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Commitments And Contingencies | 12 Months Ended
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Mar. 31, 2022
Commitments and Contingencies Disclosure [Abstract] |
Commitments And Contingencies | (14) COMMITMENTS AND CONTINGENCIES Development, Celebrity, League and Content Licenses: Payments and Commitments The products we produce in our studios are designed and created by our employee designers, artists, software programmers and by non-employee software developers (“independent artists” or “third-party developers”). We typically advance development funds to the independent artists and third-party developers during development of our games, usually in installment payments made upon the completion of specified development milestones. Contractually, these payments are generally considered advances against subsequent royalties on the sales of the products. These terms are set forth in written agreements entered into with the independent artists and third-party developers. In addition, we have certain celebrity, league and content license contracts that contain minimum guarantee payments and marketing commitments to promote the games we publish that may not be dependent on any deliverables. These developer and content license commitments represent the sum of (1) the cash payments due under non-royalty-bearing licenses and services agreements and (2) the minimum guaranteed payments and advances against royalties due under royalty-bearing licenses and services agreements, the majority of which are conditional upon performance by the counterparty. These minimum guarantee payments and any related marketing commitments are included in the table below. The following table summarizes all of our minimum contractual obligations as of March 31, 2022 (in millions):
|  |  | Fiscal Years Ending March 31,
| Total |  | 2023 |  | 2024 |  | 2025 |  | 2026 |  | 2027 |  | Thereafter
Unrecognized commitments |  |  |  |  |  |  |  |  |  |  |  |  |
Developer/licensor commitments | $ | 1,851 |  |  | $ | 316 |  |  | $ | 449 |  |  | $ | 434 |  |  | $ | 357 |  |  | $ | 81 |  |  | $ | 214 |
Marketing commitments | 837 |  |  | 231 |  |  | 206 |  |  | 191 |  |  | 125 |  |  | 54 |  |  | 30 |
Senior Notes interest | 836 |  |  | 49 |  |  | 55 |  |  | 55 |  |  | 54 |  |  | 36 |  |  | 587 |
Operating lease imputed interest | 32 |  |  | 8 |  |  | 6 |  |  | 5 |  |  | 3 |  |  | 2 |  |  | 8 |
Operating leases not yet commenced | 138 |  |  | 13 |  |  | 8 |  |  | 7 |  |  | 13 |  |  | 11 |  |  | 86 |
Other purchase obligations | 134 |  |  | 64 |  |  | 55 |  |  | 10 |  |  | 4 |  |  | 1 |  |  | — |
Total unrecognized commitments | 3,828 |  |  | 681 |  |  | 779 |  |  | 702 |  |  | 556 |  |  | 185 |  |  | 925 |
Recognized commitments |  |  |  |  |  |  |  |  |  |  |  |  |
Senior Notes principal and interest | 1,906 |  |  | 6 |  |  | — |  |  | — |  |  | 400 |  |  | — |  |  | 1,500 |
Operating leases | 353 |  |  | 78 |  |  | 67 |  |  | 51 |  |  | 43 |  |  | 29 |  |  | 85 |
Transition Tax and other taxes | 19 |  |  | 2 |  |  | 4 |  |  | 6 |  |  | 7 |  |  | — |  |  | — |
Total recognized commitments | 2,278 |  |  | 86 |  |  | 71 |  |  | 57 |  |  | 450 |  |  | 29 |  |  | 1,585 |
Total Commitments | $ | 6,106 |  |  | $ | 767 |  |  | $ | 850 |  |  | $ | 759 |  |  | $ | 1,006 |  |  | $ | 214 |  |  | $ | 2,510 |
The unrecognized amounts represented in the table above reflect our minimum cash obligations for the respective fiscal years, but do not necessarily represent the periods in which they will be recognized and expensed in our Consolidated Financial Statements. In addition, the amounts in the table above are presented based on the dates the amounts are contractually due as of March 31, 2022; however, certain payment obligations may be accelerated depending on the performance of our operating results. In addition to what is included in the table above, as of March 31, 2022, we had a net liability for unrecognized tax benefits and an accrual for the payment of related interest totaling $369 million, of which we are unable to make a reasonably reliable estimate of when cash settlement with a taxing authority will occur. Legal Proceedings The Netherlands Gambling Authority had asserted that the randomized selection of virtual items in the FIFA Ultimate Team game mode of our FIFA franchise contravened the Dutch Betting and Gaming Act. On March 10, 2022, the Council of State in the Netherlands found that this randomized selection of virtual items is not a game of chance under Dutch gambling law. This is a final decision by the Council of State, which is the highest administrative court in the Netherlands, and this matter is effectively closed. We are also subject to claims and litigation arising in the ordinary course of business. We do not believe that any liability from any reasonably foreseeable disposition of such claims and litigation, individually or in the aggregate, would have a material adverse effect on our Consolidated Financial Statements.

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