MicroVision, Inc. (MVIS): PESTLE Analysis [Nov-2025 Updated]

MicroVision, Inc. is navigating a pivotal 2025, where the success of its MAVIN LiDAR hinges less on the tech itself and more on external macro-forces. You're watching a company transition from R&D to chasing massive OEM automotive design wins, but this path is riddled with political mandates for Level 3 Advanced Driver Assistance Systems (ADAS), economic headwinds like high capital costs, and a fierce technological battle against rivals like Luminar and Innoviz. We've mapped the six critical external factors-from new National Highway Traffic Safety Administration (NHTSA) safety regulations to the estimated $15.0 million revenue from development contracts-to give you a clear, actionable view of the near-term risks and opportunities that will defintely decide their market position.

MicroVision, Inc. (MVIS) - PESTLE Analysis: Political factors

US/EU regulatory push for Level 3 Advanced Driver Assistance Systems (ADAS)

You need to see regulatory movement as a tailwind, not a roadblock, because the US and EU are finally formalizing the rules of the road for Level 3 (Conditional Automation) ADAS. In Europe, the UNECE Regulation No. 157 on Automated Lane Keeping Systems (ALKS) is the foundational standard, which is why we saw premium automakers like Mercedes-Benz and BMW secure EU approval for their Level 3 systems. This regulatory clarity is critical for MicroVision because it validates the need for high-performance Lidar sensors like the MAVIN product line to enable the required operational design domain (ODD) for Level 3.

The European Union's General Safety Regulation (GSR) is mandating a host of technologies, with advanced driver attention monitoring becoming compulsory in all new cars sold in the EU in 2026, building on the July 2024 mandates. This forces the entire supply chain to adopt more sophisticated perception systems now. In the US, the National Highway Traffic Safety Administration (NHTSA) is also moving, granting expanded Federal Motor Vehicle Safety Standards (FMVSS) exemptions under Part 555 in June 2025, which helps American-made autonomous vehicles (AVs) qualify for deployment. This is a clear path to market. The limit here is that Level 3 remains a niche, with Mercedes-Benz only recently expanding certification to a few US states like Nevada and California. The market is defintely opening, but slowly.

Trade tensions impacting global supply chain for key components

The geopolitical landscape is a constant source of volatility for your balance sheet, especially concerning the supply chain for semiconductors and optical components essential for Lidar. While a US-China trade truce in May 2025 eased some tariffs-reducing them from a peak of 145% to 30% for the US and 125% to 10% for China on certain goods-the situation remains complex and costly. New reciprocal tariffs from the US, including a 50% increase on a broad range of Chinese-origin goods under Section 301, took effect in April 2025, specifically targeting sectors like automotive and electronics. This directly impacts the cost of goods sold (COGS) for Lidar manufacturers.

Here's the quick math: If a key semiconductor component sourced from China was subject to a 25% tariff, and now faces a 50% tariff increase on top of existing duties, your component cost rises significantly, pressuring margins. MicroVision's acquisition of Scantinel Photonics, a German developer, and its engineering presence in Hamburg, Germany, offer a strategic hedge by diversifying the supply chain and R&D footprint away from primary US-China flashpoints. This is a smart move to mitigate future tariff risk.

Government incentives for electric and autonomous vehicle adoption

Government incentives for Electric Vehicles (EVs) are an indirect, but powerful, catalyst for MicroVision's Lidar technology, since autonomy is built on an EV platform. These incentives drive overall vehicle sales that are Lidar-ready. In Europe, countries continue to offer significant financial aid in 2025. France, for instance, offers an ecological bonus of up to €7,000 for electric car buyers, while the Netherlands gives EVs a 75% road tax discount in 2025, though this is a reduction from the 100% exemption in 2024. These policies increase the total addressable market for high-end ADAS features.

The US market is also supported by federal tax credits, which, combined with state-level incentives offered in 27 states in 2024, make the adoption of new, tech-heavy vehicles more palatable for consumers. The political will to push electric mobility is strong, and that momentum carries Lidar with it. The risk is that most incentives target private buyers, not commercial fleets, which limits the immediate revenue impact on MicroVision's industrial segment, which is projected to drive $30 million to $50 million in demand over the next 12 to 18 months.

New National Highway Traffic Safety Administration (NHTSA) safety mandates

NHTSA's regulatory actions are a clear roadmap for what features will become standard, which is good for Lidar adoption in the long run. In April 2025, NHTSA released the Third Amended Standing General Order 2021-01, effective June 16, 2025, which actually eased some crash reporting requirements for Level 2 ADAS and AVs, signaling a more pro-deployment stance under the new administration. This is a positive for manufacturers, reducing administrative burden.

