Atomera(US:ATOM)2021-05-17 18:40Atomera's Technology and Business Model - Mears Silicon Technology (MST) enhances semiconductors, leading to higher performance, lower power, and lower costs for ICs[5] - Atomera operates a capital-light IP and technology licensing business with a growing patent portfolio[5] - The company is engaged with 50% of the world's top semiconductor makers[5,19] - Atomera has licenses with four companies, including a recent Joint Development Agreement (JDA)[5] Customer Engagement and Revenue - Atomera's customer engagement model involves phases from planning to production, generating revenue through engineering service fees, license fees, and royalties[17,18] - The company is working with 19 customers across 25 engagements[19] Royalty Opportunity and Market Potential - With approximately 370 wafer fabs operating worldwide, MST adoption in one fab could make Atomera profitable from royalties alone[20] - A worldwide average fab with a monthly capacity of 49,000 wafers could generate $13 million in annual revenue at a 2% royalty rate[21] - A leading foundry 28nm fab with a monthly capacity of 80,000 wafers could generate $58 million in annual revenue at a 2% royalty rate[21] Financial Performance - Atomera's Q1 2021 revenue was $0.4 million, with a net loss of $3.6 million[28] - The company's non-GAAP OPEX guidance for 2021 is $14.00-14.5 million[20] - As of March 31, 2021, Atomera had $36.7 million in cash and 23.1 million shares outstanding[28] MST Benefits and Applications - MST can provide a 30% performance improvement or a 25% die shrink[23] - MST enables legacy capacity expansion by providing a 30% performance advantage and a 15-20% die shrink[34]