Immersion Signs License Agreement with Samsung Electronics Co.
Immersion (NASDAQ: IMMR) announced the renewal of its license agreement with Samsung Electronics. This extension allows Samsung to continue using Immersion's haptic feedback technology in its devices, enhancing user experiences in gaming, computing, and software applications. Eric Singer, President and CEO of Immersion, expressed delight at the renewal, emphasizing the growing importance of high-quality tactile effects in consumer devices.
- Renewal of license agreement with a major player like Samsung.
- Continued use of Immersion's haptic technology in Samsung devices.
- Potential for increased revenue through extended agreement.
- Enhanced brand reputation by partnering with a leading electronics company.
- Details on financial terms of the agreement were not disclosed.
- No mention of new technological advancements or innovations in the haptic technology.
The renewal of the licensing agreement between Immersion Corporation and Samsung Electronics is significant for both companies. For Immersion, this deal ensures a steady stream of licensing revenue, which is important for a company that relies heavily on intellectual property. Licensing deals like this provide predictable cash flow and can help stabilize financial performance. The renewal with a global leader like Samsung also validates Immersion's technology and its market relevance. For Samsung, this agreement allows them to continue incorporating advanced haptic technologies into their devices, potentially enhancing user experience and maintaining a competitive edge in the market. Retail investors should note that such renewals are positive indicators of a company's strong intellectual property portfolio and its ability to monetize it effectively. However, the impact on the stock price may be limited if the market has already factored in the renewal expectations.
Immersion's haptics technology is a important component in modern consumer electronics, enhancing the tactile feedback in devices ranging from smartphones to gaming controllers. This technology significantly improves user experience by providing more intuitive and responsive interactions. For Samsung, integrating this technology means they can offer their customers devices that feel more natural and satisfying to use, which is a key differentiator in a crowded market. Given the increasing importance of haptic feedback in creating immersive experiences, this renewal is a strategic move to stay ahead in innovation. For investors, it's worth noting that technological advancements like these often lead to higher customer satisfaction and loyalty, potentially translating into increased sales and market share for Samsung. Additionally, Immersion's continued partnership with a tech giant like Samsung may open doors for further collaborations and technological development.
“We are delighted to extend Samsung’s license to our patents for the delivery of high-quality haptics in their devices,” said Eric Singer, Immersion’s President and CEO.
Immersion’s high-quality touch feedback technology enhances gaming, computing, device interactions, peripheral use, and software experiences. Increasingly, haptics incorporating high-quality tactile effects are being designed into consumer devices and applications for more immersive operations.
About Immersion
Immersion Corporation (NASDAQ: IMMR) is the leading innovator of touch feedback technology, also known as haptics. The company invents, accelerates, and scales haptic experiences by providing technology solutions for mobile, automotive, gaming, and consumer electronics. Haptic technology creates immersive and realistic experiences that enhance digital interactions by engaging users' sense of touch. Learn more at www.immersion.com.
Forward-looking Statements
This press release includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended (the “Securities Act”), and Section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”). The forward-looking statements involve risks and uncertainties. Forward-looking statements are identified by words such as “anticipates,” “believes,” “expects,” “intends,” “may,” “can,” “will,” “places,” “estimates,” and other similar expressions. However, these words are not the only way we identify forward-looking statements. Examples of forward-looking statements include any expectations, projections, or other characterizations of future events, or circumstances, and include statements regarding us ensuring that our intellectual property is recognized in the emerging AR/VR market.
Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of our control. Actual results could differ materially from those projected in the forward-looking statements, therefore we caution you not to place undue reliance on these forward-looking statements. Important factors that could cause our actual results and financial condition to differ materially from those indicated in the forward-looking statements include, among others, the following: the effects of the COVID-19 global pandemic on the Company and its business, and on the business of its suppliers and customers; unanticipated changes in the markets in which the Company operates; the effects of the current macroeconomic climate (especially in light of the ongoing adverse effects of the COVID-19 global pandemic); delay in or failure to achieve adoption of or commercial demand for the Company’s products or third party products incorporating the Company’s technologies; the inability of Immersion to renew existing licensing arrangements, or enter into new licensing arrangements on favorable terms; the loss of a major customer; the ability of Immersion to protect and enforce its intellectual property rights and other factors. For a more detailed discussion of these factors, and other factors that could cause actual results to vary materially, interested parties should review the risk factors listed in Immersion’s Annual Report on Form 10-K for 2023 which are on file with the
Immersion, and the Immersion logo are trademarks of Immersion Corporation in
(IMMR – C)
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Investor Contact:
J. Michael Dodson
Immersion Corporation
mdodson@immersion.com
Source: Immersion Corporation
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