Digimarc Corporation · NASDAQ:DMRC
Digimarc — Investor Presentation (September 2014)
17 slides from Digimarc's investor presentation, September 2014
Slide 1: Company Overview
Company Overview September 2014 ©2014 Digimarc Corporation
Slide 2: Safe Harbor Statement
Safe Harbor Statement Before we proceed, please note that during the course of this presentation we will be making certain forward-looking statements. These statements are subject to many assumptions, risks, uncertainties and changes in circumstances. Any assumptions we offer about future performanc
Slide 3: Overview
Overview Twenty Years of R&D • R&D: digital watermarking; automatic ID of media • Security: currency; government-issued IDs; movies, digital images, e-books • Marketing: audience measurement for television and radio • Patent licensing Core Strengths/Competitive Advantage • Signal processing experts;
Slide 4: Strong Patent Position
Strong Patent Position • 1276 total patent assets • 848 patents issued • 428 applications pending • Exponential patent growth since inception • Majority of mature patents licensed to IV in 2010 • Recent significant increases in R&D and patent department staffing • Escalating rate of patent filings •
Slide 5: Future of Search is Discovery in the Internet of Everything (IOE)
Future of Search is Discovery in the Internet of Everything (IOE) • Virtually everything will be connected to the Internet • Every object that can have a network identity should have one • ID is the foundation of knowledge • Knowledge motivates and directs actions • ID must be reliable or derived kn
Slide 6: Digimarc Intuitive Computing Platform (ICP)
Digimarc Intuitive Computing Platform (ICP) • Digimarc pioneered ICP in 2008, enabling the Digimarc® Discover application and the capture of critical IP before this trend gathered momentum • “Seeing & Hearing” devices can engage user/wearer at point of inspiration during daily life • ICP mobile plat
Slide 7: Digimarc Discover Platform for Retailers and Brands
Digimarc® Discover Platform for Retailers and Brands • Comprehensive omni-channel solution for retailers and brands • Major system components • Encoding – via highly-scalable self-service web portal (SaaS) for publications, packaging, music, radio and TV • Decoding – free software for consumer devic
Slide 8: Digimarc Discover Empowers Mobile-centric Shopper's Journey
Digimarc® Discover Empowers Mobile-centric Shopper’s Journey • Pervasive, intuitive virtual interface between brands and mobile-centric consumers • Effortless discovery across all touchpoints of Shopper’s Journey • Capture impressions for increased engagement • Impulse purchase or save for later • D
Slide 9: Digimarc High Performance Barcode
Digimarc High Performance Barcode GUINNESS WORLD RECORD! • Industry average throughput (general merchandise): ~24 items/min. (125 sec.) • Previous world record for checking and bagging 50 items: ~40 items/min. (75 sec.) • Digimarc’s new world record: ~62 items/min. (48 sec.) — Slide 9 — ©2014 Digima
Slide 10: Digimarc Barcode Demonstration
Digimarc® Barcode Demonstration To watch the video, visit http://www.digimarc.com/retail#detection — Slide 10 — ©2014 Digimarc Corporation
Slide 11: Digimarc Barcode: Billions in Savings to Retailers?
Digimarc® Barcode: Billions in Savings to Retailers? • GS1 manages global barcode system to reliably and uniquely identify physical things in well-articulated standardized taxonomy • Two million companies in 150 countries are registered users • 6 billion scans per day • Nonprofit trade association w
Slide 12: Digimarc Barcode Rollout
Digimarc® Barcode Rollout POS Scanners • Retailers beginning process of transitioning stores from laser to imaging scanners • World leader, Datalogic, launch platform • Other manufacturers to follow as delivery of imaging scanners expands Retailers • Start with Digimarc-enabling retailer private lab
Slide 13: Management Recognition Agent API
Digimarc ICP Anticipated Evolution of Search to Mobile PREFERRED PATH TO PURCHASE (Accurate & Easy) TIMELINE: eBay/Red Laser 1973 Universal Product Code (barcode) 1D Barcode (2B/day) ICP State Machine 1992 Digimarc Services WM Content Network • mCommerce (Avails) Engine 1994 Denso QR Code ACCURACY •
Slide 14: Business Model
Business Model Subscriptions and Services • Counterfeit deterrence system • Guardian for images, e-books, other media • Integration and customization Patent Licensing • IV patent license profit participation • 2nd wave monetization Registration and Encoding • Price/Digimarc® ID annual subscriptions
Slide 15: Opportunities and Risk Management
Opportunities and Risk Management Opportunities • Engagement with Tier 1 retailers and brands • Partnerships with leading infrastructure owners • POS scanners – Datalogic: #1 • Packaging – Amcor: #1 • Printing – HP: #1 • Mobile devices – Qualcomm: 50% smartphone app processor market • Banking and pa
Slide 16: Investment Highlights
Investment Highlights Solid financial position • 2013: Revenues: $35mm / EBITDAS: $4mm / R&D: $12mm • Strong balance sheet (6/30/14): $28mm cash and investments / no debt / current ratio: 8:1 • $100mm shelf registration; $30mm at-the-market offering managed by Wells Fargo History of delivering value
Slide 17: August 2008 • Bruce Davis
// August 2008 • Bruce Davis ©2010 Digimarc Corporation | Company Confidential