Table of Contents APPLIED MATERIALS, INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued) Gross realized gains and losses on sales of investments for each fiscal year were as follows: At October 25, 2020, gross unrealized losses related to Applied’s debt investment portfolio were not material. Applied regularly reviews its debt investment portfolio to identify and evaluate investments that have indications of possible impairment. Factors considered in determining whether an unrealized loss is considered to be temporary, or other-than-temporary and therefore impaired, include: the length of time and extent to which fair value has been lower than the cost basis; the financial condition, credit quality and near-term prospects of the investee; and whether it is more likely than not that Applied will be required to sell the security prior to recovery. Applied determined that the gross unrealized losses on its marketable fixed-income securities at October 25, 2020, October 27, 2019 and October 28, 2018 were temporary in nature and therefore it did not recognize any impairment of its marketable fixed-income securities for fiscal 2020, 2019 or 2018. During fiscal 2020, 2019 and 2018, impairment charge on equity investments in privately-held companies were not material. These impairment charges are included in interest and other income, net in the Consolidated Statement of Operations. Unrealized gains and losses on investments classified as equity investments are recognized in other income (expense), net in the Consolidated Statement of Operations. Prior to the adoption of Accounting Standards Update (ASU) 2016-01  Financial Instruments-Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities  in the first quarter of fiscal 2019, these unrealized gains and temporary losses were included within accumulated other comprehensive income (loss), net of any related tax effect. The components of gain (loss) on equity investments for each fiscal year were as follows: 77 2020 2019 (In millions) Publicly traded equity securities Unrealized gain $ 14  $ 28  Unrealized loss (17) (5) Realized gain on sales 1  2  Equity investments in privately-held companies Unrealized gain 18  13  Unrealized loss (7) (6) Realized gain on sales 8  5  Realized loss on sales or impairment (8) (1) Total gain (loss) on equity investments, net $ 9  $ 36  2020 2019 2018 (In millions) Gross realized gains $ 19  $ 10  $ 29  Gross realized losses $ 2  $ 2  $ 3  Gains and Losses on Investments