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Income Taxes (Tables) | 12 Months Ended
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Oct. 29, 2023
Income Tax Disclosure [Abstract] |
Schedule of Income before Income Tax, Domestic and Foreign |
|  | Fiscal Year
|  | 2023 |  | 2022 |  | 2021
|  | (In millions)
Domestic loss |  | $ | (63) |  |  | $ | (2,020) |  |  | $ | (3,103) |
Foreign income |  | 15,160 |  |  | 14,454 |  |  | 9,868 |
Income before income taxes |  | $ | 15,097 |  |  | $ | 12,434 |  |  | $ | 6,765 |
Schedule of Components of Income Tax Expense (Benefit) | The components of the provision for income taxes were as follows:
|  | Fiscal Year
|  | 2023 |  | 2022 |  | 2021
|  | (In millions)
Current tax provision: |  |  |  |  |  |
Federal |  | $ | 952 |  |  | $ | 174 |  |  | $ | 446 |
State |  | 23 |  |  | 48 |  |  | 46 |
Foreign |  | 541 |  |  | 762 |  |  | 534 |
Total |  | 1,516 |  |  | 984 |  |  | 1,026 |
Deferred tax provision (benefit): |  |  |  |  |  |
Federal |  | (499) |  |  | 68 |  |  | (876) |
State |  | (31) |  |  | (15) |  |  | (114) |
Foreign |  | 29 |  |  | (98) |  |  | (7) |
Total |  | (501) |  |  | (45) |  |  | (997) |
Total provision for income taxes |  | $ | 1,015 |  |  | $ | 939 |  |  | $ | 29 |
Schedule of Effective Income Tax Rate Reconciliation | The following is a reconciliation of our effective tax rate to the statutory federal tax rate:
|  | Fiscal Year
|  | 2023 |  | 2022 |  | 2021
Statutory tax rate |  | 21.0 | % |  | 21.0 | % |  | 21.0 | %
State, net of federal benefit |  | — |  |  | 0.2 |  |  | (0.8) |
Foreign income taxed at different rates |  | (17.3) |  |  | (19.1) |  |  | (22.8) |
Deemed inclusion of foreign earnings |  | 9.9 |  |  | 8.0 |  |  | 9.5 |
Foreign-derived intangible income deduction |  | — |  |  | — |  |  | (3.1) |
Uncertain tax benefits |  | (1.9) |  |  | 1.6 |  |  | 3.7 |
Excess tax benefits from stock-based compensation |  | (3.4) |  |  | (3.0) |  |  | (4.6) |
Research and development credit |  | (1.8) |  |  | (1.4) |  |  | (2.3) |
Other, net |  | 0.2 |  |  | 0.2 |  |  | (0.2) |
Effective tax rate on income before income taxes |  | 6.7 | % |  | 7.5 | % |  | 0.4 | %
The increase in provision for income taxes in fiscal year 2023 compared to fiscal year 2022 was primarily due to higher income before income taxes, partially offset by an increase in the recognition of uncertain tax benefits as a result of lapses of statutes of limitations. The increase in provision for income taxes in fiscal year 2022 compared to fiscal year 2021 was primarily due to higher income before income taxes. We derive the effective tax rate benefit attributed to foreign income taxed at different rates primarily from our operations in Singapore and Malaysia. Our tax incentives from the Singapore Economic Development Board provide that any qualifying income earned in Singapore is subject to tax incentives or reduced rates of Singapore income tax, subject to our compliance with the conditions specified in these incentives and legislative developments. These Singapore tax incentives are expected to expire in November 2025. We have also obtained a tax holiday from our qualifying income earned in Malaysia, which is scheduled to expire in fiscal year 2028. The tax holiday that we negotiated in Malaysia is also subject to our compliance with various operating and other conditions. Before taking into consideration the effects of the U.S. Tax Cuts and Jobs Act and other indirect tax impacts, the effect of these tax incentives and tax holiday decreased the provision for income taxes by approximately $2,104 million, $1,821 million and $1,156 million for fiscal years 2023, 2022 and 2021, respectively.
Schedule of Deferred Tax Assets and Liabilities |
|  | October 29, 2023 |  | October 30, 2022
|  | (In millions)
Deferred income tax assets: |  |  |  |
Net operating loss, credit and other carryforwards |  | $ | 1,809 |  |  | $ | 1,808 |
Capitalized research and development |  | 275 |  |  | — |
Deferred revenue |  | 208 |  |  | 645 |
Employee stock awards |  | 190 |  |  | 183 |
Depreciation and amortization |  | 223 |  |  | 156 |
Other deferred income tax assets |  | 329 |  |  | 343 |
Gross deferred income tax assets |  | 3,034 |  |  | 3,135 |
Less: valuation allowance |  | (1,789) |  |  | (1,777) |
Deferred income tax assets |  | 1,245 |  |  | 1,358 |
Deferred income tax liabilities: |  |  |  |
Depreciation and amortization |  | 97 |  |  | 341 |
Unamortized debt discount and issuance costs |  | 302 |  |  | 322 |
Foreign earnings not indefinitely reinvested |  | 86 |  |  | 86 |
Other deferred income tax liabilities |  | 62 |  |  | 36 |
Deferred income tax liabilities |  | 547 |  |  | 785 |
Net deferred income tax assets |  | $ | 698 |  |  | $ | 573 |
Summary of Positions for which Significant Change in Unrecognized Tax Benefits is Reasonably Possible | The following table reconciles the beginning and ending balance of gross unrecognized tax benefits:
|  | Fiscal Year
|  | 2023 |  | 2022 |  | 2021
|  | (In millions)
Beginning balance |  | $ | 5,117 |  |  | $ | 5,030 |  |  | $ | 4,748 |
Lapses of statutes of limitations |  | (634) |  |  | (50) |  |  | (58) |
Increases in balances related to tax positions taken during prior periods |  | 26 |  |  | — |  |  | 41 |
Decreases in balances related to tax positions taken during prior periods |  | (13) |  |  | (113) |  |  | — |
Increases in balances related to tax positions taken during current period |  | 170 |  |  | 288 |  |  | 337 |
Decreases in balances related to settlements with taxing authorities |  | (11) |  |  | (38) |  |  | (38) |
Ending balance |  | $ | 4,655 |  |  | $ | 5,117 |  |  | $ | 5,030 |
We recognize interest and penalties related to unrecognized tax benefits within the provision for income taxes. Accrued interest and penalties were included within other long-term liabilities. During fiscal years 2023, 2022 and 2021, we recognized interest and penalties of $22 million, $25 million and $46 million respectively, within the provision for income taxes. As of October 29, 2023 and October 30, 2022, the combined amount of cumulative accrued interest and penalties was approximately $389 million and $411 million, respectively. As of October 29, 2023 and October 30, 2022, approximately $5,044 million and $5,528 million, respectively, of the unrecognized tax benefits and accrued interest and penalties would, if recognized, benefit our effective income tax rate. We are subject to U.S. income tax examination for fiscal years 2018 and later. Certain of our acquired companies are subject to tax examinations in major jurisdictions outside of the U.S. for fiscal years 2008 and later. It is possible that our existing unrecognized tax benefits may change up to $499 million as a result of lapses of the statute of limitations for certain audit periods and/or audit examinations expected to be completed within the next 12 months.

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