Slide 1: 2024 Q3 Investor Conference
2024第三季法人說明會 Nov 8th, 2024 Embedded Wisely, Embedded Widely Embedded Wisely, Embedded Widely
Slide 2: Intellectual Property Statement
智慧財產權聲明 All rights, titles and interests contained in this information, texts, images, figures, tables or other files herein, including, but not limited to, its ownership and the intellectual property rights, are reserved to eMemory. This information may contain privileged and confidential informati
Slide 3: Forward-Looking Statements
投資安全聲明 This presentation contains forward-looking statements, which are subject to risk factors associated with semiconductor and intellectual property business. It is believed that the expectations reflected in these statements are reasonable. But they may be affected by a variety of variables, man
Slide 4: Contents
內容 1 Review of Operations 2 Future Outlook 3 eMemory Enables HPC in AI Applications 4 Q&A 5 Appendix Embedded EmbeddedWisely, Wisely,Embedded EmbeddedWidely Widely 4
Slide 5: Review of Operations
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Slide 6: Q3 Consolidated Income Statement
第三季綜合損益表 (thousands of NT dollars) Q1-Q3 Q1-Q3 Change Q3 2024 Q2 2024 QoQ Q3 2023 YoY 2024 2023 (YoY) Revenue 899,477 893,010 0.7% 787,091 14.3% 2,595,251 2,151,467 20.6% Gross Margin 100% 100% - 100% - 100% 100% - Operating Expenses 394,561 397,829 -0.8% 369,873 6.7% 1,174,533 998,395 17.6% Operati
Slide 7: Q3 Revenue Analysis – Licensing & Royalty
第三季營收分析 – 授權金&權利金 (NT$ K) 24Q3 in comparison to 24Q2 Revenue Breakdown $1,000,000 24Q2 24Q3 Royalty 67.7% $500,000 $0 Licensing Licensing Royalty 32.3% Revenue Change Change Q1-Q3 Q1-Q3 Change NT$ Thousands Q3 2024 Q2 2024 Q3 2023 (QoQ) (YoY) 2024 2023 (YoY) Licensing 290,639 299,711 -3.0% 259,151 1
Slide 8: Q3 Revenue Analysis – Technology
第三季營收分析 – 產品線 Q3 2024 Total Revenue Licensing Revenue Royalty Revenue Technology % of Q3 Change Change % of Q3 Change Change % of Q3 Change Change Revenue (QoQ) (YoY) Licensing (QoQ) (YoY) Royalty (QoQ) (YoY) NeoBit 27.7% 7.3% 32.6% 31.2% 23.2% 27.8% 26.0% -0.1% 35.5% NeoFuse 58.4% 1.3% 5.3% 30.9% -
Slide 9: Q3 Revenue Analysis – Wafer Size
第三季營收分析 – 晶圓尺寸 Q3 Royalty Breakdown • 8-inch wafers contributed 40.9% of royalty, down 1.2% 12-inch sequentially but up 30.0% yearly. 59.1% • 12-inch wafers contributed 59.1% of royalty, up 5.5% QoQ and up 7.0% YoY. 8-inch 40.9% Q3 2024 Q1-Q3 2024 Wafer Size % of Q3 Change (QoQ) Change (YoY) % of Q1
Slide 10: Future Outlook
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Slide 11: Future Outlook: Licensing & Royalty
未來展望 Licensing & Royalty: ◼ Licensing: – Licensing revenue will continue its growth momentum due to strong demands from both foundries and chip companies. ◼ Royalties: – We expect royalty will continue its growth momentum as accumulated tape outs in 16/12/7/6nm enter the production stage, along with
Slide 12: Future Outlook: New IP Technology & Business Development
未來展望 New IP Technology & Business Development: ◼ New IP Technologies: − NeoFuse/NeoPUF were successfully verified in the N3P process, with design in and evaluation cases ongoing. − NeoMTP for 4-color ESL/e-Paper display driver has been successfully verified in customer products and will soon ramp up
Slide 13: eMemory Enables HPC in AI Applications
eMemory Enables HPC in AI Applications Embedded Wisely, Embedded Widely 13
Slide 14: Why is High-Density SRAM needed in AI?
