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Segment and Other Supplemental Information | 6 Months Ended
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Jun. 30, 2016
Segment Reporting [Abstract] |
Segment and Other Supplemental Information | Segment and Other Supplemental Information Effective January 1, 2016, Teradata implemented an organizational change in which it now manages the Company's business under two geographic regions and the marketing applications division (prior to its completed sale on July 1, 2016); which are also the Company’s operating segments: (1) Americas Data and Analytics (North America and Latin America); (2) International Data and Analytics (Europe, Middle East, Africa, Asia Pacific and Japan); and (3) Marketing Applications. For purposes of discussing results by segment, management excludes the impact of certain items, consistent with the manner by which management evaluates the performance of each segment. This format is useful to investors because it allows analysis and comparability of operating trends. It also includes the same information that is used by Teradata management to make decisions regarding the segments and to assess financial performance. The chief operating decision maker evaluates the performance of the segments based on revenue and multiple profit measures, including segment gross margin. For management reporting purposes assets are not allocated to the segments. Prior period segment information has been reclassified to conform to the current period presentation. Going forward, following the sale of the marketing applications business, Teradata will manage its business in two operating segments: (1) Americas region (North America and Latin America); and (2) International region (Europe, Middle East, Africa, Asia Pacific and Japan). The following table presents segment revenue and segment gross margin for the Company:
| Three Months Ended June 30, |  | Six Months Ended June 30,
In millions | 2016 |  | 2015 |  | 2016 |  | 2015
Segment revenue |  |  |  |  |  |  |
Americas Data and Analytics | $ | 325 |  |  | $ | 348 |  |  | $ | 620 |  |  | $ | 684 |
International Data and Analytics | 239 |  |  | 237 |  |  | 455 |  |  | 445 |
Total Data and Analytics | 564 |  |  | 585 |  |  | 1,075 |  |  | 1,129 |
Marketing Applications | 35 |  |  | 38 |  |  | 69 |  |  | 76 |
Total revenue | 599 |  |  | 623 |  |  | 1,144 |  |  | 1,205 |
Segment gross margin |  |  |  |  |  |  |
Americas Data and Analytics | 183 |  |  | 204 |  |  | 347 |  |  | 383 |
International Data and Analytics | 116 |  |  | 118 |  |  | 213 |  |  | 211 |
Total Data and Analytics | 299 |  |  | 322 |  |  | 560 |  |  | 594 |
Marketing Applications | 16 |  |  | 16 |  |  | 33 |  |  | 31 |
Total segment gross margin | 315 |  |  | 338 |  |  | 593 |  |  | 625 |
Stock-based compensation costs | (3 | ) |  | (3 | ) |  | (7 | ) |  | (7 | )
Amortization of acquisition-related intangible assets costs | — |  |  | (6 | ) |  | (2 | ) |  | (11 | )
Acquisition, integration and reorganization-related costs | (2 | ) |  | (2 | ) |  | (5 | ) |  | (3 | )
Selling, general and administrative expenses | 172 |  |  | 190 |  |  | 346 |  |  | 374 |
Research and development expenses | 51 |  |  | 59 |  |  | 108 |  |  | 122 |
Impairment of goodwill, acquired intangibles and other assets | — |  |  | 340 |  |  | 80 |  |  | 340 |
Income (loss) from operations | $ | 87 |  |  | $ | (262 | ) |  | $ | 45 |  |  | $ | (232 | )
On July 1, 2016, Teradata completed the sale of our Marketing Applications business to exclusively focus on our data and analytics business as part of our business transformation plan. See note 14 for additional details. The following table presents revenue by product and services for the Company:
| Three Months Ended June 30, |  | Six Months Ended June 30,
In millions | 2016 |  | 2015 |  | 2016 |  | 2015
Products (software and hardware)(1) | $ | 228 |  |  | $ | 256 |  |  | $ | 422 |  |  | $ | 497 |
Consulting services | 192 |  |  | 194 |  |  | 371 |  |  | 366 |
Maintenance services | 179 |  |  | 173 |  |  | 351 |  |  | 342 |
Total services | 371 |  |  | 367 |  |  | 722 |  |  | 708 |
Total revenue | $ | 599 |  |  | $ | 623 |  |  | $ | 1,144 |  |  | $ | 1,205 |
(1) Our analytic database software and hardware products are often sold and delivered together as an integrated technology solution in the form of a “node” of capacity. Accordingly, it is impracticable to provide the breakdown of revenue from various types of software and hardware products.

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- Definition The entire disclosure for reporting segments including data and tables. Reportable segments include those that meet any of the following quantitative thresholds a) it's reported revenue, including sales to external customers and intersegment sales or transfers is 10 percent or more of the combined revenue, internal and external, of all operating segments b) the absolute amount of its reported profit or loss is 10 percent or more of the greater, in absolute amount of 1) the combined reported profit of all operating segments that did not report a loss or 2) the combined reported loss of all operating segments that did report a loss c) its assets are 10 percent or more of the combined assets of all operating segments. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 34 -URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8981-108599 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 41 -URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e9038-108599 Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 33 -URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8971-108599 Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 12 -URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8595-108599 Reference 5: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8380-108599 Reference 6: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 32 -URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8933-108599 Reference 7: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 26 -URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8844-108599 Reference 8: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 35 -URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8984-108599 Reference 9: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 40 -URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e9031-108599 Reference 10: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 42 -URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e9054-108599 Reference 11: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 10 -URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8538-108599 Reference 12: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 29 -URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8864-108599 Reference 13: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 31 -URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8924-108599 Reference 14: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 30 -URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8906-108599 + Details
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