 2057 2.40% – 4.50% 2.52% – 4.53% 10,695 10,695 2020 issuance of $10.0 billion (a) 2050 – 2060 2.53% – 2.68% 2.53% – 2.68% 10,000 10,000 2021 issuance of $8.2 billion (a) 2052 – 2062 2.92% – 3.04% 2.92% – 3.04% 8,185 8,185 Total face value 58,972 63,910 Unamortized discount and issuance costs (490 ) (511 ) Hedge fair value adjustments (b) 18 40 Premium on debt exchange (a) (5,242 ) (5,293 ) Total debt 53,258 58,146 Current portion of long-term debt (4,998 ) (8,072 ) Long-term debt $ 48,260 $ 50,074 (a) In March 2021 and June 2020, we exchanged a portion of our existing debt at a premium for cash and new debt with longer maturities. The premiums are amortized over the terms of the new debt. (b) Refer to Note 5 – Derivatives for further information on the interest rate swaps related to fixed-rate debt. As of December 31, 2021 and June 30, 2021, the estimated fair value of long-term debt, including the current portion, was $64.3 billion and $70.0 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, (In millions) Year Ending June 30, 2022 (excluding the six months ended December 31, 2021) $ 3,250 2023 2,750 2024 5,250 2025 2,250 2026 3,000 Thereafter 42,472 Total $ 58,972

INCOME TAXES

INCOME TAXES	6 Months Ended
INCOME TAXES	Dec. 31, 2021
Income Tax Disclosure [Abstract]
INCOME TAXES	NOTE 11 — INCOME TAXES Effective Tax Rate Our effective tax rate was 17% and 16% for the three months ended December 31, 2021 and 2020, respectively, and 9% and 15% for the six months ended December 31, 2021 and 2020, respectively. The increase in our effective tax rate for the three months ended December 31, 2021 compared to the prior year was primarily due to changes in the mix of our income before income taxes between the U.S. and foreign countries and tax benefits from final Tax Cuts and Jobs Act regulations in fiscal year 2021, offset in part by an increase in tax benefits relating to stock-based compensation. The decrease in our effective tax rate for the six months ended December 31, 2021 compared to the prior year was primarily due to a $3.3 billion net income tax benefit in the first quarter of fiscal year 2022 related to the transfer of intangible properties. In the first quarter of fiscal year 2022, we transferred certain intangible properties from our Puerto Rico subsidiary to the U.S. The transfer of intangible properties resulted in a $3.3 billion net income tax benefit in the first quarter of fiscal year 2022, as the value of future U.S. tax deductions exceeds the current tax liability from the U.S. global intangible low-taxed income tax. Our effective tax rate was lower than the U.S. federal statutory rate for the three and six months ended December 31, 2021, 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, tax benefits relating to stock-based compensation, and for the six months ended December 31, 2021, the net income tax benefit related to the transfer of intangible properties. Uncertain Tax Positions As of December 31, 2021 and June 30, 2021, unrecognized tax benefits and other income tax liabilities were $16.3 billion and $15.9 billion, respectively, and are included in long-term income taxes in our consolidated balance sheets. We settled a portion of the Internal Revenue Service (“IRS”) audit for tax years 2004 to 2006 in fiscal year 2011. In February 2012, the IRS withdrew its 2011 Revenue Agents Report related to unresolved issues for tax years 2004 to 2006 and reopened the audit phase of the examination. We also settled a portion of the IRS audit for tax years 2007 to 2009 in fiscal year 2016, and a portion of the IRS audit for tax years 2010 to 2013 in fiscal year 2018. In the second quarter of fiscal year 2021, we settled an additional portion of the IRS audits for tax years 2004 to 2013 and made a payment of $1.7 billion, including tax and interest. We remain under audit for tax years 2004 to 2017. As of December 31, 2021, the primary unresolved issues for the IRS audits relate to transfer pricing, which could have a material impact in our consolidated financial statements when the matters are resolved. We believe our allowances for income tax contingencies are adequate. We have not received a proposed assessment for the unresolved key transfer pricing issues and 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 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 2021, 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, 2021
Revenue From Contract With Customer [Abstract]
UNEARNED REVENUE	NOTE 12 — UNEARNED REVENUE Unearned revenue by segment was as follows: (In millions) December 31 2021 June 30, Productivity and Business Processes $ 18,494 $ 22,120 Intelligent Cloud 14,549 17,710 More Personal Computing 3,726 4,311 Total $ 36,769 $ 44,141 Changes in unearned revenue were as follows: (In millions) Six Months Ended December 31, 2021 Balance, beginning of period $ 44,141 Deferral of revenue 44,389 Recognition of unearned revenue (51,761 ) Balance, end of period $ 36,769 Revenue allocated to remaining performance obligations, which includes unearned revenue and amounts that will be invoiced and recognized as revenue in future periods, was $152 billion as of December 31, 2021, of which $147 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, 2021
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 1 year to 20 years, some of which include options to extend the leases for up to 5 years The components of lease expense were as follows: (In millions) Three Months Ended December 31, Six Months Ended December 31, 2021 2020 2021 2020 Operating lease cost $ 469 $ 503 $ 1,057 $ 1,001 Finance lease cost: Amortization of right-of-use assets $ 264 $ 249 $ 490 $ 455 Interest on lease liabilities 107 94 211 186 Total finance lease cost $ 371 $ 343 $ 701 $ 641 Supplemental cash flow information related to leases was as follows: (In millions) Three Months Ended December 31, Six Months Ended December 31, 2021 2020 2021 2020 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 441 $ 482 $ 1,007 $ 973 Operating cash flows from finance leases 107 94 211 186 Financing cash flows from finance leases 222 153 422 289 Right-of-use assets obtained in exchange for lease obligations: Operating leases 1,559 1,578 2,730 2,256 Finance leases 985 1,193 2,374 1,828 Supplemental balance sheet information related to leases was as follows: (In millions, except lease term and discount rate) December 31, 2021 June 30, 2021 Operating Leases Operating lease right-of-use assets $ 12,354 $ 11,088 Other current liabilities $ 2,126 $ 1,962 Operating lease liabilities 10,774 9,629 Total operating lease liabilities $ 12,900 $ 11,591 Finance Leases Property and equipment, at cost $ 16,152 $ 14,107 Accumulated depreciation (2,795 ) (2,306 ) Property and equipment, net $ 13,357 $ 11,801 Other current liabilities $ 944 $ 791 Other long-term liabilities 13,251 11,750 Total finance lease liabilities $ 14,195 $ 12,541 Weighted Average Remaining Lease Term Operating leases 8 years 8 years Finance leases 12 years 12 years Weighted Average Discount Rate Operating leases 2.0% 2.2% Finance leases 3.2% 3.4% The following table outlines maturities of our lease liabilities as of December 31, 2021: (In millions) Year Ending June 30, Operating Leases Finance Leases 2022 (excluding the six months ended December 31, 2021) $ 1,149 $ 674 2023 2,206 1,360 2024 2,018 1,374 2025 1,751 1,702 2026 1,422 1,389 Thereafter 5,452 10,459 Total lease payments 13,998 16,958 Less imputed interest (1,098 ) (2,763 ) Total $ 12,900 $ 14,195 As of December 31, 2021, we have additional operating and finance leases, primarily for datacenters, that have not yet commenced of $5.8 billion and $6.5 billion, respectively. These operating and finance leases will commence between fiscal year 2022 and fiscal year 2026 with lease terms of 1 year 15 years

CONTINGENCIES

CONTINGENCIES	6 Months Ended
CONTINGENCIES	Dec. 31, 2021
Commitments And Contingencies Disclosure [Abstract]
CONTINGENCIES	NOTE 14 — CONTINGENCIES Patent and Intellectual Property Claims There were 64 patent infringement cases pending against Microsoft as of December 31, 2021, none of which are material individually or in aggregate. Antitrust, Unfair Competition, and Overcharge Class Actions Antitrust and unfair competition class action lawsuits were filed against us in British Columbia, Ontario, and Quebec, Canada. Following a mediation, the parties agreed to a global settlement of all three Canadian actions and submitted the proposed settlement agreement to the courts in all three jurisdictions for approval. The claim submission process has been completed, and settlement funds will be distributed in accordance with the agreement. Other Antitrust Litigation and Claims China State Administration for Market Regulation Investigation In 2014, Microsoft was informed that China’s State Agency for Market Regulation (“SAMR”) (formerly State Administration for Industry and Commerce) had begun a formal investigation relating to China’s Anti-Monopoly Law, and the SAMR conducted onsite inspections of Microsoft offices in Beijing, Shanghai, Guangzhou, and Chengdu. In 2019, the SAMR presented preliminary views as to certain possible violations of China’s Anti-Monopoly Law. Product-Related Litigation U.S. Cell Phone Litigation Microsoft Mobile Oy, a subsidiary of Microsoft, along with other handset manufacturers and network operators, is a defendant in 46 lawsuits, including 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. Nine of these cases were filed in 2002 and are 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 the defendants have moved to strike. In August 2018, the trial court issued an order striking portions of the plaintiffs’ expert reports. A hearing on general causation is scheduled for June of 2022. 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, 2021, we accrued aggregate legal liabilities of $352 million. While we intend to defend these matters vigorously, adverse outcomes that we estimate could reach approximately $500 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, 2021
Equity [Abstract]
STOCKHOLDERS' EQUITY	NOTE 15 — STOCKHOLDERS’ EQUITY Share Repurchases On September 18, 2019, our Board of Directors approved a share repurchase program authorizing up to $40.0 billion in share repurchases. This share repurchase program commenced in February 2020 and was completed in November 2021. 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, following completion of the program approved on September 18, 2019, has no expiration date, and may be terminated at any time. As of December 31, 2021, $56.3 billion remained of this $60.0 billion share repurchase program. We repurchased the following shares of common stock under the share repurchase programs: (In millions) Shares Amount Shares Amount Fiscal Year 2022 2021 First Quarter 21 $ 6,200 25 $ 5,270 Second Quarter 20 6,233 27 5,750 Total 41 $ 12,433 52 $ 11,020 All repurchases were made using cash resources. Shares repurchased during the second quarter of fiscal year 2022 were under the share repurchase programs approved on both September 18, 2019 and September 14, 2021. All other shares repurchased were under the share repurchase program approved on September 18, 2019. The above table excludes shares repurchased to settle employee tax withholding related to the vesting of stock awards of $1.2 billion and $2.7 billion for the three and six months ended December 31, 2021, respectively, and $785 million and $2.3 billion for the three and six months ended December 31, 2020, respectively. Dividends Our Board of Directors declared the following dividends: Declaration Date Record Date Payment Date Dividend Per Share Amount Fiscal Year 2022 (In millions) September 14, 2021 November December $ 0.62 $ 4,652 December 7, 2021 February 17, 2022 March 10, 2022 0.62 4,650 Total $ 1.24 $ 9,302 Fiscal Year 2021 September November December $ 0.56 $ 4,230 December 2, 2020 February 18, 2021 March 11, 2021 0.56 4,221 Total $ 1.12 $ 8,451 The dividend declared on December 7, 2021 was included in other current liabilities as of December 31, 2021.

