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SEGMENT INFORMATION
 9 Months Ended
Jul. 31, 2020
Segment Reporting [Abstract]  
SEGMENT INFORMATION
17.
SEGMENT INFORMATION
We are a technology company that helps enterprises, service providers and governments accelerate innovation to connect and secure the world by providing electronic design and test solutions that are used in the simulation, design, validation, manufacture, installation, optimization and secure operation of electronics systems in the communications, networking and electronics industries. We also offer customization, consulting and optimization services throughout the customer's product lifecycle, including start-up assistance, asset management, up-time services, application services and instrument calibration and repair.
Our operating segments were determined based primarily on how the chief operating decision maker views and evaluates our operations. Segment operating results are regularly reviewed by the chief operating decision maker to make decisions about resources to be allocated to each segment and to assess performance. Other factors, including market separation and customer specific applications, go-to-market channels, products and services and manufacturing are considered in determining the formation of these operating segments.
We completed an organizational change in the first quarter of fiscal 2020 to manage our Ixia Solutions Group within our Communications Solutions Group to enable us to create improved go-to market and product development alignment as well as accelerate solution synergies as new technologies emerge. Prior period segment results were revised to conform to the presentation. As a result, we now have two reportable operating segments, Communications Solutions Group (“CSG”) and Electronic Industrial Solutions Group (“EISG”).
The Communications Solutions Group serves customers spanning the worldwide commercial communications and aerospace, defense, and government end markets. The group’s solutions consist of electronic design and test software, electronic measurement instruments, systems and related services. These solutions are used in the simulation, design, validation, manufacturing, installation, and optimization of electronic equipment and networks.
The Electronic Industrial Solutions Group provides test and measurement solutions and related services across a broad set of electronic industrial end markets, focusing on high-value applications in the automotive and energy industry and measurement solutions for consumer electronics, education, general electronics design and manufacturing, and semiconductor design and manufacturing. The group provides electronic design and test software, electronic measurement instruments and systems and related services used in the simulation, design, validation, manufacturing, installation and optimization of electronic equipment.
A significant portion of the segments' expenses arise from shared services and infrastructure that we have historically provided to the segments in order to realize economies of scale and to efficiently use resources. These expenses, collectively called corporate charges, include legal, accounting, real estate, insurance services, information technology services, treasury and other corporate infrastructure expenses. Charges are allocated to the segments, and the allocations have been determined on a basis that we considered to be a reasonable reflection of the utilization of services provided to or benefits received by the segments.
The following tables reflect the results of our reportable segments under our management reporting system. These results are not necessarily in conformity with GAAP. The performance of each segment is measured based on several metrics, including income from operations. These results are used, in part, by the chief operating decision maker in evaluating the performance of, and in allocating resources to, each of the segments. Prior period amounts have been revised to conform to the new organizational structure.
The profitability of each of the segments is measured after excluding share-based compensation expense, amortization of acquisition-related balances, acquisition and integration costs, restructuring and related costs, northern California wildfire-related impacts, interest income, interest expense and other items as noted in the reconciliations below.
 
Communications Solutions Group
 
Electronic Industrial Solutions Group
 
Total Segments
 
(in millions)
Three months ended July 31, 2020:
 
 
 
 
 
Total net and segment revenue
$
760

 
$
251

 
$
1,011

Segment income from operations
$
197

 
$
67

 
$
264

 
 
 
 
 
 
Three months ended July 31, 2019:
 
 
 
 
 
Total net revenue
$
792

 
$
295

 
$
1,087

Amortization of acquisition-related balances
1

 
—

 
1

Total segment revenue
$
793

 
$
295

 
$
1,088

Segment income from operations
$
192

 
$
83

 
$
275


 
Communications Solutions Group
 
Electronic Industrial Solutions Group
 
Total Segments
 
(in millions)
Nine months ended July 31, 2020:
 
 
 
 
 
Total net and segment revenue
$
2,231

 
$
770

 
$
3,001

Segment income from operations
$
512

 
$
199

 
$
711

 
 
 
 
 
 
Nine months ended July 31, 2019:
 
 
 
 
 
Total net revenue
$
2,332

 
$
851

 
$
3,183

Amortization of acquisition-related balances
7

 
—

 
7

Total segment revenue
$
2,339

 
$
851

 
$
3,190

Segment income from operations
$
532

 
$
215

 
$
747


The following table reconciles total reportable operating segments’ income from operations to our income before taxes, as reported:
 
Three Months Ended
 
Nine Months Ended
 
July 31,
 
July 31,
 
2020
 
2019
 
2020
 
2019
 
(in millions)
Total reportable operating segments' income from operations
$
264

 
$
275

 
$
711

 
$
747

Share-based compensation expense
(19
)
 
(16
)
 
(73
)
 
(66
)
Amortization of acquisition-related balances
(54
)
 
(56
)
 
(167
)
 
(164
)
Acquisition and integration costs
(8
)
 
(3
)
 
(12
)
 
(5
)
Northern California wildfire-related impacts
—

 
—

 
32

 
—

Restructuring and other
(1
)
 
(3
)
 
(4
)
 
(9
)
Income from operations, as reported
182

 
197

 
487

 
503

Interest income
1

 
7

 
11

 
17

Interest expense
(20
)
 
(20
)
 
(59
)
 
(60
)
Other income (expense), net
22

 
15

 
56

 
52

Income before taxes, as reported
$
185

 
$
199

 
$
495

 
$
512


The following table presents assets directly managed by each segment. Unallocated assets primarily consist of cash and cash equivalents, investments and other assets.
 
Communications Solutions Group
 
Electronic Industrial Solutions Group
 
Total Segments
 
(in millions)
Assets:
 
 
 

 
 

As of July 31, 2020
$
3,873

 
$
1,353

 
$
5,226

As of October 31, 2019
$
3,671

 
$
928

 
$
4,599

The increase in segment assets as of July 31, 2020 as compared to October 31, 2019 is primarily due to the acquisition of Eggplant and the addition of operating lease right-of-use assets as a result of adoption of ASU 2016-02, Leases, on November 1, 2019.