Interdigital, Inc. · NASDAQ:IDCC
Interdigital — Needham Growth Conference 2018
13 slides from Interdigital's conference presentation, Jan 18, 2018
Slide 1: InterDigital Needham Growth Conference
InterDigital (Nasdaq: IDCC) Needham Growth Conference January 18, 2018 © 2018 InterDigital, Inc. All Rights Reserved.
Slide 2: Forward-looking Statements
Forward-looking Statements • This presentation contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, regarding InterDigital, Inc.’s current beliefs, plans and expectations,
Slide 3: A Long History of Leadership in Mobile Technology
3 A Long History of Leadership in Mobile Technology • Over four decades of mobile innovation, and pioneers in digital wireless • ~180 R&D staff in six R&D locations around the world • Our engineers have contributed inventions to IEEE, IETF, 3GPP, ITU, ETSI and MPEG standards, among others • InterDig
Slide 4: Standards: a Single Research-based Channel to an Entire Industry
4 Standards: a Single Research-based Channel to an Entire Industry Standards bodies define tech needs Needs addressed by existing and ongoing core R&D Solutions presented to standards working groups Solutions adopted in standard Manufacturers choose to implement standard, pay innovators for R&D via
Slide 5: A Track Record of Wireless Innovation, Participation & Leadership in Key Standards Organizations
5 A Track Record of Wireless Innovation, Participation & Leadership in Key Standards Organizations • We cover a broad but related group of standards bodies and industry forums • Strongest focus • Cellular: 3GPP • Wi-Fi: 802.11 • Networks: IETF • Also • ETSI, ITU, MPEG… • Vice Chair 3GPP RAN2: 2013-2
Slide 6: Leadership in Key Existing Technologies
Leadership in Key Existing Technologies • 3G: InterDigital accounted for close to 10% of the patents and patent applications judged likely to be essential to WCDMA – the third-highest share out of more than 40 companies (May 2015) • 4G: InterDigital accounted for close to 10% of the patents and pate
Slide 7: And Continued Leadership into 5G
And Continued Leadership into 5G 7 ~9X increase in 3GPP standards participation in past decade Strong emphasis on collaboration, especially with licensees LTE LTE-A LTE-Adv Pro 5G NR 0 2000 4000 6000 8000 10000 12000 14000 0 50 100 150 200 250 300 350 400 450 04 05 06 07 08 09 10 11 12 13 14 15 16 I
Slide 8: Long-term + Diverse Licensees: Bringing Stability to a High-growth but Volatile Segment
Long-term + Diverse Licensees: Bringing Stability to a High-growth but Volatile Segment 8 All third party trademarks, service marks and/or tradenames used herein are the property of their respective owners. Business fortunes can change fast in the mobile industry… but after collecting close to $250
Slide 9: Award-winning IoT Solutions
Award-winning IoT Solutions 9 2015 ABI Research Hot Tech Innovator 2015 IoT Nexus Power Players and Innovators Best IoT Product at ARM TechCon 2014 2016 MarketsandMarkets Key Innovator *All third party trademarks, service marks and/or tradenames used herein are the property of their respective owner
Slide 10: M&A Strategy: Add Value to Customers + Tap New Markets
M&A Strategy: Add Value to Customers + Tap New Markets 10 >$500B market in 2016 …while opening new markets New technologies add value to core offering… $65B market in 2021, from <$2B in 2016 $27.5B market in 2021, from <$13B in 2016 $49B market in 2021, from <$13B in 2016 $10B consumer market, $227B
Slide 11: Continued Efforts to Return Value to Shareholders
Continued Efforts to Return Value to Shareholders 11 In September 2017, announced increase in dividend to $0.35/share, third dividend increase since 2014 2014 buyback authorization increased twice, now at $500M with ~$180M left © 2018 InterDigital, Inc. All rights reserved.
Slide 12: US Tax Reform - Financial Statement Impact
US Tax Reform- Financial Statement Impact While we are continuing to review the 2017 US Tax Cuts and Jobs Act (Tax Act), which lowers the U.S. Corporate tax rate to 21%, we want to highlight two items: (1) • On a go-forward basis, we currently expect a significant portion of our income to qualify as
Slide 13: Thank you
Thank you © 2018 InterDigital, Inc. All rights reserved.