ACCUMULATED OTHER COMPREHENSIVE

ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS)	6 Months Ended
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS)	Dec. 31, 2021
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, 2021 2020 2021 2020 Derivatives Balance, beginning of period $ (17 ) $ (34 ) $ (19 ) $ (38 ) Unrealized gains (losses), net of tax of $(3) , $(6) (11 ) 25 (21 ) 45 Reclassification adjustments for (gains) losses included in other income (expense), net 14 (21 ) 29 (41 ) Tax expense (benefit) included in provision for income taxes (3 ) 4 (6 ) 8 Amounts reclassified from accumulated other comprehensive income (loss) 11 (17 ) 23 (33 ) Net change related to derivatives, net of tax of $0 , $0 0 8 2 12 Balance, end of period $ (17 ) $ (26 ) $ (17 ) $ (26 ) Investments Balance, beginning of period $ 2,800 $ 5,287 $ 3,222 $ 5,478 Unrealized losses, net of tax of $(197) $(307) (742 ) (477 ) (1,157 ) (665 ) Reclassification adjustments for gains included in other income (expense), net (1 ) (19 ) (10 ) (36 ) Tax expense included in provision for income taxes 0 4 2 8 Amounts reclassified from accumulated other comprehensive income (loss) (1 ) (15 ) (8 ) (28 ) Net change related to investments, net of tax of $(197) $(309) (743 ) (492 ) (1,165 ) (693 ) Cumulative effect of accounting changes 0 0 0 10 Balance, end of period $ 2,057 $ 4,795 $ 2,057 $ 4,795 Translation Adjustments and Other Balance, beginning of period $ (1,500 ) $ (2,143 ) $ (1,381 ) $ (2,254 ) Translation adjustments and other, net of tax of $0 $0 (103 ) 741 (222 ) 852 Balance, end of period $ (1,603 ) $ (1,402 ) $ (1,603 ) $ (1,402 ) Accumulated other comprehensive income, end of period $ 437 $ 3,367 $ 437 $ 3,367

SEGMENT INFORMATION AND GEOGRAP

SEGMENT INFORMATION AND GEOGRAPHIC DATA	6 Months Ended
SEGMENT INFORMATION AND GEOGRAPHIC DATA	Dec. 31, 2021
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, and Skype for Business. • Office Consumer, including Microsoft 365 Consumer subscriptions, Office licensed on-premises, and other Office services. • LinkedIn, including Talent Solutions, Marketing Solutions, Premium Subscriptions, Sales Solutions, and Learning Solutions. • Dynamics business solutions, including Dynamics 365, comprising a set of intelligent, cloud-based applications across ERP, CRM, 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 GitHub. • Enterprise Services, including Enterprise Support Services and Microsoft Consulting Services. 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 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 and PC accessories. • Gaming, including Xbox hardware and Xbox content and services, comprising digital transactions, Xbox Game Pass and other subscriptions, video games, third-party video game royalties, cloud services, and advertising. • Search and news advertising. 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 incurred at a corporate level that are identifiable and that benefit our segments are allocated to them. These allocated costs include legal, including settlements and fines, information technology, human resources, finance, excise taxes, field selling, shared facilities services, and customer service and support. Each allocation is measured differently based on the specific facts and circumstances of the costs being allocated. Certain corporate-level activity is not allocated to our segments. Segment revenue and operating income were as follows during the periods presented: (In millions) Three Months Ended December 31, Six Months Ended December 31, 2021 2020 2021 2020 Revenue Productivity and Business Processes $ 15,936 $ 13,353 $ 30,975 $ 25,672 Intelligent Cloud 18,327 14,601 35,291 27,587 More Personal Computing 17,465 15,122 30,779 26,971 Total $ 51,728 $ 43,076 $ 97,045 $ 80,230 Operating Income Productivity and Business Processes $ 7,688 $ 6,181 $ 15,269 $ 11,887 Intelligent Cloud 8,197 6,492 15,759 11,914 More Personal Computing 6,362 5,224 11,457 9,972 Total $ 22,247 $ 17,897 $ 42,485 $ 33,773 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, 2021 or 2020. 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, 2021 2020 2021 2020 United States (a) $ 26,463 $ 21,836 $ 49,293 $ 40,861 Other countries 25,265 21,240 47,752 39,369 Total $ 51,728 $ 43,076 $ 97,045 $ 80,230 (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 from external customers, classified by significant product and service offerings, was as follows: (In millions) Three Months Ended December 31, Six Months Ended December 31, 2021 2020 2021 2020 Server products and cloud services $ 16,375 $ 12,729 $ 31,444 $ 23,924 Office products and cloud services 11,251 9,881 22,059 19,159 Windows 6,600 5,514 12,276 10,665 Gaming 5,442 5,031 9,035 8,123 LinkedIn 3,531 2,577 6,667 4,783 Search and news advertising 3,064 2,386 5,720 4,329 Devices 2,285 2,120 3,646 3,740 Enterprise Services 1,823 1,695 3,614 3,332 Other 1,357 1,143 2,584 2,175 Total $ 51,728 $ 43,076 $ 97,045 $ 80,230 We have recast certain previously reported amounts in the table above to conform to the way we internally manage and monitor our business. Our Microsoft Cloud (formerly commercial 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 $22.1 billion and $42.8 billion for the three and six months ended December 31, 2021, respectively, and $16.7 billion and $31.9 billion for the three and six months ended December 31, 2020, respectively. These amounts are primarily included in Server products and cloud services, Office products and cloud services, and LinkedIn 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.

SUBSEQUENT EVENT

SUBSEQUENT EVENT	6 Months Ended
SUBSEQUENT EVENT	Dec. 31, 2021
Subsequent Events [Abstract]
SUBSEQUENT EVENT	NOTE 18 — SUBSEQUENT EVENT On January 18, 2022, we entered into a definitive agreement to acquire Activision Blizzard, Inc. (“Activision Blizzard”) for $95.00 per share in an all-cash transaction valued at $68.7 billion, inclusive of Activision Blizzard’s net 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 and will provide building blocks for the metaverse. We expect this acquisition to close in fiscal year 2023, subject to approval by Activision Blizzard’s shareholders, the satisfaction of certain regulatory approvals, and other customary closing conditions.

ACCOUNTING POLICIES (Policies)

ACCOUNTING POLICIES (Policies)	6 Months Ended
ACCOUNTING POLICIES (Policies)	Dec. 31, 2021
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 2021 Form 10-K filed with the U.S. Securities and Exchange Commission (“SEC”) on July 29, 2021.
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 (“SSP”) 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, including uncertainty in the current economic environment due to COVID-19.
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 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, 2021 and June 30, 2021, other receivables due from suppliers were $987 million and $965 million, respectively, and are included in accounts receivable, net in our consolidated balance sheets. As of December 31, 2021 and June 30, 2021, long-term accounts receivable, net of allowance for doubtful accounts, was $3.5 billion and $3.4 billion, respectively, and is included in other long-term 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, 2021 and June 30, 2021, our financing receivables, net were $2.9 billion and $4.4 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	Recent Accounting Guidance Accounting for Income Taxes In December 2019, the FASB issued a new standard to simplify the accounting for income taxes. The guidance eliminates certain exceptions related to the approach for intraperiod tax allocation, the methodology for calculating income taxes in an interim period, and the recognition of deferred tax liabilities for outside basis differences related to changes in ownership of equity method investments and foreign subsidiaries. The guidance also simplifies aspects of accounting for franchise taxes and enacted changes in tax laws or rates and clarifies the accounting for transactions that result in a step-up in the tax basis of goodwill. We adopted the standard effective July 1, 2021. Adoption of the standard did not have a material impact on our consolidated financial statements.
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 incurred at a corporate level that are identifiable and that benefit our segments are allocated to them. These allocated costs include legal, including settlements and fines, information technology, human resources, finance, excise taxes, field selling, shared facilities services, and customer service and support. Each allocation is measured differently based on the specific facts and circumstances of the costs being allocated. Certain corporate-level activity is not allocated to our segments. 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.

EARNINGS PER SHARE (Tables)

EARNINGS PER SHARE (Tables)	6 Months Ended
EARNINGS PER SHARE (Tables)	Dec. 31, 2021
Earnings Per Share [Abstract]
Basic and Diluted Earnings Per Share	The components of basic and diluted EPS were as follows: (In millions, except earnings per share) Three Months Ended December 31, Six Months Ended December 31, 2021 2020 2021 2020 Net income available for common shareholders (A) $ 18,765 $ 15,463 $ 39,270 $ 29,356 Weighted average outstanding shares of common stock (B) 7,505 7,555 7,509 7,561 Dilutive effect of stock-based awards 50 61 52 66 Common stock and common stock equivalents (C) 7,555 7,616 7,561 7,627 Earnings Per Share Basic (A/B) $ 2.50 $ 2.05 $ 5.23 $ 3.88 Diluted (A/C) $ 2.48 $ 2.03 $ 5.19 $ 3.85

OTHER INCOME (EXPENSE), NET (Ta

OTHER INCOME (EXPENSE), NET (Tables)	6 Months Ended
OTHER INCOME (EXPENSE), NET (Tables)	Dec. 31, 2021
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, 2021 2020 2021 2020 Interest and dividends income $ 503 $ 545 $ 1,023 $ 1,115 Interest expense (525 ) (571 ) (1,064 ) (1,160 ) Net recognized gains on investments 300 359 671 484 Net gains (losses) on derivatives 7 (5 ) 0 (2 ) Net gains (losses) on foreign currency remeasurements (13 ) 42 (78 ) 181 Other, net (4 ) 70 2 70 Total $ 268 $ 440 $ 554 $ 688
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, 2021 2020 2021 2020 Realized gains from sales of available-for-sale securities $ 12 $ 32 $ 31 $ 51 Realized losses from sales of available-for-sale securities (6 ) (13 ) (13 ) (18 ) Impairments and allowance for credit losses (5 ) 0 (8 ) 3 Total $ 1 $ 19 $ 10 $ 36
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, 2021 2020 2021 2020 Net realized gains on investments sold $ 31 $ 16 $ 68 $ 33 Net unrealized gains on investments still held 268 326 593 426 Impairments of investments 0 (2 ) 0 (11 ) Total $ 299 $ 340 $ 661 $ 448

INVESTMENTS (Tables)

