Goodwill and Intangible Assets

3 Months Ended

Dec. 31, 2020

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill

The following analysis details the changes in goodwill for each reportable segment:


	Recorded Music		Music Publishing		Total
	(in millions)
Balances at September 30, 2020	$	1,367	$	464	$	1,831
Acquisitions	—		—		—

Other adjustments (a)	20		—		20
Balances at December 31, 2020	$	1,387	$	464	$	1,851

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(a)Other adjustments during the three months ended December 31, 2020 represent foreign currency movements

The Company performs its annual goodwill impairment test in accordance with ASC 350, Intangibles—Goodwill and Other (“ASC 350”) during the fourth quarter of each fiscal year as of July 1. The Company may conduct an earlier review if events or circumstances occur that would suggest the carrying value of the Company’s goodwill may not be recoverable. No indicators of impairment were identified during the current period that required the Company to perform an interim assessment or recoverability test.

Intangible Assets

Intangible assets consist of the following:


	Weighted-Average Useful Life	December 31, 2020		September 30, 2020
		(in millions)
Intangible assets subject to amortization:
Recorded music catalog	11 years	$	1,028	$	876
Music publishing copyrights	26 years	1,721		1,597
Artist and songwriter contracts	13 years	994		862
Trademarks	16 years	83		81
Other intangible assets	6 years	87		84
Total gross intangible asset subject to amortization		3,913		3,500
Accumulated amortization		(1,945)		(1,847)
Total net intangible assets subject to amortization		1,968		1,653
Intangible assets not subject to amortization:
Trademarks and tradenames	Indefinite	156		154
Total net intangible assets		$	2,124	$	1,807

The increase in intangible assets during the three months ended December 31, 2020 primarily relates to two acquisition transactions of music-related assets within recorded music catalogs, music publishing copyrights, and artist and songwriter contracts for approximately $318 million.