Adeia (ADEA) The 38th Annual Roth Conference summary

Company overview and transformation

• Separated from Xperi in October 2022, focusing on technology R&D and patent monetization.

• Patent portfolio expanded from 9,500 to over 13,750 assets in three years.

• Media and semiconductor portfolios originate from TiVo, Rovi, Tessera, and Ziptronix technologies.

• Invention and industry partnerships are core to the business model.

Media business evolution

• Media now represents over 90% of revenue, with pay-TV declining to 35-40% of revenue in 2024.

• Strategic shift to OTT, e-commerce, and social media to offset pay-TV decline.

• Secured major OTT deals with Amazon and Disney, demonstrating portfolio strength.

• Media IP includes search/recommendation, CDN, user interface, and imaging technologies.

• Customer pipeline has diversified and grown, especially in e-commerce and OTT.

Semiconductor and hybrid bonding

• Hybrid bonding identified as a key platform technology for logic and memory.

• AMD was the first major logic customer, setting a precedent for industry adoption.

• Semiconductor revenue grew from $18M to $26M, with a target of $100M recurring revenue.

• Broadcom, Intel, Marvell, and NVIDIA are expected to adopt hybrid bonding.

• Multi-year license agreements are typical, with deal lengths averaging five years.