INVESTMENTS (Tables)	6 Months Ended
INVESTMENTS (Tables)	Dec. 31, 2021
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, 2021 Changes in Fair Value Recorded in Other Comprehensive Income Commercial paper Level 2 $ 7,464 $ 0 $ 0 $ 7,464 $ 7,233 $ 231 $ 0 Certificates of deposit Level 2 4,179 0 0 4,179 3,938 241 0 U.S. government securities Level 1 89,746 2,552 (136 ) 92,162 850 91,312 0 U.S. agency securities Level 2 2,007 0 (1 ) 2,006 1,199 807 0 Foreign government bonds Level 2 198 4 (4 ) 198 0 198 0 Mortgage- and asset-backed securities Level 2 3,089 11 (15 ) 3,085 0 3,085 0 Corporate notes and bonds Level 2 8,261 144 (38 ) 8,367 0 8,367 0 Corporate notes and bonds Level 3 46 0 0 46 0 46 0 Municipal securities Level 2 304 57 0 361 0 361 0 Municipal securities Level 3 103 0 (7 ) 96 0 96 0 Total debt investments $ 115,397 $ 2,768 $ (201 ) $ 117,964 $ 13,220 $ 104,744 $ 0 Changes in Fair Value Recorded in Net Income Equity investments Level 1 $ 1,982 $ 1,129 $ 0 $ 853 Equity investments Other 6,141 0 0 6,141 Total equity investments $ 8,123 $ 1,129 $ 0 $ 6,994 Cash $ 6,255 $ 6,255 $ 0 $ 0 Derivatives, net (a) 21 0 21 0 Total $ 132,363 $ 20,604 $ 104,765 $ 6,994 (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, 2021 Changes in Fair Value Recorded in Other Comprehensive Income Commercial paper Level 2 $ 4,316 $ 0 $ 0 $ 4,316 $ 1,331 $ 2,985 $ 0 Certificates of deposit Level 2 3,615 0 0 3,615 2,920 695 0 U.S. government securities Level 1 90,664 3,832 (111 ) 94,385 1,500 92,885 0 U.S. agency securities Level 2 807 2 0 809 0 809 0 Foreign government bonds Level 2 6,213 9 (2 ) 6,220 225 5,995 0 Mortgage- and asset-backed securities Level 2 3,442 22 (6 ) 3,458 0 3,458 0 Corporate notes and bonds Level 2 8,443 249 (9 ) 8,683 0 8,683 0 Corporate notes and bonds Level 3 63 0 0 63 0 63 0 Municipal securities Level 2 308 63 0 371 0 371 0 Municipal securities Level 3 95 0 (7 ) 88 0 88 0 Total debt investments $ 117,966 $ 4,177 $ (135 ) $ 122,008 $ 5,976 $ 116,032 $ 0 Changes in Fair Value Recorded in Net Income Equity investments Level 1 $ 1,582 $ 976 $ 0 $ 606 Equity investments Other 5,378 0 0 5,378 Total equity investments $ 6,960 $ 976 $ 0 $ 5,984 Cash $ 7,272 $ 7,272 $ 0 $ 0 Derivatives, net (a) 78 0 78 0 Total $ 136,318 $ 14,224 $ 116,110 $ 5,984 (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, 2021 U.S. government and agency securities $ 3,382 $ (40 ) $ 2,206 $ (97 ) $ 5,588 $ (137 ) Foreign government bonds 82 (2 ) 13 (2 ) 95 (4 ) Mortgage- and asset-backed securities 1,679 (12 ) 191 (3 ) 1,870 (15 ) Corporate notes and bonds 2,773 (31 ) 250 (7 ) 3,023 (38 ) Municipal securities 20 0 54 (7 ) 74 (7 ) Total $ 7,936 $ (85 ) $ 2,714 $ (116 ) $ 10,650 $ (201 ) Less than 12 Months 12 Months or Greater Total (In millions) Fair Value Unrealized Fair Value Unrealized Total June 30, 2021 U.S. government and agency securities $ 5,294 $ (111 ) $ 0 $ 0 $ 5,294 $ (111 ) Foreign government bonds 3,148 (1 ) 5 (1 ) 3,153 (2 ) Mortgage- and asset-backed securities 1,211 (5 ) 87 (1 ) 1,298 (6 ) Corporate notes and bonds 1,678 (8 ) 34 (1 ) 1,712 (9 ) Municipal securities 58 (7 ) 1 0 59 (7 ) Total $ 11,389 $ (132 ) $ 127 $ (3 ) $ 11,516 $ (135 )
Debt Investment Maturities	Debt Investment Maturities (In millions) Adjusted Cost Basis Estimated Fair Value December 31, 2021 Due in one year or less $ 34,136 $ 34,305 Due after one year through five years 56,690 58,435 Due after five years through 10 years 21,898 22,472 Due after 10 years 2,673 2,752 Total $ 115,397 $ 117,964

DERIVATIVES (Tables)

DERIVATIVES (Tables)	6 Months Ended
DERIVATIVES (Tables)	Dec. 31, 2021
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, 2021 June 30, 2021 Designated as Hedging Instruments Foreign exchange contracts purchased $ 635 $ 635 Foreign exchange contracts sold 0 6,081 Interest rate contracts purchased 1,224 1,247 Not Designated as Hedging Instruments Foreign exchange contracts purchased 7,956 14,223 Foreign exchange contracts sold 18,931 23,391 Other contracts purchased 3,126 2,456 Other contracts sold 664 763
Fair Values of Derivative Instruments	The following table presents our derivative instruments: Derivative Derivative Derivative Derivative (In millions) Assets Liabilities Assets Liabilities December 31, 2021 June 30, 2021 Designated as Hedging Instruments Foreign exchange contracts $ 0 $ (33 ) $ 76 $ (8 ) Interest rate contracts 18 0 40 0 Not Designated as Hedging Instruments Foreign exchange contracts 241 (187 ) 227 (291 ) Other contracts 101 (18 ) 56 (36 ) Gross amounts of derivatives 360 (238 ) 399 (335 ) Gross amounts of derivatives offset in the balance sheet (64 ) 65 (141 ) 142 Cash collateral received 0 (100 ) 0 (42 ) Net amounts of derivatives $ 296 $ (273 ) $ 258 $ (235 ) Reported as Short-term investments $ 21 $ 0 $ 78 $ 0 Other current assets 253 0 137 0 Other long-term assets 22 0 43 0 Other current liabilities 0 (160 ) 0 (182 ) Other long-term liabilities 0 (113 ) 0 (53 ) Total $ 296 $ (273 ) $ 258 $ (235 ) 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, 2021 Derivative assets $ 0 $ 347 $ 13 $ 360 Derivative liabilities 0 (238 ) 0 (238 ) June 30, 2021 Derivative assets 0 396 3 399 Derivative liabilities 0 (335 ) 0 (335 )
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, 2021 2020 2021 2020 Designated as Fair Value Hedging Instruments Foreign exchange contracts Derivatives $ 46 $ (124 ) $ 49 $ (293 ) Hedged items (45 ) 125 (50 ) 293 Excluded from effectiveness assessment 0 10 4 18 Interest rate contracts Derivatives (11 ) (9 ) (14 ) (9 ) Hedged items 15 12 22 16 Designated as Cash Flow Hedging Instruments Foreign exchange contracts Amount reclassified from accumulated other comprehensive income (14 ) 21 (29 ) 41 Not Designated as Hedging Instruments Foreign exchange contracts 96 139 273 197 Other contracts 6 3 (12 ) 7
Cash Flow Hedges \| Other Comprehensive Income (Loss)
Gains (Losses) on Derivative Instruments	Gains (losses), 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, 2021 2020 2021 2020 Designated as Cash Flow Hedging Instruments Foreign exchange contracts Included in effectiveness assessment $ (11 ) $ 25 $ (21 ) $ 45

INVENTORIES (Tables)

INVENTORIES (Tables)	6 Months Ended
INVENTORIES (Tables)	Dec. 31, 2021
Inventory Disclosure [Abstract]
Components of Inventories	The components of inventories were as follows: (In millions) December 31, 2021 June 30, 2021 Raw materials $ 944 $ 1,190 Work in process 73 79 Finished goods 2,002 1,367 Total $ 3,019 $ 2,636

BUSINESS COMBINATIONS (Tables)

BUSINESS COMBINATIONS (Tables) - ZeniMax Media Inc.	6 Months Ended
BUSINESS COMBINATIONS (Tables) - ZeniMax Media Inc.	Dec. 31, 2021
Major Classes of Assets and Liabilities Allocated Purchase Price	The major classes of assets and liabilities to which we have allocated the purchase price were as follows: (In millions) Cash and cash equivalents $ 766 Goodwill 5,510 Intangible assets 1,968 Other assets 121 Other liabilities (244 ) Total $ 8,121
Acquired Intangible Assets	Following are details of the purchase price allocated to the intangible assets acquired: (In millions) Amount Weighted Average Life Technology-based $ 1,341 4 years Marketing-related 627 11 years Total $ 1,968 6 years

GOODWILL (Tables)

GOODWILL (Tables)	6 Months Ended
GOODWILL (Tables)	Dec. 31, 2021
Goodwill And Intangible Assets Disclosure [Abstract]
Carrying Amount of Goodwill	Changes in the carrying amount of goodwill were as follows: (In millions) June 30, 2021 Acquisitions Other December 31, 2021 Productivity and Business Processes $ 24,317 $ 394 $ (30 ) $ 24,681 Intelligent Cloud 13,256 584 97 13,937 More Personal Computing 12,138 224 (59 ) 12,303 Total $ 49,711 $ 1,202 $ 8 $ 50,921

INTANGIBLE ASSETS (Tables)

INTANGIBLE ASSETS (Tables)	6 Months Ended
INTANGIBLE ASSETS (Tables)	Dec. 31, 2021
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, 2021 June 30, 2021 Technology-based $ 9,988 $ (7,121 ) $ 2,867 $ 9,779 $ (7,007 ) $ 2,772 Customer-related 5,005 (3,180 ) 1,825 4,958 (2,859 ) 2,099 Marketing-related 4,802 (2,043 ) 2,759 4,792 (1,878 ) 2,914 Contract-based 343 (332 ) 11 446 (431 ) 15 Total $ 20,138 $ (12,676 ) $ 7,462 $ 19,975 $ (12,175 ) $ 7,800
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, 2021: (In millions) Year Ending June 30, 2022 (excluding the six months ended December 31, 2021) $ 895 2023 1,824 2024 1,515 2025 898 2026 554 Thereafter 1,776 Total $ 7,462

DEBT (Tables)

DEBT (Tables)	6 Months Ended
DEBT (Tables)	Dec. 31, 2021
Debt Disclosure [Abstract]
Debt	The components of debt were as follows: (In millions, issuance by calendar year) Maturities (calendar year) Stated Interest Rate Effective Interest Rate December 31 , 2021 June 30, 2021 2009 issuance of $3.8 billion (a) 2039 5.20% 5.24% $ 520 $ 520 2010 issuance of $4.8 billion (a) 2040 4.50% 4.57% 486 486 2011 issuance of $2.3 billion (a) 2041 5.30% 5.36% 718 718 2012 issuance of $2.3 billion (a) 2022 – 2042 2.13% – 3.50% 2.24% – 3.57% 1,204 1,204 2013 issuance of $5.2 billion (a) 2023 – 2043 2.38% – 4.88% 2.47% – 4.92% 2,814 2,814 2013 issuance of €4.1 billion 2028 – 2033 2.63% – 3.13% 2.69% – 3.22% 2,615 4,803 2015 issuance of $23.8 billion (a) 2022 – 2055 2.38% – 4.75% 2.47% – 4.78% 12,305 12,305 2016 issuance of $19.8 billion (a) 2023 – 2056 2.00% – 3.95% 2.10% – 4.03% 9,430 12,180 2017 issuance of $17.0 billion (a) 2022 – 2057 2.40% – 4.50% 2.52% – 4.53% 10,695 10,695 2020 issuance of $10.0 billion (a) 2050 – 2060 2.53% – 2.68% 2.53% – 2.68% 10,000 10,000 2021 issuance of $8.2 billion (a) 2052 – 2062 2.92% – 3.04% 2.92% – 3.04% 8,185 8,185 Total face value 58,972 63,910 Unamortized discount and issuance costs (490 ) (511 ) Hedge fair value adjustments (b) 18 40 Premium on debt exchange (a) (5,242 ) (5,293 ) Total debt 53,258 58,146 Current portion of long-term debt (4,998 ) (8,072 ) Long-term debt $ 48,260 $ 50,074 (a) In March 2021 and June 2020, we exchanged a portion of our existing debt at a premium for cash and new debt with longer maturities. The premiums are amortized over the terms of the new debt. (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, (In millions) Year Ending June 30, 2022 (excluding the six months ended December 31, 2021) $ 3,250 2023 2,750 2024 5,250 2025 2,250 2026 3,000 Thereafter 42,472 Total $ 58,972

