INTERDIGITAL, INC., 10-K filed on 2/5/2026
Annual Report
v3.25.4
Cover Page - USD ($)
12 Months Ended
Dec. 31, 2025
Feb. 03, 2026
Jun. 30, 2025
Cover [Abstract]      
Document Type 10-K    
Document Annual Report true    
Document Period End Date Dec. 31, 2025    
Current Fiscal Year End Date --12-31    
Document Transition Report false    
Entity File Number 1-33579    
Entity Registrant Name INTERDIGITAL, INC.    
Entity Incorporation, State or Country Code PA    
Entity Tax Identification Number 82-4936666    
Entity Address, Address Line One 200 Bellevue Parkway    
Entity Address, Address Line Two Suite 300    
Entity Address, City or Town Wilmington    
Entity Address, State or Province DE    
Entity Address, Postal Zip Code 19809-3727    
City Area Code 302    
Local Phone Number 281-3600    
Title of 12(b) Security Common Stock (par value $0.01 per share)    
Trading Symbol IDCC    
Security Exchange Name NASDAQ    
Entity Well-known Seasoned Issuer Yes    
Entity Voluntary Filers No    
Entity Current Reporting Status Yes    
Entity Interactive Data Current Yes    
Entity Filer Category Large Accelerated Filer    
Entity Small Business false    
Entity Emerging Growth Company false    
ICFR Auditor Attestation Flag true    
Document Financial Statement Error Correction [Flag] false    
Entity Shell Company false    
Entity Public Float     $ 5,717,601,306
Entity Common Stock, Shares Outstanding   25,686,766  
Documents Incorporated by Reference
Portions of the registrant's definitive proxy statement to be filed pursuant to Regulation 14A in connection with the registrant's 2026 annual meeting of shareholders are incorporated by reference into Items 10, 11, 12, 13 and 14 of Part III of this Form 10-K.
   
Entity Central Index Key 0001405495    
Document Fiscal Year Focus 2025    
Document Fiscal Period Focus FY    
Amendment Flag false    
v3.25.4
Audit Information
12 Months Ended
Dec. 31, 2025
Auditor Information [Abstract]  
Auditor Name PricewaterhouseCoopers LLP
Auditor Location Philadelphia, Pennsylvania
Auditor Firm ID 238
v3.25.4
Consolidated Balance Sheets - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Current assets:    
Cash and cash equivalents $ 738,960 $ 527,360
Short-term investments 504,200 430,848
Accounts receivable 69,816 188,302
Prepaid and other current assets 74,994 84,312
Total current assets 1,387,970 1,230,822
Property and equipment, net 23,713 18,544
Patents, net 318,756 308,630
Deferred tax assets 141,326 128,133
Other non-current assets, net 192,525 149,400
Total assets 2,064,290 1,835,529
Current liabilities:    
Current portion of long-term debt 458,376 456,329
Accounts payable 10,048 12,206
Accrued compensation and related expenses 50,050 42,575
Deferred revenue 193,722 178,009
Dividend payable 17,980 11,557
Other accrued expenses 22,326 25,134
Total current liabilities 752,502 725,810
Long-term debt 16,292 15,443
Long-term deferred revenue 135,882 182,119
Other long-term liabilities 58,494 54,942
Total liabilities 963,170 978,314
Commitments and contingencies
Shareholders' equity:    
Preferred stock, $0.10 par value, 14,399 shares authorized, 0 shares issued and outstanding 0 0
Common stock, $0.01 par value, 100,000 shares authorized, 70,965 and 70,577 shares issued and 25,685 and 25,682 shares outstanding 709 705
Additional paid-in capital 816,903 808,540
Retained earnings 2,113,240 1,775,823
Accumulated other comprehensive income (loss) 299 (458)
Treasury stock, 45,280 and 44,895 shares of common stock held at cost (1,830,031) (1,727,395)
Total shareholders' equity 1,101,120 857,215
Total liabilities and shareholders' equity $ 2,064,290 $ 1,835,529
v3.25.4
Consolidated Balance Sheets (Parenthetical) - $ / shares
shares in Thousands
Dec. 31, 2025
Dec. 31, 2024
Shareholders' equity:    
Preferred stock, par value (in USD per share) $ 0.10 $ 0.10
Preferred stock, shares authorized (in shares) 14,399 14,399
Preferred stock, shares issued (in shares) 0 0
Preferred stock, shares outstanding (in shares) 0 0
Common stock, par value (in USD per share) $ 0.01 $ 0.01
Common stock, shares authorized (in shares) 100,000 100,000
Common stock, shares issued (in shares) 70,965 70,577
Common stock, shares outstanding (in shares) 25,685 25,682
Treasury stock, shares of common held at cost (in shares) 45,280 44,895
v3.25.4
Consolidated Statements of Income - USD ($)
shares in Thousands, $ in Thousands
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Income Statement [Abstract]      
Revenue $ 834,015 $ 868,516 $ 549,588
Operating expenses:      
Research and portfolio development 211,432 196,903 195,285
Licensing 93,642 169,239 79,397
General and administrative 68,088 62,862 53,291
Total operating expenses 373,162 429,004 327,973
Income from operations 460,853 439,512 221,615
Interest expense (39,962) (45,421) (44,817)
Other income, net 48,541 35,325 57,812
Income before income taxes 469,432 429,416 234,610
Income tax provision (62,788) (70,802) (23,557)
Net income 406,644 358,614 211,053
Net loss attributable to noncontrolling interest 0 0 (3,016)
Net income attributable to InterDigital, Inc. $ 406,644 $ 358,614 $ 214,069
Net income per common share:      
Basic (in USD per share) $ 15.77 $ 14.16 $ 7.97
Diluted (in USD per share) $ 11.80 $ 12.07 $ 7.62
Weighted average number of common shares outstanding:      
Basic (in shares) 25,794 25,325 26,860
Diluted (in shares) 34,474 29,711 28,102
Cash dividends declared per common share (in USD per share) $ 2.60 $ 1.70 $ 1.50
v3.25.4
Consolidated Statements of Comprehensive Income - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Statement of Comprehensive Income [Abstract]      
Net income $ 406,644 $ 358,614 $ 211,053
Unrealized gain on investments, net of tax 757 189 269
Comprehensive income 407,401 358,803 211,322
Comprehensive loss attributable to noncontrolling interest 0 0 (3,016)
Total comprehensive income attributable to InterDigital, Inc. $ 407,401 $ 358,803 $ 214,338
v3.25.4
Consolidated Statements of Shareholders' Equity - USD ($)
shares in Thousands, $ in Thousands
Total
Common Stock
Additional Paid-In Capital
Retained Earnings
Accumulated Other Comprehensive Income (Loss)
Treasury Stock
Non-Controlling Interest
Beginning balance (in shares) at Dec. 31, 2022   71,923          
Beginning balance at Dec. 31, 2022 $ 730,513 $ 719 $ 717,102 $ 1,492,046 $ (916) $ (1,484,056) $ 5,618
Treasury stock, beginning balance (in shares) at Dec. 31, 2022           42,255  
Increase (Decrease) in Stockholders' Equity [Roll Forward]              
Net income attributable to InterDigital, Inc. 214,069     214,069      
Net loss attributable to noncontrolling interest (3,016)           (3,016)
Deconsolidation of Convida (4,352)           (4,352)
Non-controlling interest contributions 1,750           1,750
Net change in unrealized gain on short-term investments 269       269    
Dividends declared (39,296)   1,395 (40,691)      
Exercise of common stock options (in shares)   72          
Exercise of common stock options 1,252   1,252        
Issuance of common stock, net (in shares)   251          
Issuance of common stock, net (12,507) $ 2 (12,509)        
Share-based compensation 35,741   35,741        
Repurchase of common stock (in shares)   2,739       1,672  
Repurchase of common stock (342,874) $ (27)   (203,354)   $ (139,493)  
Ending balance (in shares) at Dec. 31, 2023   69,507          
Ending balance at Dec. 31, 2023 581,549 $ 694 742,981 1,462,070 (647) $ (1,623,549) 0
Treasury stock, ending balance (in shares) at Dec. 31, 2023           43,927  
Increase (Decrease) in Stockholders' Equity [Roll Forward]              
Net income attributable to InterDigital, Inc. 358,614     358,614      
Net loss attributable to noncontrolling interest 0            
Net change in unrealized gain on short-term investments 189       189    
Dividends declared (43,121)   1,740 (44,861)      
Exercise of common stock options (in shares)   3          
Exercise of common stock options 32   32        
Issuance of common stock, net (in shares)   256          
Issuance of common stock, net (19,270) $ 3 (19,273)        
Share-based compensation 45,966   45,966        
Repurchase of common stock (in shares)           644  
Repurchase of common stock (66,726)         $ (66,726)  
Settlement of the 2024 Notes (in shares)   324          
Settlement of the 2024 Notes 0 $ 3 (3)        
Settlement of the 2024 Hedges (in shares)           324  
Settlement of the 2024/2027 Hedges 0   37,120     $ (37,120)  
Settlement of the 2024 Warrants (in shares)   487          
Settlement of the 2024 Warrants $ (18) $ 5 (23)        
Ending balance (in shares) at Dec. 31, 2024 25,682 70,577          
Ending balance at Dec. 31, 2024 $ 857,215 $ 705 808,540 1,775,823 (458) $ (1,727,395) 0
Treasury stock, ending balance (in shares) at Dec. 31, 2024 44,895         44,895  
Increase (Decrease) in Stockholders' Equity [Roll Forward]              
Net income attributable to InterDigital, Inc. $ 406,644     406,644      
Net loss attributable to noncontrolling interest 0            
Net change in unrealized gain on short-term investments 757       757    
Dividends declared $ (67,105)   2,122 (69,227)      
Exercise of common stock options (in shares) 101 101          
Exercise of common stock options $ 7,330 $ 1 7,329        
Issuance of common stock, net (in shares)   287          
Issuance of common stock, net (44,281) $ 3 (44,284)        
Share-based compensation 43,156   43,156        
Repurchase of common stock (in shares)           385  
Repurchase of common stock (102,596)         $ (102,596)  
Settlement of the 2024/2027 Hedges $ 0   40     (40)  
Ending balance (in shares) at Dec. 31, 2025 25,685 70,965          
Ending balance at Dec. 31, 2025 $ 1,101,120 $ 709 $ 816,903 $ 2,113,240 $ 299 $ (1,830,031) $ 0
Treasury stock, ending balance (in shares) at Dec. 31, 2025 45,280         45,280  
v3.25.4
Consolidated Statements of Shareholders' Equity (Parenthetical) - $ / shares
3 Months Ended 12 Months Ended
Dec. 31, 2025
Sep. 30, 2025
Jun. 30, 2025
Mar. 31, 2025
Dec. 31, 2024
Sep. 30, 2024
Jun. 30, 2024
Mar. 31, 2024
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Statement of Stockholders' Equity [Abstract]                      
Cash dividends declared per common share (in USD per share) $ 0.70 $ 0.70 $ 0.60 $ 0.60 $ 0.45 $ 0.45 $ 0.40 $ 0.40 $ 2.60 $ 1.70 $ 1.50
v3.25.4
Consolidated Statements of Cash Flows - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Cash flows from operating activities:      
Net income $ 406,644 $ 358,614 $ 211,053
Adjustments to reconcile net income to net cash provided by operating activities:      
Depreciation and amortization 77,531 69,913 77,792
Change in deferred revenue (33,524) (24,335) (49,176)
Deferred income taxes (13,394) 783 (34,665)
Share-based compensation 43,156 45,966 35,741
Other (3,877) (10,044) (25,816)
Decrease (Increase) in assets:      
Receivables 118,486 (71,010) (64,110)
Deferred charges and other assets (55,548) (35,261) 866
Increase (Decrease) in liabilities:      
Accounts payable 3,950 2,283 (2,513)
Customer deposit 0 (76,100) 76,100
Accrued compensation and other expenses 1,026 10,719 (11,539)
Net cash provided by operating activities 544,450 271,528 213,733
Cash flows from investing activities:      
Purchases of short-term investments (480,086) (542,464) (836,370)
Proceeds from maturities and sales of short-term investments 419,486 699,124 797,703
Purchases of property and equipment (15,888) (5,849) (4,268)
Capitalized patent costs (54,627) (52,888) (40,358)
Acquisitions (8,750) (4,250) 0
Long-term investments (415) 15,778 (1,877)
Net cash (used in) provided by investing activities (140,280) 109,451 (85,170)
Cash flows from financing activities:      
Payments on long-term debt (1,497) (141,442) 0
Payment for warrant unwind and settlement 0 (18) 0
Payments of debt issuance costs 0 0 (100)
Repurchase of common stock (102,319) (66,726) (339,704)
Taxes paid on the repurchase of common stock 0 (3,170) 0
Net proceeds from exercise of stock options 7,330 32 1,252
Non-controlling interest contribution 0 0 1,750
Taxes withheld upon restricted stock unit vestings (44,281) (19,270) (12,507)
Dividends paid (60,682) (41,799) (39,454)
Net cash used in financing activities (201,449) (272,393) (388,763)
Net increase (decrease) in cash, cash equivalents and restricted cash 202,721 108,586 (260,200)
Cash, cash equivalents and restricted cash, beginning of period [1] 551,547 442,961 703,161
Cash, cash equivalents and restricted cash, end of period [1] $ 754,268 $ 551,547 $ 442,961
[1]
Refer to Note 1, "Background and Basis of Presentation," for additional supplemental cash flow information. Additionally, refer to Note 5, "Cash, Cash Equivalents, Restricted Cash and Marketable Securities" for a reconciliation to the consolidated balance sheets.
v3.25.4
Background and Basis of Presentation
12 Months Ended
Dec. 31, 2025
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
BACKGROUND AND BASIS OF PRESENTATION BACKGROUND AND BASIS OF PRESENTATION
InterDigital, Inc. ("InterDigital") is a global research and development company focused primarily on wireless, video, artificial intelligence ("AI"), and related technologies. We design and develop foundational technologies that enable connected, immersive experiences in a broad range of communications and entertainment products and services. We license our innovations worldwide to companies providing such products and services, including makers of wireless communications devices, consumer electronics, internet of things ("IoT") devices, cars and other motor vehicles and providers of cloud-based services such as video streaming. As a leader in wireless technology, our engineers have designed and developed a wide range of innovations that are used in wireless products and networks, from the earliest digital cellular systems to 5G and today's most advanced Wi-Fi technologies. We are also a leader in video processing and video encoding/decoding technology used in video-enabled products and services. Our AI research effort is focused on the intersection of AI with both wireless and video technologies.
Principles of Consolidation
The accompanying consolidated financial statements include all of our accounts and all entities in which we have a controlling interest and/or are required to be consolidated in accordance with Generally Accepted Accounting Principles in the United States ("GAAP"). All significant intercompany accounts and transactions have been eliminated in consolidation.
In determining whether we are the primary beneficiary of a variable interest entity and therefore required to consolidate, we apply a qualitative approach that determines whether we have both the power to direct the economically significant activities of the entity and the obligation to absorb losses of, or the right to receive benefits from, the entity that could potentially be significant to that entity. These considerations impact the way we account for our existing collaborative relationships and other arrangements. We continuously assess whether we are the primary beneficiary of a variable interest entity as changes to existing relationships or future transactions may result in us consolidating or deconsolidating our partner(s) to collaborations and other arrangements.
Use of Estimates
The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities as of the date of the financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from these estimates. If different assumptions were made or different conditions had existed, our financial results could have been materially different.
Reclassifications
Certain reclassifications have been made to prior year amounts to conform to the current year presentation.
Supplemental Cash Flow Information
The following table presents additional supplemental cash flow information for the year ended December 31, 2025, 2024, and 2023 (in thousands):
Year Ended December 31,
Supplemental Cash Flow Information:202520242023
Interest paid$16,100 $17,361 $18,623 
Income taxes paid:
Federal15,389 35,050 45,500 
State 357 704 1,541 
Korea63,332 10,918 4,645 
China27,829 19,044 5,700 
Other Foreign Jurisdictions2,224 1,825 1,816 
Non-cash investing and financing activities:
Non-cash acquisition of patents21,219 7,000 — 
Dividend payable17,980 11,557 10,226 
Accrued capitalized patent costs and property and equipment6,108 (2,077)670 
Right-of-use assets obtained in exchange of operating lease liabilities1,387 2,066 93 
Accrued taxes on the repurchase of common stock277 — 3,170 
Settlement of the 2027 and 2024 Hedge Transactions40 37,120 — 
v3.25.4
Summary of Significant Accounting Policies and New Accounting Guidance
12 Months Ended
Dec. 31, 2025
Accounting Policies [Abstract]  
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES AND NEW ACCOUNTING GUIDANCE SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES AND NEW ACCOUNTING GUIDANCE
Foreign Currency Translation
The functional currency of substantially all of the Company's wholly-owned subsidiaries is the U.S. dollar. Certain subsidiaries have monetary assets and liabilities that are denominated in a currency that is different than the functional currency. The gains and losses resulting from this remeasurement and translation of monetary assets denominated in a currency that is different than the functional currency are reflected in the determination of net income.
Cash, Cash Equivalents, Restricted Cash and Marketable Securities
We classify all highly liquid investment securities with original maturities of three months or less at date of purchase as cash equivalents. Cash that is held for a specific purpose and therefore not available to the Company for immediate or general business use is classified as restricted cash. Our investments are comprised of mutual and exchange traded funds, commercial paper, United States and municipal government obligations and corporate securities. Management determines the appropriate classification of our investments at the time of acquisition and re-evaluates such determination at each balance sheet date.
As of December 31, 2025 and 2024, the majority of our marketable securities have been classified as available-for-sale and are carried at fair value, with unrealized gains and losses reported net-of-tax as a separate component of shareholders’ equity. Substantially all of our investments are investment grade government and corporate debt securities that have maturities of less than three years, and we have both the ability and intent to hold the investments until maturity.
Other-than-Temporary Impairments
We review our investment portfolio during each reporting period to determine whether there are identified events or circumstances that would indicate there is a decline in the fair value that is considered to be other-than-temporary. For non-public investments, if there are no identified events or circumstances that would have a significant adverse effect on the fair value of the investment, then the fair value is not estimated. If an investment is deemed to have experienced an other-than-temporary decline below its cost basis, we reduce the carrying amount of the investment to its quoted or estimated fair value, as applicable, and establish a new cost basis for the investment. We charge the impairment to the "Other income, net" line of our consolidated statements of income.
Intangible Assets
Patents
We capitalize external costs, such as filing fees and associated attorney fees, incurred to obtain issued patents and patent license rights. We expense costs associated with maintaining and defending patents subsequent to their issuance in the period incurred. We amortize capitalized patent costs for internally generated patents on a straight-line basis over 10 years, which represents the estimated useful lives of the patents. The ten-year estimated useful life for internally generated patents is based on our assessment of such factors as: the integrated nature of the portfolios being licensed, the overall makeup of the portfolio over time, and the length of license agreements for such patents. The estimated useful lives of acquired patents and patent rights, however, have been and will continue to be based on a separate analysis related to each acquisition and may differ from the estimated useful lives of internally generated patents. The average estimated useful life of acquired patents is 9.9 years. We assess the potential impairment to all capitalized net patent costs when events or changes in circumstances indicate that the carrying amount of our patent portfolio may not be recoverable.
Goodwill
Goodwill is recorded as the difference, if any, between the aggregate consideration paid for an acquisition and the fair value of the net tangible and identified intangible assets acquired under a business combination. We review impairment of goodwill annually on the first day of the fourth quarter or if circumstances indicate a triggering event has occurred. We first assess qualitative factors to determine whether it is more likely than not that the fair value of our one reporting unit is less than its carrying amount as a basis for determining whether a quantitative goodwill impairment test is necessary. If we conclude it is more likely than not that the fair value of the reporting unit exceeds its carrying amount, we need not perform the quantitative assessment.
If based on the qualitative assessment we believe it is more likely than not that the fair value of the reporting unit is less than its carrying value, a quantitative assessment test is required to be performed. This assessment requires us to compare the fair value of our reporting unit to its carrying value including allocated goodwill. We determine the fair value of our reporting units generally using a combination of the income and market approaches. The income approach is estimated through the discounted cash flow method based on assumptions about future conditions such as future revenue growth rates, new product and technology introductions, gross margins, operating expenses, discount rates, future economic and market conditions, and other assumptions. The market approach estimates the fair value of our equity by utilizing the market comparable method which is based on revenue multiples from comparable companies in similar lines of business. If the carrying value of our reporting unit exceeds the reporting unit’s fair value, a goodwill impairment charge will be recorded for the difference up to the carrying value of goodwill.
The carrying value of goodwill was $24.1 million and $22.4 million as of December 31, 2025 and December 31, 2024, which was included within "Other non-current assets, net" in the consolidated balance sheets. No impairments were recorded during 2025, 2024 or 2023 as a result of our annual goodwill impairment assessment.
Property and Equipment
Property and equipment are stated at cost, less depreciation, amortization, and impairments. Depreciation and amortization of property and equipment are provided using the straight-line method. The estimated useful lives for computer equipment, computer software, engineering and test equipment, and furniture and fixtures are generally three to five years. Leasehold improvements are amortized over the lesser of their estimated useful lives or their respective lease terms, which are generally five to ten years. Buildings are being depreciated over twenty-five years. Expenditures for major improvements and betterments are capitalized, while minor repairs and maintenance are charged to expense as incurred. Upon the retirement or disposition of property and equipment, the related cost and accumulated depreciation or amortization are removed, and a gain or loss is recorded.
Leases
We determine if an arrangement is a lease at inception. Operating lease right-of-use assets represent our right to use an underlying asset for the lease term and lease liabilities represent our obligation to make lease payments arising from the lease. Operating lease right-of-use assets and liabilities are recognized at commencement date, except short-term leases with an original term of 12 months or less, based on the present value of lease payments over the lease term. As most of our leases do not provide an implicit rate, we generally use an incremental borrowing rate based on the estimated rate of interest for collateralized borrowing over a similar term of the lease payments at commencement date. The operating lease right-of-use assets also includes any lease payments made and excludes lease incentives. Lease expense is recognized over the expected term on a straight-line basis. Leases with a lease term of 12 months or less are accounted for using the practical expedient which allows for straight-line rent expense over the remaining term of the lease.
Internal-Use Software Costs
We capitalize costs associated with software developed for internal use that are incurred during the software development stage. Such costs are limited to expenses incurred after management authorizes and commits to a computer software project, believes that it is more likely than not that the project will be completed, the software will be used to perform the intended function with an estimated service life of two years or more, and the completion of conceptual formulation, design and testing of possible software project alternatives (the preliminary design stage). Costs incurred after final acceptance testing has been successfully completed are expensed. Capitalized computer software costs are amortized over the estimated service life.
All computer software costs capitalized to date relate to the purchase, development and implementation of engineering, accounting and other enterprise software.
Impairment of Long-Lived Assets
We evaluate long-lived assets for impairment when factors indicate that the carrying value of an asset may not be recoverable. When factors indicate that such assets should be evaluated for possible impairment, we review whether we will be able to realize our long-lived assets by analyzing the projected undiscounted cash flows in measuring whether the asset is recoverable.
Revenue Recognition
We derive the vast majority of our revenue from patent licensing. The timing and amount of revenue recognized from each licensee depend upon a variety of factors, including the specific terms of each agreement and the nature of the deliverables and obligations. Such agreements are often complex and include multiple performance obligations. These agreements can include, without limitation, performance obligations related to the settlement of past patent infringement liabilities, patent and/or know-how licensing royalties on covered products sold by licensees, access to a portfolio of technology as it exists at a point in time, and access to a portfolio of technology at a point in time along with promises to provide any technology updates to the portfolio during the term.
In accordance with GAAP, we use a five-step model to achieve the core underlying principle that an entity should recognize revenue to depict the transfer of goods or services to customers at an amount that the entity expects to be entitled to in exchange for those goods or services. These steps include (1) identifying the contract with the customer, (2) identifying the performance obligations, (3) determining the transaction price, (4) allocating the transaction price to the performance obligations, and (5) recognizing revenue as the entity satisfies the performance obligation(s). Additionally, we have elected to utilize certain practical expedients in the application of ASC 606, Revenue From Contracts with Customers. In evaluating the presence of a significant financing component in our agreements, we utilize the practical expedient to exclude any contracts wherein the gap between payment by our customers and the delivery of our performance obligation is less than one year. We have also elected to utilize the practical expedient related to costs of obtaining a contract where an entity may recognize the incremental costs of obtaining a contract as an expense when incurred if the amortization period of the asset that the entity otherwise would have recognized is one year or less. Timing of revenue recognition may differ significantly from the timing of invoicing to customers. Contract assets represent unbilled amounts expected to be received from customers in future periods, where the revenue recognized to date exceeds the amount billed, and right to payment is subject to the underlying contractual terms. Contract assets due within less than twelve months of the balance sheet date are included within accounts receivable in our consolidated balance sheets. Contract assets are classified as long-term assets within other non-current assets if the payments are expected to be received more than one year from the reporting date.
For certain patent license agreements or other contractual arrangements, the amount of consideration that we will receive is uncertain. In such cases, we estimate and recognize licensing revenue only when we have a contract, as defined in the revenue recognition guidance. Such estimates are only recognized to the extent it is probable that a significant reversal of cumulative revenue recognized will not occur. We analyze the risk of a significant revenue reversal considering both the likelihood and magnitude of the reversal and, if necessary, constrain the amount of estimated revenue in order to mitigate this risk, which may result in recognizing revenue less than amounts we expect we are most likely to receive. These aforementioned estimates may require significant judgment.
Patent License Agreements
Upon signing a patent license agreement, we provide the licensee permission to use our patented inventions in specific applications. We account for patent license agreements in accordance with the guidance indicated above.
Certain patent license agreements contain revenue from non-financial sources in the form of patents received from the customer. Under our patent license agreements, we typically receive one or a combination of the following forms of payment as consideration for permitting our licensees to use our patented inventions in their applications and products.
Consideration for Past Patent Royalties
Consideration related to a licensee’s product sales from prior periods may result from a negotiated agreement with a licensee that utilized our patented inventions prior to signing a patent license agreement with us or from the resolution of a disagreement or arbitration with a licensee over the specific terms of an existing license agreement. We may also receive consideration for past patent royalties in connection with the settlement of patent litigation where there was no prior patent license agreement. In each of these cases, we record the consideration as revenue as prescribed by the five-step model.
Fixed-Fee Agreements
Fixed-fee license agreements include fixed, non-refundable royalty payments that fulfill the licensee’s obligations to us under a patent license agreement for a specified time period or for the term of the agreement for specified products, under certain patents or patent claims, for sales in certain countries, or a combination thereof - in each case for a specified time period (including for the life of the patents licensed under the agreement).
Dynamic fixed-fee license agreements contain a performance obligation that represents ongoing access to a portfolio of technology over the license term, since our promise to transfer to the licensee access to the portfolio as it exists at inception of the license, along with promises to provide any technology updates to the portfolio during the term, are not separately identifiable. We use a time-based input method of progress to determine the timing of revenue recognition, and as such we recognize the future deliverables on a straight-line basis over the term of the agreement. We utilize the straight-line method as we believe that it best depicts efforts expended to develop and transfer updates to the customer evenly throughout the term of the agreement.
Static fixed-fee license agreements are fixed-price contracts that generally do not include updates to technology we create after the inception of the license agreement or in which the customer does not stand to substantively benefit from those updates during the term. Although we have few static fixed-fee license agreements, we generally satisfy our performance obligations under such agreements at contract signing, and, as such, revenue is recognized at that time.
Variable Agreements
Upon entering a new variable patent license agreement, the licensee typically agrees to pay royalties or license fees on licensed products sold during the term of the agreement. We utilize the sales- or usage- based royalty exception for these agreements and recognize revenue during the contract term when the underlying sale or usage occurs. Our licensees under variable agreements typically provide us with quarterly royalty reports that summarize their sales of covered products and their related royalty obligations to us. We receive these royalty reports subsequent to the period in which our licensees’ underlying sales occurred. As a result, we are required to estimate revenue and recognize sales-based royalties on such licensed products in the period in which the associated sales occur, considering all relevant information (historical, current and forecasted) that is reasonably available to us. Estimating licensees’ quarterly royalties prior to receiving the royalty reports requires us to make assumptions and judgments related to forecasted trends and growth rates used to estimate our licensees’ sales, which could have an impact on the amount of revenue we report on a quarterly basis. As a result of recognizing revenue in the period in which the licensees’ sales occur using estimates, adjustments to revenue are required in subsequent periods to reflect changes in estimates as new information becomes available, including market information, royalty reports provided by our licensees, audit results, among others.
Hybrid Agreements
We enter into hybrid patent license agreements that include (i) a fixed-fee minimum guarantee and (ii) additional per-unit royalties for units sold in excess of the units covered by the minimum guarantee. Under these agreements, the fixed-fee component represents a minimum amount the licensee is required to pay and provides a license to our technologies up to a specified number of units sold, with incremental per-unit royalties due for units sold in excess of the unit cap. When a licensee's sales exceed the unit cap, we recognize revenue for the additional per-unit royalties in the periods in which we estimate the licensee has exceeded the minimum and adjust revenue based on actual usage once reported by the licensee. The fixed-fee, or minimum guarantee, portion of a hybrid agreement is recognized on the same basis as our other fixed-fee agreements, as described above. As a result of recognizing revenue in the period in which the licensees’ sales occur using estimates, adjustments to revenue are required in subsequent periods to reflect changes in estimates as new information becomes available, including market information, royalty reports provided by our licensees, audit results, among others.
