Professional Documents
Culture Documents
Board of Directors
Senior Partner at Sienna Ventures Joined InterDigital Board of Directors in March 2011 Former CEO and Chairman of Apple Computer, former President, CEO and Chairman of National Semiconductor, and former President of Rockwell Communication Systems Serves on the boards of directors of AT&T and Pro-Pharmaceuticals
Jean Rankin
Executive Vice President, General Counsel and Secretary, LSI Corporation Joined InterDigital Board of Directors in June 2010 Manages LSIs legal, intellectual property licensing and stock administration organizations Held executive leadership positions at Agere and Lucent Technologies
Board of Directors
Jeffrey Belk
Managing Director of ICT168 Capital, LLC Joined InterDigital Board of Directors in March 2010 Held executive positions at Qualcomm, responsible for strategy and market development, and prior to that, for global marketing Member of the Boards of Directors of Peregrine Semiconductor and the Wireless Life Sciences Alliance, and is also on the Advisory Boards of CommNexus, Roundbox, and NetroCity
John Kritzmacher
Executive Vice President and Chief Financial Officer, Global Crossing Limited Joined InterDigital Board of Directors in June 2009 Served as Chief Financial Officer at Lucent Technologies, where he managed functions including finance, accounting, treasury, tax, internal audit, investor relations and global real estate.
Board of Directors
William J. Merritt
President and Chief Executive Officer, InterDigital InterDigital President and CEO, and member of the Board of Directors since May 2005 Key role in building a program of licensing InterDigital's intellectual property and overseeing the growth in its patent licensing business Served as Executive Vice President, General Counsel and Secretary of InterDigital.
Edward Kamins
Principal Member, Upfront Advisors Joined InterDigital Board of Directors in December 2003 Served as Corporate Senior Vice President of Avnet Former member of Board of Directors of Calence (acquired by Insight Enterprises)
Board of Directors
Robert Roath
Chief Financial Officer (Retired), RJR Nabisco, Inc. Joined InterDigital Board of Directors in May 1997 Former strategic and financial executive with diversified corporate and operating experience with Colgate-Palmolive, General Foods, GAF Corporation and Price Waterhouse Serves as Chairman of the Board of Directors of Standard Parking and Chairman of the Advisory Board to L.E.K. Consulting
Managing Director for North America and Europe, Singapore Technologies Telemedia Joined InterDigital Board of Directors in April 1998 and was elected Chairman of the Board in January 2010 Served as President and Chief Executive Officer of StarHub in Singapore and continues to serve as a Non-Executive Director of StarHub Served as President and Chief Executive Officer and an executive Director of IPC Information Systems, and President of the Asia Pacific Region for BellSouth International Member of the Boards of Directors of eircom Limited in Ireland and Equinix and of the Executive Committee of the Board of Directors of Global Crossing Limited
PRESENTATION BY MANAGEMENT
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Envision
Invent
Protect
Evangelize
License
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$200.0 $297.4 $100.0 $163.1 $87.9 $52.6 $0.0 2001 2002 2003 2004 2005 2006 2007 2008 2009 $114.6 $103.7 $227.5 $234.2 $228.5
$394.5
2010
___________________________ 1. Red dotted bar represents $253mm of revenue recognition related to resolution of patent licensing matters with Nokia.
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$395
$400 $234 $200 $229 $297
40%
39%
29%
$0 2007 2008 2009 2010
20%
$3.43
11% 9%
___________________________ Note: All metrics are GAAP. Source: InterDigital financial statements. 1. Net margins represent net income applicable to common shareholders divided by revenues.
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14
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ENVISION
LICENSE
INVENT
EVANGELIZE
PROTECT
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(1)
8% 23% 5% 6%
Mixed
___________________________ Source: Strategy Analytics, Vendor Share: Global Handset Market by Technology, 3Q 2010. 3G includes UMTS and 3G CDMA. Market shares represent 3Q 2010. 1. LGs 3G license terminated on 12/31/2010 and has not yet been renewed.
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Trends
4G Shipments
1,600
Projected 1.2 billion unit opportunity in 3G / 4G in 2015 Target is to license 100% of 3G market 4G represents an opportunity for potentially higher royalties Significant prospects in other connected devices (tablets, PCs, ereaders, etc.)
1,200
~435 M units
Licensing Opportunity
~1,050 M units
800
4G (1) 3G 2G / 2.5G
Largely Licensed
400
0
2009A 2010E 2011E 2012E 2013E 2014E 2015E
___________________________ Source: iSuppli Mobile Handset Q1 2011 Market Tracker. 1. Includes WiMAX and LTE.
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Number of InterDigital US Patents and Applications Declared to ETSI for UMTS (WCDMA) and E-UMTS (LTE) (Cumulative, by Year)
1000 750
200
500
100
250
0 2007 2008 2009 2010
UMTS (WCDMA)
E-UMTS (LTE)
We believe we have one of the leading patent portfolios in LTE technology Significantly bigger opportunity in LTE as more devices available (tablets, e-readers, etc.) LTE royalty rates expected to be higher
___________________________ 1. The data in the tables presented above reflect the U.S. (i) patents, (ii) non-provisional patent applications and (iii) provisional patent applications declared to the European Telecommunications Standards Institute (ETSI) for the UMTS (including UMTS/CDMA) (3G) and E-UMTS (LTE) projects, as applicable, through October 27, 2010 by InterDigitals patent holding subsidiaries. 2. UMTS and E-UMTS stand for Universal Mobile Telecommunications System and Evolved Universal Mobile Telecommunications System, respectively. 3. Some patents and applications have been declared to ETSI by InterDigital for both UMTS and E-UMTS and therefore are included in both the UMTS and the E-UMTS data above. 4. The data above has been adjusted to reflect withdrawals of, and corrections made to, declarations of patents and applications as of October 27, 2010. 5. Certain of the patent and application data provided above by InterDigital may not correlate to the data available on the ETSI IPR Database as a result of differences in compiling, organizing and displaying declaration data. In addition, the patent and application data provided above may not be comparable to similar data provided by other third parties due to, among other things, differences in ETSI database search methodologies and applicable time periods. 6. The data in the tables above may include patents and applications that are directed to technology that is not, or may never be, deployed. 7. InterDigitals presentation of this data is not a statement of the essentiality of the patents and applications referred to herein, nor is this data a substitute for an independent evaluation of essentiality.
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Sensors
Cellular
Ambiance
Femto
Mesh
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Standards Success
Standards incorporation enables InterDigital to license technology that is used in every cellular wireless device Extensive licensing expertise, with 80% of 2G and 50% of 3G mobile device markets licensed at YE 10 ~18,500 issued and pending patents as of 12/31/2010 Financial strength enables us to build portfolio both organically and through acquisitions Investment targeted at driving both new and renewed license agreements at higher royalty rates
Sustainable Model
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