UNEARNED REVENUE (Tables)

UNEARNED REVENUE (Tables)	6 Months Ended
UNEARNED REVENUE (Tables)	Dec. 31, 2021
Revenue From Contract With Customer [Abstract]
Unearned Revenue by Segment	Unearned revenue by segment was as follows: (In millions) December 31 2021 June 30, Productivity and Business Processes $ 18,494 $ 22,120 Intelligent Cloud 14,549 17,710 More Personal Computing 3,726 4,311 Total $ 36,769 $ 44,141
Changes in Unearned Revenue	Changes in unearned revenue were as follows: (In millions) Six Months Ended December 31, 2021 Balance, beginning of period $ 44,141 Deferral of revenue 44,389 Recognition of unearned revenue (51,761 ) Balance, end of period $ 36,769

LEASES (Tables)

LEASES (Tables)	6 Months Ended
LEASES (Tables)	Dec. 31, 2021
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, 2021 2020 2021 2020 Operating lease cost $ 469 $ 503 $ 1,057 $ 1,001 Finance lease cost: Amortization of right-of-use assets $ 264 $ 249 $ 490 $ 455 Interest on lease liabilities 107 94 211 186 Total finance lease cost $ 371 $ 343 $ 701 $ 641
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, 2021 2020 2021 2020 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 441 $ 482 $ 1,007 $ 973 Operating cash flows from finance leases 107 94 211 186 Financing cash flows from finance leases 222 153 422 289 Right-of-use assets obtained in exchange for lease obligations: Operating leases 1,559 1,578 2,730 2,256 Finance leases 985 1,193 2,374 1,828
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, 2021 June 30, 2021 Operating Leases Operating lease right-of-use assets $ 12,354 $ 11,088 Other current liabilities $ 2,126 $ 1,962 Operating lease liabilities 10,774 9,629 Total operating lease liabilities $ 12,900 $ 11,591 Finance Leases Property and equipment, at cost $ 16,152 $ 14,107 Accumulated depreciation (2,795 ) (2,306 ) Property and equipment, net $ 13,357 $ 11,801 Other current liabilities $ 944 $ 791 Other long-term liabilities 13,251 11,750 Total finance lease liabilities $ 14,195 $ 12,541 Weighted Average Remaining Lease Term Operating leases 8 years 8 years Finance leases 12 years 12 years Weighted Average Discount Rate Operating leases 2.0% 2.2% Finance leases 3.2% 3.4%
Maturities of Lease Liabilities	The following table outlines maturities of our lease liabilities as of December 31, 2021: (In millions) Year Ending June 30, Operating Leases Finance Leases 2022 (excluding the six months ended December 31, 2021) $ 1,149 $ 674 2023 2,206 1,360 2024 2,018 1,374 2025 1,751 1,702 2026 1,422 1,389 Thereafter 5,452 10,459 Total lease payments 13,998 16,958 Less imputed interest (1,098 ) (2,763 ) Total $ 12,900 $ 14,195

STOCKHOLDERS' EQUITY (Tables)

STOCKHOLDERS' EQUITY (Tables)	6 Months Ended
STOCKHOLDERS' EQUITY (Tables)	Dec. 31, 2021
Equity [Abstract]
Share Repurchases	We repurchased the following shares of common stock under the share repurchase programs: (In millions) Shares Amount Shares Amount Fiscal Year 2022 2021 First Quarter 21 $ 6,200 25 $ 5,270 Second Quarter 20 6,233 27 5,750 Total 41 $ 12,433 52 $ 11,020
Dividends Declared	Our Board of Directors declared the following dividends: Declaration Date Record Date Payment Date Dividend Per Share Amount Fiscal Year 2022 (In millions) September 14, 2021 November December $ 0.62 $ 4,652 December 7, 2021 February 17, 2022 March 10, 2022 0.62 4,650 Total $ 1.24 $ 9,302 Fiscal Year 2021 September November December $ 0.56 $ 4,230 December 2, 2020 February 18, 2021 March 11, 2021 0.56 4,221 Total $ 1.12 $ 8,451

ACCUMULATED OTHER COMPREHENSI_2

ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) (Tables)	6 Months Ended
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) (Tables)	Dec. 31, 2021
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, 2021 2020 2021 2020 Derivatives Balance, beginning of period $ (17 ) $ (34 ) $ (19 ) $ (38 ) Unrealized gains (losses), net of tax of $(3) , $(6) (11 ) 25 (21 ) 45 Reclassification adjustments for (gains) losses included in other income (expense), net 14 (21 ) 29 (41 ) Tax expense (benefit) included in provision for income taxes (3 ) 4 (6 ) 8 Amounts reclassified from accumulated other comprehensive income (loss) 11 (17 ) 23 (33 ) Net change related to derivatives, net of tax of $0 , $0 0 8 2 12 Balance, end of period $ (17 ) $ (26 ) $ (17 ) $ (26 ) Investments Balance, beginning of period $ 2,800 $ 5,287 $ 3,222 $ 5,478 Unrealized losses, net of tax of $(197) $(307) (742 ) (477 ) (1,157 ) (665 ) Reclassification adjustments for gains included in other income (expense), net (1 ) (19 ) (10 ) (36 ) Tax expense included in provision for income taxes 0 4 2 8 Amounts reclassified from accumulated other comprehensive income (loss) (1 ) (15 ) (8 ) (28 ) Net change related to investments, net of tax of $(197) $(309) (743 ) (492 ) (1,165 ) (693 ) Cumulative effect of accounting changes 0 0 0 10 Balance, end of period $ 2,057 $ 4,795 $ 2,057 $ 4,795 Translation Adjustments and Other Balance, beginning of period $ (1,500 ) $ (2,143 ) $ (1,381 ) $ (2,254 ) Translation adjustments and other, net of tax of $0 $0 (103 ) 741 (222 ) 852 Balance, end of period $ (1,603 ) $ (1,402 ) $ (1,603 ) $ (1,402 ) Accumulated other comprehensive income, end of period $ 437 $ 3,367 $ 437 $ 3,367

SEGMENT INFORMATION AND GEOGR_2

SEGMENT INFORMATION AND GEOGRAPHIC DATA (Tables)	6 Months Ended
SEGMENT INFORMATION AND GEOGRAPHIC DATA (Tables)	Dec. 31, 2021
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, 2021 2020 2021 2020 Revenue Productivity and Business Processes $ 15,936 $ 13,353 $ 30,975 $ 25,672 Intelligent Cloud 18,327 14,601 35,291 27,587 More Personal Computing 17,465 15,122 30,779 26,971 Total $ 51,728 $ 43,076 $ 97,045 $ 80,230 Operating Income Productivity and Business Processes $ 7,688 $ 6,181 $ 15,269 $ 11,887 Intelligent Cloud 8,197 6,492 15,759 11,914 More Personal Computing 6,362 5,224 11,457 9,972 Total $ 22,247 $ 17,897 $ 42,485 $ 33,773
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, 2021 2020 2021 2020 Revenue Productivity and Business Processes $ 15,936 $ 13,353 $ 30,975 $ 25,672 Intelligent Cloud 18,327 14,601 35,291 27,587 More Personal Computing 17,465 15,122 30,779 26,971 Total $ 51,728 $ 43,076 $ 97,045 $ 80,230 Operating Income Productivity and Business Processes $ 7,688 $ 6,181 $ 15,269 $ 11,887 Intelligent Cloud 8,197 6,492 15,759 11,914 More Personal Computing 6,362 5,224 11,457 9,972 Total $ 22,247 $ 17,897 $ 42,485 $ 33,773
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, 2021 2020 2021 2020 United States (a) $ 26,463 $ 21,836 $ 49,293 $ 40,861 Other countries 25,265 21,240 47,752 39,369 Total $ 51,728 $ 43,076 $ 97,045 $ 80,230 (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 from external customers, classified by significant product and service offerings, was as follows: (In millions) Three Months Ended December 31, Six Months Ended December 31, 2021 2020 2021 2020 Server products and cloud services $ 16,375 $ 12,729 $ 31,444 $ 23,924 Office products and cloud services 11,251 9,881 22,059 19,159 Windows 6,600 5,514 12,276 10,665 Gaming 5,442 5,031 9,035 8,123 LinkedIn 3,531 2,577 6,667 4,783 Search and news advertising 3,064 2,386 5,720 4,329 Devices 2,285 2,120 3,646 3,740 Enterprise Services 1,823 1,695 3,614 3,332 Other 1,357 1,143 2,584 2,175 Total $ 51,728 $ 43,076 $ 97,045 $ 80,230 We have recast certain previously reported amounts in the table above to conform to the way we internally manage and monitor our business. Our Microsoft Cloud (formerly commercial 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 $22.1 billion and $42.8 billion for the three and six months ended December 31, 2021, respectively, and $16.7 billion and $31.9 billion for the three and six months ended December 31, 2020, respectively. These amounts are primarily included in Server products and cloud services, Office products and cloud services, and LinkedIn in the table above.

