MicroVision and PicoP®
Display Technology
Business Overview
Don’t just think outside the box.
See outside the box.
1 | 6/28/2013
MicroVision, Inc. | 2013 | Confidential | All rights reserved.
Safe Harbor Statement
The statements and graphics in this presentation that are not
historical facts, including statements regarding our future
business strategy, future products and technology
development, market growth and technology adoption,
financial growth, and plans and objectives for future
operations, are forward-looking statements. Such forwardlooking statements are inherently uncertain and necessarily
involve risks that may affect MicroVision’s business prospects
and performance, causing actual results to materially and
adversely differ from those discussed during the
presentation. Information about these risks is contained in
MicroVision’s SEC reports and other filings, including
MicroVision’s Annual Report on form 10-K filed with the SEC.
2 | 6/28/2013
MicroVision, Inc. | 2013 | Confidential | All rights reserved.
Company Overview
Focus
Core
Competence
Target
Markets
Significant
Customer Traction
Strong
Intellectual
Property
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Miniature laser based projection solutions for
mobile CE, automotive applications
Patented PicoP® display technology – MEMsbased scanned beam laser projection technology
Very large CE and automotive markets including
handsets, tablets, cameras, gaming, automobiles
Working closely with leading consumer electronics
and automotive companies…Commercial HUD with
Pioneer and agreement with leading CE brand
Over 500 issued and pending US patents…One of
the top rated IP portfolios globally by three
different bodies
MicroVision, Inc. | 2013 | Confidential | All rights reserved.
Solving the Tiny Display Dilemma
Mobility – Visibility = Today
Smartphone and tablet use is
exploding aided by apps and
high speed wireless networks.
Mobility + Visibility = MVIS
With PicoP® display technology
the value proposition of mobility
is enhanced.
Viewing rich media content is a
consumer expectation.
With mobility people can think
outside of the box. But they
can’t see outside of the box.
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MicroVision, Inc. | 2013 | Confidential | All rights reserved.
People can see
outside of the box.
Applications
Target Areas for PicoP® Display Technology
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Projected Mobile
and Personal
Displays
Automotive
Head Up Displays
MicroVision, Inc. | 2013 | Confidential | All rights reserved.
“Image by PicoP®” Ingredient Brand Strategy
• Pursue high volume
consumer and
automotive markets
• License ubiquitous
PicoP® display
technology platform
to OEMs to embed
in their products
• Create value added
applications
(Gaming, 3D, etc) to
proliferate
“Projection in
Motion” experience
enabled by PicoP®
display technology
Business
Projection
Presenting on the Move
Entertainment
Sharing Images
Personal Displays
Head Up Displays
Mobility Redefined
Improved Driver Safety
Projection
Gaming
Personal Displays
Improved Interactive Experience
6 | 6/28/2013
MicroVision, Inc. | 2013 | Confidential | All rights reserved.
Enhancing the Mobile Experience:
Mobility Ecosystem
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MicroVision, Inc. | 2013 | Confidential | All rights reserved.
Applications Drive Usage & Behavior
Video streaming, applications
and social networking are use drivers
You Tube and Netflix represent over 30% of downstream
mobile data in N. America - Sandvine
76% of smartphone users
watch videos
on their handsets – Google
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25% of tablet viewing
time is content > 60
minutes long - Ooyala
MicroVision, Inc. | 2013 | Confidential | All rights reserved.
Mobile video accounted for 51
percent of the world’s 2012
mobile Internet traffic - Cisco
How People Really Use MobileSeven primary
motivations
Users' most common activity
(motivation) is not shopping
or socializing but engaging in
what researchers at BBDO
and AOL call "me time” watching videos and other
forms of entertainment
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MicroVision, Inc. | 2013 | Confidential | All rights reserved.
Harvard Business Review Study
Enhancing the Mobile Experience:
Pico Projection Market
10 | 6/28/2013
MicroVision, Inc. | 2013 | Confidential | All rights reserved.