Accounts Receivable
Accounts receivable is presented net of allowance for doubtful accounts. Our accounts receivable consists mainly of trade receivables derived from fixed-fee license arrangements with contractual payment terms. The remaining material amounts of our accounts receivable are from variable patent license agreements, which primarily are paid on a quarterly basis. The provision for doubtful accounts reflects the current estimate of credit losses expected to be incurred over the life of the financial asset, based on historical experience, current conditions and reasonable forecasts of future economic conditions. Further, we evaluate the collectability of our accounts receivable and if there is doubt that we will collect the full amount, we will record a reserve specific to that customer’s receivable balance. There was no provision for doubtful accounts as of December 31, 2025 or 2024.
Investments in Other Entities
We may make strategic investments in companies that have developed or are developing technologies that are complementary to our business. We made an accounting policy election for a measurement alternative for our equity investments that do not have readily determinable fair values, specifically related to our strategic investments in other entities. Under the alternative, our strategic investments in other entities without readily determinable fair values are measured at cost, less any impairment, plus or minus changes resulting from observable price changes in orderly transactions for an identical or similar investment of the same issuer, if any. On a quarterly basis, we monitor items such as our investment’s financial position and liquidity, performance targets, business plans, and cost trends to assess whether there are any triggering events or indicators present that would be indicative of an impairment, or any other observable price changes as indicated above. We do not adjust our investment balance when the investee reports profit or loss.
Additionally, other investments may be accounted for under the equity method of accounting. Under this method, we initially record our investment in the stock of an investee at cost, and adjust the carrying amount of the investment to recognize our share of the earnings or losses of the investee after the date of acquisition. The amount of the adjustment is included in the determination of net income, and such amount reflects adjustments similar to those made in preparing consolidated statements including adjustments to eliminate intercompany gains and losses, and to amortize, if appropriate, any difference between our cost and underlying equity in net assets of the investee at the date of investment. The investment is also adjusted to reflect our share of changes in the investee’s capital. Dividends received from an investee reduce the carrying amount of the investment. When there are a series of operating losses by the investee or when other factors indicate that a decrease in value of the investment has occurred which is other than temporary, we recognize an impairment equal to the difference between the fair value and the carrying amount of our investment.
The carrying value of our investments in other entities is included within "Other non-current assets, net" on our consolidated balance sheets. The carrying value of our investments in other entities as of December 31, 2025 and 2024 was $11.7 million and $19.9 million and, respectively, the majority of which are accounted for under the measurement alternative for equity investments described above.
Collaborative Arrangements
We record the elements of our collaboration agreements that represent joint operating activities in accordance with ASC 808, Collaborative Arrangements (“ASC 808”). Accordingly, the elements of our collaboration agreements that represent activities in which both parties are active participants, and to which both parties are exposed to the significant risks and rewards that are dependent on the commercial success of the activities, are recorded as collaborative arrangements. Generally, the classification of a transaction under a collaborative arrangement is determined based on the nature and contractual terms of the arrangement along with the nature of the operations of the participants. For transactions that are deemed to be a collaborative arrangement under ASC 808, costs incurred and revenue generated on sales to third parties will be reported in our consolidated statement of operations on a gross basis if the Company is deemed to be the principal in the transaction, or on a net basis if the Company is instead deemed to be the agent in the transaction, consistent with the guidance in ASC 606-10-55-36, Revenue From Contracts with Customers - Principal Agent Considerations.
Deferred Charges
Direct costs of obtaining a contract or fulfilling a contract in a transaction that results in the deferral of revenue may be either expensed as incurred or capitalized, depending on certain criteria. We made a policy election to utilize the practical expedient related to costs of obtaining a contract where an entity may recognize the incremental costs of obtaining a contract as an expense when incurred if the amortization period of the asset that the entity otherwise would have recognized is one year or less. If the amortization period is greater than one year, we capitalize direct costs incurred for the acquisition or fulfillment of a contract through the date of signing if they are directly related to a particular revenue arrangement and are expected to be recovered. The costs are amortized on a straight-line basis over the life of the patent license agreement.
For example, from time to time, we use sales agents to assist us in our licensing and/or patent sale activities. In such cases, we may pay a commission. The commission rate varies from agreement to agreement. Commissions are normally paid shortly after our receipt of cash payments associated with the patent license or patent sale agreements. We defer recognition of commission expense and amortize these expenses in proportion to our recognition of the related revenue. Commission expense is included within the "Licensing" line of our consolidated statements of income and was immaterial for the years presented.
Incremental direct costs incurred related to a debt financing transaction may be capitalized. In connection with our offering of the 2027 Notes and 2024 Notes, defined and discussed in detail within Note 10, "Obligations", we incurred directly related costs. The debt issuance costs of the debt were capitalized as deferred financing costs and recorded as a direct reduction of the debt. These costs are being amortized over the term of the debt using the effective interest method and are included within the "Interest expense" line of our consolidated statements of income. No new debt issuance costs were incurred in 2025, 2024, or 2023. Deferred financing expense was $2.1 million, $2.2 million and $2.3 million in 2025, 2024, and 2023, respectively. The balance of unamortized deferred financing costs as of December 31, 2025 and 2024 was $3.2 million and $5.3 million, respectively.
Research and Innovation Expenses
Research and innovation expenditures are expensed in the period incurred, except certain software development costs that are capitalized between the point in time that technological feasibility of the software is established and when the product is available for general release to customers. We did not have any capitalized software costs related to research and development in any period presented. Research and Innovation expenses are included within "Research and portfolio development" expenses in the consolidated statements of income.
Compensation Programs
We use a variety of compensation programs to attract, retain and motivate our employees, and to align employee compensation more closely with company performance. These programs include, but are not limited to, short-term incentives tied to performance goals, cash awards to inventors for filed patent applications and patent issuances, and long-term incentives in the form of stock option awards, time-based restricted stock unit (“RSU”) awards, performance-based RSU awards and cash awards, noting equity awards are granted pursuant to the terms and conditions of our Equity Plans (as defined in Note 13, "Compensation Plans and Programs"). Our long-term incentives, including equity awards, typically include annual equity and cash award grants with three to five year vesting periods; as a result, in any one year, we are typically accounting for at least three active cycles.
We account for compensation costs associated with share-based compensation based on the fair value of the instruments issued. The estimated value of stock options includes assumptions around expected life, stock volatility and dividends. For stock options considered to be “plain vanilla” options, the Company estimates the expected term based on the simplified method as prescribed by Staff Accounting Bulletin Topic 14. The simplified method was used because the Company does not believe it has sufficient historical exercise data to provide a reasonable basis for the expected term of its grants. In all periods, our policy has been to set the value of RSUs awards equal to the value of our underlying common stock on the date of measurement. For grants with graded vesting, we amortize the associated unrecognized compensation cost using an accelerated method. For grants that cliff vest, we amortize the associated unrecognized compensation cost on a straight-line basis over their vesting term. For awards containing performance conditions, we recognize compensation expense ratably over the vesting period when it is probable that the stated performance targets will be achieved and record cumulative adjustments in the period in which estimates change.
In the event of canceled awards, we adjust compensation expense recognized to date as they occur. Tax windfalls and shortfalls related to the tax effects of employee share-based compensation are included in our tax provision. On the consolidated statements of cash flows, tax windfalls and shortfalls related to employee share-based compensation awards are included within operating activities and cash paid to tax authorities for shares withheld are included within financing activities. The inclusion of windfalls and shortfalls in the tax provision could increase our earnings volatility between periods. Tax windfalls related to share-based compensation were of $7.4 million, $4.9 million, and $3.1 million for the years ended 2025, 2024, and 2023, respectively.
Income Taxes
Income taxes are accounted for under the asset and liability method. Under this method, deferred tax assets and liabilities are recognized for the estimated future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases, and operating loss and tax credit carry forwards. Deferred tax assets and liabilities are measured using enacted tax rates in effect for the year in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in the consolidated statement of income in the period in which the change was enacted. A valuation allowance is recorded to reduce the carrying amounts of deferred tax assets if management has determined that it is more likely than not that such assets will not be realized.
In addition, the calculation of tax liabilities involves significant judgment in estimating the impact of uncertainties in the application of complex tax laws. We are subject to examinations by the U.S. IRS and other taxing jurisdictions on various tax matters, including challenges to various positions we assert in our filings. In the event that the IRS or another taxing jurisdiction levies an assessment in the future, it is possible the assessment could have a material adverse effect on our consolidated financial condition or results of operations.
The financial statement recognition of the benefit for an uncertain tax position is dependent upon the benefit being more likely than not to be sustainable upon audit by the applicable tax authority. If this threshold is met, the tax benefit is then measured and recognized at the largest amount that is greater than 50 percent likely of being realized upon ultimate settlement. In the event that the IRS or another taxing jurisdiction levies an assessment in the future, it is possible the assessment could have a material adverse effect on our consolidated financial condition or results of operations.
Treasury Stock
We record the repurchase of our shares of common stock at cost based on the settlement date of the transaction. These shares are classified as treasury stock, which is a reduction to shareholders’ equity. Treasury shares are included in authorized and issued shares, but excluded from outstanding shares. If the Treasury shares are retired, the excess of the par value is included with retained earnings.
In August 2022, the Inflation Reduction Act was enacted in the United States, which included, among other items, a 1% excise tax on certain net repurchases of our common stock after December 31, 2022. This excise tax on our share repurchases is recorded as a component of stockholders’ equity, as treasury stock, or retained earnings if retired.
New Accounting Guidance
Accounting Standards Update: Interim Reporting (Topic 270): Narrow-Scope Improvements
In December 2025, the FASB issued ASU 2025-11 to amend the guidance in “Interim Reporting” (Topic 270). The update provides clarifications intended to improve the consistency and usability of interim disclosure requirements, including a comprehensive listing of required interim disclosures and a new disclosure principle for reporting material events occurring after the most recent annual period. The amendments do not change the underlying objectives of interim reporting but are designed to enhance clarity in application. The guidance is effective for fiscal years beginning after December 15, 2027, including interim periods within those fiscal years. We are currently evaluating the impact of adoption on our consolidated financial statements.
Accounting Standards Update: Targeted Improvements to the Accounting for Internal-Use Software
In September 2025, the FASB issued ASU No. 2025-06, "Intangibles—Goodwill and Other Internal-Use Software (Subtopic 350-40)". The amendments in the ASU amends certain aspects of the accounting for and disclosure of software costs under ASC 350-40. ASU 2025-06 is effective for fiscal years beginning after December 15, 2027, with early adoption allowed. We are currently evaluating the impact of adoption on our consolidated financial statements.
Accounting Standards Update: Induced Conversions of Convertible Debt Instruments
In November 2024, the FASB issued ASU No. 2024-04, "Debt—Debt with Conversion and Other Options (Subtopic 470-20): Induced Conversions of Convertible Debt Instruments". The amendments in the ASU require disclosures for determining whether certain settlements of convertible debt instruments should be accounted for as an induced conversion. ASU 2024-04 is effective for fiscal years beginning after December 15, 2025, with early adoption allowed. We are currently evaluating the impact of adoption on our consolidated financial statements.
Accounting Standards Update: Disaggregation of Income Statement Expenses
In November 2024, the FASB issued ASU No. 2024-03, "Income Statement—Reporting Comprehensive Income—Expense Disaggregation Disclosures (Subtopic 220-40): Disaggregation of Income Statement Expenses". The amendments in the ASU require disclosures about specific types of expenses included in the expense captions presented on the Consolidated Statements of Income, as well as disclosures about selling expenses. ASU 2024-03 is effective for fiscal years beginning after December 15, 2026, with early adoption allowed. We are currently evaluating the impact of adoption on our financial disclosures.
Accounting Standards Update: Improvements to Income Tax Disclosures
In December 2023, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Updates ("ASU") No. 2023-09, “Income Taxes (Topic 740): Improvements to Income Tax Disclosures”. The amendments in the ASU enhance income tax disclosures, primarily through standardization, disaggregation of rate reconciliation categories, and income taxes paid by jurisdiction. ASU 2023-09 is effective for fiscal years beginning after December 15, 2024, with early adoption allowed. We retrospectively adopted this guidance as of January 1, 2025, and included the necessary disclosures in this Form 10-K.
v3.25.4
Revenue Recognition
12 Months Ended
Dec. 31, 2025
Revenue from Contract with Customer [Abstract]  
REVENUE RECOGNITION REVENUE RECOGNITION
Disaggregated Revenue
The following table presents the disaggregation of our revenue for the year ended December 31, 2025, 2024, and 2023 (in thousands):
Year Ended December 31,
 202520242023
Smartphone$678,855 $597,540 $467,283 
CE, IoT/Auto154,631 268,680 80,895 
Other529 2,296 1,410 
Total Revenue$834,015 $868,516 $549,588 
Catch-up revenue (a), included above
$277,409 $460,069 $141,196 
(a)    Catch-up revenue represents revenue associated with reporting periods prior to the execution of the license agreement.
During the year ended December 31, 2025, we recognized $178.0 million of revenue that had been included in deferred revenue as of the beginning of the period. As of December 31, 2025 and 2024, we had contract assets of $19.7 million and $162.8 million included within "Accounts receivable, net" in the consolidated balance sheet, respectively. As of December 31, 2025, we also had $21.0 million contract assets included within "Other non-current assets, net" in the consolidated balance sheet.
Contracted Revenue
Based on Dynamic Fixed-Fee Agreements as of December 31, 2025, we expect to recognize the following amounts of revenue over the term of such contracts (in thousands):
Revenue (a)
2026$452,314 
2027440,577 
2028348,455 
2029294,819 
2030158,580 
Thereafter73,758 
$1,768,503 
(a) This table includes estimated revenue related to our Lenovo arbitration. In accordance with ASC 606, these estimates are limited to the amount of revenue we expect to recognize only to the extent we believe it is probable that a subsequent change in the estimate would not result in a significant revenue reversal.
v3.25.4
Segment and Concentration Information
12 Months Ended
Dec. 31, 2025
Segment Reporting [Abstract]  
SEGMENT AND CONCENTRATION INFORMATION SEGMENT AND CONCENTRATION INFORMATION
Segment Performance Measures and Expenses
Our chief operating decision maker (“CODM”), who is the Chief Executive Officer, assesses company-wide performance and allocates resources based on consolidated financial information. Consequently, we view the entire organization as one reportable segment and the strategic purpose of all operating activities is to support that one segment. The CODM evaluates company-wide performance based on multiple performance measures, including, but not limited to, net income. Our CODM does not generally evaluate our performance using asset or historical cash flow information.
The table below provides the calculation of net income, which is the performance measure that is most consistent with GAAP, and the significant operating expenses included in this performance measure (in thousands):

 
Year Ended December 31,
 202520242023
Revenue$834,015 $868,516 $549,588 
Less:
Departmental expenses (a)
193,465 175,636 162,318 
Depreciation and amortization77,531 69,913 77,792 
Litigation48,870 56,171 48,790 
Share-based compensation43,156 45,966 35,741 
Revenue share costs10,140 81,318 3,332 
Other non-operating expense (income), net (b)
(8,579)10,096 (12,995)
Income tax provision62,788 70,802 23,557 
Net income$406,644 $358,614 $211,053 
(a) Includes personnel-costs, consulting costs, outside services, administrative costs, and other operating expenses.
(b) Includes interest income, interest expense, and other non-operating income and expenses
Customer and Geographic Concentration
During 2025, 2024, and 2023, the majority of our revenue was derived from a limited number of licensees based outside of the United States, primarily in Asia. Substantially all of this revenue was paid in U.S. dollars and were not subject to any substantial foreign exchange transaction risk. The table below lists the countries of the headquarters of our licensees and customers and the total revenue derived from each country or region for the periods indicated (in thousands):
 Year Ended December 31,
 202520242023
United States$239,417 $198,723 $186,251 
China309,335 379,606 258,737 
South Korea262,500 265,953 82,235 
Taiwan12,320 9,620 9,368 
Japan7,095 7,223 10,678 
Europe3,348 7,391 2,319 
Total revenue$834,015 $868,516 $549,588 
During 2025, 2024, and 2023, the following licensees or customers accounted for 10% or more of total revenue:
Year Ended December 31,
202520242023
Customer A31%30%14%
Customer B16%15%24%
Customer C14%—%—%
Customer D<10%20%27%
Customer E<10%14%—%
Customer F<10%<10%11%
As of December 31, 2025, and 2024, our property and equipment, net of accumulated depreciation, and patents, net of accumulated amortization, totaled $342.5 million and $327.2 million, respectively. Approximately 85% of these assets were located in the United States in each year presented. The remaining of these net assets were located primarily in Canada and Europe, where we held $50.7 million and $36.6 million a
v3.25.4
Cash, Cash Equivalents, Restricted Cash and Marketable Securities
12 Months Ended
Dec. 31, 2025
Cash and Cash Equivalents [Abstract]  
CASH, CASH EQUIVALENTS, RESTRICTED CASH AND MARKETABLE SECURITIES CASH, CASH EQUIVALENTS, RESTRICTED CASH AND MARKETABLE SECURITIES
Cash, Cash Equivalents, and Restricted Cash
Cash, cash equivalents, and restricted cash as of December 31, 2025 and 2024 consisted of the following (in thousands):
 December 31,
 20252024
Money market and demand accounts$745,024 $535,745 
Commercial paper— 4,062 
Corporate bonds, asset backed and other securities9,244 11,740 
 Total cash, cash equivalents, and restricted cash$754,268 $551,547 
The following table provides a reconciliation of total cash, cash equivalents and restricted cash as of December 31, 2025 and 2024 within the consolidated balance sheets (in thousands):
December 31,
20252024
Cash and cash equivalents$738,960 $527,360 
Restricted cash included within prepaid and other current assets15,308 24,187 
Total cash, cash equivalents, and restricted cash$754,268 $551,547 
Marketable Securities
As of December 31, 2025 and 2024, the majority of our marketable securities are classified as available-for-sale and are carried at fair value, with unrealized gains and losses reported net-of-tax as a separate component of shareholders’ equity. Substantially all of our investments are investment-grade government and corporate debt securities that have maturities of less than three years, and we have both the ability and intent to hold the investments until maturity. We recorded no other-than-temporary impairments during 2025, 2024, or 2023. The gross realized gains and losses on sales of marketable securities were not significant during the years ended December 31, 2025, 2024, and 2023.
    Marketable securities as of December 31, 2025 and 2024 consisted of the following (in thousands):
 December 31, 2025
CostGross Unrealized GainsGross Unrealized LossesFair Value
Available-for-sale securities
Commercial paper$121,307 $56 $(2)$121,361 
U.S. government securities239,974 583 (1)240,556 
Corporate bonds, asset backed and other securities151,217 313 (3)151,527 
Total available-for-sale securities$512,498 $952 $(6)$513,444 
Reported in:
Cash and cash equivalents$9,244 
Short-term investments504,200 
Total marketable securities$513,444 
 December 31, 2024
CostGross Unrealized GainsGross Unrealized LossesFair Value
Available-for-sale securities
Commercial paper$78,822 $50 $(2)$78,870 
U.S. government securities230,693 128 (260)230,561 
Corporate bonds, asset backed and other securities137,146 111 (38)137,219 
Total available-for-sale securities$446,661 $289 $(300)$446,650 
Reported in:
Cash and cash equivalents$15,802 
Short-term investments430,848 
Total marketable securities$446,650 
As of December 31, 2025 and 2024, $371.9 million and $323.8 million, respectively, of our short-term investments had contractual maturities within one year. The remaining portions of our short-term investments had contractual maturities within one to three years.
v3.25.4
Concentration of Credit Risk and Fair Value of Financial Assets and Financial Liabilities
12 Months Ended
Dec. 31, 2025
Fair Value Disclosures [Abstract]  
CONCENTRATION OF CREDIT RISK AND FAIR VALUE OF FINANCIAL ASSETS AND FINANCIAL LIABILITIES CONCENTRATION OF CREDIT RISK AND FAIR VALUE OF FINANCIAL ASSETS AND FINANCIAL LIABILITIES
Concentration of Credit Risk and Fair Value of Financial Instruments
Financial instruments that potentially subject us to concentration of credit risk consist primarily of cash equivalents, short-term investments, and accounts receivable. We primarily place our cash equivalents and short-term investments in highly rated financial instruments and in United States government instruments.
Our accounts receivable are derived principally from patent license and technology solutions agreements. As of December 31, 2025 and 2024, three licensees comprised 55% and 84% of our accounts receivable balance, respectively. We perform ongoing credit evaluations of our licensees, who generally include large, multinational, wireless telecommunications equipment manufacturers. We believe that the book values of our financial instruments approximate their fair values.
Fair Value Measurements
We use various valuation techniques and assumptions when measuring the fair value of our assets and liabilities. We utilize market data or assumptions that market participants would use in pricing the asset or liability, including assumptions about risk and the risks inherent in the inputs to the valuation technique. This guidance established a hierarchy that prioritizes fair value measurements based on the types of input used for the various valuation techniques (market approach, income approach and cost approach). The levels of the hierarchy are described below:
Level 1 Inputs — Level 1 includes financial instruments for which quoted market prices for identical instruments are available in active markets.
Level 2 Inputs — Level 2 includes financial instruments for which there are inputs other than quoted prices included within Level 1 that are observable for the instrument such as quoted prices for similar instruments in active markets, quoted prices for identical or similar instruments in markets with insufficient volume or infrequent transactions (less active markets) or model-driven valuations in which significant inputs are observable or can be derived principally from, or corroborated by, observable market data, including market interest rate curves, referenced credit spreads and pre-payment rates.
Level 3 Inputs — Level 3 includes financial instruments for which fair value is derived from valuation techniques including pricing models and discounted cash flow models in which one or more significant inputs are unobservable, including the company’s own assumptions. The pricing models incorporate transaction details such as contractual terms, maturity and, in certain instances, timing and amount of future cash flows, as well as assumptions related to liquidity and credit valuation adjustments of marketplace participants.
Our assessment of the significance of a particular input to the fair value measurement requires judgment and may affect the valuation of financial assets and financial liabilities and their placement within the fair value hierarchy. We use quoted market prices for similar assets to estimate the fair value of our Level 2 investments.
Recurring Fair Value Measurements
Our financial assets are included within short-term investments on our consolidated balance sheets, unless otherwise indicated. Our financial assets and liabilities that are accounted for at fair value on a recurring basis are presented in the tables below as of December 31, 2025 and 2024 (in thousands):
 Fair Value as of December 31, 2025
 Level 1Level 2Level 3Total
Assets:    
Money market and demand accounts (a)
$745,024 $— $— $745,024 
Commercial paper
— 121,361 — 121,361 
U.S. government securities
— 240,556 — 240,556 
Corporate bonds, asset backed and other securities (c)
— 151,527 — 151,527 
 $745,024 $513,444 $— $1,258,468 
 Fair Value as of December 31, 2024
 Level 1Level 2Level 3Total
Assets:    
Money market and demand accounts (a)
$535,745 $— $— $535,745 
Commercial paper (b)
— 78,870 — 78,870 
U.S. government securities— 230,561 — 230,561 
Corporate bonds and asset backed securities (c)
— 137,219 — 137,219 
 $535,745 $446,650 $— $982,395 
_______________
(a)Included within cash and cash equivalents.
(b)As of December 31, 2024 $4.1 million of commercial paper was included within cash and cash equivalents, respectively.
(c)As of December 31, 2025 and 2024, $9.2 million and $11.7 million of corporate bonds, asset backed and other securities was included within cash and cash equivalents, respectively.
Fair Value of Debt
Senior Convertible Notes    
The principal amount, carrying value and related estimated fair value of the Company's senior convertible debt reported in the consolidated balance sheets as of December 31, 2025 and 2024 was as follows (in thousands). The aggregate fair value of the principal amount of the senior convertible debt is a Level 2 fair value measurement.
December 31, 2025December 31, 2024
Principal
Amount
Carrying
Value
Fair
Value
Principal
Amount
Carrying
Value
Fair
Value
2027 Senior Convertible Notes
$459,986 $456,786 $1,905,819 $460,000 $454,739 $1,166,155 
Technicolor Patent Acquisition Long-term Debt
As more fully disclosed in Note 10, "Obligations," we recognized long-term debt in conjunction with the Technicolor Patent Acquisition. The carrying value and related estimated fair value of the Technicolor Patent Acquisition long-term debt reported in the consolidated balance sheet as of December 31, 2025 and 2024 was as follows (in thousands). The aggregate fair value of the Technicolor Patent Acquisition long-term debt is a Level 3 fair value measurement.
December 31, 2025December 31, 2024
Carrying
Value
Fair
Value
Carrying
Value
Fair
Value
Technicolor Patent Acquisition Long-Term Debt$17,882 $18,178 $17,033 $17,102 
Non-recurring Fair Value Measurements
Investments in Other Entities
As disclosed in Note 2, "Summary of Significant Accounting Policies and New Accounting Guidance", we made an accounting policy election to utilize a measurement alternative for equity investments that do not have readily determinable fair values, which applies to our long-term strategic investments in other entities. Under the alternative, our long-term strategic investments in other entities that do not have readily determinable fair values are measured at cost, less any impairment, plus or minus changes resulting from observable price changes in orderly transactions for an identical or similar investment of the same issuer. Any adjustments to the carrying value of those investments are considered non-recurring fair value measurements.
    We recognized a net loss of $1.0 million during year ended December 31, 2025 and net gains of $2.0 million and $10.4 million during years ended 2024 and 2023, respectively resulting from observable price changes of our long-term strategic investments, which were included within “Other income, net” in the consolidated statement of income. Certain of our investments in other entities may be seeking additional financing in the next twelve months or potential exit strategies. We will continue to review and monitor our investments in other entities for any indications of an increase in fair value or impairment.
Convida Wireless is a variable interest entity. We determined that we were the primary beneficiary for accounting purposes and consolidated Convida Wireless through September 30, 2023. As of October 1, 2023, we determined that we no longer met the accounting criteria for consolidation, and accordingly, we deconsolidated Convida Wireless during fourth quarter 2023. Upon deconsolidation, we recorded our investment in Convida at fair value utilizing the income approach. Our investment in Convida Wireless is accounted for as an equity method investment in accordance with ASC 323 "Investments – Equity Method and Joint Ventures" and included within "Other non-current assets, net" in the consolidated balance sheet. During fourth quarter 2025, this entity was fully dissolved.
Patents
During 2025 and 2024, we entered into patent license agreements in which a portion of the future consideration was in the form of patents. We estimated fair value of the patents subject to the agreements to be $3.0 million and $10.0 million in 2025 and 2024, respectively, for determining the transaction price for revenue recognition purposes utilizing a combination of the market and cost approaches. The value will be amortized as a non-cash expense over the patents' estimated useful lives.
We estimated the fair value of the patents in these transactions using one of, or a combination of, an analysis of comparable market transactions (the market approach) and/or by quantifying the amount of money required to replace the future service capability of the assets (the cost approach). For the market approach, judgment was applied as to which market transactions were most comparable to the transaction. For the cost approach, we utilized the historical cost of assets of similar technologies to determine the estimated replacement cost, including research, development, testing and patent application fees.
v3.25.4
Property and Equipment
12 Months Ended
Dec. 31, 2025
Property, Plant and Equipment [Abstract]  
PROPERTY AND EQUIPMENT PROPERTY AND EQUIPMENT
As of December 31, 2025 and 2024, property and equipment, net is comprised of the following (in thousands):
 December 31,
 20252024
Computer equipment and software$25,732 $23,294 
Leasehold improvements14,844 15,207 
Building and improvements3,452 3,517 
Engineering and test equipment1,284 1,166 
Furniture and fixtures673 570 
Property and equipment, gross45,985 43,754 
Less: accumulated depreciation(22,272)(25,210)
Property and equipment, net$23,713 $18,544 
Depreciation expense was $6.1 million, $3.4 million, and $4.1 million in 2025, 2024 and 2023, respectively.
v3.25.4
Patents and Goodwill
12 Months Ended
Dec. 31, 2025
Goodwill and Intangible Assets Disclosure [Abstract]  
PATENTS AND GOODWILL PATENTS AND GOODWILL
Patents
As of December 31, 2025 and 2024, patents consisted of the following (in thousands, except for useful life data):
 December 31,
 20252024
Weighted average estimated useful life (years)9.99.9
Gross patents$1,183,333 $1,102,412 
Accumulated amortization(864,576)(793,782)
Patents, net$318,757 $308,630 
Amortization expense related to capitalized patent costs was $70.7 million, $66.1 million, and $73.1 million in 2025, 2024, and 2023, respectively. These amounts are recorded within the "Research and portfolio development" expense line of our consolidated statements of income.
The estimated aggregate amortization expense for the next five years related to our patents balance as of December 31, 2025 is as follows (in thousands):
2026$66,469 
202761,612 
202841,999 
202937,674 
203031,263 
Goodwill
The following table shows the change in the carrying amount of our goodwill balance from December 31, 2023 to December 31, 2025, all of which is allocated to our one reportable segment (in thousands):
Goodwill balance as of December 31, 2023$22,421 
Activity— 
Goodwill balance as of December 31, 2024
$22,421 
Activity1,652 
Goodwill balance as of December 31, 2025$24,073 
In October 2025, we acquired Deep Render, an AI startup with a team of world-class AI experts focusing on video codecs for cash considerations. We believe the acquisition adds significant depth to our existing AI expertise and strengthens the company’s leadership in video compression. The transaction also adds Deep Render’s patent portfolio in AI-based video coding to our market-leading video portfolio. As part of the deal, a team of AI experts joined our Video Lab. Founded in London in 2018, Deep Render has pioneered the use of AI in video and image compression to change the way that video is processed and ultimately distributed to connected devices and services.