Accounting Policies - Additiona

Accounting Policies - Additional Information (Detail) - USD ($) $ in Millions	Dec. 31, 2021	Jun. 30, 2021
Accounting Policies [Abstract]
Other receivables due from suppliers	$ 987	$ 965
Long-term accounts receivable, net of allowance for doubtful accounts	3,500	3,400
Financing receivables, net	$ 2,900	$ 4,400

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, 2021	Dec. 31, 2020	Dec. 31, 2021	Dec. 31, 2020
Earnings Per Share Basic And Diluted [Abstract]
Net income available for common shareholders (A)	$ 18,765	$ 15,463	$ 39,270	$ 29,356
Weighted average outstanding shares of common stock (B)	7,505	7,555	7,509	7,561
Dilutive effect of stock-based awards	50	61	52	66
Common stock and common stock equivalents (C)	7,555	7,616	7,561	7,627
Earnings Per Share
Basic (A/B)	$ 2.50	$ 2.05	$ 5.23	$ 3.88
Diluted (A/C)	$ 2.48	$ 2.03	$ 5.19	$ 3.85

Components of Other Income (Exp

Components of Other Income (Expense), Net (Detail) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2021	Dec. 31, 2020
Other Income And Expenses [Abstract]
Interest and dividends income	$ 503	$ 545	$ 1,023	$ 1,115
Interest expense	(525)	(571)	(1,064)	(1,160)
Net recognized gains on investments	300	359	671	484
Net gains (losses) on derivatives	7	(5)	0	(2)
Net gains (losses) on foreign currency remeasurements	(13)	42	(78)	181
Other, net	(4)	70	2	70
Total	$ 268	$ 440	$ 554	$ 688

Net Recognized Gains (Losses) o

Net Recognized Gains (Losses) on Debt Investments (Detail) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2021	Dec. 31, 2020
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	$ 12	$ 32	$ 31	$ 51
Realized losses from sales of available-for-sale securities	(6)	(13)	(13)	(18)
Total	300	359	671	484
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	(5)	0	(8)	3
Total	$ 1	$ 19	$ 10	$ 36

Net Recognized Gains (Losses)_2

Net Recognized Gains (Losses) on Equity Investments (Detail) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2021	Dec. 31, 2020
Schedule Of Gain Loss On Investments Including Marketable Securities And Investments Held At Cost Income Statement Reported Amounts Summary [Line Items]
Net realized gains on investments sold	$ 31	$ 16	$ 68	$ 33
Net unrealized gains on investments still held	268	326	593	426
Total	300	359	671	484
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	0	(2)	0	(11)
Total	$ 299	$ 340	$ 661	$ 448

Investment Components (Detail)

Investment Components (Detail) - USD ($) $ in Millions		Dec. 31, 2021	Jun. 30, 2021
Cash, Cash Equivalents and Investments [Line Items]
Debt investments, Adjusted Cost Basis		$ 115,397
Debt investments, Recorded Basis		117,964
Derivative, net		296	$ 258
Cash and cash equivalents		20,604	14,224
Short-term Investments		104,765	116,110
Equity Investments		6,994	5,984
Cash, cash equivalents, and investments		132,363	136,318
Equity investments
Cash, Cash Equivalents and Investments [Line Items]
Equity investments, Recorded Basis		8,123	6,960
Cash and cash equivalents		1,129	976
Short-term Investments		0	0
Equity Investments		6,994	5,984
Equity investments \| Other
Cash, Cash Equivalents and Investments [Line Items]
Equity investments, Recorded Basis		6,141	5,378
Cash and cash equivalents		0	0
Short-term Investments		0	0
Equity Investments		6,141	5,378
Equity investments \| Level 1
Cash, Cash Equivalents and Investments [Line Items]
Equity investments, Recorded Basis		1,982	1,582
Cash and cash equivalents		1,129	976
Short-term Investments		0	0
Equity Investments		853	606
Cash
Cash, Cash Equivalents and Investments [Line Items]
Cash		6,255	7,272
Cash and cash equivalents		6,255	7,272
Short-term Investments		0	0
Equity Investments		0	0
Derivatives, net
Cash, Cash Equivalents and Investments [Line Items]
Derivative, net	[1]	21	78
Cash and cash equivalents	[1]	0	0
Short-term Investments	[1]	21	78
Equity Investments	[1]	0	0
Debt investments
Cash, Cash Equivalents and Investments [Line Items]
Debt investments, Adjusted Cost Basis		115,397	117,966
Debt investments, Unrealized Gains		2,768	4,177
Debt investments, Unrealized Losses		(201)	(135)
Debt investments, Recorded Basis		117,964	122,008
Cash and cash equivalents		13,220	5,976
Short-term Investments		104,744	116,032
Equity Investments		0	0
Debt investments \| Commercial Paper \| Level 2
Cash, Cash Equivalents and Investments [Line Items]
Debt investments, Adjusted Cost Basis		7,464	4,316
Debt investments, Unrealized Gains		0	0
Debt investments, Unrealized Losses		0	0
Debt investments, Recorded Basis		7,464	4,316
Cash and cash equivalents		7,233	1,331
Short-term Investments		231	2,985
Equity Investments		0	0
Debt investments \| Certificates of deposit \| Level 2
Cash, Cash Equivalents and Investments [Line Items]
Debt investments, Adjusted Cost Basis		4,179	3,615
Debt investments, Unrealized Gains		0	0
Debt investments, Unrealized Losses		0	0
Debt investments, Recorded Basis		4,179	3,615
Cash and cash equivalents		3,938	2,920
Short-term Investments		241	695
Equity Investments		0	0
Debt investments \| U.S. government securities \| Level 1
Cash, Cash Equivalents and Investments [Line Items]
Debt investments, Adjusted Cost Basis		89,746	90,664
Debt investments, Unrealized Gains		2,552	3,832
Debt investments, Unrealized Losses		(136)	(111)
Debt investments, Recorded Basis		92,162	94,385
Cash and cash equivalents		850	1,500
Short-term Investments		91,312	92,885
Equity Investments		0	0
Debt investments \| U.S. agency securities \| Level 2
Cash, Cash Equivalents and Investments [Line Items]
Debt investments, Adjusted Cost Basis		2,007	807
Debt investments, Unrealized Gains		0	2
Debt investments, Unrealized Losses		(1)	0
Debt investments, Recorded Basis		2,006	809
Cash and cash equivalents		1,199	0
Short-term Investments		807	809
Equity Investments		0	0
Debt investments \| Foreign government bonds \| Level 2
Cash, Cash Equivalents and Investments [Line Items]
Debt investments, Adjusted Cost Basis		198	6,213
Debt investments, Unrealized Gains		4	9
Debt investments, Unrealized Losses		(4)	(2)
Debt investments, Recorded Basis		198	6,220
Cash and cash equivalents		0	225
Short-term Investments		198	5,995
Equity Investments		0	0
Debt investments \| Mortgage- and asset-backed securities \| Level 2
Cash, Cash Equivalents and Investments [Line Items]
Debt investments, Adjusted Cost Basis		3,089	3,442
Debt investments, Unrealized Gains		11	22
Debt investments, Unrealized Losses		(15)	(6)
Debt investments, Recorded Basis		3,085	3,458
Cash and cash equivalents		0	0
Short-term Investments		3,085	3,458
Equity Investments		0	0
Debt investments \| Corporate notes and bonds \| Level 2
Cash, Cash Equivalents and Investments [Line Items]
Debt investments, Adjusted Cost Basis		8,261	8,443
Debt investments, Unrealized Gains		144	249
Debt investments, Unrealized Losses		(38)	(9)
Debt investments, Recorded Basis		8,367	8,683
Cash and cash equivalents		0	0
Short-term Investments		8,367	8,683
Equity Investments		0	0
Debt investments \| Corporate notes and bonds \| Level 3
Cash, Cash Equivalents and Investments [Line Items]
Debt investments, Adjusted Cost Basis		46	63
Debt investments, Unrealized Gains		0	0
Debt investments, Unrealized Losses		0	0
Debt investments, Recorded Basis		46	63
Cash and cash equivalents		0	0
Short-term Investments		46	63
Equity Investments		0	0
Debt investments \| Municipal securities \| Level 2
Cash, Cash Equivalents and Investments [Line Items]
Debt investments, Adjusted Cost Basis		304	308
Debt investments, Unrealized Gains		57	63
Debt investments, Unrealized Losses		0	0
Debt investments, Recorded Basis		361	371
Cash and cash equivalents		0	0
Short-term Investments		361	371
Equity Investments		0	0
Debt investments \| Municipal securities \| Level 3
Cash, Cash Equivalents and Investments [Line Items]
Debt investments, Adjusted Cost Basis		103	95
Debt investments, Unrealized Gains		0	0
Debt investments, Unrealized Losses		(7)	(7)
Debt investments, Recorded Basis		96	88
Cash and cash equivalents		0	0
Short-term Investments		96	88
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, 2021	Jun. 30, 2021
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	$ 3.6	$ 3.3

Unrealized Losses on Debt Inves

Unrealized Losses on Debt Investments (Detail) - USD ($) $ in Millions	Dec. 31, 2021	Jun. 30, 2021
Unrealized Losses on Investments [Line Items]
Less than 12 Months - Fair Value	$ 7,936	$ 11,389
Less than 12 Months - Unrealized Losses	(85)	(132)
12 Months or Greater - Fair Value	2,714	127
12 Months or Greater - Unrealized Losses	(116)	(3)
Total Fair Value	10,650	11,516
Total Unrealized Losses	(201)	(135)
U.S. government and agency securities
Unrealized Losses on Investments [Line Items]
Less than 12 Months - Fair Value	3,382	5,294
Less than 12 Months - Unrealized Losses	(40)	(111)
12 Months or Greater - Fair Value	2,206	0
12 Months or Greater - Unrealized Losses	(97)	0
Total Fair Value	5,588	5,294
Total Unrealized Losses	(137)	(111)
Foreign government bonds
Unrealized Losses on Investments [Line Items]
Less than 12 Months - Fair Value	82	3,148
Less than 12 Months - Unrealized Losses	(2)	(1)
12 Months or Greater - Fair Value	13	5
12 Months or Greater - Unrealized Losses	(2)	(1)
Total Fair Value	95	3,153
Total Unrealized Losses	(4)	(2)
Mortgage- and asset-backed securities
Unrealized Losses on Investments [Line Items]
Less than 12 Months - Fair Value	1,679	1,211
Less than 12 Months - Unrealized Losses	(12)	(5)
12 Months or Greater - Fair Value	191	87
12 Months or Greater - Unrealized Losses	(3)	(1)
Total Fair Value	1,870	1,298
Total Unrealized Losses	(15)	(6)
Corporate notes and bonds
Unrealized Losses on Investments [Line Items]
Less than 12 Months - Fair Value	2,773	1,678
Less than 12 Months - Unrealized Losses	(31)	(8)
12 Months or Greater - Fair Value	250	34
12 Months or Greater - Unrealized Losses	(7)	(1)
Total Fair Value	3,023	1,712
Total Unrealized Losses	(38)	(9)
Municipal securities
Unrealized Losses on Investments [Line Items]
Less than 12 Months - Fair Value	20	58
Less than 12 Months - Unrealized Losses	0	(7)
12 Months or Greater - Fair Value	54	1
12 Months or Greater - Unrealized Losses	(7)	0
Total Fair Value	74	59
Total Unrealized Losses	$ (7)	$ (7)

Debt Investment Maturities (Det

Debt Investment Maturities (Detail) $ in Millions	Dec. 31, 2021USD ($)
Adjusted Cost Basis
Due in one year or less	$ 34,136
Due after one year through five years	56,690
Due after five years through 10 years	21,898
Due after 10 years	2,673
Debt investments, Adjusted Cost Basis	115,397
Estimated Fair Value
Due in one year or less	34,305
Due after one year through five years	58,435
Due after five years through 10 years	22,472
Due after 10 years	2,752
Total	$ 117,964

Derivatives - Additional Inform

Derivatives - Additional Information (Detail) - USD ($)	6 Months Ended
Derivatives - Additional Information (Detail) - USD ($)	Dec. 31, 2021	Jun. 30, 2021
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	346,000,000	$ 395,000,000
Gross amounts of derivative liabilities, elected to offset	$ 238,000,000	$ 335,000,000
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, 2021	Jun. 30, 2021
Designated as Hedging Instruments \| Foreign Exchange Contracts \| Derivatives Purchased
Derivative [Line Items]
Notional amounts	$ 635	$ 635
Designated as Hedging Instruments \| Foreign Exchange Contracts \| Derivatives Sold
Derivative [Line Items]
Notional amounts	0	6,081
Designated as Hedging Instruments \| Interest Rate Contracts \| Derivatives Purchased
Derivative [Line Items]
Notional amounts	1,224	1,247
Not Designated as Hedging Instruments \| Foreign Exchange Contracts \| Derivatives Purchased
Derivative [Line Items]
Notional amounts	7,956	14,223
Not Designated as Hedging Instruments \| Foreign Exchange Contracts \| Derivatives Sold
Derivative [Line Items]
Notional amounts	18,931	23,391
Not Designated as Hedging Instruments \| Other Contracts \| Derivatives Purchased
Derivative [Line Items]
Notional amounts	3,126	2,456
Not Designated as Hedging Instruments \| Other Contracts \| Derivatives Sold
Derivative [Line Items]
Notional amounts	$ 664	$ 763

