Interdigital, Inc. · NASDAQ:IDCC
Interdigital — Drexel Hamilton Telecom, Media & Technology Conference 2015
16 slides from Interdigital's conference presentation, Sep 10, 2015
Slide 1: InterDigital – Drexel Hamilton Conference
INTERDIGITAL Drexel Hamilton Conference New York City, Sep. 10, 2015 1
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: InterDigital: a Mobile Research and Development Company
InterDigital: a Mobile Research and Development Company 3
Slide 4: Four Decades of Invention, Collaboration, and Contribution
Four Decades of Invention, Collaboration, and Contribution • Pioneer in digital wireless technologies • Key contributions to global wireless standards • Inventing solutions for more efficient broadband networks • ~170 engineers (~80% of whom hold advanced degrees) © 2015 InterDigital, Inc. All right
Slide 5: The Fabric of a Great R&D–Based Licensing Company
The Fabric of a Great R&D–Based Licensing Company 5 5 © 2015 InterDigital, Inc. All rights reserved.
Slide 6: Core R&D: the Foundation of our Success
Core R&D: the Foundation of our Success • InterDigital has been at the forefront of core wireless standards research through 2G, 2.5G, 3G, 4G/LTE, alongside companies like Qualcomm, Nokia, Ericsson, Samsung and others • The company has also led standards research into IoT and M2M communications, bui
Slide 7: Contributing Technology Worldwide
Contributing Technology Worldwide • Over the last decade, InterDigital engineers attended hundreds of official, and countless ad‐hoc, industry conferences around the world • Our engineers have contributed inventions to IEEE, IETF, 3GPP, ITU, ETSI and MPEG standards, among others • In 2014 alone, Int
Slide 8: The Living Network – Guiding R&D and Investments
The Living Network™ – Guiding R&D and Investments What type of data is being What is the situation and need of the delivered, for what purpose and Content Context connected person/device, and how with what security & quality does that impact connectivity and requirements? content delivery? Connectiv
Slide 9: Fair Licensing Practices, Reflecting a Constructive Approach
Fair Licensing Practices, Reflecting a Constructive Approach • Our customers include many of the top wireless companies in both devices and infrastructure, including Samsung, Ericsson, Sony, Sierra Wireless and others • Of the more than 60 licenses and amendments we’ve signed in the past 10 years, t
Slide 10: Commercial Initiatives: Driving Value, Areas of Engagement
Commercial Initiatives: Driving Value, Areas of Engagement • Some of our research initiatives result in platforms or capabilities that can have commercial application in the near or mid‐term • Our diversified strategy for realizing the potential of those technologies includes incubation, external st
Slide 11: Growth in Recurring Revenue – a Staged Approach
Growth in Recurring Revenue – a Staged Approach Licensing of major China players (Huawei, ZTE, Xiaomi, Lenovo) focus of next growth efforts 600 Q2 2014: Successful licensing of IoT market leader drives run rate to 400 ~$300M Q4 2013: Recurring revenue yearly 5G run rate crosses $200M on launch of 20
Slide 12: Bringing it All Together: a Model with Tremendous Operating Leverage
Bringing it All Together: a Model with Tremendous Operating Leverage Recurring revenue is comprised of current $120.0 $0.80 patent royalties and current patent solutions $0.70 revenue. $100.0 $0.60 Pro forma operating expense is a non‐GAAP $80.0 financial measure that $0.50 excludes from total opera
Slide 13: And Focused on Returning Cash to Shareholders
And Focused on Returning Cash to Shareholders Return of Capital $250.0 $200.0 $83.1 $23.7 $150.0 $100.0 $170.9 $14.7 $152.7 $50.0 $12.4 $71.3 $32.0 $‐ Millions 2012 2013 2014 2015* Share Repurchases Dividends *2015 share repurchases represent year‐to‐date totals as disclosed on July 30, 2015. Divide
Slide 14: Pro Forma Operating Expense Reconciliation
Pro Forma Operating Expense Reconciliation Q1 '13 Q2 '13 Q3 '13 Q4 '13 Q1 '14 Q2 '14 Q3 '14 Q4 '14 Q1 '15 Q2 '15 Total Operating Expenses $ 62.4 $ 55.0 $ 61.5 $ 61.7 $ 57.9 $ 65.9 $ 62.3 $ 60.8 $ 59.1 $ 60.0 Intellectual property enforcement and non‐patent litigation (20.7) (17.5) (18.6) (18.8) (16.
Slide 15: Questions
Questions INTERDIGITAL. (@3)
Slide 16: InterDigital
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