As part of the transaction, the vast majority of the acquired value was assigned to patents, with the remaining resulting in the recognition of goodwill. The goodwill is included in the “Other non-current assets, net" in the consolidated balance sheet.
v3.25.4
Other Assets and Liabilities
12 Months Ended
Dec. 31, 2025
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]  
OTHER ASSETS AND LIABILITIES OTHER ASSETS AND LIABILITIES
The amounts included in "Prepaid and other current assets" in the consolidated balance sheet as of December 31, 2025 and 2024 were as follows (in thousands):
December 31,
20252024
Tax receivables$39,638 $16,691 
Restricted cash15,308 24,187 
Prepaid assets13,335 38,952 
Other current assets6,713 4,482 
Total Prepaid and other current assets$74,994 $84,312 
The amounts included in "Other non-current assets, net" in the consolidated balance sheet as of December 31, 2025 and 2024 were as follows (in thousands):
December 31,
20252024
Tax receivables$98,846 $88,619 
Goodwill24,073 22,421 
Contract asset
21,000 — 
Right-of-use assets13,797 15,218 
Long-term investments11,718 19,851 
Other non-current assets23,091 3,291 
Total Other non-current assets, net$192,525 $149,400 
The amounts included in "Other accrued expenses" in the consolidated balance sheet as of December 31, 2025 and 2024 were as follows (in thousands):
December 31,
20252024
Accrued legal fees$14,008 $9,571 
Other accrued expenses8,318 15,563 
Total Other accrued expenses$22,326 $25,134 
The amounts included in "Other long-term liabilities" in the consolidated balance sheet as of December 31, 2025 and 2024 were as follows (in thousands):
December 31,
20252024
Deferred compensation liabilities$25,454 $19,969 
Operating lease liabilities13,540 15,772 
Other long-term liabilities19,500 19,201 
Total Other long-term liabilities$58,494 $54,942 
v3.25.4
Obligations
12 Months Ended
Dec. 31, 2025
Debt Disclosure [Abstract]  
OBLIGATIONS OBLIGATIONS
Long-term debt obligations, excluding the long-term debt resulting from the Technicolor Patent Acquisition, are comprised of the following (in thousands):
December 31, 2025December 31, 2024
3.50% Senior Convertible Notes due 2027
$459,986 $460,000 
Less: Deferred financing costs(3,200)(5,261)
Net carrying amount of the Convertible Notes456,786 454,739 
Less: Current portion of long-term debt(456,786)(454,739)
Long-term net carrying amount of the Convertible Notes$— $— 
There were no finance leases as of December 31, 2025 or December 31, 2024.
Maturities of principal of the long-term debt obligations of the Company as of December 31, 2025, excluding the long-term debt resulting from the Technicolor Patent Acquisition, are as follows (in thousands):
2026$80,003 
2027379,983 
2028— 
2029— 
2030 and thereafter— 
 $459,986 
The 3.50% Senior Convertible Notes due 2027 (the "2027 Notes") are convertible during the period January 1, 2024 through March 31, 2026 and therefore are classified as "Current portion of long-term debt" as of December 31, 2025 and 2024 in our consolidated balance sheet. In December 2025, certain holders elected to convert $80.0 million of principal, which will settle in first quarter 2026. The principal of the converted notes will be paid in cash and the remaining amount will be settled in shares. No incremental shares will be outstanding upon conversion due to the offsetting impact of a corresponding partial settlement of the 2027 Note Hedge Transactions.
There is no acceleration of the maturity of the 2027 Warrant Transactions as a result of holders electing conversion of the 2027 Notes. As of December 31, 2025, all 6.0 million of the warrants under the 2027 Warrant Transactions are outstanding with a weighted average strike price of $105.67 per share, subject to adjustment, and mature beginning September 2027 through April 2028.
2027 Notes, and Related Note Hedge and Warrant Transactions
On May 27, 2022 we issued $460.0 million in aggregate principal amount of the 2027 Notes. The net proceeds from the issuance of the 2027 Notes, after deducting the initial purchasers' transaction fees and offering expenses, were approximately $450.0 million. The 2027 Notes bear interest at a rate of 3.50% per year, payable in cash on June 1 and December 1 of each year, commencing on December 1, 2022, and mature on June 1, 2027, unless earlier redeemed, converted or repurchased.
The 2027 Notes will be convertible into cash up to the aggregate principal amount of the notes to be converted and in respect of the remainder, if any, of the Company’s obligation in excess of the aggregate principal amount of the notes being converted, pay or deliver, as the case may be, cash, shares of the Company’s common stock or a combination thereof, at the Company’s election, at an initial conversion rate of 12.9041 shares of Common Stock per $1,000 principal amount of Notes (which is equivalent to an initial conversion price of approximately $77.49 per share). The conversion rate, and thus the conversion price, may be adjusted under certain circumstances, including in connection with conversions made following fundamental changes and under other circumstances as set forth in the indenture governing the 2027 Notes.
Prior to 5:00 p.m., New York City time, on the business day immediately preceding March 1, 2027, the notes will be convertible only under the following circumstances: (1) on any date during any calendar quarter (and only during such calendar quarter) beginning after September 30, 2022 if the closing sale price of the Common Stock was more than 130% of the applicable conversion price on each applicable trading day for at least 20 trading days (whether or not consecutive) in the period of the 30 consecutive trading days ending on the last trading day of the immediately preceding calendar quarter; (2) if the Company distributes to all or substantially all holders of the Common Stock any rights, options or warrants (other than in connection with a stockholder rights plan prior to separation of such rights from the shares of the Common Stock) entitling them to purchase, for a period of 45 calendar days or less from the issuance date for such distribution, shares of Common Stock at a price per share less than the average closing sale price for the ten consecutive trading day period ending on, and including, the trading day immediately preceding the declaration date for such distribution; (3) if the Company distributes to all or substantially all holders of the Common Stock any cash or other assets, debt securities or rights to purchase the Company’s securities (other than pursuant to a rights plan), which distribution has a per share value exceeding 10% of the closing sale price of the Common Stock on the trading day immediately preceding the declaration date for such distribution; (4) if the Company engages in certain corporate transactions as described in the indenture governing the 2027 Notes; (5) if the Company calls the notes for redemption, at any time prior to the close of business on the second scheduled trading day immediately preceding the redemption date; (6) during a specified period if a fundamental change (as defined in the indenture governing the 2027 Notes) occurs; or (7) during the five consecutive business day period following any five consecutive trading day period in which the trading price for the notes for each day during such five trading day period was less than 98% of the closing sale price of the Common Stock multiplied by the applicable conversion rate on each such trading day. Commencing on March 1, 2027, the notes will be convertible in multiples of $1,000 principal amount, at any time prior to 5:00 p.m., New York City time, on the second scheduled trading day immediately preceding the maturity date of the notes.
The Company may not redeem the notes prior to June 5, 2025. The Company may redeem for cash all or any portion of the notes, at the Company’s option, on or after June 5, 2025, if the last reported sale price of the Common Stock has been at least 130% of the conversion price then in effect for at least 20 trading days (whether or not consecutive), including the trading day immediately preceding the date on which the Company provides notice of redemption, during any 30 consecutive trading day period ending on and including the trading day preceding the date on which the Company provides notice of redemption at a redemption price equal to 100% of the principal amount of the notes to be redeemed, plus any accrued and unpaid interest to, but excluding the redemption date.
If a fundamental change (as defined in the indenture governing the 2027 Notes) occurs, holders may require the Company to purchase all or a portion of their Notes for cash at a repurchase price equal to 100% of the principal amount of the notes to be repurchased, plus any accrued and unpaid interest to, but excluding, the fundamental change repurchase date.
The 2027 Notes are the Company’s senior unsecured obligations and rank equally in right of payment with any of the Company’s current and any future senior unsecured indebtedness, including its 2.00% senior convertible notes due 2024 (the “2024 Notes” and together with the 2027 Notes, the "Convertible Notes"). The 2027 Notes are effectively subordinated to all of the Company’s future secured indebtedness to the extent of the value of the related collateral, and the 2027 Notes are structurally subordinated to indebtedness and other liabilities, including trade payables, of the Company’s subsidiaries.
On May 24 and May 25, 2022, in connection with the offering of the 2027 Notes, we entered into convertible note hedge transactions (collectively, the “2027 Note Hedge Transactions”) that cover, subject to customary anti-dilution adjustments, approximately 5.9 million shares of common stock, in the aggregate, at a strike price that initially corresponds to the initial conversion price of the 2027 Notes, subject to adjustment, and are exercisable upon any conversion of the 2027 Notes. The aggregate cost of the 2027 Note Hedge Transactions was $80.5 million.
Also on May 24 and May 25, 2022, we also entered into privately negotiated warrant transactions (collectively, the “2027 Warrant Transactions” and, together with the 2027 Note Hedge Transactions, the “2027 Call Spread Transactions”), whereby we sold warrants to acquire, subject to customary anti-dilution adjustments, approximately 6.0 million shares of common stock at a weighted average strike price of $106.22 per share, subject to adjustment. As consideration for the 2027 Warrant Transactions, we received aggregate proceeds of $43.7 million. The net cost of the 2027 Call Spread Transactions was $36.8 million, which was funded out of the net proceeds from the offering of the 2027 Notes.
Accounting Treatment of the 2027 Notes and Related Convertible Note Hedge and Warrant Transactions
The 2027 Call Spread Transactions were classified as equity and the 2027 Notes were classified as long-term debt. The effective interest rate is approximately 4.02%.
In connection with the above-noted transactions, the Company incurred approximately $9.9 million of directly related costs, which were capitalized as deferred financing costs and as a reduction of long-term debt. These costs are being amortized as interest expense over the term of the debt using the effective interest method.
2024 Senior Convertible Notes, and Related Note Hedge and Warrant Transactions
On June 3, 2019 we issued $400.0 million in aggregate principal amount of 2.00% Senior Convertible Notes due 2024 (the "2024 Notes"). The net proceeds from the issuance of the 2024 Notes, after deducting the initial purchasers' transaction fees and offering expenses, were approximately $391.6 million. The 2024 Notes bore interest at a rate of 2.00% per year, payable in cash on June 1 and December 1 of each year, commenced on December 1, 2019, and matured on June 1, 2024.
In connection with the offering of the 2024 Notes, we entered into convertible note hedge transactions (collectively, the “2024 Note Hedge Transactions”) that cover, subject to customary anti-dilution adjustments, approximately 4.9 million shares of common stock, in the aggregate, at a strike price that corresponded to the initial conversion price of the 2024 Notes, subject to adjustment, and were exercisable upon any conversion of the 2024 Notes.
We also entered into privately negotiated warrant transactions (collectively, the “2024 Warrant Transactions” and, together with the 2024 Note Hedge Transactions, the “2024 Call Spread Transactions”), whereby we sold warrants to acquire, subject to customary anti-dilution adjustments, approximately 4.9 million shares of common stock at an initial strike price of $109.43 per share, subject to adjustment.
In 2022, the Company repurchased $273.8 million in aggregate principal amount of the 2024 Notes in privately negotiated transactions concurrently with the offering of the 2027 Notes. We specifically negotiated the repurchase of the 2024 Notes with investors who concurrently purchased the 2027 Notes, such that their purchase of the 2027 Notes funded our repurchase of the 2024 Notes.
Additionally, in connection with the partial repurchase of the 2024 Notes, the Company entered into partial unwind agreements that amended the terms of the 2024 Note Hedge Transactions to reduce the number of options corresponding to the principal amount of the repurchased 2024 Notes. The unwind agreements also reduce the number of warrants exercisable under the 2024 Warrant Transactions. As a result of the partial unwind transactions, approximately 3.3 million shares of common stock in the aggregate that were covered under each of the 2024 Note Hedge Transactions and the 2024 Warrant Transactions were unwound.
On June 1, 2024, the 2024 Notes matured and we repaid the remaining $126.2 million in aggregate principal in cash and issued 0.3 million common shares to settle the remaining obligation. This issuance was effectively offset by our receipt of 0.3 million shares from the settlement of the 2024 Note Hedge Transactions. Additionally, the 2024 Warrant Transactions settled, on a net-share basis during September through December 2024 resulting in the issuance of 0.5 million shares.
Convertible Notes Interest Expense
The following table presents the amount of interest cost recognized for the years ended December 31, 2025, 2024 and 2023 related to the contractual interest coupon and the amortization of financing costs (in thousands):
Year Ended December 31,
202520242023
2027 Notes2027 Notes2024 NotesTotal2027 Notes2024 NotesTotal
Contractual coupon interest$15,866 $16,100 $1,058 $17,158 $16,100 $2,523 $18,623 
Amortization of financing costs2,061 1,909 252 2,161 1,768 580 2,348 
Total$17,927 $18,009 $1,310 $19,319 $17,868 $3,103 $20,971 
Madison Arrangement
In conjunction with the Technicolor Patent Acquisition, we assumed Technicolor’s rights and obligations under the Madison Arrangement, which commenced in 2015. The Madison Arrangement falls under the scope of ASC 808, Collaborative Arrangements.
Under the Madison Arrangement, Technicolor and Sony combined portions of their respective digital TV (“DTV”) and computer display monitor (“CDM”) patent portfolios and created a combined licensing opportunity to DTV and CDM manufacturers. Per an Agency and Management Services Agreement (“AMSA”) entered into upon the creation of the Madison Arrangement, Technicolor was initially appointed as sole licensing agent of the arrangement, and InterDigital has now assumed that role. As licensing agent, we are responsible for making decisions regarding the prosecution and maintenance of the combined patent portfolio and the licensing and enforcement of the combined patent portfolio in the field of use of DTVs and CDMs on an exclusive basis during the term of the AMSA in exchange for an agent fee.
We were deemed to be the principal in this collaborative arrangement under ASC 808, and, as such, in accordance with ASC 606-10-55-36, Revenue From Contracts with Customers - Principal Agent Considerations, we record revenue generated on sales to third parties and costs incurred on a gross basis in the consolidated statements of income. Therefore, we recognize all royalties from customers as revenue and payments to Sony for its royalty share as operating expenses within the consolidated statements of income. Cost reimbursements for expenses incurred resulting from fulfilling the duties of the licensing agent are recorded as contra expenses. During the years ended December 31, 2025, 2024, and 2023, gross revenue recorded related to the Madison Arrangement were $41.7 million, $209.5 million, and $12.3 million, respectively. Net operating expenses related to the Madison Arrangement during the years ended December 31, 2025, 2024, and 2023 were $15.7 million, $84.1 million and $6.2 million, including $10.1 million, $81.3 million, and $3.3 million related to revenue sharing, respectively, and are reflected primarily within "Licensing" expenses in the consolidated statement of income.
Long-term debt
An affiliate of CPPIB Credit Investments Inc. ("CPPIB Credit"), a wholly owned subsidiary of Canada Pension Plan Investment Board, is a third-party investor in the Madison Arrangement. CPPIB Credit has made certain payments to Technicolor and Sony and has agreed to contribute cash to fund certain capital reserve obligations under the arrangement in exchange for a percentage of future revenue, specifically through September 11, 2030 in regard to the Technicolor patents.
Upon our assumption of Technicolor’s rights and obligations under the Madison Arrangement, our relationship with CPPIB Credit met the criteria in ASC 470-10-25, Sales of Future Revenue or Various Other Measures of Income (“ASC 470”), which relates to cash received from an investor in exchange for a specified percentage or amount of revenue or other measure of income of a particular product line, business segment, trademark, patent, or contractual right for a defined period. Under this guidance, we recognized the fair value of our contingent obligation to CPPIB Credit, as of the acquisition date, as long-term debt in our consolidated balance sheet. This initial fair value measurement was based on the perspective of a market participant and includes significant unobservable inputs which are classified as Level 3 inputs within the fair value hierarchy. The fair value of the long-term debt as of December 31, 2025 is disclosed within Note 6, "Concentration of Credit Risk and Fair Value of Financial Assets and Financial Liabilities". Our repayment obligations are contingent upon future royalty revenue generated from the Madison Arrangement and there are no minimum or maximum payments under the arrangement.
Under ASC 470, amounts recorded as debt shall be amortized under the interest method. At each reporting period, we review the discounted expected future cash flows over the life of the obligation. The Company made an accounting policy election to utilize the catch-up method when there is a change in the estimated future cash flows, whereby we will adjust the carrying amount of the debt to the present value of the revised estimated future cash flows, discounted at the original effective interest rate, with a corresponding adjustment recognized as interest expense within “Interest expense” in the consolidated statements of income. The effective interest rate as of the acquisition date was approximately 14.5%. This rate represents the discount rate that equates the estimated future cash flows with the fair value of the debt as of the acquisition date, and is used to compute the amount of interest to be recognized each period based on the estimated life of the future revenue streams. During the years ended December 31, 2025 and 2024, we recognized a $2.3 million and $3.5 million interest expense within “Interest expense” in the consolidated statements of income. During the year ended December 31, 2023, we recognized a $1.6 million net reduction of interest expense due to a change in estimate resulting from updated estimated cash outflows owed under the arrangement which is included within “Interest expense” in the consolidated statements of income. Any future payments made to CPPIB Credit, or additional proceeds received from CPPIB Credit, will decrease or increase the long-term debt balance accordingly.
Restricted cash
Under the Madison Arrangement, the parties reserve cash in bank accounts to fund our activities to manage the portfolios. These accounts are custodial accounts for which the funds are restricted for this purpose. As of December 31, 2025 and 2024, the Company had $15.3 million and $24.2 million, respectively, of restricted cash included within the consolidated balance sheet attributable to the Madison Arrangement. Refer to Note 5, "Cash, Cash Equivalents, Restricted Cash and Marketable Securities", for a reconciliation of cash, cash equivalents, and restricted cash within the consolidated balance sheets.
Technicolor Contingent Consideration
As part of the Technicolor Acquisitions, we entered into a revenue-sharing arrangement with Technicolor that created a contingent consideration liability, which is accounted for under ASC 450 - Contingencies under the asset acquisition framework when the liability is deemed probable and estimable. Under the revenue-sharing arrangement, Technicolor receives 42.5% of future cash receipts from new licensing efforts from the Madison Arrangement only, subject to certain conditions and hurdles. As of December 31, 2025 and 2024, the contingent consideration liability from the revenue-sharing arrangement was deemed not probable and is therefore not reflected within the consolidated financial statements.
v3.25.4
Commitments
12 Months Ended
Dec. 31, 2025
Commitments and Contingencies Disclosure [Abstract]  
COMMITMENTS COMMITMENTS
Minimum future payments for accounts payable and other purchase commitments, excluding commenced long-term operating leases for office space, as of December 31, 2025 were as follows (in thousands):
2026$17,738 
202725 
2028— 
2029— 
2030— 
Thereafter— 
Refer to Note 10, "Obligations," for details of the Company's long-term debt obligations and the revenue-sharing arrangement with Technicolor resulting from the Technicolor Acquisitions. Refer to Note 17, "Leases," for maturities of the Company's operating lease liabilities as of December 31, 2025.
Defined Benefit Plans
In connection with the Technicolor Acquisitions, we assumed certain defined benefit plans which are accounted for in accordance with ASC 715 - Compensation - Retirement Benefits. These plans include a retirement lump sum indemnity plan and jubilee plan, both of which provide benefit payments to employees based upon years of service and compensation levels.
As of December 31, 2025 and 2024, the combined accumulated projected benefit obligation related to these plans totaled $5.5 million and $4.9 million, respectively. Service cost and interest cost for the combined plans totaled less than $0.5 million in each of the years ended December 31, 2025, 2024, and 2023 and the weighted average discount rate and assumed salary increase rate for these plans were 3.5% and 3.3%, respectively. These plans are not required to be funded and were not funded as of December 31, 2025.
Expected future benefit payments under these plans as of December 31, 2025 were as follows (in thousands):
2026$353 
2027208 
2028254 
2029498 
2030485 
2031-20353,100 
v3.25.4
Litigation and Legal Proceedings
12 Months Ended
Dec. 31, 2025
Gain (Loss) from Litigation Settlement [Abstract]  
LITIGATION AND LEGAL PROCEEDINGS LITIGATION AND LEGAL PROCEEDINGS
ARBITRATIONS AND COURT PROCEEDINGS
Amazon
United Kingdom Proceedings
In August 2025, Amazon.com, Inc. and certain of its subsidiaries (“Amazon”) filed a claim in the High Court of Justice of England and Wales against the Company and certain of its subsidiaries. The claims allege the non-infringement and invalidity of certain patents relating to video coding and video streaming technologies. Amazon is seeking, among other relief, a rate-setting and order that InterDigital offer Amazon a RAND license as declared by the Court, or a declaration that InterDigital is in breach of its RAND commitment and an unwilling licensor and damages arising from such breach, and a declaration that the challenged patents are invalid and non-essential and not infringed.
The Company made a jurisdictional challenge, which was denied in December 2025. The Company intends to appeal that decision. A subset of the issues raised by Amazon’s complaint are scheduled to be tried in September 2026, with the remainder to be scheduled later.
Brazil Proceedings
In September 2025, Amazon filed a claim in the Second Business Court of Sao Paolo (“Sao Paolo Court”) against the Company and certain of its subsidiaries. The claims allege the non-infringement and non-essentiality of certain patents relating to video coding and video streaming technologies. Amazon is seeking a declaration that the challenged Brazilian patents are not infringed, and a declaration preventing enforcement by the Company of any video coding patents anywhere in Brazil.
In November 2025, the Company and certain of its subsidiaries filed a claim in the Regional Business Court of Rio de Janeiro against Amazon. The claim alleges infringement of certain of the Company’s patents relating to video coding technologies. The Company is seeking, among other relief, damages and injunctive relief to prevent further infringement of the asserted patents.
DE Proceedings
In November and December 2025, the Company and certain of its subsidiaries filed patent infringement claims in three separate proceedings in the Munich and Mannheim Regional Courts against Amazon. The claims allege infringement of certain of the Company’s patents relating to video coding and video streaming technologies. The Company is seeking, among other relief, injunctive relief to prevent further infringement of the asserted patents. Trials are expected in two of the three proceedings in third quarter and fourth quarter 2026.
UPC Proceedings
In November and December of 2025, the Company and certain of its subsidiaries filed patent infringement claims in three separate proceedings in the Mannheim Local Divisional Court and Dusseldorf Local Divisional Court of the UPC against Amazon. The claims allege infringement of certain of the Company’s patents relating to video coding and video streaming technologies. The Company is seeking, among other relief, injunctive relief to prevent further infringement of the asserted patents.
International Trade Commission and Companion District Court Proceedings
In November 2025, the Company and certain of its subsidiaries filed a companion patent infringement complaint against Amazon in the Federal District Court of the District of Delaware. The claims allege infringement of certain of the Company’s patents relating to video coding and video streaming technologies. The Company is seeking, among other relief, injunctive relief to prevent further infringement of the asserted patents.
In December 2025, the Company and certain of its subsidiaries filed a complaint in the United States International Trade Commission alleging that Amazon infringes the same of the Company’s five patents asserted in the companion case by making, using, offering for sale, and/or selling certain video-capable electronic devices like smart TVs, streaming devices, tablets and smart display devices, and components thereof that infringe certain claims of the asserted patents. As relief, the Company sought: (a) a limited exclusion order against Amazon barring from entry into the United States all of Amazon’s products that infringe the asserted patents; (b) cease and desist orders prohibiting Amazon from importing, selling, offering for sale, marketing, advertising, and distributing, infringing products; and (c) a bond during the 60-day Presidential review period.
Eastern District of Virginia Proceedings
In December 2025, the Company and certain of its subsidiaries filed a claim in the Federal District Court of the Eastern District of Virginia against Amazon. The claim alleges infringement of four of the Company’s patents relating to video coding and video streaming technologies. The Company is seeking, among other relief, damages to prevent further infringement of the asserted patents.
Disney
US Central District of California Proceedings
In February 2025, the Company and certain of its subsidiaries filed a claim in the Federal District Court of the Central District of California against The Walt Disney Co. and certain of its subsidiaries (“Disney”). The claim alleges infringement of certain of the Company’s patents relating to video coding and video streaming technologies. The Company is seeking, among other relief, damages to prevent further infringement of the asserted patents.
In March 2025, Disney filed an answer and asserted multiple counterclaims against the Company. In April 2025 Disney filed a motion for an anti-suit injunction to prevent enforcement of any potential injunctive relief in Brazil, which the court denied.
A trial is scheduled for September 2026.
Brazil Proceedings
In February 2025, the Company and certain of its subsidiaries filed a claim in the Regional Business Court of Rio de Janeiro against The Walt Disney Co. and certain of its subsidiaries. The claim alleges infringement of certain of the Company’s patents relating to video coding technologies. The Company is seeking, among other relief, damages and injunctive relief to prevent further infringement of the asserted patents.
In March 2025, Disney filed an answer and asserted a rate-setting counterclaim. In May 2025, the Company requested an anti-interference injunction to prevent Disney from continuing with its anti-suit injunction in California.
In September 2025, the Court granted the Company’s preliminary injunction request. The Appellate Court initially granted Disney’s request to stay the preliminary injunction pending hearing of an appeal, but that stay was lifted. Disney had until November 30, 2025, to comply fully with the injunction.
In October 2025, the Company filed another claim in the Regional Business Court of Rio de Janeiro against The Walt Disney Co. and certain of its subsidiaries. The claim alleges infringement of one of the Company’s patents relating to video coding technologies. The Company is seeking, among other relief, damages and injunctive relief to prevent further infringement of the asserted patent.
Germany Proceedings
In February and April of 2025, the Company and certain of its subsidiaries filed patent infringement claims in four separate proceedings in the Munich Regional Court against The Walt Disney Co. and certain of its subsidiaries. The claims allege infringement of certain of the Company’s patents relating to video coding and video streaming technologies. The Company is seeking, among other relief, injunctive relief to prevent further infringement of the asserted patents.
In October 2025, the Court held a hearing and issued an order finding validity of and infringement by Disney of one of the Company’s patents. The order enjoined Disney from further infringement. Disney is currently appealing the Court’s determinations. In January 2026, the Court imposed fines of €550,000 for Disney’s violations of the injunction following a request for coercive measures from the Company.
In November 2025, the Court held another hearing and issued another order finding infringement by Disney of another of the Company’s patents. The order also enjoined Disney from further infringement.
Hearings on the remaining two asserted patents have been scheduled for February 2026.
UPC Proceedings
In February and April of 2025, the Company and certain of its subsidiaries filed patent infringement claims in four separate proceedings in the Mannheim Local Divisional Court and Dusseldorf Local Divisional Court of the UPC against The Walt Disney Co. and certain of its subsidiaries. The claims allege infringement of certain of the Company’s patents relating to video coding and video streaming technologies. The Company is seeking, among other relief, injunctive relief to prevent further infringement of the asserted patents.
The Mannheim Court has scheduled a hearing for one of the two asserted patents in May 2026 with the remainder to be scheduled in the second half of 2026. The Dusseldorf Court has scheduled hearings for two asserted patents in June and July 2026.
Delaware Proceedings
In August 2025, a subsidiary of Disney filed an antitrust complaint against the Company and certain of its subsidiaries, and Technicolor in the Federal District Court of the District of Delaware. The claims allege the Company has engaged in monopolistic conduct in the licensing of its patents relating to video coding and video streaming technologies. Disney is seeking, among other relief, injunctive relief to halt the licensing practices it views as unlawful, and damages.
In September 2025, the Company filed a motion to dismiss Disney’s complaint, or in the alternative, stay the case pending resolution of the Company’s cases against Disney in California, Europe, and Brazil. In October 2025, the Antitrust Division of the United States Department of Justice filed a Statement of Interest in the Delaware case.
Lenovo
In fourth quarter 2024, the Company reached an agreement with Lenovo Group Limited and certain of its subsidiaries (“Lenovo”) to enter into binding arbitration to determine the final terms of a new patent license agreement, which will be effective from January 1, 2024. In November 2024, the Company filed a request for arbitration with the International Chamber of Commerce. In March 2025, the International Chamber of Commerce confirmed the full tribunal for the arbitration. The Company anticipates that the arbitration hearing will occur before year end.
Samsung
The Company reached an agreement with Samsung Electronics Co. Ltd. (“Samsung”) to enter into binding arbitration to determine the final terms of a renewed patent license agreement to certain of the Company’s patents, to be effective from January 1, 2023. In July 2025, a panel of International Chamber of Commerce arbitrators determined the royalties of the patent license between the Company and Samsung covering Samsung’s products other than digital televisions and computer display monitors, which have been licensed under a separate agreement. The panel set the total royalties at $1.05 billion for the eight-year patent license.
In December 2025, Samsung filed a request to the International Chamber of Commerce seeking to challenge the previously determined royalties.