Fair Values of Derivative Instr

Fair Values of Derivative Instruments (Detail) - USD ($) $ in Millions	Dec. 31, 2021	Jun. 30, 2021
Derivatives Fair Value [Line Items]
Derivative Assets	$ 360	$ 399
Gross amounts of derivatives offset in the balance sheet, assets	(64)	(141)
Cash collateral received, assets	0	0
Net amounts of derivatives, assets	296	258
Derivative Liabilities	(238)	(335)
Gross amounts of derivatives offset in the balance sheet, liabilities	65	142
Cash collateral received, liabilities	(100)	(42)
Net amounts of derivatives, liabilities	(273)	(235)
Level 1
Derivatives Fair Value [Line Items]
Derivative Assets	0	0
Derivative Liabilities	0	0
Level 2
Derivatives Fair Value [Line Items]
Derivative Assets	347	396
Derivative Liabilities	(238)	(335)
Level 3
Derivatives Fair Value [Line Items]
Derivative Assets	13	3
Derivative Liabilities	0	0
Designated as Hedging Instruments \| Foreign Exchange Contracts
Derivatives Fair Value [Line Items]
Derivative Assets	0	76
Derivative Liabilities	(33)	(8)
Designated as Hedging Instruments \| Interest Rate Contracts
Derivatives Fair Value [Line Items]
Derivative Assets	18	40
Derivative Liabilities	0	0
Not Designated as Hedging Instruments \| Foreign Exchange Contracts
Derivatives Fair Value [Line Items]
Derivative Assets	241	227
Derivative Liabilities	(187)	(291)
Not Designated as Hedging Instruments \| Other Contracts
Derivatives Fair Value [Line Items]
Derivative Assets	101	56
Derivative Liabilities	(18)	(36)
Short-term Investments
Derivatives Fair Value [Line Items]
Net amounts of derivatives, assets	21	78
Other Current Assets
Derivatives Fair Value [Line Items]
Net amounts of derivatives, assets	253	137
Other Long-term Assets
Derivatives Fair Value [Line Items]
Net amounts of derivatives, assets	22	43
Other Current Liabilities
Derivatives Fair Value [Line Items]
Net amounts of derivatives, liabilities	(160)	(182)
Other Long-term Liabilities
Derivatives Fair Value [Line Items]
Net amounts of derivatives, liabilities	$ (113)	$ (53)

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, 2021	Dec. 31, 2020	Dec. 31, 2021	Dec. 31, 2020
Foreign Exchange Contracts
Derivative Instruments, Gain (Loss) [Line Items]
Gains (Losses) on Derivatives Not Designated as Hedges	$ 96	$ 139	$ 273	$ 197
Other Contracts
Derivative Instruments, Gain (Loss) [Line Items]
Gains (Losses) on Derivatives Not Designated as Hedges	6	3	(12)	7
Fair Value Hedges \| Foreign Exchange Contracts
Derivative Instruments, Gain (Loss) [Line Items]
Derivatives	46	(124)	49	(293)
Hedged items	(45)	125	(50)	293
Excluded from effectiveness assessment	0	10	4	18
Fair Value Hedges \| Interest Rate Contracts
Derivative Instruments, Gain (Loss) [Line Items]
Derivatives	(11)	(9)	(14)	(9)
Hedged items	15	12	22	16
Cash Flow Hedges \| Foreign Exchange Contracts
Derivative Instruments, Gain (Loss) [Line Items]
Amount reclassified from accumulated other comprehensive income	$ (14)	$ 21	$ (29)	$ 41

Gains (Losses), Net of Tax, on

Gains (Losses), Net of Tax, on Derivative Instruments Recognized on Consolidated Comprehensive Income Statements (Detail) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2021	Dec. 31, 2020
Cash Flow Hedges \| Foreign Exchange Contracts
Derivative Instruments, Gain (Loss) [Line Items]
Included in effectiveness assessment	$ (11)	$ 25	$ (21)	$ 45

Components of Inventories (Deta

Components of Inventories (Detail) - USD ($) $ in Millions	Dec. 31, 2021	Jun. 30, 2021
Inventory Disclosure [Abstract]
Raw materials	$ 944	$ 1,190
Work in process	73	79
Finished goods	2,002	1,367
Total	$ 3,019	$ 2,636

Business Combinations - Additio

Business Combinations - Additional Information (Detail) - USD ($) $ / shares in Units, $ in Millions	Apr. 11, 2021	Mar. 09, 2021
ZeniMax Media Inc.
Business Acquisition [Line Items]
Total consideration transferred		$ 8,100
Cash and cash equivalents acquired		$ 766
Acquisition date		Mar. 9, 2021
Nuance Communications Inc.
Business Acquisition [Line Items]
Acquisition agreement date	Apr. 11, 2021
Acquisition agreement share price	$ 56
Total purchase price to be transferred	$ 19,700

Major Classes of Assets and Lia

Major Classes of Assets and Liabilities Allocated Purchase Price (Detail) - USD ($) $ in Millions	Dec. 31, 2021	Jun. 30, 2021	Mar. 09, 2021
Business Acquisition [Line Items]
Goodwill	$ 50,921	$ 49,711
ZeniMax Media Inc.
Business Acquisition [Line Items]
Cash and cash equivalents			$ 766
Goodwill			5,510
Intangible assets			1,968
Other assets			121
Other liabilities			(244)
Total			$ 8,121

Acquired Intangible Assets (Det

Acquired Intangible Assets (Detail) - ZeniMax Media Inc. $ in Millions	Mar. 09, 2021USD ($)
Acquired Finite Lived Intangible Assets [Line Items]
Fair value of intangible assets acquired	$ 1,968
Weighted Average Life	6 years
Technology-based
Acquired Finite Lived Intangible Assets [Line Items]
Fair value of intangible assets acquired	$ 1,341
Weighted Average Life	4 years
Marketing-related
Acquired Finite Lived Intangible Assets [Line Items]
Fair value of intangible assets acquired	$ 627
Weighted Average Life	11 years

Carrying Amount of Goodwill (De

Carrying Amount of Goodwill (Detail) $ in Millions	6 Months Ended
Carrying Amount of Goodwill (Detail) $ in Millions	Dec. 31, 2021USD ($)
Goodwill [Line Items]
Beginning Balance	$ 49,711
Acquisitions	1,202
Other	8
Ending Balance	50,921
Productivity and Business Processes
Goodwill [Line Items]
Beginning Balance	24,317
Acquisitions	394
Other	(30)
Ending Balance	24,681
Intelligent Cloud
Goodwill [Line Items]
Beginning Balance	13,256
Acquisitions	584
Other	97
Ending Balance	13,937
More Personal Computing
Goodwill [Line Items]
Beginning Balance	12,138
Acquisitions	224
Other	(59)
Ending Balance	$ 12,303

Finite-Lived Intangible Assets

Finite-Lived Intangible Assets (Detail) - USD ($) $ in Millions	Dec. 31, 2021	Jun. 30, 2021
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	$ 20,138	$ 19,975
Accumulated Amortization	(12,676)	(12,175)
Net Carrying Amount	7,462	7,800
Technology-based
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	9,988	9,779
Accumulated Amortization	(7,121)	(7,007)
Net Carrying Amount	2,867	2,772
Customer-related
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	5,005	4,958
Accumulated Amortization	(3,180)	(2,859)
Net Carrying Amount	1,825	2,099
Marketing-related
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	4,802	4,792
Accumulated Amortization	(2,043)	(1,878)
Net Carrying Amount	2,759	2,914
Contract-based
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	343	446
Accumulated Amortization	(332)	(431)
Net Carrying Amount	$ 11	$ 15

Intangible Assets - Additional

Intangible Assets - Additional Information (Detail) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2021	Dec. 31, 2020
Goodwill And Intangible Assets Disclosure [Abstract]
Intangible assets amortization expense	$ 446	$ 378	$ 885	$ 761

Estimated Future Amortization E

Estimated Future Amortization Expense Related to Intangible Assets (Detail) - USD ($) $ in Millions	Dec. 31, 2021	Jun. 30, 2021
Goodwill And Intangible Assets Disclosure [Abstract]
Year Ending June 30, 2022 (excluding the six months ended December 31, 2021)	$ 895
Year Ending June 30, 2023	1,824
Year Ending June 30, 2024	1,515
Year Ending June 30, 2025	898
Year Ending June 30, 2026	554
Thereafter	1,776
Net Carrying Amount	$ 7,462	$ 7,800

Debt (Detail)

