v3.23.1
UNEARNED REVENUE
 9 Months Ended
Mar. 31, 2023
Revenue From Contract With Customer [Abstract]  
UNEARNED REVENUE

NOTE 12 — UNEARNED REVENUE

Unearned revenue by segment was as follows:

 

(In millions)

 

 

 

 

 

 

 

 

March 31,

2023

June 30,
2022

 

 

Productivity and Business Processes

$

20,504

$

24,558

Intelligent Cloud

15,552

19,371

More Personal Computing

3,545

4,479

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total

$

39,601

$

48,408

 

 

 

 

 

 

 

 

 

Changes in unearned revenue were as follows:

 

(In millions)

 

 

Nine Months Ended March 31, 2023

 

 

Balance, beginning of period

$

48,408

 

Deferral of revenue

78,046

 

Recognition of unearned revenue

(86,853

)

 

 

 

 

 

Balance, end of period

$

39,601

 

 

 

Revenue allocated to remaining performance obligations, which includes unearned revenue and amounts that will be invoiced and recognized as revenue in future periods, was $201 billion as of March 31, 2023, of which $196 billion is related to the commercial portion of revenue. We expect to recognize approximately 45% of this revenue over the next 12 months and the remainder thereafter.