Tesla
In December 2023, Tesla and certain of its subsidiaries filed a claim in the UK High Court against the Company and Avanci. The claim alleges invalidity of three of the Company’s patents relating to 5G standards: European Patent (UK) Nos. 3,718,369, 3,566,413, and 3,455,985. Tesla sought, among other relief, a declaration that the patents at issue are invalid, not essential, and not infringed, revocation of the patents at issue, a declaration that the terms of the Avanci 5G Connected Vehicle platform license are not FRAND, and a determination of FRAND terms for a license between Tesla and Avanci covering its Avanci’s 5G Connected Vehicle platform. In March 2024, the Company filed a jurisdiction challenge; the jurisdiction challenge was heard during May and June 2024, and in July 2024 the UK High Court issued a judgment dismissing Tesla’s FRAND claims against the Company and Avanci, and maintaining Tesla’s patent claims against the Company. The patent claims against the Company were further stayed by the UK High Court. An appeal hearing was held in December 2024, and the UK Court of Appeal upheld the lower court's decision and refused Tesla’s request for permission to appeal. Tesla filed an application for permission to appeal to the Supreme Court. In July 2025, the Supreme Court granted Tesla’s request for permission to appeal the issues of whether pool licenses are arguably required to be FRAND, whether all members of the Avanci 5G Platform must be joined to the case, and whether Tesla’s claim advances the possibility of a bilateral license from the Company. In September 2025, the Company filed an application for permission to cross-appeal. The Supreme Court is set to hear the appeal in April 2026.
Transsion
UPC Proceedings
In September 2025, the Company and certain of its subsidiaries filed patent infringement claims in the Munich Local Divisional Court of the UPC against Transsion Holdings Pvt Ltd and certain of its subsidiaries (“Transsion”). The claims allege infringement of certain of the Company’s patents relating to cellular SEP technologies and video coding and video technologies. The Company is seeking, among other relief, injunctive relief to prevent further infringement of the asserted patents.
India Proceedings
In September and October 2025, the Company and certain of its subsidiaries filed patent infringement claims in the Delhi High Court against Transsion. The claims allege infringement of certain of the Company’s patents relating to cellular SEP technologies and video coding and video technologies. The Company is seeking, among other relief, injunctive relief to prevent further infringement of the asserted patents, damages, and a declaration that the Company is FRAND compliant and that Transsion is an unwilling licensee with respect to the FRAND claims.
Brazil Proceedings
In September 2025, the Company and certain of its subsidiaries filed a claim in the Regional Business Court of Rio de Janeiro against Transsion. The claim alleges infringement of certain of the Company’s patents relating to cellular SEP technologies. The Company is seeking, among other relief, damages and injunctive relief to prevent further infringement of the asserted patents.

OTHER
We are party to certain other disputes and legal actions in the ordinary course of business, including arbitrations and legal proceedings with licensees regarding the terms of their agreements and the negotiation thereof. We do not currently believe that these matters, even if adversely adjudicated or settled, would have a material adverse effect on our financial condition, results of operations or cash flows. None of the preceding matters have met the requirements for accrual or disclosure of a potential range as of December 31, 2025, except as noted above.
v3.25.4
Compensation Plans and Programs
12 Months Ended
Dec. 31, 2025
Share-Based Payment Arrangement [Abstract]  
COMPENSATION PLANS AND PROGRAMS COMPENSATION PLANS AND PROGRAMS
Compensation Programs
We use a variety of compensation programs to attract, retain and motivate our employees, and to more closely align employee compensation with company performance. These programs include, but are not limited to, short-term incentive awards tied to performance goals, cash awards to inventors for filed patent applications and patent issuances, and long-term incentives in the form of stock option awards, time-based RSU awards, performance-based RSU awards.
Our long-term incentives typically include annual time-based RSU grants or cash awards with a three-year vesting period, as well as annual performance-based RSU grants or cash awards with a three to five-year performance period; as a result, in any one year, we are typically accounting for at least three active cycles. Additionally, from time to time, executive officers are awarded long term incentives or new hire grants that may include time-based RSUs, performance-based RSUs or options. We issue new shares of our common stock to satisfy our obligations under the share-based components of these programs. However, our Board of Directors has the right to authorize the issuance of treasury shares to satisfy such obligations in the future.
Equity Incentive Plans
On June 11, 2025, our shareholders adopted and approved the 2025 Equity Incentive Plan (the "2025 Plan"), under which officers, employees, non-employee directors and consultants can receive share-based awards such as RSUs, restricted stock and stock options as well as other stock or cash awards. Subject to the adjustment provisions contained in the 2025 Plan, as of the effective date of the 2025 Plan, the maximum number of shares for issuance under the 2025 Plan equal to 3.7 million shares of our common stock. Upon adoption of the 2025 Plan by shareholders, the 2017 Equity Incentive Plan (the "2017 Plan") was terminated and no new awards are granted under the 2017 Plan after June 11, 2025.
RSUs
We may issue RSUs to officers, employees, non-employee directors and consultants. Any cancellations of unvested RSUs granted under the Equity Plans will increase the number of shares remaining available for grant under the 2025 Plan. Time-based RSUs vest over periods generally ranging from one to three years from the date of the grant. Performance-based RSUs also generally have a vesting period between three and five years. Milestone performance-based RSUs may vest at any time upon achievement of the milestone goal during the performance period, which is seven years for the most recent CEO award.
As of December 31, 2025, we had unrecognized compensation cost related to share-based awards of $41.8 million, at current performance accrual rates. For time-based grants with graded vesting, we expect to amortize the associated unrecognized compensation cost using an accelerated method. For time-based grants that cliff vest, we expect to amortize the associated unrecognized compensation cost as of December 31, 2025, on a straight-line basis generally over the remaining vesting period.
Vesting of performance-based RSU awards is subject to attainment of specific goals established by the Human Capital Committee of the Board of Directors. Depending upon performance achievement against these goals, the number of shares that generally vest can be anywhere from 0 to 2 times the target number of shares.
Information with respect to current RSU activity is summarized as follows (in thousands, except per share amounts):
Number of
Unvested
RSUs
Weighted Average Per Share Grant Date Fair Value
Balance at December 31, 2024
1,154 $79.40 
Granted*285 213.21 
Forfeited(102)127.39 
Vested(482)70.17 
Balance at December 31, 2025
855 $123.33 
* These numbers include fewer than 0.1 million RSUs credited on unvested RSU awards as dividend equivalents. Dividend equivalents accrue with respect to unvested RSUs when and as cash dividends are paid on the Company's common stock, and vest if and when the underlying RSUs vest. Granted amounts include performance-based RSU awards at their maximum potential payout.
During 2025, 2024 and 2023, we granted approximately 0.3 million, 0.5 million and 0.5 million RSUs under the Equity Plans, respectively, with weighted-average per share grant date fair values of $213.21, $104.08 and $73.80, respectively, assuming target payout for the performance-based awards. The total vest date fair value of the RSUs that vested in 2025, 2024 and 2023 was $105.2 million, $48.1 million and $31.0 million, respectively. The weighted average per share grant date fair value of the awards that vested in 2025, 2024 and 2023 was $70.17, $64.81 and $54.95, respectively.
Other Equity Grants
We grant equity awards to non-management Board members and may grant equity awards to certain consultants.
Stock Options
The 2017 Plan allowed, and the 2025 Plan allows, for the granting of incentive and non-qualified stock options, as well as other securities. The administrator of the Equity Plans, the Human Capital Committee of the Board of Directors, determines the number of options to be granted, subject to certain limitations set forth in the applicable plan. We grant performance-based stock options to our CEO annually as part of our long-term incentive program. Performance-based options typically have a vesting period between three and five years. Milestone performance-based options may vest at any time upon achievement of the milestone goal during the performance period, which is seven years for the most recent CEO award.
Vesting of performance-based option awards is subject to attainment of specific goals established by the Human Capital Committee of the Board of Directors. Depending upon performance achievement against these goals, the number of performance-based stock options that generally vest can be anywhere from 0 to 2 times the target number of stock options.
Under the terms of the Equity Plans, the exercise price per share of each option, other than in the event of options granted in connection with a merger or other acquisition, cannot be less than 100% of the fair market value of a share of common stock on the date of grant. Options granted under the Equity Plans are generally exercisable for a period of ten years from the date of grant and may vest upon the attainment of specified performance goals.
The fair value for option awards is computed using the Black-Scholes pricing model, whose inputs and assumptions are determined as of the date of grant and which require considerable judgment. Expected volatility was based upon a combination of implied and historic volatilities. The weighted-average grant date fair value per option award granted during the years ended December 31, 2025, 2024 and 2023 was $84.13, $36.00, and $24.41, respectively, based upon the assumptions included in the table below:
Year Ended December 31,
202520242023
Expected term (in years)6.56.67.5
Expected volatility39.1 %31.7 %32.8 %
Risk-free interest rate4.0 %4.2 %3.6 %
Dividend yield1.2 %1.5 %1.9 %
Information with respect to current year stock option activity is summarized as follows (in thousands, except per share amounts):
 Outstanding OptionsWeighted
Average Exercise Price
Balance at December 31, 2024
946 $77.18 
Granted*63 206.75 
Forfeited— — 
Exercised(101)72.34 
Balance at December 31, 2025
908 $86.77 
* Granted amounts include performance-based option awards at their maximum potential payout.
The weighted average remaining contractual life of our outstanding options was 7.3 years as of December 31, 2025. Options with an indefinite contractual life, which were granted between 1983 and 1986 under a prior stock plan, were assigned an original life in excess of 50 years for purposes of calculating the weighted average remaining contractual life. The majority of these options have an exercise price between $9.00 and $11.63.
The total intrinsic value of our outstanding options as of December 31, 2025 was $210.3 million. Of the 0.9 million outstanding options as of December 31, 2025, 0.4 million were exercisable with a weighted-average exercise price of $63.65. Options exercisable as of December 31, 2025, had total intrinsic value of $111.0 million and a weighted average remaining contractual life of 6.7 years. The total intrinsic value of stock options exercised during the years ended December 31, 2025, 2024 and 2023 was $13.8 million, $0.5 million and $5.4 million, respectively. In 2025, we recorded cash received from the exercise of options of $7.3 million. Upon option exercise, we issued new shares of stock.
As of December 31, 2025, we had unrecognized compensation cost on our unvested stock options of $5.2 million, at current performance accrual rates. As of both December 31, 2025 and 2024, we had approximately 0.9 million options outstanding that had exercise prices less than the fair market value of our stock at the respective balance sheet date. These options would have generated cash proceeds to the Company of $78.8 million and $73.0 million, respectively, if they had been fully exercised on those dates.
Defined Contribution Plans
We have a 401(k) plan (“Savings Plan”) wherein employees can elect to defer compensation within federal limits. We match a portion of employee contributions. Our contribution expense to our Savings Plan and other defined contributions plans was approximately $1.9 million, $1.7 million and $1.4 million for 2025, 2024 and 2023, respectively.
Under the Deferred Plan, eligible US employees may make tax-deferred contributions that cannot be made under the 401(k) Plan due to Internal Revenue Service limitations. We match 50% of a participant’s contributions up to 6% of the participant's applicable compensation. From time to time InterDigital makes discretionary company contributions to the Deferred Plan on behalf of a participant.
v3.25.4
Taxes
12 Months Ended
Dec. 31, 2025
Income Tax Disclosure [Abstract]  
TAXES TAXES
Our domestic/foreign pre-tax income consists of the following components for 2025, 2024, and 2023 (in thousands):
Year Ended December 31,
202520242023
Pre-Tax Income by Jurisdiction   
Domestic$451,214 $333,983 $242,780 
Foreign18,218 95,433 (8,170)
Total$469,432 $429,416 $234,610 
Our income tax provision consists of the following components for 2025, 2024, and 2023 (in thousands):
Year Ended December 31,
202520242023
Current   
Federal$(17,743)$36,977 $45,816 
State161 687 (229)
Foreign source withholding tax93,852 32,578 12,444 
 76,270 70,242 58,031 
Deferred   
Federal(104,057)(38,193)(41,922)
State(133)(144)615 
Foreign— 9,760 (9,759)
Foreign source withholding tax90,708 29,137 16,592 
 (13,482)560 (34,474)
Total$62,788 $70,802 $23,557 
The deferred tax assets and liabilities were comprised of the following components at December 31, 2025 and 2024 (in thousands):
December 31,
 20252024
Net operating losses$91,486 $95,751 
Capitalized research and development40,438 29,432 
Deferred revenue, net36,813 46,073 
Amortization and depreciation23,097 22,707 
Tax credit carryforward
10,737 — 
Debt amortization5,863 9,334 
Other24,505 22,797 
Deferred tax asset
232,939 226,094 
Less: valuation allowance(89,190)(95,465)
Net deferred tax asset143,749 130,629 
Other
(2,200)(2,475)
Deferred tax liability
(2,200)(2,475)
Net deferred tax asset
$141,549 $128,154 
The following is a reconciliation of effective tax rates at the federal statutory tax rate recorded by the Company for the years ended December 31, 2025, 2024, and 2023:
Year Ended December 31,
202520242023
U.S. federal statutory tax rate$98,553 21.0 %$90,148 21.0 %$49,268 21.0 %
State and local income taxes, net of federal income tax effect (a)
(6)— %399 0.1 %434 0.2 %
Foreign Tax Effects
France
Changes in valuation allowances(1,157)(0.3)%(2,764)(0.6)%(5,222)(2.2)%
Other(947)(0.2)%2,140 0.5 %(2,404)(1.0)%
Korea
Foreign withholding taxes 63,811 13.6 %10,456 2.4 %4,591 2.0 %
China
Foreign withholding taxes25,624 5.4 %17,061 4.0 %9,965 4.2 %
Other
136 — %23 — %(6)— %
Other foreign jurisdictions799 0.2 %1,246 0.3 %2,187 0.9 %
Effect of Cross-Border Tax Laws
Global Intangible Low-Taxed Income777 0.2 %5,095 1.2 %812 0.3 %
Foreign-Derived Intangible Income(30,308)(6.5)%(23,042)(5.4)%(16,734)(7.1)%
Foreign tax credit on withholding taxes(90,708)(19.3)%(29,137)(6.8)%(16,593)(7.1)%
Other
1,754 0.4 %— — %— — %
Tax Credits
Research and development tax credit(2,354)(0.5)%(1,673)(0.4)%(1,313)(0.6)%
Change in valuation allowance— — %(8)— %— — %
Nontaxable or Nondeductible Items
Share-based compensation(15,036)(3.2)%(4,448)(1.0)%(2,973)(1.3)%
Non-deductible officers' compensation10,755 2.3 %6,612 1.5 %3,260 1.4 %
Other1,292 0.3 %576 0.1 %1,591 0.7 %
Changes in unrecognized tax benefits436 0.1 %419 0.1 %(889)(0.4)%
Other(633)(0.1)%(2,301)(0.5)%(2,417)(1.0)%
Total tax provision
$62,788 13.4 %$70,802 16.5 %$23,557 10.0 %
(a)State taxes in Massachusetts & Delaware made up the majority (greater than 50%) of the tax effect in this category
Income Tax Reform
The One Big Beautiful Bill Act (the “OBBBA”) was signed into law on July 4th, 2025. The OBBBA contains significant tax law changes with various effective dates affecting business taxpayers. Among the tax law changes that will impact the Company relate to the timing and amount of certain tax deductions including FDII, depreciation expense, R&D expenditures and interest expense. The tax law changes did not have an impact on the tax provision in 2025.
Valuation Allowances and Net Operating Losses
We establish a valuation allowance for any portion of our deferred tax assets for which management believes it is more likely than not that we will be unable to utilize the assets to offset future taxes. Given the binary nature of our business, at this time we believe it is more likely than not that the majority of our state net operating losses and net operating losses in certain subsidiaries in France, as well as our non-wholly owned subsidiaries in the United States and United Kingdom will not be utilized; therefore we have maintained a near full valuation allowance against our state, French and United Kingdom net operating losses as of December 31, 2025. We also maintain a valuation allowance against certain temporary differences other than the net operating losses in these jurisdictions.
At December 31, 2025, we had no U.S net operating loss carryforwards and non-U.S. net operating loss carryforwards amounting to $89.7 million which can be indefinitely carried forward under French statutes. In addition, we had U.S. state net operating loss carryforwards of $1.3 billion, of which $27.7 million can be indefinitely carried forward, while the remaining $1.3 billion will expire in varying amounts from 2026 to 2045. We had $10.1 million of foreign tax credit carried forward that will expire in 2035 and $0.7 million of R&D credit carried forward that will expire in 2045.
The Company recognizes deferred tax balances related to the undistributed earnings of subsidiaries when it expects that it will recover those undistributed earnings in a taxable manner, such as through receipt of dividends or sale of the investments. On December 31, 2025, the Company does not have distributable earnings in foreign subsidiaries that would be subject to deferred taxes.
Uncertain Income Tax Positions
As of December 31, 2025, 2024 and 2023, we had $13.5 million, $13.8 million and $14.4 million, respectively, of unrecognized tax benefits that, if recognized, would impact the Company's effective tax rate. The total amount of unrecognized tax benefits could change within the next twelve months for a number of reasons including audit settlements, tax examination activities and the recognition and measurement considerations under this guidance.
During 2025, 2024 and 2023, we reduced the reserve previously established for the amended returns by $0.7 million for the benefit available in the current year had it not been included on the amended returns. In addition, during 2023 we reduced the previously recorded reserve for withholding tax by $1.1 million due to favorable guidance from the taxing authorities in the United States.
The following is a roll forward of our total gross unrecognized tax benefits, which if reversed would impact the effective tax rate, for the fiscal years 2025 through 2023 (in thousands):
December 31,
202520242023
Balance as of January 1$13,848 $14,385 $16,052 
Tax positions related to current year:
Additions366 165 91 
Tax positions related to prior years:
Additions— — — 
Reductions(695)(702)(1,758)
Balance as of December 31$13,519 $13,848 $14,385 
Our policy is to recognize interest and/or penalties related to income tax matters in income tax expense.
The Company and its subsidiaries are subject to United States federal income tax, foreign income and withholding taxes and income taxes from multiple state jurisdictions. Our federal income tax returns for 2006 to the present, with the exception of 2011 and 2012, are currently open and will not close until the respective statutes of limitations have expired. The 2014, 2015 and 2018-2020 Federal income tax returns are currently under audit by the IRS. The statutes of limitations generally expire three years following the filing of the return or in some cases three years following the utilization or expiration of net operating loss carry forwards. The statute of limitations applicable to our open federal returns will expire at the end of 2027. The Company is subject to French corporate income tax on certain subsidiaries. The statute of limitations applicable to our open French returns will expire in 2026. Excluding the Korea Competent Authority Proceeding and the Finland Competent Authority Proceeding described in the section below, specific tax treaty procedures remain open for certain jurisdictions for 2014 to the present. Many of our subsidiaries have filed state income tax returns on a separate company basis. To the extent these subsidiaries have unexpired net operating losses, their related state income tax returns remain open. These returns have been open for varying periods, some exceeding ten years. The total amount of state net operating losses is $1.3 billion.
Foreign Taxes
We pay foreign source withholding taxes on patent license royalties when applicable. We apply foreign source withholding tax payments against our United States federal income tax obligations to the extent we have foreign source income to support these credits. In 2025, 2024 and 2023, we paid $91.5 million, $23.3 million and $12.0 million in foreign source withholding taxes, respectively, and applied these payments as credits against our United States federal tax obligation.
Between 2014 and 2025, we paid approximately $205.2 million in foreign taxes to foreign governments that have tax treaties with the U.S., for which we have claimed foreign tax credits against our U.S. tax obligations, and for which the tax treaty procedures are still open. It is possible that as a result of tax treaty procedures, the U.S. government may reach an agreement with the related foreign governments that will result in a partial refund of foreign taxes paid with a related reduction in our foreign tax credits. Due to foreign currency fluctuations, any such agreement could result in foreign currency gain or loss.
On November 8, 2019, the Company received notification that its request for competent authority pertaining to Article 25 (Mutual Agreement Procedure) of the United States-Republic of Finland Income Tax Convention had been reviewed by the IRS and an agreement has been reached (the “Finland Competent Authority Proceeding”). As a result of this agreement, the Company does not anticipate any tax consequences.
In France, where we have substantial operations, we benefit from research tax credits applicable to French technology companies, including the Crédit Impôt Recherche ("CIR"). While we have historically benefited from the CIR, the French government has recently challenged our eligibility for portions of the CIR that they previously accepted. The Company received notification from the French Tax Authorities that the CIR credit on patent costs has been rejected for tax years 2019 and 2020. The Company has filed petitions in the Lower Court of Paris to litigate this matter. Between 2019 and 2025, the Company has recorded benefits totaling approximately $29 million for CIR credit on patent related costs.
v3.25.4
Net Income Per Share
12 Months Ended
Dec. 31, 2025
Earnings Per Share [Abstract]  
NET INCOME PER SHARE NET INCOME PER SHARE
Basic Earnings Per Share ("EPS") is calculated by dividing net income available to common shareholders by the weighted-average number of common shares outstanding for the period. Diluted EPS reflects the potential dilution that could occur if options or other securities with features that could result in the issuance of common stock were exercised or converted to common stock or resulting from the unvested outstanding restricted stock units ("RSUs"). The following table reconciles the numerator and the denominator of the basic and diluted net income per share computation (in thousands, except for per share data):
 Year Ended December 31,
 202520242023
Net income
$406,644 $358,614 $214,069 
Weighted-average shares outstanding:
Basic25,794 25,325 26,860 
Dilutive effect of stock options and RSUs1,168 1,008 704 
Dilutive effect of warrants3,409 985 — 
Dilutive effect of convertible securities
4,103 2,393 538 
Diluted34,474 29,711 28,102 
Earnings per share:
Basic$15.77 $14.16 $7.97 
Dilutive effect of stock options and RSUs(0.53)(0.48)(0.19)
Dilutive effect of warrants(1.56)(0.47)— 
Dilutive effect of convertible securities
(1.88)(1.14)(0.16)
Diluted$11.80 $12.07 $7.62 
Shares of common stock issuable upon the exercise or conversion of certain securities have been excluded from our computation of EPS because the strike price or conversion rate, as applicable, of such securities was greater than the average market price of our common stock for the years ended December 31, 2025, 2024 and 2023, as applicable, and, as a result, the effect of such exercise or conversion would have been anti-dilutive. Set forth below are the securities and the weighted average number of shares of common stock underlying such securities that were excluded from our computation of EPS for the periods presented (in thousands):
Year Ended December 31,
202520242023
Restricted stock units and stock options106 
Warrants2,556 6,271 7,488 
Total2,557 6,272 7,594 
Convertible Notes and Warrants
Refer to Note 10, "Obligations," for information about the Company's convertible notes and warrants and related conversion and strike prices. During periods in which the average market price of the Company's common stock is above the applicable conversion price of the Company's convertible notes, or above the strike price of the Company's outstanding warrants, the impact of conversion or exercise, as applicable, would be dilutive and such dilutive effect is reflected in diluted EPS. As a result, in periods where the average market price of the Company's common stock is above the conversion price or strike price, as applicable, under the if-converted method, the Company calculates the number of shares issuable under the terms of the convertible notes and the warrants based on the average market price of the stock during the period, and includes that number in the total diluted shares outstanding for the period.
v3.25.4
Equity Transactions
12 Months Ended
Dec. 31, 2025
Equity [Abstract]  
EQUITY TRANSACTIONS EQUITY TRANSACTIONS
Repurchase of Common Stock
In June 2014, our Board of Directors authorized a $300 million share repurchase program (the “Share Repurchase Program”). Subsequently our Board of Directors authorized five $100 million increases to the program, respectively, and an additional $333 million in December 2022 and an additional $235 million in December 2023, bringing the total amount of the Share Repurchase Program to approximately $1.4 billion. The Company may repurchase shares under the Share Repurchase Program through open market purchases, pre-arranged trading plans or privately negotiated purchases.
The table below sets forth the total number of shares repurchased and the dollar value of shares repurchased under the Share Repurchase Program (in thousands). As of December 31, 2025, there was approximately $127.2 million remaining under the Share Repurchase Program authorization.
Share Repurchase Program
# of SharesValue
2025385 $102,319 
2024644 66,726 
20234,411 339,704 
20221,224 74,445 
2021458 30,000 
2020349 
20192,962 196,269 
20181,478 110,505 
2017107 7,693 
20161,304 64,685 
20151,836 96,410 
20143,554 152,625 
Total18,369 $1,241,730 
In 2023, we commenced a modified “Dutch auction” tender offer (the “Tender Offer”), which resulted in the repurchase of 2.7 million shares of our common stock at a price of $72.98 per share, for an aggregate cost of $199.9 million, excluding fees, expenses and excise tax relating to the Tender Offer.
Dividends
Cash dividends on outstanding common stock declared in 2025 and 2024 were as follows (in thousands, except per share data):
2025Per ShareTotalCumulative by Fiscal Year
First quarter$0.60 $15,577 $15,577 
Second quarter0.60 15,507 31,084 
Third quarter0.70 18,041 49,125 
Fourth quarter0.70 17,980 67,105 
$2.60 $67,105 
2024
First quarter$0.40 $10,155 $10,155 
Second quarter0.40 10,052 20,207 
Third quarter0.45 11,366 31,573 
Fourth quarter0.45 11,557 43,130 
$1.70 $43,130 
In 2025, we increased the quarterly cash dividend to $0.70 per share beginning with the dividend declared in third quarter 2025 and paid in fourth quarter 2025. Combined with previous increases, we have increased the dividend by 75% since the start of 2024. We currently expect to continue to pay dividends in accordance with our dividend policy; however, continued payment of cash dividends and changes in the Company's dividend policy will depend on the Company's earnings, financial condition, capital resources and capital requirements, alternative uses of capital, restrictions imposed by any existing debt, economic conditions and other factors considered relevant by our Board of Directors.
v3.25.4
Leases
12 Months Ended
Dec. 31, 2025
Leases [Abstract]  
LEASES LEASES
The Company enters into operating leases primarily for real estate to support research and development ("R&D") sites and general office space in North America, with additional locations in Europe, China, and Canada. The Company does not currently have any finance leases. Certain leases include options to extend the lease at our discretion at the end of the lease term, or terminate the lease early subject to certain conditions and penalties. We do not include any renewal options in our lease terms for calculating our lease liabilities, as the renewal options allow us to maintain operational flexibility and we are not reasonably certain we will exercise these options.
At the inception of an arrangement, the Company determines whether the arrangement is or contains a lease based on the specific facts and circumstances present. Operating lease liabilities and their corresponding right-of-use assets are recorded based on the present value of lease payments over the expected lease term. The interest rate implicit in lease contracts is typically not readily determinable, and as such, the Company utilizes its incremental borrowing rate as the discount rate based on information available on the lease commencement date. Our incremental borrowing rate represents the rate we would incur to borrow on a collateralized basis over a similar term for an amount equal to the lease payments in a similar economic environment. The table below includes the balances of operating lease right-of-use assets and operating lease liabilities as of December 31, 2025 and 2024 (in thousands):
Balance Sheet ClassificationDecember 31, 2025December 31, 2024
Assets
Operating lease right-of-use assets, netOther non-current assets, net$13,797 $15,218 
Total Lease Assets$13,797 $15,218 
Liabilities
Operating lease liabilities - CurrentOther accrued expenses$4,093 $3,398 
Operating lease liabilities - NoncurrentOther long-term liabilities13,540 15,772 
Total Lease Liabilities$17,633 $19,170 
The components of lease costs which were included within operating expenses in our consolidated statement of income were as follows (in thousands):
Year Ended December 31,
202520242023
Operating lease cost$4,059 $3,982 $3,821 
Short-term lease cost174 246 388 
Variable lease cost1,177 1,376 1,316 
For the years ended December 31, 2025, 2024, and 2023, we did not have any sublease income. Cash paid for amounts included in the measurement of operating lease liabilities for the years ended December 31, 2025 and 2024 was $4.6 million and $4.1 million, respectively, and was included in net cash provided by operating activities in our consolidated statement of cash flows. As of December 31, 2025, the weighted average remaining operating lease term was 4.4 years and the weighted average discount rate used to determine the operating lease liabilities was 6.2%. As of December 31, 2025, there have been no leases entered into that have not yet commenced.
The maturities of our operating lease liabilities as of December 31, 2025, excluding short-term leases with terms less than 12 months, were as follows (in thousands):
Maturity of Operating Lease Liabilities
2026$5,043 
20274,571 
20284,014 
20293,646 
20302,224 
Thereafter630 
Total lease payments20,128 
Less: Imputed interest(2,495)
Present value of lease liabilities$17,633 
v3.25.4
Other Income, Net
12 Months Ended
Dec. 31, 2025
Other Income and Expenses [Abstract]  
OTHER INCOME, NET OTHER INCOME, NET
The amounts included in "Other income, net" in the consolidated statements of income for the year ended December 31, 2025, 2024 and 2023 were as follows (in thousands):
Year Ended December 31,
202520242023
Interest and investment income$40,025 $40,395 $46,628 
Other8,516 (5,070)11,184 
Other income, net
$48,541 $35,325 $57,812 
v3.25.4
Valuation and Qualifying Accounts
12 Months Ended
Dec. 31, 2025
SEC Schedule, 12-09, Valuation and Qualifying Accounts [Abstract]  
Valuation and Qualifying Accounts
The following financial statement schedule of InterDigital is included herewith and should be read in conjunction with the Financial Statements included in this Item 15.
Valuation and Qualifying Accounts
Balance Beginning of PeriodIncrease/ (Decrease)Reversal of Valuation AllowanceBalance End of Period
2025 valuation allowance for deferred tax assets
$95,465 $(4,009)(a)$(2,266)$89,190 
2024 valuation allowance for deferred tax assets
$104,830 $(9,365)
(b)
$— $95,465 
2023 valuation allowance for deferred tax assets
$122,217 $(7,628)
(b)
$(9,759)$104,830 
2025 reserve for uncollectible accounts
$— $— $— $— 
2024 reserve for uncollectible accounts
$— $— $— $— 
2023 reserve for uncollectible accounts
$— $— $— $— 
         
(a)The decrease was primarily related to the change in Pennsylvania state tax rate, expired PA net operating losses, and utilization of certain French deferred tax assets. The Chordant entities were dissolved with all DTAs written off during 2025 and well as amending French tax filings adjusting their NOL, all offset by a reclass of valuation allowance.