Debt (Detail) - USD ($) $ in Millions		6 Months Ended
Debt (Detail) - USD ($) $ in Millions		Dec. 31, 2021	Jun. 30, 2021
Debt Instrument [Line Items]
Total face value		$ 58,972	$ 63,910
Unamortized discount and issuance costs		(490)	(511)
Hedge fair value adjustments	[1]	18	40
Premium on debt exchange	[2]	(5,242)	(5,293)
Total debt		53,258	58,146
Current portion of long-term debt		(4,998)	(8,072)
Long-term debt		$ 48,260	50,074
2009 Issuance of $3.8 billion
Debt Instrument [Line Items]
Maturities (calendar year)	[2]	2039
Stated Interest Rate	[2]	5.20%
Effective Interest Rate	[2]	5.24%
Total face value	[2]	$ 520	520
2010 Issuance of $4.8 billion
Debt Instrument [Line Items]
Maturities (calendar year)	[2]	2040
Stated Interest Rate	[2]	4.50%
Effective Interest Rate	[2]	4.57%
Total face value	[2]	$ 486	486
2011 Issuance of $2.3 billion
Debt Instrument [Line Items]
Maturities (calendar year)	[2]	2041
Stated Interest Rate	[2]	5.30%
Effective Interest Rate	[2]	5.36%
Total face value	[2]	$ 718	718
2012 Issuance of $2.3 billion
Debt Instrument [Line Items]
Total face value	[2]	$ 1,204	1,204
2012 Issuance of $2.3 billion \| Minimum
Debt Instrument [Line Items]
Maturities (calendar year)	[2]	2022
Stated Interest Rate	[2]	2.13%
Effective Interest Rate	[2]	2.24%
2012 Issuance of $2.3 billion \| Maximum
Debt Instrument [Line Items]
Maturities (calendar year)	[2]	2042
Stated Interest Rate	[2]	3.50%
Effective Interest Rate	[2]	3.57%
2013 Issuance of $5.2 billion
Debt Instrument [Line Items]
Total face value	[2]	$ 2,814	2,814
2013 Issuance of $5.2 billion \| Minimum
Debt Instrument [Line Items]
Maturities (calendar year)	[2]	2023
Stated Interest Rate	[2]	2.38%
Effective Interest Rate	[2]	2.47%
2013 Issuance of $5.2 billion \| Maximum
Debt Instrument [Line Items]
Maturities (calendar year)	[2]	2043
Stated Interest Rate	[2]	4.88%
Effective Interest Rate	[2]	4.92%
2013 Issuance of €4.1 billion
Debt Instrument [Line Items]
Total face value		$ 2,615	4,803
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	[2]	$ 12,305	12,305
2015 Issuance of $23.8 billion \| Minimum
Debt Instrument [Line Items]
Maturities (calendar year)	[2]	2022
Stated Interest Rate	[2]	2.38%
Effective Interest Rate	[2]	2.47%
2015 Issuance of $23.8 billion \| Maximum
Debt Instrument [Line Items]
Maturities (calendar year)	[2]	2055
Stated Interest Rate	[2]	4.75%
Effective Interest Rate	[2]	4.78%
2016 Issuance of $19.8 billion
Debt Instrument [Line Items]
Total face value	[2]	$ 9,430	12,180
2016 Issuance of $19.8 billion \| Minimum
Debt Instrument [Line Items]
Maturities (calendar year)	[2]	2023
Stated Interest Rate	[2]	2.00%
Effective Interest Rate	[2]	2.10%
2016 Issuance of $19.8 billion \| Maximum
Debt Instrument [Line Items]
Maturities (calendar year)	[2]	2056
Stated Interest Rate	[2]	3.95%
Effective Interest Rate	[2]	4.03%
2017 Issuance of $17.0 billion
Debt Instrument [Line Items]
Total face value	[2]	$ 10,695	10,695
2017 Issuance of $17.0 billion \| Minimum
Debt Instrument [Line Items]
Maturities (calendar year)	[2]	2022
Stated Interest Rate	[2]	2.40%
Effective Interest Rate	[2]	2.52%
2017 Issuance of $17.0 billion \| Maximum
Debt Instrument [Line Items]
Maturities (calendar year)	[2]	2057
Stated Interest Rate	[2]	4.50%
Effective Interest Rate	[2]	4.53%
2020 Issuance of $10.0 billion
Debt Instrument [Line Items]
Total face value	[2]	$ 10,000	10,000
2020 Issuance of $10.0 billion \| Minimum
Debt Instrument [Line Items]
Maturities (calendar year)	[2]	2050
Stated Interest Rate	[2]	2.53%
Effective Interest Rate	[2]	2.53%
2020 Issuance of $10.0 billion \| Maximum
Debt Instrument [Line Items]
Maturities (calendar year)	[2]	2060
Stated Interest Rate	[2]	2.68%
Effective Interest Rate	[2]	2.68%
2021 issuance of $8.2 billion
Debt Instrument [Line Items]
Total face value	[2]	$ 8,185	$ 8,185
2021 issuance of $8.2 billion \| Minimum
Debt Instrument [Line Items]
Maturities (calendar year)	[2]	2052
Stated Interest Rate	[2]	2.92%
Effective Interest Rate	[2]	2.92%
2021 issuance of $8.2 billion \| Maximum
Debt Instrument [Line Items]
Maturities (calendar year)	[2]	2062
Stated Interest Rate	[2]	3.04%
Effective Interest Rate	[2]	3.04%

[1]	Refer to Note 5 – Derivatives for further information on the interest rate swaps related to fixed-rate debt.
[2]	In March 2021 and June 2020, we exchanged a portion of our existing debt at a premium for cash and new debt with longer maturities. The premiums are amortized over the terms of the new debt.

Debt (Parenthetical) (Detail)

Debt (Parenthetical) (Detail) - 6 months ended Dec. 31, 2021 € in Billions, $ in Billions	USD ($)	EUR (€)
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 $17.0 billion
Debt Instrument [Line Items]
Debt, issuance date	2017
Debt, face value	$ 17
2020 Issuance of $10.0 billion
Debt Instrument [Line Items]
Debt, issuance date	2020
Debt, face value	$ 10
2021 issuance of $8.2 billion
Debt Instrument [Line Items]
Debt, issuance date	2021
Debt, face value	$ 8.2

Debt - Additional Information (

Debt - Additional Information (Detail) - USD ($) $ in Billions	Dec. 31, 2021	Jun. 30, 2021
Debt Disclosure [Abstract]
Long-term debt fair value	$ 64.3	$ 70

Maturities of Long-term Debt In

Maturities of Long-term Debt Including Current Portion (Detail) - USD ($) $ in Millions	Dec. 31, 2021	Jun. 30, 2021
Debt Disclosure [Abstract]
Year Ending June 30, 2022 (excluding the six months ended December 31, 2021)	$ 3,250
Year Ending June 30, 2023	2,750
Year Ending June 30, 2024	5,250
Year Ending June 30, 2025	2,250
Year Ending June 30, 2026	3,000
Thereafter	42,472
Total	$ 58,972	$ 63,910

Income Taxes - Additional Infor

Income Taxes - Additional Information (Detail) - USD ($) $ in Millions	3 Months Ended			6 Months Ended
	Dec. 31, 2021	Sep. 30, 2021	Dec. 31, 2020	Dec. 31, 2021	Dec. 31, 2020	Jun. 30, 2021
Income Taxes [Line Items]
Effective tax rate	17.00%		16.00%	9.00%	15.00%
Provision (benefit) for income taxes	$ (3,750)		$ (2,874)	$ (3,769)	$ (5,105)
Long-term income taxes	26,121			26,121		$ 27,190
Unrecognized Tax Benefits and Other Income Tax Liabilities
Income Taxes [Line Items]
Long-term income taxes	$ 16,300			$ 16,300		$ 15,900
Transfer of Intangible Properties
Income Taxes [Line Items]
Provision (benefit) for income taxes		$ 3,300

Income Taxes - Additional Inf_2

Income Taxes - Additional Information Regarding Examinations (Detail) - USD ($) $ in Billions	3 Months Ended	6 Months Ended	12 Months Ended
	Dec. 31, 2020	Dec. 31, 2021	Jun. 30, 2018	Jun. 30, 2016	Jun. 30, 2011
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		2021
Internal Revenue Service (IRS)
Income Tax Examination [Line Items]
Settlement payments including tax and interest	$ 1.7
Internal Revenue Service (IRS) \| Earliest Tax Year
Income Tax Examination [Line Items]
Tax years under audit	2004		2010	2007	2004
Tax years subject to examination		2004
Internal Revenue Service (IRS) \| Latest Tax Year
Income Tax Examination [Line Items]
Tax years under audit	2013		2013	2009	2006
Tax years subject to examination		2017

Unearned Revenue by Segment (De

Unearned Revenue by Segment (Detail) - USD ($) $ in Millions	Dec. 31, 2021	Jun. 30, 2021
Contract With Customer Liability [Line Items]
Unearned revenue	$ 36,769	$ 44,141
Productivity and Business Processes
Contract With Customer Liability [Line Items]
Unearned revenue	18,494	22,120
Intelligent Cloud
Contract With Customer Liability [Line Items]
Unearned revenue	14,549	17,710
More Personal Computing
Contract With Customer Liability [Line Items]
Unearned revenue	$ 3,726	$ 4,311

Changes in Unearned Revenue (De

Changes in Unearned Revenue (Detail) $ in Millions	6 Months Ended
Changes in Unearned Revenue (Detail) $ in Millions	Dec. 31, 2021USD ($)
Revenue From Contract With Customer [Abstract]
Balance, beginning of period	$ 44,141
Deferral of revenue	44,389
Recognition of unearned revenue	(51,761)
Balance, end of period	$ 36,769

Unearned Revenue - Additional I

Unearned Revenue - Additional Information (Detail) $ in Billions	Dec. 31, 2021USD ($)
Contract With Customer Liability [Line Items]
Revenue allocated to remaining performance obligations	$ 152
Commercial Customers
Contract With Customer Liability [Line Items]
Revenue allocated to remaining performance obligations	$ 147

Unearned Revenue - Remaining Pe

Unearned Revenue - Remaining Performance Obligation - Additional Information (Detail) - Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2022-01-01	Dec. 31, 2021
Revenue Remaining Performance Obligation Expected Timing Of Satisfaction [Line Items]
Revenue allocated to remaining performance obligations, percentage of revenue expected to be recognized	45.00%
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, 2021USD ($)
Operating Lease
Leases [Line Items]
Additional leases, primarily for datacenters, that have not yet commenced	$ 5.8
Finance Lease
Leases [Line Items]
Additional leases, primarily for datacenters, that have not yet commenced	$ 6.5
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	20 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	15 years
Additional finance leases that have not yet commenced, lease terms	15 years

Components of Lease Expense (De

Components of Lease Expense (Detail) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2021	Dec. 31, 2020
Leases [Abstract]
Operating lease cost	$ 469	$ 503	$ 1,057	$ 1,001
Finance lease cost:
Amortization of right-of-use assets	264	249	490	455
Interest on lease liabilities	107	94	211	186
Total finance lease cost	$ 371	$ 343	$ 701	$ 641

Supplemental Cash Flow Informat

Supplemental Cash Flow Information Related to Leases (Detail) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2021	Dec. 31, 2020
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$ 441	$ 482	$ 1,007	$ 973
Operating cash flows from finance leases	107	94	211	186
Financing cash flows from finance leases	222	153	422	289
Right-of-use assets obtained in exchange for lease obligations:
Operating leases	1,559	1,578	2,730	2,256
Finance leases	$ 985	$ 1,193	$ 2,374	$ 1,828

Supplemental Balance Sheet Info

Supplemental Balance Sheet Information Related to Leases (Detail) - USD ($) $ in Millions	Dec. 31, 2021	Jun. 30, 2021
Operating Leases
Operating lease right-of-use assets	$ 12,354	$ 11,088
Total operating lease liabilities	12,900	11,591
Finance Leases
Accumulated depreciation	(55,277)	(51,351)
Property and equipment, net	67,214	59,715
Total finance lease liabilities	$ 14,195	$ 12,541
Weighted Average Remaining Lease Term
Operating leases	8 years	8 years
Finance leases	12 years	12 years
Weighted Average Discount Rate
Operating leases	2.00%	2.20%
Finance leases	3.20%	3.40%
Finance Lease
Finance Leases
Property and equipment, at cost	$ 16,152	$ 14,107
Accumulated depreciation	(2,795)	(2,306)
Property and equipment, net	13,357	11,801
Other Current Liabilities
Operating Leases
Total operating lease liabilities	2,126	1,962
Finance Leases
Total finance lease liabilities	944	791
Operating Lease Liabilities
Operating Leases
Total operating lease liabilities	10,774	9,629
Other Long-term Liabilities
Finance Leases
Total finance lease liabilities	$ 13,251	$ 11,750