Pico-Projector Expected Market Growth
Market
Drivers
14,000,000
12,000,000
Always in
focus image
HD to match
content
quality
Large
display
Sleek,
handheld
form factor
Bright
enough for
ambient
light
Battery lasts
for a full
length
movie
10,000,000
8,000,000
6,000,000
4,000,000
2,000,000
0
2008
2009
2010
2011
2012
2013
2014
2015
2016
2017
Gaming
Entertainment
Education
Reference: PMA, 2013
Interactive Touch
11 | 6/28/2013
MicroVision, Inc. | 2013 | Confidential | All rights reserved.
Multiple CE Applications for Pico Projectors
Smartphones & Cell
Phones
Tablets &
Notebooks
Personal Media
Players
Digital Cameras
Handheld Game
Systems
The consumer electronics category includes a number of
device types that could have an embedded or attached
pico projector to enhance the user’s ability to view and
interact with digital content.
12 | 6/28/2013
MicroVision, Inc. | 2013 | Confidential | All rights reserved.
Top Down Market Assessment: Mobile Devices
Smart
Phones
Attached / Embedded Projectors
Top Down Volume Estimates
2012
2013
2014
2015
2016
World-wide smartphone annual shipments*
694
740
920
1110
1342
Negligible
Negligible
0.5%
1%
2%
-
-
4.6
11.1
26.8
114.6
175
240
310
384
Negligible
Negligible
1%
2%
5%
-
-
2.4
6.2
19.2
Example % of future OEM products with projectors
Example number of future OEM products w/projectors
World-wide tablet annual shipments*
Tablets
Volumes in Millions
Example % of future OEM products with projectors
Example number of future OEM products w/projectors
Even a modest 5% penetration of a single category in the mobile device market
would yield nearly 20 million embedded or attached pico projectors by 2016
Note: Does not include cameras and other consumer electronics devices, or Automotive HUD.
* Source: Canalys, February 2013
13 | 6/28/2013
MicroVision, Inc. | 2013 | Confidential | All rights reserved.
Enhancing the Mobile Experience:
Technology, Features and Differentiation
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How PicoP® Display Technology Works
A single MEMS
scanning mirror
produces a large screen viewing
experience that is always in focus
in an extremely tiny,
low power package
15 | 6/28/2013
MicroVision, Inc. | 2013 | Confidential | All rights reserved.
PicoP® Display Technology’s Differentiating
Features
Feature
Benefit
Always in focus
ease-of-use for “on-the-go” spontaneous viewing and
sharing – simplified industrial design of products
HD resolution
only pico projector with HD in a “quarter” sized
package
Thin form factor
only 6mm – fits in many devices
Long battery life
3+ hours – full movie or extended gaming
Screen size/throw ratio
Large screen experience enables immersive viewing
Vivid colors
200% color range (vs. NTSC) for unequalled image color
Brightness
25 lm today / path to 50 lm with same low power
Brightness uniformity
Edges and corners as bright as the center
Image clarity
No rainbow effects or “image smear” - a must for
gaming
16 | 6/28/2013
MicroVision, Inc. | 2013 | Confidential | All rights reserved.
Technology Comparison
Thinness /
Size
Battery
Life
Mobility
Ease-of-Use
(Focus-free
/Screen Size)
Brightness
PicoP display
technology
DLP/LED
(CF/F)LCOS/LED
(CF/F)LCOS/Laser
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Resolution
Colors
Image Quality
IEEE: Top 20 Global Electronics Cos. IP Prowess
The Motorola patent acquisition in
Nov 2010 extended MicroVision's IP
leadership in a variety of applications
Note: The IEEE Pipeline Power score is derived by multiplying the company's patent count by the product of four other variables: Pipeline Growth,
Pipeline Impact, Pipeline Generality and Pipeline Originality. In each category, a score above 1.00 indicates that the company performed better than
average in its technology class
18 | 6/28/2013
MicroVision, Inc. | 2013 | Confidential | All rights reserved.
