InterDigital, Inc.

and answer session. To participate, you will need to press star 11 on your telephone. You will then hear a message advising your hand is raised. To withdraw your question, simply press star 11 again. Please be advised that today's conference is being recorded. I will hand the call over to the Head of Investor Relations, Rayford Garabrant. Please go ahead.

Rayford Garabrant Thank you, Carmen. Good morning to everyone and welcome to InterDigital's second quarter 2024 earnings conference call. I am Rayford Garbrandt, head of investor relations for InterDigital. With me on today's call are Liren Chen, our president and CEO, and Rich Breske, our CFO. Consistent with prior calls, we will offer some highlights about the quarter and the company and then open the call up for questions. For additional details, you can access our earnings release and slide presentation that accompany this call on our investor relations website. Before we begin our remarks, I need to remind you that in this call, we will make forward-looking statements regarding our current beliefs, plans, and expectations, which are not guarantees of future performance and are made only as of the date hereof. Forward-looking statements are subject to risks and uncertainties that could cause actual results and events to differ materially from results and events contemplated by such forward-looking statements. These risks and uncertainties include those described in the risk factors section of our 2023 annual report on Form 10-K and in our other SEC filings. In addition, today's presentation may contain references to non-GAAP financial measures. Reconciliations of these non-GAAP financial measures to the most directly comparable GAAP financial measures are included in the supplemental materials posted to the investor relations section of our website. With that taken care of, I will turn the call over to Lyrica.

Thank you, Reefer. Good morning, everyone. Thanks for joining us today. I'm pleased to share that we have delivered Q2 results at $223 million. That far exceeds the top end of our guidance for the quarter. A record first half revenue of $487 million. And we have raised our 2024 full year revenue guidance by $70 million to a new range of $690 million to $740 million as a result of the continued positive momentum in the business. Our financial results, which Rich will cover in more detail, were driven by a new device license with Google and multiple court wins in our litigation with Lenovo. In addition, we continue to drive our innovation forward, and so our video portfolio confirmed as one of the highest quality in the world. Our new license with Google is an example of the importance of our innovation to a wide array of consumer devices. The agreement licenses a range of devices, including pixel smartphones and Fitbit wearable devices, to our cellular, Wi-Fi, and HEVC video patterns. It renews the agreement we already had with Google for 4G and expands Google's license to cover our growing portfolio of 5G assets. In addition to Google, this morning we also announced a new license agreement with Panasonic, covering our 4G and 5G assets, as well as our Wi-Fi and HEVC video patents. Next, let me highlight several positive developments on the litigation front. In our dispute with Lenovo, the UK Court of Appeal handed us a resounding victory in the appeal of our friend licensing judgment. The court increased the amount that Lenovo must pay for a license for cellular patents through the end of 2023 by more than $55 million to just over $240 million. The court also confirmed that Lenovo must pay for all the past sales going back to 2007. And the court required Lenovo to pay our legal expenses for the appeal. While I believe there are multiple reasons the value of cellular innovation is even higher, we are pleased that the Court of Appeal decision has significantly increased the licensing fee Lenovo must pay. This decision is important, not only in terms of our ongoing negotiations with Lenovo, but also because of its potential impact in other licenses, SEP licenses. We believe that paying in full for past sales could help us receive fair compensation for the use of our innovation from other licenses, removing incentive for our implementer to hold out and delay in taking our license. While the Court of Peer Routing gave us a litigation win in our dispute with Lenovo, it's important to keep in mind that this decision only covers a cellular license through the end of 2023. In May, a court in Germany awarded Interdigital an injunction against Lenovo's infringement of our cellular patents. The German court heavily criticized Lenovo's behavior through the course of our negotiations and ruled that Interdigital has acted in a frank manner at all times. As we are pleased with our litigation wins, we remain committed to sign a forward-looking agreement with Lenovo that fairly reflects the value of fundamental innovation in wireless, video, and AI. Our arbitration to decide the monetary terms of a license with Samsung for mobile devices continue to be on track. In July, we completed a two weeks long arbitration hearing, and we hope to have a final decision by end of this year. As a reminder, Samsung already agreed to take a license to our portfolio from January 1st of 2023, and this binding agreement will determine the final value of the license. The license is in addition to the agreement we have signed with Samsung at the start of this year, which covers Samsung's digital TV and displays. While many of the details or dedications we follow are case specific, One common thread is that Quartz has consistently recognized the quality of wireless video and AI innovation and confirmed that we conduct licensing negotiations in a frank manner. Our innovation pipeline has never been stronger. Not only do we own one of the leading 5G portfolios where we are in the top five worldwide when analyzing both quality and quantity, but we are also among the leaders in video innovation. We are one of the largest and highest quality portfolio in HEVC, the video compression standard that is a codec of choice for a growing range of devices and services. Our strength in video is also clear in versatile video coding, or VVC, the latest video compression standard, which was finalized a few years ago and now it's in early stage of deployment. A recent report from LexisNexis confirmed that we are among the top five owners of HDVC and VVC patents when assessed in terms of both quantity and quality. As its name suggests, one of the cornerstones of VVC is its versatility and its ability to support a wide range of occasions in the area such as augmented and virtual reality. And we are excited about its potential to open up new use cases for our video innovation. Video is also one of the areas where we are among the leaders in application of AI to make video network more efficient. The depth and breadth of our video innovation is why we believe our video portfolio will be a long-term driver of shareholder value across a broad array of devices and services. This includes what we believe is a considerable greenfield opportunity in cloud-based video services, where we continue to make progress. In summary, our performance in the second quarter far exceeded the outlook. and highlights how we continue to execute our strategy and strengthen our innovation pipeline to support long-term growth. Given our all-time record revenue for the first half of the year and our increasing momentum across the business, we are raising our full-year revenue guidance by $70 million to between $690 million and $740 million. With that, I'll hand you over to Rich, who will talk through the numbers in more detail.