Maturities of Lease Liabilities

Maturities of Lease Liabilities (Detail) - USD ($) $ in Millions	Dec. 31, 2021	Jun. 30, 2021
Leases [Abstract]
Operating Leases, Year Ending June 30, 2022 (excluding the six months ended December 31, 2021)	$ 1,149
Operating Leases, Year Ending June 30, 2023	2,206
Operating Leases, Year Ending June 30, 2024	2,018
Operating Leases, Year Ending June 30, 2025	1,751
Operating Leases, Year Ending June 30, 2026	1,422
Operating Leases, Thereafter	5,452
Operating Leases, Total lease payments	13,998
Operating Leases, Less imputed interest	(1,098)
Operating Leases	12,900	$ 11,591
Finance Leases, Year Ending June 30, 2022 (excluding the six months ended December 31, 2021)	674
Finance Leases, Year Ending June 30, 2023	1,360
Finance Leases, Year Ending June 30, 2024	1,374
Finance Leases, Year Ending June 30, 2025	1,702
Finance Leases, Year Ending June 30, 2026	1,389
Finance Leases, Thereafter	10,459
Finance Leases, Total lease payments	16,958
Finance Leases, Less imputed interest	(2,763)
Finance Leases	$ 14,195	$ 12,541

Contingencies - Additional Info

Contingencies - Additional Information (Detail) $ in Millions	Dec. 31, 2021USD ($)
Commitments And Contingencies Disclosure [Abstract]
Accrual for disclosed loss contingencies, current, ending balance	$ 352
Amount not accrued for estimated maximum losses for disclosed loss contingencies	$ 500

Stockholders' Equity - Addition

Stockholders' Equity - Additional Information (Detail) - USD ($)	3 Months Ended		6 Months Ended
	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2021	Dec. 31, 2020	Sep. 14, 2021	Sep. 18, 2019
Share Repurchases [Line Items]
Amount of shares repurchased to settle employee tax withholding related to vesting of stock awards	$ 1,200,000,000	$ 785,000,000	$ 2,700,000,000	$ 2,300,000,000
Share Repurchase Program 2019
Share Repurchases [Line Items]
Amount available for repurchase under the share repurchase program approved by the company's Board of Directors						$ 40,000,000,000
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	$ 56,300,000,000		$ 56,300,000,000

Share Repurchases (Detail)

Share Repurchases (Detail) - USD ($) shares in Millions, $ in Millions	3 Months Ended				6 Months Ended
	Dec. 31, 2021	Sep. 30, 2021	Dec. 31, 2020	Sep. 30, 2020	Dec. 31, 2021	Dec. 31, 2020
Share Repurchase Program 2019
Share Repurchases [Line Items]
Shares of common stock repurchased		21	27	25		52
Value of common stock repurchased		$ 6,200	$ 5,750	$ 5,270		$ 11,020
Share Repurchase Programs 2019 and 2021
Share Repurchases [Line Items]
Shares of common stock repurchased	20				41
Value of common stock repurchased	$ 6,233				$ 12,433

Dividends Declared (Detail)

Dividends Declared (Detail) - USD ($) $ / shares in Units, $ in Millions	3 Months Ended				6 Months Ended
	Dec. 31, 2021	Sep. 30, 2021	Dec. 31, 2020	Sep. 30, 2020	Dec. 31, 2021	Dec. 31, 2020
Equity [Abstract]
Declaration Date	Dec. 7, 2021	Sep. 14, 2021	Dec. 2, 2020	Sep. 15, 2020
Record Date	Feb. 17, 2022	Nov. 18, 2021	Feb. 18, 2021	Nov. 19, 2020
Payment Date	Mar. 10, 2022	Dec. 9, 2021	Mar. 11, 2021	Dec. 10, 2020
Dividend Per Share	$ 0.62	$ 0.62	$ 0.56	$ 0.56	$ 1.24	$ 1.12
Amount	$ 4,650	$ 4,652	$ 4,221	$ 4,230	$ 9,302	$ 8,451

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, 2021	Dec. 31, 2020	Dec. 31, 2021	Dec. 31, 2020
Accumulated Other Comprehensive Income (Loss) [Line Items]
Balance, beginning of period			$ 141,988
Accounting Standards Update [Extensible Enumeration]	us-gaap:AccountingStandardsUpdate201601Member	us-gaap:AccountingStandardsUpdate201601Member	us-gaap:AccountingStandardsUpdate201601Member	us-gaap:AccountingStandardsUpdate201601Member
Other comprehensive income (loss)	$ (846)	$ 257	$ (1,385)	$ 171
Balance, end of period	160,010	130,236	160,010	130,236
Derivatives
Accumulated Other Comprehensive Income (Loss) [Line Items]
Balance, beginning of period	(17)	(34)	(19)	(38)
Unrealized gains (losses), net of tax	(11)	25	(21)	45
Tax expense (benefit) included in provision for income taxes	(3)	4	(6)	8
Amounts reclassified from accumulated other comprehensive income (loss)	11	(17)	23	(33)
Other comprehensive income (loss)	0	8	2	12
Balance, end of period	(17)	(26)	(17)	(26)
Derivatives \| Other Income (Expense), Net
Accumulated Other Comprehensive Income (Loss) [Line Items]
Reclassification adjustments for (gains) losses included in other income (expense), net	14	(21)	29	(41)
Investments
Accumulated Other Comprehensive Income (Loss) [Line Items]
Balance, beginning of period	2,800	5,287	3,222	5,478
Unrealized gains (losses), net of tax	(742)	(477)	(1,157)	(665)
Tax expense (benefit) included in provision for income taxes	0	4	2	8
Amounts reclassified from accumulated other comprehensive income (loss)	(1)	(15)	(8)	(28)
Other comprehensive income (loss)	(743)	(492)	(1,165)	(693)
Balance, end of period	2,057	4,795	2,057	4,795
Investments \| Cumulative effect of accounting changes
Accumulated Other Comprehensive Income (Loss) [Line Items]
Balance, beginning of period	0	0	0	10
Investments \| Other Income (Expense), Net
Accumulated Other Comprehensive Income (Loss) [Line Items]
Reclassification adjustments for (gains) losses included in other income (expense), net	(1)	(19)	(10)	(36)
Translation adjustments and other
Accumulated Other Comprehensive Income (Loss) [Line Items]
Balance, beginning of period	(1,500)	(2,143)	(1,381)	(2,254)
Other comprehensive income (loss)	(103)	741	(222)	852
Balance, end of period	(1,603)	(1,402)	(1,603)	(1,402)
Accumulated other comprehensive income
Accumulated Other Comprehensive Income (Loss) [Line Items]
Balance, beginning of period	1,283	3,110	1,822	3,186
Other comprehensive income (loss)	(846)	257	(1,385)	171
Balance, end of period	437	3,367	437	3,367
Accumulated other comprehensive income \| Cumulative effect of accounting changes
Accumulated Other Comprehensive Income (Loss) [Line Items]
Balance, beginning of period	$ 0	$ 0	$ 0	$ 10

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, 2021	Dec. 31, 2020	Dec. 31, 2021	Dec. 31, 2020
Derivatives
Accumulated Other Comprehensive Income (Loss) [Line Items]
Unrealized gains (losses), tax	$ (3)	$ 7	$ (6)	$ 12
Net change related to other comprehensive income (loss), tax	0	3	0	4
Investments
Accumulated Other Comprehensive Income (Loss) [Line Items]
Unrealized gains (losses), tax	(197)	(128)	(307)	(178)
Net change related to other comprehensive income (loss), tax	(197)	(132)	(309)	(186)
Translation adjustments and other
Accumulated Other Comprehensive Income (Loss) [Line Items]
Net change related to other comprehensive income (loss), tax	$ 0	$ 0	$ 0	$ (9)

Segment Revenue (Detail)

Segment Revenue (Detail) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
Segment Revenue (Detail) - USD ($) $ in Millions	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2021	Dec. 31, 2020
Segment Reporting Information [Line Items]
Revenue	$ 51,728	$ 43,076	$ 97,045	$ 80,230
Productivity and Business Processes
Segment Reporting Information [Line Items]
Revenue	15,936	13,353	30,975	25,672
Intelligent Cloud
Segment Reporting Information [Line Items]
Revenue	18,327	14,601	35,291	27,587
More Personal Computing
Segment Reporting Information [Line Items]
Revenue	$ 17,465	$ 15,122	$ 30,779	$ 26,971

Operating Income (Loss) by Segm

Operating Income (Loss) by Segment (Detail) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2021	Dec. 31, 2020
Segment Reporting Information [Line Items]
Operating Income (Loss)	$ 22,247	$ 17,897	$ 42,485	$ 33,773
Productivity and Business Processes
Segment Reporting Information [Line Items]
Operating Income (Loss)	7,688	6,181	15,269	11,887
Intelligent Cloud
Segment Reporting Information [Line Items]
Operating Income (Loss)	8,197	6,492	15,759	11,914
More Personal Computing
Segment Reporting Information [Line Items]
Operating Income (Loss)	$ 6,362	$ 5,224	$ 11,457	$ 9,972

Segment Information and Geogr_3

Segment Information and Geographic Data - Additional Information (Detail)	6 Months Ended
	Dec. 31, 2021
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, 2021 or 2020.

Revenue Classified by Major Geo

Revenue Classified by Major Geographic Areas (Detail) - USD ($) $ in Millions		3 Months Ended		6 Months Ended
		Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2021	Dec. 31, 2020
Revenues From External Customers And Long Lived Assets [Line Items]
Revenues		$ 51,728	$ 43,076	$ 97,045	$ 80,230
United States
Revenues From External Customers And Long Lived Assets [Line Items]
Revenues	[1]	26,463	21,836	49,293	40,861
Other Countries
Revenues From External Customers And Long Lived Assets [Line Items]
Revenues		$ 25,265	$ 21,240	$ 47,752	$ 39,369

[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, 2021	Dec. 31, 2020	Dec. 31, 2021	Dec. 31, 2020
Revenue from External Customer [Line Items]
Revenue	$ 51,728	$ 43,076	$ 97,045	$ 80,230
Server Products and Cloud Services
Revenue from External Customer [Line Items]
Revenue	16,375	12,729	31,444	23,924
Office Products and Cloud Services
Revenue from External Customer [Line Items]
Revenue	11,251	9,881	22,059	19,159
Windows
Revenue from External Customer [Line Items]
Revenue	6,600	5,514	12,276	10,665
Gaming
Revenue from External Customer [Line Items]
Revenue	5,442	5,031	9,035	8,123
LinkedIn
Revenue from External Customer [Line Items]
Revenue	3,531	2,577	6,667	4,783
Search and News Advertising
Revenue from External Customer [Line Items]
Revenue	3,064	2,386	5,720	4,329
Devices
Revenue from External Customer [Line Items]
Revenue	2,285	2,120	3,646	3,740
Enterprise Services
Revenue from External Customer [Line Items]
Revenue	1,823	1,695	3,614	3,332
Other
Revenue from External Customer [Line Items]
Revenue	$ 1,357	$ 1,143	$ 2,584	$ 2,175

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, 2021	Dec. 31, 2020	Dec. 31, 2021	Dec. 31, 2020
Revenue from External Customer [Line Items]
Revenue	$ 51,728	$ 43,076	$ 97,045	$ 80,230
Microsoft Cloud
Revenue from External Customer [Line Items]
Revenue	$ 22,100	$ 16,700	$ 42,800	$ 31,900

Subsequent Event - Additional I

Subsequent Event - Additional Information (Detail) - Activision Blizzard, Inc. - Subsequent Event $ / shares in Units, $ in Billions	Jan. 18, 2022USD ($)$ / shares
Subsequent Event [Line Items]
Acquisition agreement date	Jan. 18, 2022
Acquisition agreement share price \| $ / shares	$ 95
Total purchase price to be transferred \| $	$ 68.7