(b)The decrease was primarily related to the decrease in Pennsylvania state tax rate and utilization of certain French deferred tax assets. There was a partial release of valuation allowance against deferred tax assets in France due to the Samsung deal in 2024.
v3.25.4
Insider Trading Arrangements
3 Months Ended
Dec. 31, 2025
shares
Trading Arrangements, by Individual  
Material Terms of Trading Arrangement
During fourth quarter 2025, the following Section 16 officers adopted, modified or terminated “Rule 10b5-1 trading arrangements” (as defined in Item 408 of Regulation S-K of the Exchange Act) intending to satisfy the affirmative defense conditions of Rule 10b5-1© under the Exchange Act:

NameActionDateTrading ArrangementMaximum Shares to be SoldExpiration Date
Rule 10b5-1Non-Rule 10b5-1
Rajesh Pankaj
Adopt
November 20, 2025
X
13,500December 31, 2026
Joan Gillman
Adopt
November 12, 2025
X
625November 12, 2026
John D. Markley, Jr.
Adopt
November 7, 2025
X
1,100November 6, 2026
John D. Markley, Jr.(1)
Terminate
November 6, 2025
X
663August 7, 2026
Derek Aberle
Adopt
November 4, 2025
X
518November 4, 2026
(1) John D. Markley, Jr. terminated his Rule 10b5-1 trading arrangement adopted on August 8, 2025 prior to its expiration. No shares had been sold under the plan before termination.
Non-Rule 10b5-1 Arrangement Adopted false
Non-Rule 10b5-1 Arrangement Terminated false
Rajesh Pankaj [Member]  
Trading Arrangements, by Individual  
Name Rajesh Pankaj
Rule 10b5-1 Arrangement Adopted true
Adoption Date November 20, 2025
Expiration Date December 31, 2026
Arrangement Duration 406 days
Aggregate Available 13,500
Joan Gillman [Member]  
Trading Arrangements, by Individual  
Name Joan Gillman
Rule 10b5-1 Arrangement Adopted true
Adoption Date November 12, 2025
Expiration Date November 12, 2026
Arrangement Duration 365 days
Aggregate Available 625
John D. Markley, Jr. [Member]  
Trading Arrangements, by Individual  
Arrangement Duration 364 days
Derek Aberle [Member]  
Trading Arrangements, by Individual  
Name Derek Aberle
Rule 10b5-1 Arrangement Adopted true
Adoption Date November 4, 2025
Expiration Date November 4, 2026
Arrangement Duration 365 days
Aggregate Available 518
John D. Markley, Jr. November 2025 Plan [Member] | John D. Markley, Jr. [Member]  
Trading Arrangements, by Individual  
Name John D. Markley, Jr.
Rule 10b5-1 Arrangement Adopted true
Adoption Date November 7, 2025
Expiration Date November 6, 2026
Aggregate Available 1,100
John D. Markley, Jr. August 2025 Plan [Member] | John D. Markley, Jr. [Member]  
Trading Arrangements, by Individual  
Name John D. Markley, Jr.(1)
Rule 10b5-1 Arrangement Terminated true
Termination Date November 6, 2025
v3.25.4
Insider Trading Policies and Procedures
12 Months Ended
Dec. 31, 2025
Insider Trading Policies and Procedures [Line Items]  
Insider Trading Policies and Procedures Adopted true
v3.25.4
Cybersecurity Risk Management and Strategy Disclosure
12 Months Ended
Dec. 31, 2025
Cybersecurity Risk Management, Strategy, and Governance [Line Items]  
Cybersecurity Risk Management Processes for Assessing, Identifying, and Managing Threats [Text Block]
InterDigital employs a defense-in-depth security model that uses multiple, layered controls to protect our data, our customers’ data, our infrastructure, and our employees. We embed data protection throughout our operations and technology programs and rely on a combination of preventive and detective measures to safeguard our assets and personnel.
InterDigital evaluates cybersecurity risks as part of our overall enterprise risk management. A cybersecurity steering committee of senior executives is responsible for assessing and managing cybersecurity risks. The steering committee meets semi-annually to evaluate any changes to the Company’s exposure to cybersecurity risks, discuss potential mitigation plans and provide updates on mitigation efforts already underway. The Senior Director, Head of Cybersecurity & Networks, with over 20 years of experience and industry-recognized certifications, reports to the VP of Information Services and manages the cybersecurity team that leads the steering committee. This team monitors threat intelligence from internal and external sources and oversees processes for evaluating cybersecurity risks associated with third-party service providers.
The cybersecurity team maintains a comprehensive set of cybersecurity policies and standards. We continually assess and update our cybersecurity strategy through activities such as tabletop exercises to anticipate emerging threats and evolving risks. InterDigital provides quarterly cybersecurity awareness training, conducts an annual Cybersecurity Awareness Month campaign, and performs quarterly phishing simulations to support ongoing employee education and vigilance. We also engage independent third parties to evaluate our cybersecurity program, including annual multi-stage penetration testing of our IT environment.
Cybersecurity Risk Management Processes Integrated [Flag] true
Cybersecurity Risk Management Processes Integrated [Text Block]
InterDigital employs a defense-in-depth security model that uses multiple, layered controls to protect our data, our customers’ data, our infrastructure, and our employees. We embed data protection throughout our operations and technology programs and rely on a combination of preventive and detective measures to safeguard our assets and personnel.
InterDigital evaluates cybersecurity risks as part of our overall enterprise risk management. A cybersecurity steering committee of senior executives is responsible for assessing and managing cybersecurity risks. The steering committee meets semi-annually to evaluate any changes to the Company’s exposure to cybersecurity risks, discuss potential mitigation plans and provide updates on mitigation efforts already underway. The Senior Director, Head of Cybersecurity & Networks, with over 20 years of experience and industry-recognized certifications, reports to the VP of Information Services and manages the cybersecurity team that leads the steering committee. This team monitors threat intelligence from internal and external sources and oversees processes for evaluating cybersecurity risks associated with third-party service providers.
The cybersecurity team maintains a comprehensive set of cybersecurity policies and standards. We continually assess and update our cybersecurity strategy through activities such as tabletop exercises to anticipate emerging threats and evolving risks. InterDigital provides quarterly cybersecurity awareness training, conducts an annual Cybersecurity Awareness Month campaign, and performs quarterly phishing simulations to support ongoing employee education and vigilance. We also engage independent third parties to evaluate our cybersecurity program, including annual multi-stage penetration testing of our IT environment.
The Audit Committee of our Board oversees risks associated with cybersecurity threats. Both the Audit Committee and the full Board receive quarterly updates on cybersecurity risks identified through our enterprise risk management processes. Our cybersecurity policies include an incident response framework that defines responsibilities, reporting procedures, and escalation paths to ensure timely and accurate response to security incidents. The framework specifies how and when the Executive Leadership Team, cybersecurity steering committee, and the Audit Committee are informed of potential incidents. The Vice President of Information Services and the Head of Cybersecurity also present summaries of recent incidents quarterly at a regular Audit Committee meeting.
Cybersecurity Risk Management Third Party Engaged [Flag] true
Cybersecurity Risk Third Party Oversight and Identification Processes [Flag] true
Cybersecurity Risk Materially Affected or Reasonably Likely to Materially Affect Registrant [Flag] false
Cybersecurity Risk Board of Directors Oversight [Text Block]
The Audit Committee of our Board oversees risks associated with cybersecurity threats. Both the Audit Committee and the full Board receive quarterly updates on cybersecurity risks identified through our enterprise risk management processes. Our cybersecurity policies include an incident response framework that defines responsibilities, reporting procedures, and escalation paths to ensure timely and accurate response to security incidents. The framework specifies how and when the Executive Leadership Team, cybersecurity steering committee, and the Audit Committee are informed of potential incidents. The Vice President of Information Services and the Head of Cybersecurity also present summaries of recent incidents quarterly at a regular Audit Committee meeting.
Despite our extensive cybersecurity program, we may not be able to prevent or mitigate all cybersecurity incidents, any of which could have a material adverse effect on us. To date, cybersecurity threats have not materially affected our business strategy, results of operations, or financial condition. We identify nation-state-sponsored threat actors, increasingly sophisticated criminal cyber actors, and ransomware campaigns as top reasonably likely material risks. Theft, unauthorized use, or disclosure of our intellectual property or confidential business or personal information—whether through a breach of our systems or those of a third-party service provider—could harm our competitive position, diminish the value of our investments in research and development and other strategic initiatives, compromise our patent enforcement strategies, damage our reputation, or otherwise adversely affect our business. See Item 1A, “Risk Factors,” for additional information regarding cybersecurity risks.
Cybersecurity Risk Board Committee or Subcommittee Responsible for Oversight [Text Block] The framework specifies how and when the Executive Leadership Team, cybersecurity steering committee, and the Audit Committee are informed of potential incidents. The Vice President of Information Services and the Head of Cybersecurity also present summaries of recent incidents quarterly at a regular Audit Committee meeting.
Cybersecurity Risk Process for Informing Board Committee or Subcommittee Responsible for Oversight [Text Block] Our cybersecurity policies include an incident response framework that defines responsibilities, reporting procedures, and escalation paths to ensure timely and accurate response to security incidents. The framework specifies how and when the Executive Leadership Team, cybersecurity steering committee, and the Audit Committee are informed of potential incidents. The Vice President of Information Services and the Head of Cybersecurity also present summaries of recent incidents quarterly at a regular Audit Committee meeting.
Cybersecurity Risk Role of Management [Text Block] The framework specifies how and when the Executive Leadership Team, cybersecurity steering committee, and the Audit Committee are informed of potential incidents. The Vice President of Information Services and the Head of Cybersecurity also present summaries of recent incidents quarterly at a regular Audit Committee meeting.
Cybersecurity Risk Management Positions or Committees Responsible [Flag] true
Cybersecurity Risk Management Positions or Committees Responsible [Text Block] The Vice President of Information Services and the Head of Cybersecurity also present summaries of recent incidents quarterly at a regular Audit Committee meeting.
Cybersecurity Risk Management Expertise of Management Responsible [Text Block] The Senior Director, Head of Cybersecurity & Networks, with over 20 years of experience and industry-recognized certifications, reports to the VP of Information Services and manages the cybersecurity team that leads the steering committee.
Cybersecurity Risk Process for Informing Management or Committees Responsible [Text Block]
The Audit Committee of our Board oversees risks associated with cybersecurity threats. Both the Audit Committee and the full Board receive quarterly updates on cybersecurity risks identified through our enterprise risk management processes. Our cybersecurity policies include an incident response framework that defines responsibilities, reporting procedures, and escalation paths to ensure timely and accurate response to security incidents. The framework specifies how and when the Executive Leadership Team, cybersecurity steering committee, and the Audit Committee are informed of potential incidents. The Vice President of Information Services and the Head of Cybersecurity also present summaries of recent incidents quarterly at a regular Audit Committee meeting.
Cybersecurity Risk Management Positions or Committees Responsible Report to Board [Flag] true
v3.25.4
Summary of Significant Accounting Policies and New Accounting Guidance (Policies)
12 Months Ended
Dec. 31, 2025
Accounting Policies [Abstract]  
Principles of Consolidation
Principles of Consolidation
The accompanying consolidated financial statements include all of our accounts and all entities in which we have a controlling interest and/or are required to be consolidated in accordance with Generally Accepted Accounting Principles in the United States ("GAAP"). All significant intercompany accounts and transactions have been eliminated in consolidation.
In determining whether we are the primary beneficiary of a variable interest entity and therefore required to consolidate, we apply a qualitative approach that determines whether we have both the power to direct the economically significant activities of the entity and the obligation to absorb losses of, or the right to receive benefits from, the entity that could potentially be significant to that entity. These considerations impact the way we account for our existing collaborative relationships and other arrangements. We continuously assess whether we are the primary beneficiary of a variable interest entity as changes to existing relationships or future transactions may result in us consolidating or deconsolidating our partner(s) to collaborations and other arrangements.
Use of Estimates
Use of Estimates
The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities as of the date of the financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from these estimates. If different assumptions were made or different conditions had existed, our financial results could have been materially different.
Reclassifications
Reclassifications
Certain reclassifications have been made to prior year amounts to conform to the current year presentation.
Foreign Currency Transaction
Foreign Currency Translation
The functional currency of substantially all of the Company's wholly-owned subsidiaries is the U.S. dollar. Certain subsidiaries have monetary assets and liabilities that are denominated in a currency that is different than the functional currency. The gains and losses resulting from this remeasurement and translation of monetary assets denominated in a currency that is different than the functional currency are reflected in the determination of net income.
Cash, Cash Equivalents, Restricted Cash
Cash, Cash Equivalents, Restricted Cash and Marketable Securities
We classify all highly liquid investment securities with original maturities of three months or less at date of purchase as cash equivalents. Cash that is held for a specific purpose and therefore not available to the Company for immediate or general business use is classified as restricted cash. Our investments are comprised of mutual and exchange traded funds, commercial paper, United States and municipal government obligations and corporate securities. Management determines the appropriate classification of our investments at the time of acquisition and re-evaluates such determination at each balance sheet date.
Marketable Securities As of December 31, 2025 and 2024, the majority of our marketable securities have been classified as available-for-sale and are carried at fair value, with unrealized gains and losses reported net-of-tax as a separate component of shareholders’ equity. Substantially all of our investments are investment grade government and corporate debt securities that have maturities of less than three years, and we have both the ability and intent to hold the investments until maturity.
Other-than-Temporary Impairments and Impairment of Long-Lived Assets
Other-than-Temporary Impairments
We review our investment portfolio during each reporting period to determine whether there are identified events or circumstances that would indicate there is a decline in the fair value that is considered to be other-than-temporary. For non-public investments, if there are no identified events or circumstances that would have a significant adverse effect on the fair value of the investment, then the fair value is not estimated. If an investment is deemed to have experienced an other-than-temporary decline below its cost basis, we reduce the carrying amount of the investment to its quoted or estimated fair value, as applicable, and establish a new cost basis for the investment. We charge the impairment to the "Other income, net" line of our consolidated statements of income.
Impairment of Long-Lived Assets
We evaluate long-lived assets for impairment when factors indicate that the carrying value of an asset may not be recoverable. When factors indicate that such assets should be evaluated for possible impairment, we review whether we will be able to realize our long-lived assets by analyzing the projected undiscounted cash flows in measuring whether the asset is recoverable.
Intangible Assets
Intangible Assets
Patents
We capitalize external costs, such as filing fees and associated attorney fees, incurred to obtain issued patents and patent license rights. We expense costs associated with maintaining and defending patents subsequent to their issuance in the period incurred. We amortize capitalized patent costs for internally generated patents on a straight-line basis over 10 years, which represents the estimated useful lives of the patents. The ten-year estimated useful life for internally generated patents is based on our assessment of such factors as: the integrated nature of the portfolios being licensed, the overall makeup of the portfolio over time, and the length of license agreements for such patents. The estimated useful lives of acquired patents and patent rights, however, have been and will continue to be based on a separate analysis related to each acquisition and may differ from the estimated useful lives of internally generated patents. The average estimated useful life of acquired patents is 9.9 years. We assess the potential impairment to all capitalized net patent costs when events or changes in circumstances indicate that the carrying amount of our patent portfolio may not be recoverable.
Goodwill
Goodwill
Goodwill is recorded as the difference, if any, between the aggregate consideration paid for an acquisition and the fair value of the net tangible and identified intangible assets acquired under a business combination. We review impairment of goodwill annually on the first day of the fourth quarter or if circumstances indicate a triggering event has occurred. We first assess qualitative factors to determine whether it is more likely than not that the fair value of our one reporting unit is less than its carrying amount as a basis for determining whether a quantitative goodwill impairment test is necessary. If we conclude it is more likely than not that the fair value of the reporting unit exceeds its carrying amount, we need not perform the quantitative assessment.
If based on the qualitative assessment we believe it is more likely than not that the fair value of the reporting unit is less than its carrying value, a quantitative assessment test is required to be performed. This assessment requires us to compare the fair value of our reporting unit to its carrying value including allocated goodwill. We determine the fair value of our reporting units generally using a combination of the income and market approaches. The income approach is estimated through the discounted cash flow method based on assumptions about future conditions such as future revenue growth rates, new product and technology introductions, gross margins, operating expenses, discount rates, future economic and market conditions, and other assumptions. The market approach estimates the fair value of our equity by utilizing the market comparable method which is based on revenue multiples from comparable companies in similar lines of business. If the carrying value of our reporting unit exceeds the reporting unit’s fair value, a goodwill impairment charge will be recorded for the difference up to the carrying value of goodwill.
Property and Equipment
Property and Equipment
Property and equipment are stated at cost, less depreciation, amortization, and impairments. Depreciation and amortization of property and equipment are provided using the straight-line method. The estimated useful lives for computer equipment, computer software, engineering and test equipment, and furniture and fixtures are generally three to five years. Leasehold improvements are amortized over the lesser of their estimated useful lives or their respective lease terms, which are generally five to ten years. Buildings are being depreciated over twenty-five years. Expenditures for major improvements and betterments are capitalized, while minor repairs and maintenance are charged to expense as incurred. Upon the retirement or disposition of property and equipment, the related cost and accumulated depreciation or amortization are removed, and a gain or loss is recorded.
Leases
Leases
We determine if an arrangement is a lease at inception. Operating lease right-of-use assets represent our right to use an underlying asset for the lease term and lease liabilities represent our obligation to make lease payments arising from the lease. Operating lease right-of-use assets and liabilities are recognized at commencement date, except short-term leases with an original term of 12 months or less, based on the present value of lease payments over the lease term. As most of our leases do not provide an implicit rate, we generally use an incremental borrowing rate based on the estimated rate of interest for collateralized borrowing over a similar term of the lease payments at commencement date. The operating lease right-of-use assets also includes any lease payments made and excludes lease incentives. Lease expense is recognized over the expected term on a straight-line basis. Leases with a lease term of 12 months or less are accounted for using the practical expedient which allows for straight-line rent expense over the remaining term of the lease.
Internal-Use Software Costs
Internal-Use Software Costs
We capitalize costs associated with software developed for internal use that are incurred during the software development stage. Such costs are limited to expenses incurred after management authorizes and commits to a computer software project, believes that it is more likely than not that the project will be completed, the software will be used to perform the intended function with an estimated service life of two years or more, and the completion of conceptual formulation, design and testing of possible software project alternatives (the preliminary design stage). Costs incurred after final acceptance testing has been successfully completed are expensed. Capitalized computer software costs are amortized over the estimated service life.
All computer software costs capitalized to date relate to the purchase, development and implementation of engineering, accounting and other enterprise software.
Revenue Recognition
Revenue Recognition
We derive the vast majority of our revenue from patent licensing. The timing and amount of revenue recognized from each licensee depend upon a variety of factors, including the specific terms of each agreement and the nature of the deliverables and obligations. Such agreements are often complex and include multiple performance obligations. These agreements can include, without limitation, performance obligations related to the settlement of past patent infringement liabilities, patent and/or know-how licensing royalties on covered products sold by licensees, access to a portfolio of technology as it exists at a point in time, and access to a portfolio of technology at a point in time along with promises to provide any technology updates to the portfolio during the term.
In accordance with GAAP, we use a five-step model to achieve the core underlying principle that an entity should recognize revenue to depict the transfer of goods or services to customers at an amount that the entity expects to be entitled to in exchange for those goods or services. These steps include (1) identifying the contract with the customer, (2) identifying the performance obligations, (3) determining the transaction price, (4) allocating the transaction price to the performance obligations, and (5) recognizing revenue as the entity satisfies the performance obligation(s). Additionally, we have elected to utilize certain practical expedients in the application of ASC 606, Revenue From Contracts with Customers. In evaluating the presence of a significant financing component in our agreements, we utilize the practical expedient to exclude any contracts wherein the gap between payment by our customers and the delivery of our performance obligation is less than one year. We have also elected to utilize the practical expedient related to costs of obtaining a contract where an entity may recognize the incremental costs of obtaining a contract as an expense when incurred if the amortization period of the asset that the entity otherwise would have recognized is one year or less. Timing of revenue recognition may differ significantly from the timing of invoicing to customers. Contract assets represent unbilled amounts expected to be received from customers in future periods, where the revenue recognized to date exceeds the amount billed, and right to payment is subject to the underlying contractual terms. Contract assets due within less than twelve months of the balance sheet date are included within accounts receivable in our consolidated balance sheets. Contract assets are classified as long-term assets within other non-current assets if the payments are expected to be received more than one year from the reporting date.
For certain patent license agreements or other contractual arrangements, the amount of consideration that we will receive is uncertain. In such cases, we estimate and recognize licensing revenue only when we have a contract, as defined in the revenue recognition guidance. Such estimates are only recognized to the extent it is probable that a significant reversal of cumulative revenue recognized will not occur. We analyze the risk of a significant revenue reversal considering both the likelihood and magnitude of the reversal and, if necessary, constrain the amount of estimated revenue in order to mitigate this risk, which may result in recognizing revenue less than amounts we expect we are most likely to receive. These aforementioned estimates may require significant judgment.
Patent License Agreements
Upon signing a patent license agreement, we provide the licensee permission to use our patented inventions in specific applications. We account for patent license agreements in accordance with the guidance indicated above.
Certain patent license agreements contain revenue from non-financial sources in the form of patents received from the customer. Under our patent license agreements, we typically receive one or a combination of the following forms of payment as consideration for permitting our licensees to use our patented inventions in their applications and products.
Consideration for Past Patent Royalties
Consideration related to a licensee’s product sales from prior periods may result from a negotiated agreement with a licensee that utilized our patented inventions prior to signing a patent license agreement with us or from the resolution of a disagreement or arbitration with a licensee over the specific terms of an existing license agreement. We may also receive consideration for past patent royalties in connection with the settlement of patent litigation where there was no prior patent license agreement. In each of these cases, we record the consideration as revenue as prescribed by the five-step model.
Fixed-Fee Agreements
Fixed-fee license agreements include fixed, non-refundable royalty payments that fulfill the licensee’s obligations to us under a patent license agreement for a specified time period or for the term of the agreement for specified products, under certain patents or patent claims, for sales in certain countries, or a combination thereof - in each case for a specified time period (including for the life of the patents licensed under the agreement).
Dynamic fixed-fee license agreements contain a performance obligation that represents ongoing access to a portfolio of technology over the license term, since our promise to transfer to the licensee access to the portfolio as it exists at inception of the license, along with promises to provide any technology updates to the portfolio during the term, are not separately identifiable. We use a time-based input method of progress to determine the timing of revenue recognition, and as such we recognize the future deliverables on a straight-line basis over the term of the agreement. We utilize the straight-line method as we believe that it best depicts efforts expended to develop and transfer updates to the customer evenly throughout the term of the agreement.
Static fixed-fee license agreements are fixed-price contracts that generally do not include updates to technology we create after the inception of the license agreement or in which the customer does not stand to substantively benefit from those updates during the term. Although we have few static fixed-fee license agreements, we generally satisfy our performance obligations under such agreements at contract signing, and, as such, revenue is recognized at that time.
Variable Agreements
Upon entering a new variable patent license agreement, the licensee typically agrees to pay royalties or license fees on licensed products sold during the term of the agreement. We utilize the sales- or usage- based royalty exception for these agreements and recognize revenue during the contract term when the underlying sale or usage occurs. Our licensees under variable agreements typically provide us with quarterly royalty reports that summarize their sales of covered products and their related royalty obligations to us. We receive these royalty reports subsequent to the period in which our licensees’ underlying sales occurred. As a result, we are required to estimate revenue and recognize sales-based royalties on such licensed products in the period in which the associated sales occur, considering all relevant information (historical, current and forecasted) that is reasonably available to us. Estimating licensees’ quarterly royalties prior to receiving the royalty reports requires us to make assumptions and judgments related to forecasted trends and growth rates used to estimate our licensees’ sales, which could have an impact on the amount of revenue we report on a quarterly basis. As a result of recognizing revenue in the period in which the licensees’ sales occur using estimates, adjustments to revenue are required in subsequent periods to reflect changes in estimates as new information becomes available, including market information, royalty reports provided by our licensees, audit results, among others.
Hybrid Agreements
We enter into hybrid patent license agreements that include (i) a fixed-fee minimum guarantee and (ii) additional per-unit royalties for units sold in excess of the units covered by the minimum guarantee. Under these agreements, the fixed-fee component represents a minimum amount the licensee is required to pay and provides a license to our technologies up to a specified number of units sold, with incremental per-unit royalties due for units sold in excess of the unit cap. When a licensee's sales exceed the unit cap, we recognize revenue for the additional per-unit royalties in the periods in which we estimate the licensee has exceeded the minimum and adjust revenue based on actual usage once reported by the licensee. The fixed-fee, or minimum guarantee, portion of a hybrid agreement is recognized on the same basis as our other fixed-fee agreements, as described above. As a result of recognizing revenue in the period in which the licensees’ sales occur using estimates, adjustments to revenue are required in subsequent periods to reflect changes in estimates as new information becomes available, including market information, royalty reports provided by our licensees, audit results, among others.
Accounts Receivable
Accounts Receivable
Accounts receivable is presented net of allowance for doubtful accounts. Our accounts receivable consists mainly of trade receivables derived from fixed-fee license arrangements with contractual payment terms. The remaining material amounts of our accounts receivable are from variable patent license agreements, which primarily are paid on a quarterly basis. The provision for doubtful accounts reflects the current estimate of credit losses expected to be incurred over the life of the financial asset, based on historical experience, current conditions and reasonable forecasts of future economic conditions. Further, we evaluate the collectability of our accounts receivable and if there is doubt that we will collect the full amount, we will record a reserve specific to that customer’s receivable balance.
Investments in Other Entities
Investments in Other Entities
We may make strategic investments in companies that have developed or are developing technologies that are complementary to our business. We made an accounting policy election for a measurement alternative for our equity investments that do not have readily determinable fair values, specifically related to our strategic investments in other entities. Under the alternative, our strategic investments in other entities without readily determinable fair values are measured at cost, less any impairment, plus or minus changes resulting from observable price changes in orderly transactions for an identical or similar investment of the same issuer, if any. On a quarterly basis, we monitor items such as our investment’s financial position and liquidity, performance targets, business plans, and cost trends to assess whether there are any triggering events or indicators present that would be indicative of an impairment, or any other observable price changes as indicated above. We do not adjust our investment balance when the investee reports profit or loss.
Additionally, other investments may be accounted for under the equity method of accounting. Under this method, we initially record our investment in the stock of an investee at cost, and adjust the carrying amount of the investment to recognize our share of the earnings or losses of the investee after the date of acquisition. The amount of the adjustment is included in the determination of net income, and such amount reflects adjustments similar to those made in preparing consolidated statements including adjustments to eliminate intercompany gains and losses, and to amortize, if appropriate, any difference between our cost and underlying equity in net assets of the investee at the date of investment. The investment is also adjusted to reflect our share of changes in the investee’s capital. Dividends received from an investee reduce the carrying amount of the investment. When there are a series of operating losses by the investee or when other factors indicate that a decrease in value of the investment has occurred which is other than temporary, we recognize an impairment equal to the difference between the fair value and the carrying amount of our investment.
The carrying value of our investments in other entities is included within "Other non-current assets, net" on our consolidated balance sheets.
Collaborative Arrangements
Collaborative Arrangements
We record the elements of our collaboration agreements that represent joint operating activities in accordance with ASC 808, Collaborative Arrangements (“ASC 808”). Accordingly, the elements of our collaboration agreements that represent activities in which both parties are active participants, and to which both parties are exposed to the significant risks and rewards that are dependent on the commercial success of the activities, are recorded as collaborative arrangements. Generally, the classification of a transaction under a collaborative arrangement is determined based on the nature and contractual terms of the arrangement along with the nature of the operations of the participants. For transactions that are deemed to be a collaborative arrangement under ASC 808, costs incurred and revenue generated on sales to third parties will be reported in our consolidated statement of operations on a gross basis if the Company is deemed to be the principal in the transaction, or on a net basis if the Company is instead deemed to be the agent in the transaction, consistent with the guidance in ASC 606-10-55-36, Revenue From Contracts with Customers - Principal Agent Considerations.
Deferred Charges
Deferred Charges
Direct costs of obtaining a contract or fulfilling a contract in a transaction that results in the deferral of revenue may be either expensed as incurred or capitalized, depending on certain criteria. We made a policy election to utilize the practical expedient related to costs of obtaining a contract where an entity may recognize the incremental costs of obtaining a contract as an expense when incurred if the amortization period of the asset that the entity otherwise would have recognized is one year or less. If the amortization period is greater than one year, we capitalize direct costs incurred for the acquisition or fulfillment of a contract through the date of signing if they are directly related to a particular revenue arrangement and are expected to be recovered. The costs are amortized on a straight-line basis over the life of the patent license agreement.
For example, from time to time, we use sales agents to assist us in our licensing and/or patent sale activities. In such cases, we may pay a commission. The commission rate varies from agreement to agreement. Commissions are normally paid shortly after our receipt of cash payments associated with the patent license or patent sale agreements. We defer recognition of commission expense and amortize these expenses in proportion to our recognition of the related revenue. Commission expense is included within the "Licensing" line of our consolidated statements of income and was immaterial for the years presented.