Global Recognition for MicroVision’s IP
Pipeline Power
• IEEE - top 20 IP portfolio among global electronics companies:
2008, 2009, 2010
• Patent Board (with WSJ) - top 50 IP portfolio among global
industrial companies: 2009, 2010, 2011
• Ocean Tomo 300 NYSE (Euronext) Index - top 300 Most
Valuable IP portfolio among all global companies, all sectors:
2011, 2012
19 | 6/28/2013
MicroVision, Inc. | 2013 | Confidential | All rights reserved.
Enhancing the Mobile Experience:
Business Update
20 | 6/28/2013
MicroVision, Inc. | 2013 | Confidential | All rights reserved.
“Image By PicoP®” Ingredient Brand Business
Model
Technology Licensing &
Components Sales
• Build on market awareness and interest
from SHOWWX™ accessory projector
sales
• Focus resources on continued innovation:
new platform and value added
applications
• Reduce cash needs and market risks
• Improve margin through reference design
and value added applications
21 | 6/28/2013
MicroVision, Inc. | 2013 | Confidential | All rights reserved.
2012 Milestones
Month
Achievement
January
Displayed world’s first HD pico-projection engine based on PicoP®
Gen 2 with direct green laser technology at CES 2012 - named
Product of the Future by Popular Science
February
Began shipping PicoP® Gen 2 design samples
April
Announced formal transition to “Image By PicoP®” licensing model
and restructuring to significantly reduce operating cash
April
Signed definitive licensing, distribution and supply agreements
with Pioneer Corp. to incorporate PicoP display technology in
their world’s first Augmented Reality HUD
June/July
Received orders for components in excess of $5.8M
December
~ 50 OEMs received samples for evaluation by year’s end
Full year 2012
Revenue up 49%, Cash Used in Operating Activities down 26%,
Net loss down 37%
(vs. FY 2011)
22 | 6/28/2013
MicroVision, Inc. | 2013 | Confidential | All rights reserved.
Strong Start in 2013
• April: Signed a $4.6M development agreement with Global
Fortune 100 electronics brand.
o Developing an engine based on PicoP® display technology for
potential incorporation into their future products.
• Q1 2013 results vs. Q1 2012:
o Operating and net losses down by 63%
o Cash used in operating activities reduced by 43%
Pursuing OEM design wins through
“Image by PicoP®” licensing model
23 | 6/28/2013
MicroVision, Inc. | 2013 | Confidential | All rights reserved.
Positioned for Growth
Factors that position MicroVision for growth • Maturation of direct green laser technology that offers cost,
performance, and size conducive to most markets
• Availability of PicoP® Gen 2 technology that highlights performance,
size and cost advantages of patented PicoP® display technology
• Strong intellectual property portfolio
• Mobile ecosystem maturation and global interest in the pico
projection market
Business model is structured
to license technology, sell key
patented components, and
receive royalties from sales.
24 | 6/28/2013
MicroVision, Inc. | 2013 | Confidential | All rights reserved.
Moving Forward
Mobility + Visibility =
MVIS
With an embedded PicoP®
display engine the value
proposition of mobility is
enhanced people can see
outside of the box.
Cyber Navi AR HUD by Pioneer
www.microvision.com
25 | 6/28/2013
MicroVision, Inc. | 2013 | Confidential | All rights reserved.
End slide – keep it simple. No
additional graphics.
Thank You
www.microvision.com
©2013 MicroVision, Inc. All rights reserved. Note that all photos in this document are for illustrative purposes only.
Specifications are subject to change. PicoP and SHOWWX are trademarks of MicroVision, Inc. All other trademarks are the
property of their respective owners.
Don’t just think outside the box.
See outside the box.
26 | 6/28/2013
MicroVision, Inc. | 2013 | Confidential | All rights reserved.