Microvision Inc (MVIS)

[gnillish_00]

MVIS is receiving revenue for the parts being made my Microsoft for the HoloLens2 as royalty payments and have been for a fair while now. There was a $10m pre-payment on those royalties and MVIS has been booking that for the past couple years, though it has only really been significant this past few quarters. In addition to that, they sold a production line to Microsoft so they could produce their own parts early last year. This is likely what was referred to by the Army when they praised MS for taking more control of their supply chain in regards to IVAS.

What we have not clearly seen so far is revenue resulting from the IVAS project. It isn't clear if that is because the initial units delivered for testing so far have been under some sort of development agreement between MS, MVIS and the army, or how that is all going to pan out. With the fielding of IVAS pushed to 2022, the answer to that question is again delayed. Best guess is that MVIS and MS have some sort of development agreement where they are "sharing" some of the costs associated with the program and revenue will occur when the devices for field use are shipped.