Incremental direct costs incurred related to a debt financing transaction may be capitalized. In connection with our offering of the 20
Research and Innovation Expenses
Research and Innovation Expenses
Research and innovation expenditures are expensed in the period incurred, except certain software development costs that are capitalized between the point in time that technological feasibility of the software is established and when the product is available for general release to customers. We did not have any capitalized software costs related to research and development in any period presented. Research and Innovation expenses are included within "Research and portfolio development" expenses in the consolidated statements of income.
Compensation Programs
Compensation Programs
We use a variety of compensation programs to attract, retain and motivate our employees, and to align employee compensation more closely with company performance. These programs include, but are not limited to, short-term incentives tied to performance goals, cash awards to inventors for filed patent applications and patent issuances, and long-term incentives in the form of stock option awards, time-based restricted stock unit (“RSU”) awards, performance-based RSU awards and cash awards, noting equity awards are granted pursuant to the terms and conditions of our Equity Plans (as defined in Note 13, "Compensation Plans and Programs"). Our long-term incentives, including equity awards, typically include annual equity and cash award grants with three to five year vesting periods; as a result, in any one year, we are typically accounting for at least three active cycles.
We account for compensation costs associated with share-based compensation based on the fair value of the instruments issued. The estimated value of stock options includes assumptions around expected life, stock volatility and dividends. For stock options considered to be “plain vanilla” options, the Company estimates the expected term based on the simplified method as prescribed by Staff Accounting Bulletin Topic 14. The simplified method was used because the Company does not believe it has sufficient historical exercise data to provide a reasonable basis for the expected term of its grants. In all periods, our policy has been to set the value of RSUs awards equal to the value of our underlying common stock on the date of measurement. For grants with graded vesting, we amortize the associated unrecognized compensation cost using an accelerated method. For grants that cliff vest, we amortize the associated unrecognized compensation cost on a straight-line basis over their vesting term. For awards containing performance conditions, we recognize compensation expense ratably over the vesting period when it is probable that the stated performance targets will be achieved and record cumulative adjustments in the period in which estimates change.
In the event of canceled awards, we adjust compensation expense recognized to date as they occur. Tax windfalls and shortfalls related to the tax effects of employee share-based compensation are included in our tax provision. On the consolidated statements of cash flows, tax windfalls and shortfalls related to employee share-based compensation awards are included within operating activities and cash paid to tax authorities for shares withheld are included within financing activities. The inclusion of windfalls and shortfalls in the tax provision could increase our earnings volatility between periods.
Income Taxes
Income Taxes
Income taxes are accounted for under the asset and liability method. Under this method, deferred tax assets and liabilities are recognized for the estimated future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases, and operating loss and tax credit carry forwards. Deferred tax assets and liabilities are measured using enacted tax rates in effect for the year in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in the consolidated statement of income in the period in which the change was enacted. A valuation allowance is recorded to reduce the carrying amounts of deferred tax assets if management has determined that it is more likely than not that such assets will not be realized.
In addition, the calculation of tax liabilities involves significant judgment in estimating the impact of uncertainties in the application of complex tax laws. We are subject to examinations by the U.S. IRS and other taxing jurisdictions on various tax matters, including challenges to various positions we assert in our filings. In the event that the IRS or another taxing jurisdiction levies an assessment in the future, it is possible the assessment could have a material adverse effect on our consolidated financial condition or results of operations.
The financial statement recognition of the benefit for an uncertain tax position is dependent upon the benefit being more likely than not to be sustainable upon audit by the applicable tax authority. If this threshold is met, the tax benefit is then measured and recognized at the largest amount that is greater than 50 percent likely of being realized upon ultimate settlement. In the event that the IRS or another taxing jurisdiction levies an assessment in the future, it is possible the assessment could have a material adverse effect on our consolidated financial condition or results of operations.
Treasury Stock
Treasury Stock
We record the repurchase of our shares of common stock at cost based on the settlement date of the transaction. These shares are classified as treasury stock, which is a reduction to shareholders’ equity. Treasury shares are included in authorized and issued shares, but excluded from outstanding shares. If the Treasury shares are retired, the excess of the par value is included with retained earnings.
In August 2022, the Inflation Reduction Act was enacted in the United States, which included, among other items, a 1% excise tax on certain net repurchases of our common stock after December 31, 2022. This excise tax on our share repurchases is recorded as a component of stockholders’ equity, as treasury stock, or retained earnings if retired.
New Accounting Guidance
New Accounting Guidance
Accounting Standards Update: Interim Reporting (Topic 270): Narrow-Scope Improvements
In December 2025, the FASB issued ASU 2025-11 to amend the guidance in “Interim Reporting” (Topic 270). The update provides clarifications intended to improve the consistency and usability of interim disclosure requirements, including a comprehensive listing of required interim disclosures and a new disclosure principle for reporting material events occurring after the most recent annual period. The amendments do not change the underlying objectives of interim reporting but are designed to enhance clarity in application. The guidance is effective for fiscal years beginning after December 15, 2027, including interim periods within those fiscal years. We are currently evaluating the impact of adoption on our consolidated financial statements.
Accounting Standards Update: Targeted Improvements to the Accounting for Internal-Use Software
In September 2025, the FASB issued ASU No. 2025-06, "Intangibles—Goodwill and Other Internal-Use Software (Subtopic 350-40)". The amendments in the ASU amends certain aspects of the accounting for and disclosure of software costs under ASC 350-40. ASU 2025-06 is effective for fiscal years beginning after December 15, 2027, with early adoption allowed. We are currently evaluating the impact of adoption on our consolidated financial statements.
Accounting Standards Update: Induced Conversions of Convertible Debt Instruments
In November 2024, the FASB issued ASU No. 2024-04, "Debt—Debt with Conversion and Other Options (Subtopic 470-20): Induced Conversions of Convertible Debt Instruments". The amendments in the ASU require disclosures for determining whether certain settlements of convertible debt instruments should be accounted for as an induced conversion. ASU 2024-04 is effective for fiscal years beginning after December 15, 2025, with early adoption allowed. We are currently evaluating the impact of adoption on our consolidated financial statements.
Accounting Standards Update: Disaggregation of Income Statement Expenses
In November 2024, the FASB issued ASU No. 2024-03, "Income Statement—Reporting Comprehensive Income—Expense Disaggregation Disclosures (Subtopic 220-40): Disaggregation of Income Statement Expenses". The amendments in the ASU require disclosures about specific types of expenses included in the expense captions presented on the Consolidated Statements of Income, as well as disclosures about selling expenses. ASU 2024-03 is effective for fiscal years beginning after December 15, 2026, with early adoption allowed. We are currently evaluating the impact of adoption on our financial disclosures.
Accounting Standards Update: Improvements to Income Tax Disclosures
In December 2023, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Updates ("ASU") No. 2023-09, “Income Taxes (Topic 740): Improvements to Income Tax Disclosures”. The amendments in the ASU enhance income tax disclosures, primarily through standardization, disaggregation of rate reconciliation categories, and income taxes paid by jurisdiction. ASU 2023-09 is effective for fiscal years beginning after December 15, 2024, with early adoption allowed. We retrospectively adopted this guidance as of January 1, 2025, and included the necessary disclosures in this Form 10-K.
Fair Value Measurements
Fair Value Measurements
We use various valuation techniques and assumptions when measuring the fair value of our assets and liabilities. We utilize market data or assumptions that market participants would use in pricing the asset or liability, including assumptions about risk and the risks inherent in the inputs to the valuation technique. This guidance established a hierarchy that prioritizes fair value measurements based on the types of input used for the various valuation techniques (market approach, income approach and cost approach). The levels of the hierarchy are described below:
Level 1 Inputs — Level 1 includes financial instruments for which quoted market prices for identical instruments are available in active markets.
Level 2 Inputs — Level 2 includes financial instruments for which there are inputs other than quoted prices included within Level 1 that are observable for the instrument such as quoted prices for similar instruments in active markets, quoted prices for identical or similar instruments in markets with insufficient volume or infrequent transactions (less active markets) or model-driven valuations in which significant inputs are observable or can be derived principally from, or corroborated by, observable market data, including market interest rate curves, referenced credit spreads and pre-payment rates.
Level 3 Inputs — Level 3 includes financial instruments for which fair value is derived from valuation techniques including pricing models and discounted cash flow models in which one or more significant inputs are unobservable, including the company’s own assumptions. The pricing models incorporate transaction details such as contractual terms, maturity and, in certain instances, timing and amount of future cash flows, as well as assumptions related to liquidity and credit valuation adjustments of marketplace participants.
Our assessment of the significance of a particular input to the fair value measurement requires judgment and may affect the valuation of financial assets and financial liabilities and their placement within the fair value hierarchy. We use quoted market prices for similar assets to estimate the fair value of our Level 2 investments.
Net Income Per Share Basic Earnings Per Share ("EPS") is calculated by dividing net income available to common shareholders by the weighted-average number of common shares outstanding for the period. Diluted EPS reflects the potential dilution that could occur if options or other securities with features that could result in the issuance of common stock were exercised or converted to common stock or resulting from the unvested outstanding restricted stock units ("RSUs").
v3.25.4
Background and Basis of Presentation (Tables)
12 Months Ended
Dec. 31, 2025
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Schedule of Supplemental Cash Flow Information
The following table presents additional supplemental cash flow information for the year ended December 31, 2025, 2024, and 2023 (in thousands):
Year Ended December 31,
Supplemental Cash Flow Information:202520242023
Interest paid$16,100 $17,361 $18,623 
Income taxes paid:
Federal15,389 35,050 45,500 
State 357 704 1,541 
Korea63,332 10,918 4,645 
China27,829 19,044 5,700 
Other Foreign Jurisdictions2,224 1,825 1,816 
Non-cash investing and financing activities:
Non-cash acquisition of patents21,219 7,000 — 
Dividend payable17,980 11,557 10,226 
Accrued capitalized patent costs and property and equipment6,108 (2,077)670 
Right-of-use assets obtained in exchange of operating lease liabilities1,387 2,066 93 
Accrued taxes on the repurchase of common stock277 — 3,170 
Settlement of the 2027 and 2024 Hedge Transactions40 37,120 — 
v3.25.4
Revenue Recognition (Tables)
12 Months Ended
Dec. 31, 2025
Revenue from Contract with Customer [Abstract]  
Schedule of Disaggregation of Revenue
The following table presents the disaggregation of our revenue for the year ended December 31, 2025, 2024, and 2023 (in thousands):
Year Ended December 31,
 202520242023
Smartphone$678,855 $597,540 $467,283 
CE, IoT/Auto154,631 268,680 80,895 
Other529 2,296 1,410 
Total Revenue$834,015 $868,516 $549,588 
Catch-up revenue (a), included above
$277,409 $460,069 $141,196 
(a)    Catch-up revenue represents revenue associated with reporting periods prior to the execution of the license agreement.
Schedule of Contracted Revenue
Based on Dynamic Fixed-Fee Agreements as of December 31, 2025, we expect to recognize the following amounts of revenue over the term of such contracts (in thousands):
Revenue (a)
2026$452,314 
2027440,577 
2028348,455 
2029294,819 
2030158,580 
Thereafter73,758 
$1,768,503 
(a) This table includes estimated revenue related to our Lenovo arbitration. In accordance with ASC 606, these estimates are limited to the amount of revenue we expect to recognize only to the extent we believe it is probable that a subsequent change in the estimate would not result in a significant revenue reversal.
v3.25.4
Segment and Concentration Information (Tables)
12 Months Ended
Dec. 31, 2025
Segment Reporting [Abstract]  
Schedule of Calculation of Net Income
The table below provides the calculation of net income, which is the performance measure that is most consistent with GAAP, and the significant operating expenses included in this performance measure (in thousands):

 
Year Ended December 31,
 202520242023
Revenue$834,015 $868,516 $549,588 
Less:
Departmental expenses (a)
193,465 175,636 162,318 
Depreciation and amortization77,531 69,913 77,792 
Litigation48,870 56,171 48,790 
Share-based compensation43,156 45,966 35,741 
Revenue share costs10,140 81,318 3,332 
Other non-operating expense (income), net (b)
(8,579)10,096 (12,995)
Income tax provision62,788 70,802 23,557 
Net income$406,644 $358,614 $211,053 
(a) Includes personnel-costs, consulting costs, outside services, administrative costs, and other operating expenses.
(b) Includes interest income, interest expense, and other non-operating income and expenses
Schedule of Licensees and Customers and the Total Revenue The table below lists the countries of the headquarters of our licensees and customers and the total revenue derived from each country or region for the periods indicated (in thousands):
 Year Ended December 31,
 202520242023
United States$239,417 $198,723 $186,251 
China309,335 379,606 258,737 
South Korea262,500 265,953 82,235 
Taiwan12,320 9,620 9,368 
Japan7,095 7,223 10,678 
Europe3,348 7,391 2,319 
Total revenue$834,015 $868,516 $549,588 
Schedule of Licensees or Customers Accounted
During 2025, 2024, and 2023, the following licensees or customers accounted for 10% or more of total revenue:
Year Ended December 31,
202520242023
Customer A31%30%14%
Customer B16%15%24%
Customer C14%—%—%
Customer D<10%20%27%
Customer E<10%14%—%
Customer F<10%<10%11%
v3.25.4
Cash, Cash Equivalents, Restricted Cash and Marketable Securities (Tables)
12 Months Ended
Dec. 31, 2025
Cash and Cash Equivalents [Abstract]  
Schedule of Cash, Cash Equivalents and Restricted Cash
Cash, cash equivalents, and restricted cash as of December 31, 2025 and 2024 consisted of the following (in thousands):
 December 31,
 20252024
Money market and demand accounts$745,024 $535,745 
Commercial paper— 4,062 
Corporate bonds, asset backed and other securities9,244 11,740 
 Total cash, cash equivalents, and restricted cash$754,268 $551,547 
The following table provides a reconciliation of total cash, cash equivalents and restricted cash as of December 31, 2025 and 2024 within the consolidated balance sheets (in thousands):
December 31,
20252024
Cash and cash equivalents$738,960 $527,360 
Restricted cash included within prepaid and other current assets15,308 24,187 
Total cash, cash equivalents, and restricted cash$754,268 $551,547 
Schedule of Restrictions on Cash and Cash Equivalents
Cash, cash equivalents, and restricted cash as of December 31, 2025 and 2024 consisted of the following (in thousands):
 December 31,
 20252024
Money market and demand accounts$745,024 $535,745 
Commercial paper— 4,062 
Corporate bonds, asset backed and other securities9,244 11,740 
 Total cash, cash equivalents, and restricted cash$754,268 $551,547 
The following table provides a reconciliation of total cash, cash equivalents and restricted cash as of December 31, 2025 and 2024 within the consolidated balance sheets (in thousands):
December 31,
20252024
Cash and cash equivalents$738,960 $527,360 
Restricted cash included within prepaid and other current assets15,308 24,187 
Total cash, cash equivalents, and restricted cash$754,268 $551,547 
Schedule of Marketable Securities Marketable securities as of December 31, 2025 and 2024 consisted of the following (in thousands):
 December 31, 2025
CostGross Unrealized GainsGross Unrealized LossesFair Value
Available-for-sale securities
Commercial paper$121,307 $56 $(2)$121,361 
U.S. government securities239,974 583 (1)240,556 
Corporate bonds, asset backed and other securities151,217 313 (3)151,527 
Total available-for-sale securities$512,498 $952 $(6)$513,444 
Reported in:
Cash and cash equivalents$9,244 
Short-term investments504,200 
Total marketable securities$513,444 
 December 31, 2024
CostGross Unrealized GainsGross Unrealized LossesFair Value
Available-for-sale securities
Commercial paper$78,822 $50 $(2)$78,870 
U.S. government securities230,693 128 (260)230,561 
Corporate bonds, asset backed and other securities137,146 111 (38)137,219 
Total available-for-sale securities$446,661 $289 $(300)$446,650 
Reported in:
Cash and cash equivalents$15,802 
Short-term investments430,848 
Total marketable securities$446,650 
v3.25.4
Concentration of Credit Risk and Fair Value of Financial Assets and Financial Liabilities (Tables)
12 Months Ended
Dec. 31, 2025
Fair Value Disclosures [Abstract]  
Schedule of Financial Assets and Liabilities at Fair Value on Recurring Basis Our financial assets and liabilities that are accounted for at fair value on a recurring basis are presented in the tables below as of December 31, 2025 and 2024 (in thousands):
 Fair Value as of December 31, 2025
 Level 1Level 2Level 3Total
Assets:    
Money market and demand accounts (a)
$745,024 $— $— $745,024 
Commercial paper
— 121,361 — 121,361 
U.S. government securities
— 240,556 — 240,556 
Corporate bonds, asset backed and other securities (c)
— 151,527 — 151,527 
 $745,024 $513,444 $— $1,258,468 
 Fair Value as of December 31, 2024
 Level 1Level 2Level 3Total
Assets:    
Money market and demand accounts (a)
$535,745 $— $— $535,745 
Commercial paper (b)
— 78,870 — 78,870 
U.S. government securities— 230,561 — 230,561 
Corporate bonds and asset backed securities (c)
— 137,219 — 137,219 
 $535,745 $446,650 $— $982,395 
_______________
(a)Included within cash and cash equivalents.
(b)As of December 31, 2024 $4.1 million of commercial paper was included within cash and cash equivalents, respectively.
(c)As of December 31, 2025 and 2024, $9.2 million and $11.7 million of corporate bonds, asset backed and other securities was included within cash and cash equivalents, respectively.
Schedule of Aggregate Fair Value
The principal amount, carrying value and related estimated fair value of the Company's senior convertible debt reported in the consolidated balance sheets as of December 31, 2025 and 2024 was as follows (in thousands). The aggregate fair value of the principal amount of the senior convertible debt is a Level 2 fair value measurement.
December 31, 2025December 31, 2024
Principal
Amount
Carrying
Value
Fair
Value
Principal
Amount
Carrying
Value
Fair
Value
2027 Senior Convertible Notes
$459,986 $456,786 $1,905,819 $460,000 $454,739 $1,166,155 
The aggregate fair value of the Technicolor Patent Acquisition long-term debt is a Level 3 fair value measurement.
December 31, 2025December 31, 2024
Carrying
Value
Fair
Value
Carrying
Value
Fair
Value
Technicolor Patent Acquisition Long-Term Debt$17,882 $18,178 $17,033 $17,102 
v3.25.4
Property and Equipment (Tables)
12 Months Ended
Dec. 31, 2025
Property, Plant and Equipment [Abstract]  
Schedule of Property and Equipment
As of December 31, 2025 and 2024, property and equipment, net is comprised of the following (in thousands):
 December 31,
 20252024
Computer equipment and software$25,732 $23,294 
Leasehold improvements14,844 15,207 
Building and improvements3,452 3,517 
Engineering and test equipment1,284 1,166 
Furniture and fixtures673 570 
Property and equipment, gross45,985 43,754 
Less: accumulated depreciation(22,272)(25,210)
Property and equipment, net$23,713 $18,544 
v3.25.4
Patents and Goodwill (Tables)
12 Months Ended
Dec. 31, 2025
Goodwill and Intangible Assets Disclosure [Abstract]  
Schedule of Finite-Lived Intangible Assets
As of December 31, 2025 and 2024, patents consisted of the following (in thousands, except for useful life data):
 December 31,
 20252024
Weighted average estimated useful life (years)9.99.9
Gross patents$1,183,333 $1,102,412 
Accumulated amortization(864,576)(793,782)
Patents, net$318,757 $308,630 
Schedule of Estimated Aggregate Amortization Expense
The estimated aggregate amortization expense for the next five years related to our patents balance as of December 31, 2025 is as follows (in thousands):
2026$66,469 
202761,612 
202841,999 
202937,674 
203031,263 
Schedule of Change in Carrying Amount of Goodwill
The following table shows the change in the carrying amount of our goodwill balance from December 31, 2023 to December 31, 2025, all of which is allocated to our one reportable segment (in thousands):
Goodwill balance as of December 31, 2023$22,421 
Activity— 
Goodwill balance as of December 31, 2024
$22,421 
Activity1,652 
Goodwill balance as of December 31, 2025$24,073 
v3.25.4
Other Assets and Liabilities (Tables)
12 Months Ended
Dec. 31, 2025
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]  
Schedule of Prepaid and Other Current Assets
The amounts included in "Prepaid and other current assets" in the consolidated balance sheet as of December 31, 2025 and 2024 were as follows (in thousands):
December 31,
20252024
Tax receivables$39,638 $16,691 
Restricted cash15,308 24,187 
Prepaid assets13,335 38,952 
Other current assets6,713 4,482 
Total Prepaid and other current assets$74,994 $84,312 
Schedule of Other Assets, Noncurrent
The amounts included in "Other non-current assets, net" in the consolidated balance sheet as of December 31, 2025 and 2024 were as follows (in thousands):
December 31,
20252024
Tax receivables$98,846 $88,619 
Goodwill24,073 22,421 
Contract asset
21,000 — 
Right-of-use assets13,797 15,218 
Long-term investments11,718 19,851 
Other non-current assets23,091 3,291 
Total Other non-current assets, net$192,525 $149,400 
Schedule of Other Accrued Expenses
The amounts included in "Other accrued expenses" in the consolidated balance sheet as of December 31, 2025 and 2024 were as follows (in thousands):
December 31,
20252024
Accrued legal fees$14,008 $9,571 
Other accrued expenses8,318 15,563 
Total Other accrued expenses$22,326 $25,134 
Schedule of Other Long-term Liabilities
The amounts included in "Other long-term liabilities" in the consolidated balance sheet as of December 31, 2025 and 2024 were as follows (in thousands):
December 31,
20252024
Deferred compensation liabilities$25,454 $19,969 
Operating lease liabilities13,540 15,772 
Other long-term liabilities19,500 19,201 
Total Other long-term liabilities$58,494 $54,942 
v3.25.4
Obligations (Tables)
12 Months Ended
Dec. 31, 2025
Debt Disclosure [Abstract]  
Schedule of Long-Term Debt Obligations
Long-term debt obligations, excluding the long-term debt resulting from the Technicolor Patent Acquisition, are comprised of the following (in thousands):
December 31, 2025December 31, 2024
3.50% Senior Convertible Notes due 2027
$459,986 $460,000 
Less: Deferred financing costs(3,200)(5,261)
Net carrying amount of the Convertible Notes456,786 454,739 
Less: Current portion of long-term debt(456,786)(454,739)
Long-term net carrying amount of the Convertible Notes$— $— 
Schedule of Maturities of Long-term Debt
Maturities of principal of the long-term debt obligations of the Company as of December 31, 2025, excluding the long-term debt resulting from the Technicolor Patent Acquisition, are as follows (in thousands):
2026$80,003 
2027379,983 
2028— 
2029— 
2030 and thereafter— 
 $459,986 
Schedule of Interest Cost
The following table presents the amount of interest cost recognized for the years ended December 31, 2025, 2024 and 2023 related to the contractual interest coupon and the amortization of financing costs (in thousands):
Year Ended December 31,
202520242023
2027 Notes2027 Notes2024 NotesTotal2027 Notes2024 NotesTotal
Contractual coupon interest$15,866 $16,100 $1,058 $17,158 $16,100 $2,523 $18,623 
Amortization of financing costs2,061 1,909 252 2,161 1,768 580 2,348 
Total$17,927 $18,009 $1,310 $19,319 $17,868 $3,103 $20,971 
v3.25.4
Commitments (Tables)
12 Months Ended
Dec. 31, 2025
Commitments and Contingencies Disclosure [Abstract]  
Schedule of Future Payments For Accounts Payable and Other Purchase Commitments
Minimum future payments for accounts payable and other purchase commitments, excluding commenced long-term operating leases for office space, as of December 31, 2025 were as follows (in thousands):
2026$17,738 
202725 
2028— 
2029— 
2030— 
Thereafter— 
Schedule of Future Benefit Payments Expected future benefit payments under these plans as of December 31, 2025 were as follows (in thousands):
2026$353 
2027208 
2028254 
2029498 
2030485 
2031-20353,100 
v3.25.4
Compensation Plans and Programs (Tables)
12 Months Ended
Dec. 31, 2025
Share-Based Payment Arrangement [Abstract]  
Schedule of RSU Award Vesting
Information with respect to current RSU activity is summarized as follows (in thousands, except per share amounts):
Number of
Unvested
RSUs
Weighted Average Per Share Grant Date Fair Value
Balance at December 31, 2024
1,154 $79.40 
Granted*285 213.21 
Forfeited(102)127.39 
Vested(482)70.17 
Balance at December 31, 2025
855 $123.33 
* These numbers include fewer than 0.1 million RSUs credited on unvested RSU awards as dividend equivalents. Dividend equivalents accrue with respect to unvested RSUs when and as cash dividends are paid on the Company's common stock, and vest if and when the underlying RSUs vest. Granted amounts include performance-based RSU awards at their maximum potential payout.
Schedule of Weighted-Average Grant Date Fair Value The weighted-average grant date fair value per option award granted during the years ended December 31, 2025, 2024 and 2023 was $84.13, $36.00, and $24.41, respectively, based upon the assumptions included in the table below:
Year Ended December 31,
202520242023
Expected term (in years)6.56.67.5
Expected volatility39.1 %31.7 %32.8 %
Risk-free interest rate4.0 %4.2 %3.6 %
Dividend yield1.2 %1.5 %1.9 %
Schedule of Stock Option Activity
Information with respect to current year stock option activity is summarized as follows (in thousands, except per share amounts):
 Outstanding OptionsWeighted
Average Exercise Price
Balance at December 31, 2024
946 $77.18 
Granted*63 206.75 
Forfeited— — 
Exercised(101)72.34 
Balance at December 31, 2025
908 $86.77 
* Granted amounts include performance-based option awards at their maximum potential payout.
v3.25.4
Taxes (Tables)
12 Months Ended
Dec. 31, 2025
Income Tax Disclosure [Abstract]  
Schedule of Domestic/Foreign Pre-tax Income
Our domestic/foreign pre-tax income consists of the following components for 2025, 2024, and 2023 (in thousands):
Year Ended December 31,
202520242023
Pre-Tax Income by Jurisdiction   
Domestic$451,214 $333,983 $242,780 
Foreign18,218 95,433 (8,170)
Total$469,432 $429,416 $234,610 
Schedule of Income Tax Provision
Our income tax provision consists of the following components for 2025, 2024, and 2023 (in thousands):
Year Ended December 31,
202520242023
Current   
Federal$(17,743)$36,977 $45,816 
State161 687 (229)
Foreign source withholding tax93,852 32,578 12,444 
 76,270 70,242 58,031 
Deferred   
Federal(104,057)(38,193)(41,922)
State(133)(144)615 
Foreign— 9,760 (9,759)
Foreign source withholding tax90,708 29,137 16,592 
 (13,482)560 (34,474)
Total$62,788 $70,802 $23,557 
Schedule of Deferred Tax Assets and Liabilities
The deferred tax assets and liabilities were comprised of the following components at December 31, 2025 and 2024 (in thousands):
December 31,
 20252024
Net operating losses$91,486 $95,751 
Capitalized research and development40,438 29,432 
Deferred revenue, net36,813 46,073 
Amortization and depreciation23,097 22,707 
Tax credit carryforward
10,737 — 
Debt amortization5,863 9,334 
Other24,505 22,797 
Deferred tax asset
232,939 226,094 
Less: valuation allowance(89,190)(95,465)
Net deferred tax asset143,749 130,629 
Other
(2,200)(2,475)
Deferred tax liability
(2,200)(2,475)
Net deferred tax asset
$141,549 $128,154 
Schedule of Effective Income Tax Rate Reconciliation
The following is a reconciliation of effective tax rates at the federal statutory tax rate recorded by the Company for the years ended December 31, 2025, 2024, and 2023:
Year Ended December 31,
202520242023
U.S. federal statutory tax rate$98,553 21.0 %$90,148 21.0 %$49,268 21.0 %
State and local income taxes, net of federal income tax effect (a)
(6)— %399 0.1 %434 0.2 %
Foreign Tax Effects
France
Changes in valuation allowances(1,157)(0.3)%(2,764)(0.6)%(5,222)(2.2)%
Other(947)(0.2)%2,140 0.5 %(2,404)(1.0)%
Korea
Foreign withholding taxes 63,811 13.6 %10,456 2.4 %4,591 2.0 %
China
Foreign withholding taxes25,624 5.4 %17,061 4.0 %9,965 4.2 %
Other
136 — %23 — %(6)— %
Other foreign jurisdictions799 0.2 %1,246 0.3 %2,187 0.9 %
Effect of Cross-Border Tax Laws
Global Intangible Low-Taxed Income777 0.2 %5,095 1.2 %812 0.3 %
Foreign-Derived Intangible Income(30,308)(6.5)%(23,042)(5.4)%(16,734)(7.1)%
Foreign tax credit on withholding taxes(90,708)(19.3)%(29,137)(6.8)%(16,593)(7.1)%
Other
1,754 0.4 %— — %— — %
Tax Credits
Research and development tax credit(2,354)(0.5)%(1,673)(0.4)%(1,313)(0.6)%
Change in valuation allowance— — %(8)— %— — %
Nontaxable or Nondeductible Items
Share-based compensation(15,036)(3.2)%(4,448)(1.0)%(2,973)(1.3)%
Non-deductible officers' compensation10,755 2.3 %6,612 1.5 %3,260 1.4 %
Other1,292 0.3 %576 0.1 %1,591 0.7 %
Changes in unrecognized tax benefits436 0.1 %419 0.1 %(889)(0.4)%
Other(633)(0.1)%(2,301)(0.5)%(2,417)(1.0)%
Total tax provision
$62,788 13.4 %$70,802 16.5 %$23,557 10.0 %
(a)State taxes in Massachusetts & Delaware made up the majority (greater than 50%) of the tax effect in this category
Schedule of Unrecognized Tax Benefits Roll Forward
The following is a roll forward of our total gross unrecognized tax benefits, which if reversed would impact the effective tax rate, for the fiscal years 2025 through 2023 (in thousands):
December 31,
202520242023
Balance as of January 1$13,848 $14,385 $16,052 
Tax positions related to current year:
Additions366 165 91 
Tax positions related to prior years:
Additions— — — 
Reductions(695)(702)(1,758)
Balance as of December 31$13,519 $13,848 $14,385 
v3.25.4
Net Income Per Share (Tables)
12 Months Ended
Dec. 31, 2025
Earnings Per Share [Abstract]  
Schedule of Numerator and the Denominator of the Basic and Diluted The following table reconciles the numerator and the denominator of the basic and diluted net income per share computation (in thousands, except for per share data):
 Year Ended December 31,
 202520242023
Net income
$406,644 $358,614 $214,069 
Weighted-average shares outstanding:
Basic25,794 25,325 26,860 
Dilutive effect of stock options and RSUs1,168 1,008 704 
Dilutive effect of warrants3,409 985 — 
Dilutive effect of convertible securities
4,103 2,393 538 
Diluted34,474 29,711 28,102 
Earnings per share:
Basic$15.77 $14.16 $7.97 
Dilutive effect of stock options and RSUs(0.53)(0.48)(0.19)
Dilutive effect of warrants(1.56)(0.47)— 
Dilutive effect of convertible securities
(1.88)(1.14)(0.16)
Diluted$11.80 $12.07 $7.62 
Schedule of Excluded from Computation of EPS Set forth below are the securities and the weighted average number of shares of common stock underlying such securities that were excluded from our computation of EPS for the periods presented (in thousands):
Year Ended December 31,
202520242023
Restricted stock units and stock options106 
Warrants2,556 6,271 7,488 
Total2,557 6,272 7,594 
v3.25.4
Equity Transactions (Tables)
12 Months Ended
Dec. 31, 2025
Equity [Abstract]  
Schedule of Shares Repurchased
The table below sets forth the total number of shares repurchased and the dollar value of shares repurchased under the Share Repurchase Program (in thousands). As of December 31, 2025, there was approximately $127.2 million remaining under the Share Repurchase Program authorization.
