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Table of Contents VMware, Inc.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (continued)
Other 2012 Business Combinations
During the year ended December 31, 2012, VMware completed five business combinations in addition to Nicira, which were not material to
VMware’s consolidated financial statements, either individually or in the aggregate. The aggregate consideration for these five acquisitions was
$261 million , net of cash acquired. The following table summarizes the allocation of the consideration to the fair value of the intangible assets
acquired and net liabilities assumed (table in millions):
Of the goodwill acquired, $15 million is deductible for income tax purposes.
Joint Venture
During the year ended December 31, 2014 , VMware established a joint venture intended to expand VMware vCloud Air services (formerly
vCloud Hybrid Service) in Japan. Cash contributions of $8 million and $7 million were made by VMware and the non-controlling interests,
respectively, in proportion to their respective ownership interests. At December 31, 2014
, VMware had a controlling interest in the joint venture
and approximately 51%
of the ownership. Accordingly, VMware consolidated the financial results of the joint venture. The share of the earnings
in the joint venture attributable to the non-controlling interests was not material during the year ended December 31, 2014 .
Definite
-Lived Intangible Assets, Net
The following table summarizes the changes in the carrying amount of definite-lived intangible assets for the years ended December 31,
2014 and 2013 (table in millions):
75
Intangible assets
$
88
Goodwill
187
Total intangible assets acquired
275
Deferred tax liabilities, net
(8
)
Other assumed liabilities, net of other acquired assets
(6
)
Total net liabilities assumed
(14
)
Fair value of intangible assets acquired and net liabilities assumed
$
261
December 31,
2014
2013
Balance, beginning of the year
$
607
$
732
Additions to intangible assets related to business combinations
278
62
Disposition of certain business activities (Refer to Note C) —
(
54
)
Contribution to Pivotal (Refer to Note N) —
(
28
)
Amortization Expense
(141
)
(107
)
Other adjustments
4
2
Balance, end of the year
$
748
$
607