Why is High-Density SRAM needed in AI? ◼ To increase the speed of AI accelerators, high-density SRAM is needed for use in: Computing in Memory Buffer Memory AI Model Training (CIM) for Inference • High-density SRAM helps • High-density SRAM helps • High-density SRAM improve data transfer store vast
Slide 15: eMemory enables High-Yielding SRAM
eMemory enables High-Yielding SRAM ◼ SRAM yield decreases as technology is scaled due to smaller dimensions. To increase yield, eMemory’s OTP is required. ① Obtains location of bad memory cell Stored in eMemory OTP / Smaller OTP size ② Stores location of bad memory cell eFuse compared to eFuse: ③ Ta
Slide 16: Partnering for Success: eMemory and Siemens
Partnering for Success: eMemory and Siemens Siemens FuseBox eMemory provides OTP with interface for Siemens Tessent MBIST: eMemory NeoFuse ▪ Tessent provides memory BISR functions with BIST and BIRA BIST ▪ NeoFuse OTP provides defect-free OTP using RAM BIRA, BISR and adapter to Tessent BIRA ▪ New MB
Slide 17: On-System Repair for AI Accelerators
On-System Repair for AI Accelerators ◼ Memory Built-in Self-Test (MBIST) offers on-system repair capabilities, which are essential for high- speed high-reliability applications and chiplet architecture or after system packaging. CP/FT (Testing Phase) After Packaging On-System (e.g. AI Servers, Autom
Slide 18: eMemory enables HPC in AI Applications
eMemory enables HPC in AI Applications ◼ eMemory’s OTPs can also store boot codes, root key and unique ID for the root of trust in AI systems. Without eMemory OTP With eMemory OTP SoC/Host AI System SoC/Host AI System CPU (Unprotected) CPU (Protected) DRAM Assets DRAM Assets Training Data AI Core Tr
Slide 19: Q&A
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Slide 20: Appendix
Appendix Embedded Wisely, Embedded Widely 20
Slide 21: Company Overview
Company Overview ▪ eMemory is the global leader of embedded non-volatile memory IP Revenue Trend (Unit: NT$ 1,000) 3,500,000 Royalty License/Design Revenue 3,000,000 2,500,000 2,000,000 1,500,000 1,000,000 500,000 0 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021
Slide 22: Quarterly Revenue Pattern
Quarterly Revenue Pattern ▪ 1st month: Receive License Fees of the month and Royalty from most foundries on previous quarter’s wafer shipments. ▪ 2nd month: Receive License Fees of the month and Royalty from other foundries. ▪ 3rd month: License Fees Only. (Unit: NT$ 1,000) 2019 2020 2021 2022 2023
Slide 23: Quarterly Number of New Tape-outs
Quarterly Number of New Tape-outs 2018 2019 2020 2021 2022 2023 2024 (Unit: IP Numbers) 200 184 179 180 171 149 154 150 149 154 160 143 150 138 143 137 147 139 134 136 140 120 111 107 109 109 103 100 97 100 91 89 86 80 60 40 20 0 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q
Slide 24: Worldwide Customers
Worldwide Customers ▪ Our IP solutions are adopted by leading foundries, IDMs and fabless worldwide Country Foundry IDM Fabless Taiwan 4 1 343 China 11 0 1313 max_logo_header_25yrs Korea 4 0 101 Japan 1 9 87 North 2 2 359 America Europe 2 2 234 Others 1 0 120 Embedded Wisely, Embedded Widely 24
Slide 25: Business Model
Business Model ▪ Recurring royalty is the backbone of our business ▪ 70-75% revenue are from royalty based on wafer production ▪ More adoption = more volume shipment ▪ More advanced node wafers = higher ASP per wafer Revenue Breakdown 1-4 years 1-4 years License Fee Design License Fee Royalty Foundr
Slide 26: Technology Licenses
Technology Licenses Number of Licenses 2024 Year 2016 2017 2018 2019 2020 2021 2022 2023 Q1-Q3 License 43 20 26 18 28 32 29 48 22 Note: Terms (including number of process platforms and licensing fees) for each technology license are set contractually. Payments are made according to set milestones, a
Slide 27: Technology Development
Technology Development ▪ Developments by process nodes 12" Fabs Production Development IP Type Process Type 2nm 0 1 OTP GAA 3nm 0 4 OTP, PUF FF, FFP 4/5nm 6 2 OTP, PUF FF, FF-Auto 6/7nm 4 1 OTP, PUF FF, FF+ 12/16nm 9 10 OTP, PUF FF, FF+, FFC. FFC+, LPP, DRAM, HV LP/ULP/ULL, HPC/HPC+, HV-OLED, DRAM,
Slide 28: For more information, please visit
Embedded Wisely, Embedded Widely For more information, please visit: eMemory Website: https://www.ememory.com.tw/ PUFsecurity Website: https://www.pufsecurity.com/ Embedded Wisely, Embedded Widely 28