Share Repurchase Program
# of SharesValue
2025385 $102,319 
2024644 66,726 
20234,411 339,704 
20221,224 74,445 
2021458 30,000 
2020349 
20192,962 196,269 
20181,478 110,505 
2017107 7,693 
20161,304 64,685 
20151,836 96,410 
20143,554 152,625 
Total18,369 $1,241,730 
Schedule of Cash Dividends
Cash dividends on outstanding common stock declared in 2025 and 2024 were as follows (in thousands, except per share data):
2025Per ShareTotalCumulative by Fiscal Year
First quarter$0.60 $15,577 $15,577 
Second quarter0.60 15,507 31,084 
Third quarter0.70 18,041 49,125 
Fourth quarter0.70 17,980 67,105 
$2.60 $67,105 
2024
First quarter$0.40 $10,155 $10,155 
Second quarter0.40 10,052 20,207 
Third quarter0.45 11,366 31,573 
Fourth quarter0.45 11,557 43,130 
$1.70 $43,130 
v3.25.4
Leases (Tables)
12 Months Ended
Dec. 31, 2025
Leases [Abstract]  
Schedule of Operating Lease Right-of-Use Assets and Operating Lease Liabilities The table below includes the balances of operating lease right-of-use assets and operating lease liabilities as of December 31, 2025 and 2024 (in thousands):
Balance Sheet ClassificationDecember 31, 2025December 31, 2024
Assets
Operating lease right-of-use assets, netOther non-current assets, net$13,797 $15,218 
Total Lease Assets$13,797 $15,218 
Liabilities
Operating lease liabilities - CurrentOther accrued expenses$4,093 $3,398 
Operating lease liabilities - NoncurrentOther long-term liabilities13,540 15,772 
Total Lease Liabilities$17,633 $19,170 
Schedule of Lease Costs
The components of lease costs which were included within operating expenses in our consolidated statement of income were as follows (in thousands):
Year Ended December 31,
202520242023
Operating lease cost$4,059 $3,982 $3,821 
Short-term lease cost174 246 388 
Variable lease cost1,177 1,376 1,316 
Schedule of Maturities Operating Lease Liabilities
The maturities of our operating lease liabilities as of December 31, 2025, excluding short-term leases with terms less than 12 months, were as follows (in thousands):
Maturity of Operating Lease Liabilities
2026$5,043 
20274,571 
20284,014 
20293,646 
20302,224 
Thereafter630 
Total lease payments20,128 
Less: Imputed interest(2,495)
Present value of lease liabilities$17,633 
v3.25.4
Other Income, Net (Tables)
12 Months Ended
Dec. 31, 2025
Other Income and Expenses [Abstract]  
Schedule of Other Income (Expense), Net
The amounts included in "Other income, net" in the consolidated statements of income for the year ended December 31, 2025, 2024 and 2023 were as follows (in thousands):
Year Ended December 31,
202520242023
Interest and investment income$40,025 $40,395 $46,628 
Other8,516 (5,070)11,184 
Other income, net
$48,541 $35,325 $57,812 
v3.25.4
Background and Basis of Presentation (Details) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Supplemental Cash Flow Information:      
Interest paid $ 16,100 $ 17,361 $ 18,623
Federal 15,389 35,050 45,500
State 357 704 1,541
Non-cash investing and financing activities:      
Non-cash acquisition of patents 21,219 7,000 0
Dividend payable 17,980 11,557 10,226
Accrued capitalized patent costs and property and equipment 6,108 (2,077) 670
Right-of-use assets obtained in exchange of operating lease liabilities 1,387 2,066 93
Accrued taxes on the repurchase of common stock 277 0 3,170
Settlement of the 2027 and 2024 Hedge Transactions 40 37,120 0
Korea      
Supplemental Cash Flow Information:      
Foreign 63,332 10,918 4,645
China      
Supplemental Cash Flow Information:      
Foreign 27,829 19,044 5,700
Other Foreign Jurisdictions      
Supplemental Cash Flow Information:      
Foreign $ 2,224 $ 1,825 $ 1,816
v3.25.4
Summary of Significant Accounting Policies and New Accounting Guidance - Cash, Cash Equivalents, Restricted Cash and Marketable Securities (Details)
Dec. 31, 2025
Debt Securities, Available-for-sale [Line Items]  
Contractual maturities (in years) 3 years
Maximum  
Debt Securities, Available-for-sale [Line Items]  
Contractual maturities (in years) 3 years
Maximum | Corporate Debt Securities and Government Securities  
Debt Securities, Available-for-sale [Line Items]  
Contractual maturities (in years) 3 years
v3.25.4
Summary of Significant Accounting Policies and New Accounting Guidance - Patents (Details)
Dec. 31, 2025
Developed Technology Rights  
Finite-Lived Intangible Assets [Line Items]  
Weighted average estimated useful life (years) 10 years
Patents Purchased  
Finite-Lived Intangible Assets [Line Items]  
Weighted average estimated useful life (years) 9 years 10 months 24 days
v3.25.4
Summary of Significant Accounting Policies and New Accounting Guidance - Goodwill and Other Intangible Assets (Details)
12 Months Ended
Dec. 31, 2025
USD ($)
reportingUnit
Dec. 31, 2024
USD ($)
Dec. 31, 2023
USD ($)
Accounting Policies [Abstract]      
Goodwill $ 24,073,000 $ 22,421,000 $ 22,421,000
Goodwill impairment $ 0 $ 0 $ 0
Number of reporting units | reportingUnit 1    
v3.25.4
Summary of Significant Accounting Policies and New Accounting Guidance - Property and Equipment (Details)
Dec. 31, 2025
Building  
Property, Plant and Equipment [Line Items]  
Useful lives 25 years
Minimum | Machinery and Equipment  
Property, Plant and Equipment [Line Items]  
Useful lives 3 years
Minimum | Leasehold improvements  
Property, Plant and Equipment [Line Items]  
Useful lives 5 years
Maximum | Machinery and Equipment  
Property, Plant and Equipment [Line Items]  
Useful lives 5 years
Maximum | Leasehold improvements  
Property, Plant and Equipment [Line Items]  
Useful lives 10 years
v3.25.4
Summary of Significant Accounting Policies and New Accounting Guidance - Internal Use Software Costs (Details)
Dec. 31, 2025
Minimum | Software Development  
Finite-Lived Intangible Assets [Line Items]  
Weighted average estimated useful life (years) 2 years
v3.25.4
Summary of Significant Accounting Policies and New Accounting Guidance - Accounts Receivable (Details) - USD ($)
Dec. 31, 2025
Dec. 31, 2024
Accounting Policies [Abstract]    
Provision for doubtful accounts $ 0 $ 0
v3.25.4
Summary of Significant Accounting Policies and New Accounting Guidance - Investment in Other Entities (Details) - USD ($)
$ in Millions
Dec. 31, 2025
Dec. 31, 2024
Accounting Policies [Abstract]    
Carrying value of investments in other entities $ 11.7 $ 19.9
v3.25.4
Summary of Significant Accounting Policies and New Accounting Guidance - Deferred Charges (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Accounting Policies [Abstract]      
Debt issuance costs $ 0.0 $ 0.0 $ 0.0
Amortization of financing costs 2.1 2.2 $ 2.3
Unamortized deferred financing costs $ 3.2 $ 5.3  
v3.25.4
Summary of Significant Accounting Policies and New Accounting Guidance - Compensation Programs (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Share-based compensation, tax windfalls $ 7.4 $ 4.9 $ 3.1
Minimum      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Vesting period (in years) 3 years    
Maximum      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Vesting period (in years) 5 years    
v3.25.4
Summary of Significant Accounting Policies and New Accounting Guidance - Treasury Stock (Details)
Dec. 31, 2025
Accounting Policies [Abstract]  
Excise tax (as a percent) 1.00%
v3.25.4
Revenue Recognition - Schedule of Disaggregation of Revenue (Details) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Disaggregation of Revenue [Line Items]      
Total revenue $ 834,015 $ 868,516 $ 549,588
Total Revenue      
Disaggregation of Revenue [Line Items]      
Total revenue 834,015 868,516 549,588
Smartphone      
Disaggregation of Revenue [Line Items]      
Total revenue 678,855 597,540 467,283
CE, IoT/Auto      
Disaggregation of Revenue [Line Items]      
Total revenue 154,631 268,680 80,895
Other      
Disaggregation of Revenue [Line Items]      
Total revenue 529 2,296 1,410
Catch-up revenues      
Disaggregation of Revenue [Line Items]      
Total revenue $ 277,409 $ 460,069 $ 141,196
v3.25.4
Revenue Recognition - Narrative (Details) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Revenue from Contract with Customer [Abstract]    
Revenue recognized that had been included in deferred revenue as of the beginning of the period $ 178,000  
Contract asset, current 19,700 $ 162,800
Contract asset $ 21,000 $ 0
v3.25.4
Revenue Recognition - Schedule of Contracted Revenue (Details)
$ in Thousands
Dec. 31, 2025
USD ($)
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]  
Revenue, remaining performance obligation, amount $ 1,768,503
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2026-01-01  
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]  
Revenue, remaining performance obligation, amount $ 452,314
Revenue remaining performance obligation expected timing of satisfaction period 1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2027-01-01  
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]  
Revenue, remaining performance obligation, amount $ 440,577
Revenue remaining performance obligation expected timing of satisfaction period 1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2028-01-01  
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]  
Revenue, remaining performance obligation, amount $ 348,455
Revenue remaining performance obligation expected timing of satisfaction period 1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2029-01-01  
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]  
Revenue, remaining performance obligation, amount $ 294,819
Revenue remaining performance obligation expected timing of satisfaction period 1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2030-01-01  
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]  
Revenue, remaining performance obligation, amount $ 158,580
Revenue remaining performance obligation expected timing of satisfaction period 1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2031-01-01  
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]  
Revenue, remaining performance obligation, amount $ 73,758
Revenue remaining performance obligation expected timing of satisfaction period
v3.25.4
Segment and Concentration Information - Narrative (Details)
$ in Millions
12 Months Ended
Dec. 31, 2025
USD ($)
entity
Dec. 31, 2025
USD ($)
segment
Dec. 31, 2025
USD ($)
Dec. 31, 2024
USD ($)
Revenues from External Customers and Long-Lived Assets [Line Items]        
Number of reportable segments 1 1    
Number of operating segments | segment   1    
Property, Plant and Equipment and Patents, net        
Revenues from External Customers and Long-Lived Assets [Line Items]        
Long-lived assets $ 342.5 $ 342.5 $ 342.5 $ 327.2
United States | Long Lived Assets | Geographic Concentration Risk        
Revenues from External Customers and Long-Lived Assets [Line Items]        
Concentration risk     85.00% 85.00%
Canada and Europe | Property, Plant and Equipment and Patents, net        
Revenues from External Customers and Long-Lived Assets [Line Items]        
Long-lived assets $ 50.7 $ 50.7 $ 50.7 $ 36.6
v3.25.4
Segment and Concentration Information - Schedule of Calculation of Net Income (Details) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Segment Reporting Information [Line Items]      
Revenue $ 834,015 $ 868,516 $ 549,588
Less:      
Share-based compensation 43,156 45,966 35,741
Other non-operating expense (income), net (48,541) (35,325) (57,812)
Income tax provision 62,788 70,802 23,557
Net income 406,644 358,614 211,053
Reporting Segment      
Less:      
Departmental expenses 193,465 175,636 162,318
Depreciation and amortization 77,531 69,913 77,792
Litigation 48,870 56,171 48,790
Share-based compensation 43,156 45,966 35,741
Revenue share costs 10,140 81,318 3,332
Other non-operating expense (income), net (8,579) 10,096 (12,995)
Income tax provision 62,788 70,802 23,557
Net income $ 406,644 $ 358,614 $ 211,053
v3.25.4
Segment and Concentration Information - Schedule of Licensees and Customers and the Total Revenue (Details) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Revenue from External Customer [Line Items]      
Revenue $ 834,015 $ 868,516 $ 549,588
United States      
Revenue from External Customer [Line Items]      
Revenue 239,417 198,723 186,251
China      
Revenue from External Customer [Line Items]      
Revenue 309,335 379,606 258,737
South Korea      
Revenue from External Customer [Line Items]      
Revenue 262,500 265,953 82,235
Taiwan      
Revenue from External Customer [Line Items]      
Revenue 12,320 9,620 9,368
Japan      
Revenue from External Customer [Line Items]      
Revenue 7,095 7,223 10,678
Europe      
Revenue from External Customer [Line Items]      
Revenue $ 3,348 $ 7,391 $ 2,319
v3.25.4
Segment and Concentration Information - Schedule of Licensees or Customers Accounted (Details) - Customer Concentration Risk - Revenue
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Customer A      
Revenue from External Customer [Line Items]      
Concertation risk 31.00% 30.00% 14.00%
Customer B      
Revenue from External Customer [Line Items]      
Concertation risk 16.00% 15.00% 24.00%
Customer C      
Revenue from External Customer [Line Items]      
Concertation risk 14.00% 0.00% 0.00%
Customer D      
Revenue from External Customer [Line Items]      
Concertation risk 10.00% 20.00% 27.00%
Customer E      
Revenue from External Customer [Line Items]      
Concertation risk 10.00% 14.00% 0.00%
Customer F      
Revenue from External Customer [Line Items]      
Concertation risk 10.00% 10.00% 11.00%
v3.25.4
Cash, Cash Equivalents, Restricted Cash and Marketable Securities - Schedule of Cash, Cash Equivalents and Restricted Cash (Details) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Cash and Cash Equivalents [Line Items]        
Cash and cash equivalents [1] $ 754,268 $ 551,547 $ 442,961 $ 703,161
Money market and demand accounts        
Cash and Cash Equivalents [Line Items]        
Cash and cash equivalents 745,024 535,745    
Commercial paper        
Cash and Cash Equivalents [Line Items]        
Cash and cash equivalents 0 4,062    
Corporate bonds, asset backed and other securities        
Cash and Cash Equivalents [Line Items]        
Cash and cash equivalents $ 9,244 $ 11,740    
[1]
Refer to Note 1, "Background and Basis of Presentation," for additional supplemental cash flow information. Additionally, refer to Note 5, "Cash, Cash Equivalents, Restricted Cash and Marketable Securities" for a reconciliation to the consolidated balance sheets.
v3.25.4
Cash, Cash Equivalents, Restricted Cash and Marketable Securities - Schedule of Reconciliation of Total Cash, Cash Equivalents and Restricted Cash (Details) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Cash and Cash Equivalents [Abstract]        
Cash and cash equivalents $ 738,960 $ 527,360    
Restricted cash included within prepaid and other current assets 15,308 24,187    
Total cash, cash equivalents, and restricted cash [1] $ 754,268 $ 551,547 $ 442,961 $ 703,161
[1]
Refer to Note 1, "Background and Basis of Presentation," for additional supplemental cash flow information. Additionally, refer to Note 5, "Cash, Cash Equivalents, Restricted Cash and Marketable Securities" for a reconciliation to the consolidated balance sheets.
v3.25.4
Cash, Cash Equivalents, Restricted Cash and Marketable Securities - Narrative (Details) - USD ($)
$ in Millions
Dec. 31, 2025
Dec. 31, 2024
Debt Securities, Available-for-sale [Line Items]    
Contractual maturities (in years) 3 years  
Short-term investments with contractual maturities within one year $ 371.9 $ 323.8
Minimum    
Debt Securities, Available-for-sale [Line Items]    
Contractual maturities (in years) 1 year  
Maximum    
Debt Securities, Available-for-sale [Line Items]    
Contractual maturities (in years) 3 years  
v3.25.4
Cash, Cash Equivalents, Restricted Cash and Marketable Securities - Schedule of Marketable Securities (Details) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Restricted Cash and Cash Equivalent Item [Line Items]    
Cost $ 512,498 $ 446,661
Gross Unrealized Gains 952 289
Gross Unrealized Losses (6) (300)
Total marketable securities 513,444 446,650
Cash and cash equivalents 9,244 15,802
Short-term investments 504,200 430,848
Commercial paper    
Restricted Cash and Cash Equivalent Item [Line Items]    
Cost 121,307 78,822
Gross Unrealized Gains 56 50
Gross Unrealized Losses (2) (2)
Total marketable securities 121,361 78,870
U.S. government securities    
Restricted Cash and Cash Equivalent Item [Line Items]    
Cost 239,974 230,693
Gross Unrealized Gains 583 128
Gross Unrealized Losses (1) (260)
Total marketable securities 240,556 230,561
Corporate bonds, asset backed and other securities    
Restricted Cash and Cash Equivalent Item [Line Items]    
Cost 151,217 137,146
Gross Unrealized Gains 313 111
Gross Unrealized Losses (3) (38)
Total marketable securities $ 151,527 $ 137,219
v3.25.4
Concentration of Credit Risk and Fair Value of Financial Assets and Financial Liabilities - Narrative (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Fair Value, Concentration of Risk, Financial Statement Captions [Line Items]      
Gain (loss) on investments $ (1.0) $ 2.0 $ 10.4
Patents      
Fair Value, Concentration of Risk, Financial Statement Captions [Line Items]      
Fair value of patents $ 3.0 $ 10.0  
Three Largest Licensees | Accounts Receivable | Customer Concentration Risk      
Fair Value, Concentration of Risk, Financial Statement Captions [Line Items]      
Concertation risk 55.00% 84.00%  
v3.25.4
Concentration of Credit Risk and Fair Value of Financial Assets and Financial Liabilities - Schedule of Fair Value of Financial Assets and Liabilities (Details) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Assets:        
Fair Value $ 513,444 $ 446,650    
Total 1,258,468 982,395    
Cash and cash equivalents [1] 754,268 551,547 $ 442,961 $ 703,161
Commercial paper        
Assets:        
Fair Value 121,361 78,870    
U.S. government securities        
Assets:        
Fair Value 240,556 230,561    
Corporate bonds and asset backed securities        
Assets:        
Fair Value 151,527 137,219    
Money market and demand accounts        
Assets:        
Cash and cash equivalents 745,024 535,745    
Cash and cash equivalents 745,024 535,745    
Commercial paper        
Assets:        
Cash and cash equivalents 0 4,062    
Corporate bonds, asset backed and other securities        
Assets:        
Cash and cash equivalents 9,244 11,740    
Level 1        
Assets:        
Total 745,024 535,745    
Level 1 | Commercial paper        
Assets:        
Fair Value 0 0    
Level 1 | U.S. government securities        
Assets:        
Fair Value 0 0    
Level 1 | Corporate bonds and asset backed securities        
Assets:        
Fair Value 0 0    
Level 1 | Money market and demand accounts        
Assets:        
Cash and cash equivalents 745,024 535,745    
Level 2        
Assets:        
Total 513,444 446,650    
Level 2 | Commercial paper        
Assets:        
Fair Value 121,361 78,870    
Level 2 | U.S. government securities        
Assets:        
Fair Value 240,556 230,561    
Level 2 | Corporate bonds and asset backed securities        
Assets:        
Fair Value 151,527 137,219    
Level 2 | Money market and demand accounts        
Assets:        
Cash and cash equivalents 0 0    
Level 3        
Assets:        
Total 0 0    
Level 3 | Commercial paper        
Assets:        
Fair Value 0 0    
Level 3 | U.S. government securities        
Assets:        
Fair Value 0 0    
Level 3 | Corporate bonds and asset backed securities        
Assets:        
Fair Value 0 0    
Level 3 | Money market and demand accounts        
Assets:        
Cash and cash equivalents $ 0 $ 0    
[1]
Refer to Note 1, "Background and Basis of Presentation," for additional supplemental cash flow information. Additionally, refer to Note 5, "Cash, Cash Equivalents, Restricted Cash and Marketable Securities" for a reconciliation to the consolidated balance sheets.
v3.25.4
Concentration of Credit Risk and Fair Value of Financial Assets and Financial Liabilities - Schedule of Fair Value of Long-Term Debt (Details) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Principal Amount $ 459,986  
Technicolor Patent Acquisition Long-Term Debt    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Carrying Value 17,882 $ 17,033
Fair Value 18,178 17,102
Convertible Debt | 2027 Notes    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Principal Amount 459,986 460,000
Carrying Value 456,786 454,739
Fair Value $ 1,905,819 $ 1,166,155
v3.25.4
Property and Equipment (Details) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Property, Plant and Equipment [Line Items]      
Property and equipment, gross $ 45,985 $ 43,754  
Less: accumulated depreciation (22,272) (25,210)  
Property and equipment, net 23,713 18,544  
Depreciation expense 6,100 3,400 $ 4,100
Computer equipment and software      
Property, Plant and Equipment [Line Items]      
Property and equipment, gross 25,732 23,294  
Leasehold improvements      
Property, Plant and Equipment [Line Items]      
Property and equipment, gross 14,844 15,207  
Building and improvements      
Property, Plant and Equipment [Line Items]      
Property and equipment, gross 3,452 3,517  
Engineering and test equipment      
Property, Plant and Equipment [Line Items]      
Property and equipment, gross 1,284 1,166  
Furniture and fixtures      
Property, Plant and Equipment [Line Items]      
Property and equipment, gross $ 673 $ 570  
v3.25.4
Patents and Goodwill - Schedule of Finite-Lived Intangible Assets (Details) - Patents - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Finite-Lived Intangible Assets [Line Items]    
Weighted average estimated useful life (years) 9 years 10 months 24 days 9 years 10 months 24 days
Gross patents $ 1,183,333 $ 1,102,412
Accumulated amortization (864,576) (793,782)
Patents, net $ 318,757 $ 308,630
v3.25.4
Patents and Goodwill - Narrative (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Patents      
Finite-Lived Intangible Assets [Line Items]      
Amortization of intangible assets $ 70.7 $ 66.1 $ 73.1
v3.25.4
Patents and Goodwill - Schedule of Estimated Aggregate Amortization Expense (Details) - Patents
$ in Thousands
Dec. 31, 2025
USD ($)
Finite-Lived Intangible Assets [Line Items]  
2026 $ 66,469
2027 61,612
2028 41,999
2029 37,674
2030 $ 31,263
v3.25.4
Patents and Goodwill - Schedule of Change in Carrying Amount of Goodwill (Details)
$ in Thousands
12 Months Ended
Dec. 31, 2025
entity
Dec. 31, 2025
segment
Dec. 31, 2025
USD ($)
Dec. 31, 2024
USD ($)
Goodwill and Intangible Assets Disclosure [Abstract]        
Number of reportable segments 1 1    
Goodwill [Roll Forward]        
Goodwill, beginning balance     $ 22,421 $ 22,421
Activity     1,652 0
Goodwill, ending balance     $ 24,073 $ 22,421
v3.25.4
Other Assets and Liabilities - Schedule of Prepaid and Other Current Assets (Details) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]    
Tax receivables $ 39,638 $ 16,691
Restricted cash 15,308 24,187
Prepaid assets 13,335 38,952
Other current assets 6,713 4,482
Total Prepaid and other current assets $ 74,994 $ 84,312
v3.25.4
Other Assets and Liabilities - Schedule of Other Non-Current Assets (Details) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]      
Tax receivables $ 98,846 $ 88,619  
Goodwill 24,073 22,421 $ 22,421
Contract asset 21,000 0  
Right-of-use assets 13,797 15,218  
Long-term investments 11,718 19,851  
Other non-current assets 23,091 3,291  
Total Other non-current assets, net $ 192,525 $ 149,400  
v3.25.4
Other Assets and Liabilities - Schedule of Other Accrued Expenses (Details) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]    
Accrued legal fees $ 14,008 $ 9,571
Other accrued expenses 8,318 15,563
Total Other accrued expenses $ 22,326 $ 25,134
v3.25.4
Other Assets and Liabilities - Schedule of Other Long-Term Liabilities (Details) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]    
Deferred compensation liabilities $ 25,454 $ 19,969
Operating lease liabilities 13,540 15,772
Other long-term liabilities 19,500 19,201
Total Other long-term liabilities $ 58,494 $ 54,942
v3.25.4
Obligations - Schedule of Long-Term Debt Obligations (Details) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
May 27, 2022
Debt Instrument [Line Items]      
Principal Amount $ 459,986    
Less: Current portion of long-term debt (458,376) $ (456,329)  
Long-term net carrying amount of the Convertible Notes 16,292 15,443  
Convertible Debt      
Debt Instrument [Line Items]      
Less: Deferred financing costs (3,200) (5,261)  
Net carrying amount of the Convertible Notes 456,786 454,739  
Less: Current portion of long-term debt (456,786) (454,739)  
Long-term net carrying amount of the Convertible Notes 0 0  
Convertible Debt | 2027 Notes      
Debt Instrument [Line Items]      
Principal Amount $ 459,986 $ 460,000  
Less: Deferred financing costs     $ (9,900)
Interest rate (as a percent) 3.50%   3.50%
v3.25.4
Obligations - Narrative (Details) - USD ($)
$ / shares in Units, shares in Millions
1 Months Ended
Dec. 31, 2025
Dec. 31, 2024
May 27, 2022
May 25, 2022
Jun. 03, 2019
Debt Instrument [Line Items]          
Finance lease liability $ 0 $ 0      
Class of warrant or right, outstanding (in shares) 6.0        
Class of warrant or right, exercise price of warrants or rights (in USD per share) $ 105.67     $ 106.22 $ 109.43
2027 Notes | Convertible Debt          
Debt Instrument [Line Items]          
Interest rate (as a percent) 3.50%   3.50%    
Debt conversion, original debt, amount $ 80,000,000        
v3.25.4
Obligations - 2027 Notes, and Related Note Hedge and Warrant Transactions Narrative (Details)
$ / shares in Units, shares in Millions
May 27, 2022
USD ($)
day
$ / shares
May 25, 2022
USD ($)
$ / shares
shares
Jun. 03, 2019
USD ($)
$ / shares
shares
Dec. 31, 2025
USD ($)
$ / shares
Dec. 31, 2024
USD ($)
Debt Instrument [Line Items]          
Class of warrant or right number of securities called by warrants or rights (in shares) | shares   6.0      
Class of warrant or right, exercise price of warrants or rights (in USD per share) | $ / shares   $ 106.22 $ 109.43 $ 105.67  
Proceeds from issuance of warrants   $ 43,700,000      
Proceeds from and payment for convertible bond hedge   $ 36,800,000      
Convertible Debt          
Debt Instrument [Line Items]          
Deferred financing cost       $ 3,200,000 $ 5,261,000
2027 Notes | Convertible Debt          
Debt Instrument [Line Items]          
Debt face amount $ 460,000,000        
Proceeds from debt net of issuance costs $ 450,000,000        
Interest rate (as a percent) 3.50%     3.50%  
Debt instrument convertible conversion ratio 0.0129041        
Debt instrument convertible conversion price (in USD per share) | $ / shares $ 77.49        
Debt instrument redemption price (as a percent) 100.00%        
Multiple of principle amount available for conversion $ 1,000        
Convertible note hedge (in shares) | shares   5.9      
Purchase of convertible bond hedge   $ 80,500,000      
Effective interest rate percentage (as a percent) 4.02%        
Deferred financing cost $ 9,900,000        
2027 Notes | Convertible Debt | Conversion Circumstance One          
Debt Instrument [Line Items]          
Debt instrument convertible threshold percentage of stock price trigger (as a percent) 130.00%        
Debt instrument convertible threshold trading days | day 20        
Debt instrument convertible threshold consecutive trading days | day 30        
Debt instrument redemption price (as a percent) 100.00%        
2027 Notes | Convertible Debt | Conversion Circumstance Two          
Debt Instrument [Line Items]          
Debt instrument convertible threshold consecutive trading days | day 10        
Number of trading days | day 45        
2027 Notes | Convertible Debt | Conversion Circumstance Three          
Debt Instrument [Line Items]          
Percentage of per common share value (as a percent) 10.00%        
2027 Notes | Convertible Debt | Conversion Circumstance Four          
Debt Instrument [Line Items]          
Debt instrument convertible threshold consecutive trading days | day 5        
Debt instrument redemption price (as a percent) 98.00%        
2024 Notes | Convertible Debt          
Debt Instrument [Line Items]          
Debt face amount     $ 400,000,000.0    
Proceeds from debt net of issuance costs     $ 391,600,000    
Interest rate (as a percent)     2.00%    
Class of warrant or right number of securities called by warrants or rights (in shares) | shares     4.9    
v3.25.4
Obligations - 2024 Senior Convertible Notes, and Related Note Hedge and Warrant Transactions Narrative (Details) - USD ($)
$ / shares in Units, shares in Millions
4 Months Ended
Jun. 01, 2024
Jun. 03, 2019
Dec. 31, 2024
Dec. 31, 2025
Dec. 31, 2022
May 25, 2022
Debt Instrument [Line Items]            
Class of warrant or right number of securities called by warrants or rights (in shares)           6.0
Class of warrant or right, exercise price of warrants or rights (in USD per share)   $ 109.43   $ 105.67   $ 106.22
2024 Notes            
Debt Instrument [Line Items]            
Repurchased amount         $ 273,800,000  
2024 Notes | Convertible Debt            
Debt Instrument [Line Items]            
Debt face amount   $ 400,000,000.0        
Interest rate (as a percent)   2.00%        
Proceeds from debt net of issuance costs   $ 391,600,000        
Convertible note hedge (in shares)   4.9        
Class of warrant or right number of securities called by warrants or rights (in shares)   4.9        
2024 Warrant Transactions | Convertible Debt            
Debt Instrument [Line Items]            
Convertible note hedge (in shares)         3.3  
Issuance of common stock, net (in shares)     0.5      
2024 Note Hedge Transaction | Convertible Debt            
Debt Instrument [Line Items]            
Repayments of debt $ 126,200,000          
Settlement of the 2024 Notes (in shares) 0.3          
Stock issued related to warrants (in shares) 0.3          
v3.25.4
Obligations - Madison Arrangement and Technicolor Contingent Consideration Narrative (Details) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Jul. 30, 2018
Debt Instrument [Line Items]        
Operating expenses $ 373,162 $ 429,004 $ 327,973  
Restricted cash included within prepaid and other current assets 15,308 24,187    
Technicolor Patent Acquisition Long-Term Debt        
Debt Instrument [Line Items]        
Effective interest rate percentage (as a percent)       14.50%
Interest debt expense $ 2,300   3,500  
Reduction of interest expense     1,600  
Licensing revenue acquired (as a percent) 42.50%      
Technicolor Patent Acquisition Long-Term Debt | Madison Arrangement        
Debt Instrument [Line Items]        
Operating expenses $ 15,700 84,100 6,200  
Operating expenses from revenue sharing $ 10,100 $ 81,300 $ 3,300  
Patent Licensing Royalties | Technicolor Patent Acquisition Long-Term Debt | Madison Arrangement        
Debt Instrument [Line Items]        
Collaborative Arrangement, Revenue Not from Contract with Customer, Statement of Income or Comprehensive Income [Extensible Enumeration] Revenue Revenue Revenue  
Madison arrangement revenue $ 41,700 $ 209,500 $ 12,300  
v3.25.4
Obligations - Schedule of Maturities of Long-Term Debt (Details)
$ in Thousands
Dec. 31, 2025
USD ($)
Debt Disclosure [Abstract]  
2026 $ 80,003
2027 379,983
2028 0
2029 0
2030 and thereafter 0
Long-term debt, total $ 459,986
v3.25.4
Obligations - Schedule of Interest Cost Recognized (Details) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Debt Instrument [Line Items]      
Amortization of financing costs $ 2,100 $ 2,200 $ 2,300
Convertible Debt      
Debt Instrument [Line Items]      
Contractual coupon interest   17,158 18,623
Amortization of financing costs   2,161 2,348
Total   19,319 20,971
2027 Notes | Convertible Debt      
Debt Instrument [Line Items]      
Contractual coupon interest 15,866 16,100 16,100
Amortization of financing costs 2,061 1,909 1,768
Total $ 17,927 18,009 17,868
2024 Notes | Convertible Debt      
Debt Instrument [Line Items]      
Contractual coupon interest   1,058 2,523
Amortization of financing costs   252 580
Total   $ 1,310 $ 3,103
v3.25.4
Commitments - Schedule of Future Payments For Accounts Payable and Other Purchase Commitments (Details)
$ in Thousands
Dec. 31, 2025
USD ($)
Commitments and Contingencies Disclosure [Abstract]  
2026 $ 17,738
2027 25
2028 0
2029 0
2030 0
Thereafter $ 0
v3.25.4
Commitments - Narrative (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Commitments and Contingencies Disclosure [Abstract]      
Accumulated projected benefit obligation $ 5.5 $ 4.9  
Service and interest costs (less than) $ 0.5 $ 0.5 $ 0.5
Weighted average discount rate (as a percent) 3.50% 3.30%  
v3.25.4
Commitments - Schedule of Expected Future Benefit Plan Payments (Details)
$ in Thousands
Dec. 31, 2025
USD ($)
Commitments and Contingencies Disclosure [Abstract]  
2026 $ 353
2027 208
2028 254
2029 498
2030 485
2031-2035 $ 3,100
v3.25.4
Litigation and Legal Proceedings (Details)
€ in Thousands, $ in Millions
1 Months Ended 2 Months Ended 3 Months Ended
May 31, 2026
patent
trial
Feb. 28, 2026
trial
Dec. 31, 2025
patent
Oct. 31, 2025
patent
Jul. 31, 2025
USD ($)
Dec. 31, 2023
patent
Jul. 31, 2026
trial
Dec. 31, 2025
proceeding
Apr. 30, 2025
proceeding
Jan. 31, 2026
EUR (€)
Amazon Litigation, Munich and Mannheim Regional Courts                    
Loss Contingencies [Line Items]                    
Number of patent infringement proceedings | proceeding               3    
Number of proceedings, trial expected | proceeding               2    
Amazon Litigation, Mannheim Local Divisional Court and Dusseldorf Local Divisional Court                    
Loss Contingencies [Line Items]                    
Number of patent infringement proceedings | proceeding               3    
Amazon litigation, International Trade Commission and Companion District Court Proceedings                    
Loss Contingencies [Line Items]                    
Gain contingency, patents allegedly infringed upon, number     5              
Amazon Litigation, Eastern District of Virginia Proceedings                    
Loss Contingencies [Line Items]                    
Gain contingency, patents allegedly infringed upon, number     4              
Walt Disney, Co. Litigation, Brazil Proceedings                    
Loss Contingencies [Line Items]                    
Gain contingency, patents allegedly infringed upon, number       1            
Walt Disney, Co. Litigation, Munich Regional Court                    
Loss Contingencies [Line Items]                    
Number of patent infringement proceedings | proceeding                 4  
Gain contingency, patents found infringed upon, number       1            
Walt Disney, Co. Litigation, Munich Regional Court | Forecast                    
Loss Contingencies [Line Items]                    
Gain contingency, patents allegedly infringed upon, number | trial   2                
Walt Disney, Co. Litigation, Munich Regional Court | Subsequent Event                    
Loss Contingencies [Line Items]                    
Gain contingency, patents found infringed upon, fine imposed for violation of injunction | €                   € 550
Walt Disney, Co. Litigation, Mannheim Local Divisional Court And Dusseldorf Local Divisional Court Of The Unified Patent Court                    
Loss Contingencies [Line Items]                    
Number of patent infringement proceedings | proceeding                 4  
Walt Disney Co. Litigation, Mannheim Local Divisional Court | Forecast                    
Loss Contingencies [Line Items]                    
Gain contingency, patents allegedly infringed upon, number | trial 2                  
Gain contingency, patents allegedly infringed upon, hearing scheduled, number 1                  
Walt Disney, Co. Litigation, Dusseldorf Local Divisional Court | Forecast                    
Loss Contingencies [Line Items]                    
Gain contingency, patents allegedly infringed upon, number | trial             2      
Loss Contingency, Nontrial Decision, Binding | Samsung Electronics Co. Ltd. | Patents                    
Loss Contingencies [Line Items]                    
Royalties awarded | $         $ 1,050          
Term of payment of awarded royalties         8 years          
Tesla Proceedings                    
Loss Contingencies [Line Items]                    
Number of patents alleged infringement           3        
v3.25.4
Compensation Plans and Programs - Narrative (Details)
$ / shares in Units, shares in Thousands, $ in Thousands
12 Months Ended
Dec. 31, 2025
USD ($)
$ / shares
shares
Dec. 31, 2024
USD ($)
$ / shares
shares
Dec. 31, 2023
USD ($)
$ / shares
shares
Jun. 11, 2025
shares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Number of RSUs granted under the equity plans (in shares) | shares 285      
Weighted-average grant date fair values (in USD per share) | $ / shares $ 213.21      
Fair value of RSUs vested $ 105,200 $ 48,100 $ 31,000  
Vested weighted-average grant date fair value of awards (in USD per share) | $ / shares $ 70.17 $ 64.81 $ 54.95  
Number of minimum exercise price per share options (as a percent) 100.00%      
Weighted-average fair value granted (in USD per share) | $ / shares $ 84.13 $ 36.00 $ 24.41  
Outstanding options intrinsic value $ 210,300      
Number of outstanding options (less than) (in shares) | shares 908 946    
Number of outstanding exercisable options (in shares) | shares 400      
Weighted-average exercise price (in USD per share) | $ / shares $ 63.65      
Outstanding options intrinsic value $ 111,000      
Weighted-average remaining contractual life (in years) 6 years 8 months 12 days      
Exercised stock options intrinsic value $ 13,800 $ 500 $ 5,400  
Proceeds from exercise of stock options $ 7,330 $ 32 1,252  
Outstanding options (in shares) | shares 900 900    
Proceeds from stock options if exercised $ 78,800 $ 73,000    
Company match in contributions (as a percent) 50.00%      
Employee maximum contribution percentage (as a percent) 6.00%      
Award Date Between 1983 and 1986        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Weighted average remaining contractual life of outstanding options (in years) 7 years 3 months 18 days      
Lower range limit exercise price (in USD per share) | $ / shares $ 9.00      
Upper range limit exercise price (in USD per share) | $ / shares $ 11.63      
Savings Plan        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Company contribution costs $ 1,900 $ 1,700 $ 1,400  
2025 Plan        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Number of shares authorized (in shares) | shares       3,700
Minimum        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Vesting period (in years) 3 years      
Multiple of target number of shares 0      
Maximum        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Vesting period (in years) 5 years      
Multiple of target number of shares 2      
Proceeds from exercise of stock options $ 7,300      
Time-based Restricted Stock Units (RSUs) | Minimum        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Vesting period (in years) 3 years      
Time-based Restricted Stock Units (RSUs) | Minimum | 2017 Plan        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Vesting period (in years) 1 year      
Time-based Restricted Stock Units (RSUs) | Maximum | 2017 Plan        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Vesting period (in years) 3 years      
Performance Based Restricted Stock Units | Minimum        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Vesting period (in years) 3 years      
Performance Based Restricted Stock Units | Minimum | 2017 Plan        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Vesting period (in years) 3 years      
Performance Based Restricted Stock Units | Maximum        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Vesting period (in years) 5 years      
Performance Based Restricted Stock Units | Maximum | 2017 Plan        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Vesting period (in years) 5 years      
Performance period (in years) 7 years      
Restricted Stock Units RSU and or Restricted Stock        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Unrecognized compensation cost related to share-based awards at current performance accrual rates $ 41,800      
Restricted Stock Units (RSUs)        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Number of RSUs granted under the equity plans (in shares) | shares 300 500 500  
Weighted-average grant date fair values (in USD per share) | $ / shares $ 213.21 $ 104.08 $ 73.80  
Stock Options        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Unrecognized compensation cost related to share-based awards at current performance accrual rates $ 5,200      
Expected term (in years) 6 years 6 months 6 years 7 months 6 days 7 years 6 months  
Stock Options | Award Date Between 1983 and 1986        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Expected term (in years) 50 years      
Stock Options | Minimum        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Vesting period (in years) 3 years      
Stock Options | Maximum        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Vesting period (in years) 5 years      
Exercisable period (in years) 10 years      
Stock Options | Maximum | 2017 Plan        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Performance period (in years) 7 years      
v3.25.4
Compensation Plans and Programs - Schedule of RSU Award Vesting (Details) - $ / shares
shares in Thousands
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Number of Unvested RSUs      
Beginning balance (in shares) 1,154    
RSUs granted (in shares) 285    
RSUs forfeited (in shares) (102)    
RSUs vested (in shares) (482)    
Ending balance (in shares) 855 1,154  
Weighted Average Per Share Grant Date Fair Value      
Beginning balance (in USD per share) $ 79.40    
RSUs granted (in USD per share) 213.21    
RSUs forfeited (in USD per share) 127.39    
RSUs vested (in USD per share) 70.17 $ 64.81 $ 54.95
Ending balance (in USD per share) $ 123.33 $ 79.40  
RSUs credited on unvested RSU awards as dividend equivalents (in shares) (fewer than) 100    
v3.25.4
Compensation Plans and Programs - Schedule of Weighted-Average Grant Date Fair Value (Details) - Stock Options
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Expected term (in years) 6 years 6 months 6 years 7 months 6 days 7 years 6 months
Expected volatility 39.10% 31.70% 32.80%
Risk-free interest rate 4.00% 4.20% 3.60%
Dividend yield 1.20% 1.50% 1.90%
v3.25.4
Compensation Plans and Programs - Schedule of Stock Option Activity (Details)
shares in Thousands
12 Months Ended
Dec. 31, 2025
$ / shares
shares
Outstanding Options  
Beginning balance (in shares) | shares 946
Granted (in shares) | shares 63
Forfeited (in shares) | shares 0
Exercised (in shares) | shares (101)
Ending balance (in shares) | shares 908
Weighted Average Exercise Price  
Beginning balance (in USD per share) | $ / shares $ 77.18
Granted (in USD per share) | $ / shares 206.75
Forfeited (in USD per share) | $ / shares 0
Exercised (in USD per share) | $ / shares 72.34
Ending balance (in USD per share) | $ / shares $ 86.77
v3.25.4
Taxes - Schedule of Domestic/Foreign Pre-tax Income (Details) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Pre-Tax Income by Jurisdiction      
Domestic $ 451,214 $ 333,983 $ 242,780
Foreign 18,218 95,433 (8,170)
Income before income taxes $ 469,432 $ 429,416 $ 234,610
v3.25.4
Taxes - Schedule of Income Tax Provision (Benefit) (Details) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Current      
Federal $ (17,743) $ 36,977 $ 45,816
State 161 687 (229)
Foreign source withholding tax 93,852 32,578 12,444
Current income tax expense (benefit) 76,270 70,242 58,031
Deferred      
Federal (104,057) (38,193) (41,922)
State (133) (144) 615
Foreign 0 9,760 (9,759)
Foreign source withholding tax 90,708 29,137 16,592
Deferred income taxes (13,482) 560 (34,474)
Total $ 62,788 $ 70,802 $ 23,557
v3.25.4
Taxes - Schedule of Deferred Tax Assets and Liabilities (Details) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Income Tax Disclosure [Abstract]    
Net operating losses $ 91,486 $ 95,751
Capitalized research and development 40,438 29,432
Deferred revenue, net 36,813 46,073
Amortization and depreciation 23,097 22,707
Tax credit carryforward 10,737 0
Debt amortization 5,863 9,334
Other 24,505 22,797
Deferred tax asset 232,939 226,094
Less: valuation allowance (89,190) (95,465)
Net deferred tax asset 143,749 130,629
Other (2,200) (2,475)
Deferred tax liability (2,200) (2,475)
Net deferred tax asset $ 141,549 $ 128,154
v3.25.4
Taxes - Schedule of Reconciliation of Income Taxes at the Federal Statutory Rate (Details) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Amount      
U.S. federal statutory tax rate $ 98,553 $ 90,148 $ 49,268
State and local income taxes, net of federal income tax effect (6) 399 434
Global Intangible Low-Taxed Income 777 5,095 812
Foreign-Derived Intangible Income (30,308) (23,042) (16,734)
Foreign tax credit on withholding taxes (90,708) (29,137) (16,593)
Other 1,754 0 0
Research and development tax credit (2,354) (1,673) (1,313)
Other 1,292 576 1,591
Changes in unrecognized tax benefits 436 419 (889)
Total $ 62,788 $ 70,802 $ 23,557
Percent      
U.S. federal statutory tax rate 21.00% 21.00% 21.00%
State and local income taxes, net of federal income tax effect 0.00% 0.10% 0.20%
Global Intangible Low-Taxed Income 0.20% 1.20% 0.30%
Foreign-Derived Intangible Income (6.50%) (5.40%) (7.10%)
Foreign tax credit on withholding taxes (19.30%) (6.80%) (7.10%)
Other 0.40% 0.00% 0.00%
Research and development tax credit (0.50%) (0.40%) (0.60%)
Other 0.30% 0.10% 0.70%
Changes in unrecognized tax benefits 0.10% 0.10% (0.40%)
Total tax provision 13.40% 16.50% 10.00%
France      
Amount      
Changes in valuation allowances $ (1,157) $ (2,764) $ (5,222)
Other $ (947) $ 2,140 $ (2,404)
Percent      
Changes in valuation allowances (0.30%) (0.60%) (2.20%)
Other (0.20%) 0.50% (1.00%)
Korea      
Amount      
Foreign withholding taxes $ 63,811 $ 10,456 $ 4,591
Percent      
Foreign withholding taxes 13.60% 2.40% 2.00%
China      
Amount      
Other $ 136 $ 23 $ (6)
Foreign withholding taxes $ 25,624 $ 17,061 $ 9,965
Percent      
Other 0.00% 0.00% 0.00%
Foreign withholding taxes 5.40% 4.00% 4.20%
Other foreign jurisdictions      
Amount      
Other foreign jurisdictions $ 799 $ 1,246 $ 2,187
Percent      
Other foreign jurisdictions 0.20% 0.30% 0.90%
United States      
Amount      
Changes in valuation allowances $ 0 $ (8) $ 0
Other (633) (2,301) (2,417)
Share-based compensation (15,036) (4,448) (2,973)
Non-deductible officers' compensation $ 10,755 $ 6,612 $ 3,260
Percent      
Changes in valuation allowances 0.00% 0.00% 0.00%
Other (0.10%) (0.50%) (1.00%)
Share-based compensation (3.20%) (1.00%) (1.30%)
Non-deductible officers' compensation 2.30% 1.50% 1.40%
v3.25.4
Taxes - Narrative (Details) - USD ($)
$ in Thousands
12 Months Ended 84 Months Ended 144 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2025
Dec. 31, 2025
Dec. 31, 2022
Income Tax Contingency [Line Items]            
Unrecognized tax benefits that would impact effective tax rate $ 13,519 $ 13,848 $ 14,385 $ 13,519 $ 13,519 $ 16,052
Reductions, tax positions related to current year     1,100      
CIR tax credits on patent related cost       29,000    
United States            
Income Tax Contingency [Line Items]            
Operating loss carryforwards 0     0 0  
Non-US            
Income Tax Contingency [Line Items]            
Operating loss carryforwards 89,700     89,700 89,700  
State            
Income Tax Contingency [Line Items]            
Operating loss carryforwards 1,300,000     1,300,000 1,300,000  
Operating loss carryforwards, not subject to expiration 27,700     27,700 27,700  
Operating loss carryforwards, subject to expiration 1,300,000     1,300,000 1,300,000  
Foreign Tax Jurisdiction            
Income Tax Contingency [Line Items]            
Tax credit carryforward, amount 10,100     10,100 10,100  
Tax credit carryforwards, subject to expiration 700     $ 700 700  
Reductions, tax positions related to current year 700 700 700      
Income taxes paid $ 91,500 $ 23,300 $ 12,000      
Foreign Governments with U.S. Tax Treaties | Foreign Tax Jurisdiction            
Income Tax Contingency [Line Items]            
Income taxes paid         $ 205,200  
v3.25.4
Taxes - Schedule of Roll Forward of Our Total Gross Unrecognized Tax Benefits (Details) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Unrecognized Tax Benefits [Roll Forward]      
Balance as of January 1 $ 13,848 $ 14,385 $ 16,052
Tax positions related to current year:      
Additions 366 165 91
Tax positions related to prior years:      
Additions 0 0 0
Reductions (695) (702) (1,758)
Balance as of December 31 $ 13,519 $ 13,848 $ 14,385
v3.25.4
Net Income Per Share - Schedule of Numerator and Denominator of Basic and Diluted (Details) - USD ($)
$ / shares in Units, shares in Thousands, $ in Thousands
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Numerator      
Net income $ 406,644 $ 358,614 $ 214,069
Weighted-average shares outstanding:      
Basic (in shares) 25,794 25,325 26,860
Diluted (in shares) 34,474 29,711 28,102
Earnings per share:      
Basic (in USD per share) $ 15.77 $ 14.16 $ 7.97
Diluted (in USD per share) $ 11.80 $ 12.07 $ 7.62
Dilutive effect of stock options and RSUs      
Weighted-average shares outstanding:      
Dilutive effect of stock options and RSUs (in shares) 1,168 1,008 704
Earnings per share:      
Dilutive effect of stock options and RSUs (in USD per share) $ (0.53) $ (0.48) $ (0.19)
Dilutive effect of warrants      
Weighted-average shares outstanding:      
Dilutive effect of warrants (in shares) 3,409 985 0
Earnings per share:      
Dilutive effect of warrants (in USD per share) $ (1.56) $ (0.47) $ 0
Dilutive effect of convertible securities      
Weighted-average shares outstanding:      
Dilutive effect of convertible securities (in shares) 4,103 2,393 538
Earnings per share:      
Dilutive effect of convertible securities (in USD per share) $ (1.88) $ (1.14) $ (0.16)
v3.25.4
Net Income Per Share - Schedule of Antidilutive Securities Excluded from Earnings Per Share (Details) - shares
shares in Thousands
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]      
Antidilutive securities excluded from computation of earnings per share amount (in shares) 2,557 6,272 7,594
Restricted stock units and stock options      
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]      
Antidilutive securities excluded from computation of earnings per share amount (in shares) 1 1 106
Warrants      
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]      
Antidilutive securities excluded from computation of earnings per share amount (in shares) 2,556 6,271 7,488
v3.25.4
Equity Transactions - Narrative (Details)
$ / shares in Units, shares in Millions
1 Months Ended 3 Months Ended 12 Months Ended
Dec. 31, 2023
USD ($)
$ / shares
Dec. 31, 2022
USD ($)
Jun. 30, 2014
USD ($)
increase
Dec. 31, 2025
$ / shares
Sep. 30, 2025
$ / shares
Jun. 30, 2025
$ / shares
Mar. 31, 2025
$ / shares
Dec. 31, 2024
$ / shares
Sep. 30, 2024
$ / shares
Jun. 30, 2024
$ / shares
Mar. 31, 2024
$ / shares
Dec. 31, 2025
USD ($)
$ / shares
Dec. 31, 2024
USD ($)
$ / shares
Dec. 31, 2023
USD ($)
$ / shares
shares
Accelerated Share Repurchases [Line Items]                            
Share repurchase program authorized amount $ 1,400,000,000   $ 300,000,000                     $ 1,400,000,000
Number of authorized increases | increase     5                      
Increase in share repurchase program authorized amount $ 235,000,000 $ 333,000,000 $ 100,000,000                      
Stock repurchased during period                       $ 102,319,000 $ 66,726,000 $ 339,704,000
Cash dividends declared per common share (in USD per share) | $ / shares       $ 0.70 $ 0.70 $ 0.60 $ 0.60 $ 0.45 $ 0.45 $ 0.40 $ 0.40 $ 2.60 $ 1.70 $ 1.50
Common stock, dividends, percentage                       75.00%    
Tender Offer                            
Accelerated Share Repurchases [Line Items]                            
Repurchase of common stock (in shares) | shares                           2.7
Share price (in USD per Share) | $ / shares $ 72.98                         $ 72.98
Stock repurchased during period                           $ 199,900,000
v3.25.4
Equity Transactions - Schedule of Number of Shares Repurchased (Details) - USD ($)
shares in Thousands, $ in Thousands
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Dec. 31, 2020
Dec. 31, 2019
Dec. 31, 2018
Dec. 31, 2017
Dec. 31, 2016
Dec. 31, 2015
Dec. 31, 2014
Equity [Abstract]                        
Remaining authorized repurchase amount $ 127,200                      
Accelerated Share Repurchases [Line Items]                        
Stock repurchased during period (in shares) 18,369                      
Stock repurchased during period $ 1,241,730                      
2014 Repurchase Program                        
Accelerated Share Repurchases [Line Items]                        
Stock repurchased during period (in shares) 385 644 4,411 1,224 458 6 2,962 1,478 107 1,304 1,836 3,554
Stock repurchased during period $ 102,319 $ 66,726 $ 339,704 $ 74,445 $ 30,000 $ 349 $ 196,269 $ 110,505 $ 7,693 $ 64,685 $ 96,410 $ 152,625
v3.25.4
Equity Transactions - Schedule of Cash Dividends (Details) - USD ($)
$ / shares in Units, $ in Thousands
3 Months Ended 6 Months Ended 9 Months Ended 12 Months Ended
Dec. 31, 2025
Sep. 30, 2025
Jun. 30, 2025
Mar. 31, 2025
Dec. 31, 2024
Sep. 30, 2024
Jun. 30, 2024
Mar. 31, 2024
Jun. 30, 2025
Jun. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Equity [Abstract]                              
Cash dividends declared per common share (in USD per share) $ 0.70 $ 0.70 $ 0.60 $ 0.60 $ 0.45 $ 0.45 $ 0.40 $ 0.40         $ 2.60 $ 1.70 $ 1.50
Cash dividends $ 17,980 $ 18,041 $ 15,507 $ 15,577 $ 11,557 $ 11,366 $ 10,052 $ 10,155 $ 31,084 $ 20,207 $ 49,125 $ 31,573 $ 67,105 $ 43,130  
v3.25.4
Leases - Schedule of Operating Lease Right-of-Use Assets and Operating Lease Liabilities (Details) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Assets    
Operating lease right-of-use assets, net $ 13,797 $ 15,218
Liabilities    
Operating lease liabilities - Current 4,093 3,398
Operating lease liabilities - Noncurrent 13,540 15,772
Total Lease Liabilities $ 17,633 $ 19,170
Operating Lease, Right-of-Use Asset, Statement of Financial Position [Extensible List] Other non-current assets, net Other non-current assets, net
Operating Lease, Liability, Current, Statement of Financial Position [Extensible List] Other accrued expenses Other accrued expenses
Operating Lease, Liability, Noncurrent, Statement of Financial Position [Extensible List] Other long-term liabilities Other long-term liabilities
v3.25.4
Leases - Schedule of Lease Costs (Details) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Leases [Abstract]      
Operating lease cost $ 4,059 $ 3,982 $ 3,821
Short-term lease cost 174 246 388
Variable lease cost $ 1,177 $ 1,376 $ 1,316
v3.25.4
Leases - Narrative (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Leases [Abstract]    
Measurement of operating lease liabilities $ 4.6 $ 4.1
Weighted average remaining operating lease term (in years) 4 years 4 months 24 days  
Operating lease liabilities (as a percent) 6.20%  
v3.25.4
Leases - Schedule of Maturities Operating Lease Liabilities (Details) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Maturity of Operating Lease Liabilities    
2026 $ 5,043  
2027 4,571  
2028 4,014  
2029 3,646  
2030 2,224  
Thereafter 630  
Total lease payments 20,128  
Less: Imputed interest (2,495)  
Present value of lease liabilities $ 17,633 $ 19,170
v3.25.4
Other Income, Net (Details) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Other Income and Expenses [Abstract]      
Interest and investment income $ 40,025 $ 40,395 $ 46,628
Other 8,516 (5,070) 11,184
Other income, net $ 48,541 $ 35,325 $ 57,812
v3.25.4
Valuation and Qualifying Accounts (Details) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Valuation Allowance for Deferred Tax Assets      
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward]      
Balance Beginning of Period $ 95,465 $ 104,830 $ 122,217
Increase/ (Decrease) (4,009) (9,365) (7,628)
Reversal of Valuation Allowance (2,266) 0 (9,759)
Balance End of Period 89,190 95,465 104,830
Uncollectable Accounts      
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward]      
Balance Beginning of Period 0 0 0
Increase/ (Decrease) 0 0 0
Reversal of Valuation Allowance 0 0 0
Balance End of Period $ 0 $ 0 $ 0