More importantly for Lidar, NHTSA is updating its 5-star New Car Assessment Program (NCAP) to include more ADAS features in its safety ratings for model year 2026 vehicles, specifically calling out pedestrian Automatic Emergency Braking (AEB) and Lane Keep Assist. While the major mandate for AEB on all light vehicles doesn't take effect until September 2029, the NCAP update creates a powerful, market-driven incentive for OEMs to install Lidar-enabled systems now to secure a top safety rating. This soft mandate is often more immediate than a hard regulation. MicroVision must focus on getting its perception software, MOSAIK, validated for these NCAP-relevant functions.

MicroVision, Inc. (MVIS) - PESTLE Analysis: Economic factors

The economic environment for MicroVision, Inc. in 2025 is a study in conflicting signals: a recovering global auto market provides a tailwind, but persistent high interest rates and cautious automaker capital spending create a strong headwind against the company's transition to mass-market production.

The core challenge is translating the industry's long-term commitment to autonomous vehicle (AV) technology into near-term, revenue-generating contracts, especially as the cost of capital remains high for growth-stage companies.

Global automotive production forecasts show a 2025 rebound, boosting demand

The overall global automotive market is projected to see a modest recovery in 2025, which is a positive macro-indicator for a component supplier like MicroVision. GlobalData forecasts the global light vehicle market will reach approximately 91.6 million units in 2025, representing a 3.4% increase over 2024 estimates. This rebound, while cautious, suggests increased production volumes that will eventually require advanced sensor technology like LiDAR.

However, this growth is uneven. S&P Global Mobility forecasts a slightly lower global new light vehicle sales figure of 89.6 million units, a 1.7% rise, emphasizing a 'cautious recovery growth' due to regional demand patterns and slower-than-expected Electric Vehicle (EV) adoption rates in some key markets. The Greater China region is a notable bright spot, with its light vehicle production forecast materially upgraded by 387,000 units for 2025.

• Global light vehicle sales are forecasted between 89.6 million and 91.6 million units in 2025.
• North America's light vehicle production outlook is around 15.1 million units.
• Increased production volumes create a larger long-term addressable market for MicroVision's new, cost-disruptive MOVIA S and Tri-Lidar sensor architecture.

High inflation and interest rates increase the cost of capital for expansion

The high-interest-rate environment continues to be a major headwind, directly impacting MicroVision's cost of capital and its customers' investment decisions. As of late 2025, inflation is expected to remain sticky, with the Consumer Price Index (CPI) staying at or above 3%, well above the Federal Reserve's 2% target. This persistent inflation keeps longer-term interest rates elevated, with 10-year Treasury yields expected to remain above 4%.

For a pre-profitability, growth-stage technology company, higher rates make raising debt or equity more expensive and increase the discount rate used in valuation models (like DCF), which directly pressures the stock price. It also increases the cost for automakers to finance their own massive CapEx programs, leading to stricter vendor selection and longer decision cycles for new technology contracts. MicroVision's cash used in operations rose to $16.5 million in Q3 2025, with operating expenses guided up by $1.5 million to $2.0 million per quarter to fund growth initiatives like the Scantinel acquisition and Aerial Systems team. This elevated cash burn makes the high cost of capital a critical risk factor.

Automaker capital expenditure (CapEx) focus shifts to EV/AV programs

Automaker CapEx is overwhelmingly focused on the transition to Electric Vehicles (EVs) and Autonomous Vehicles (AVs), which is the primary driver for LiDAR demand. The industry has collectively invested over half a trillion dollars in the EV transition. However, the pace of this transition is causing 'whiplash,' leading to significant capital adjustments.

For instance, some major programs have been canceled, such as Ford's three-row EV, which resulted in a $2 billion charge. This volatility means that while the CapEx budget is huge, the allocation is highly scrutinized and often delayed. Automakers are prioritizing technologies that can deliver mass-market adoption at a lower system cost, which is why MicroVision's new strategy to offer solid-state sensors priced at $200 for short-range and $300 for long-range is a direct response to this economic pressure. Volkswagen's €20 billion investment in its battery company, PowerCo, shows the scale of the commitment, but also the intense focus on core electrification components.

Estimated 2025 revenue is around $15.0 million from development contracts

MicroVision's revenue remains primarily driven by non-recurring engineering and development contracts, shifting from automotive to industrial and defense verticals for near-term monetization. The company's management had previously stated a line of sight to $30 million to $50 million in revenue over a 12-to-18-month period. However, as of the Q3 2025 earnings call, this pipeline is expected to 'take longer to realize' due to customer delays and the strategic pivot to the newer MOVIA S sensor.

Based on analyst models and the slow conversion of the pipeline, the estimated total revenue for the 2025 fiscal year is approximately $15.0 million. This figure is highly dependent on the timing of milestone payments from a small number of development and industrial contracts. The actual quarterly results for 2025 highlight the current revenue challenge:

Here's the quick math: The company's revenue is de minimis (Q3 revenue was only $0.241 million), and hitting the $15.0 million estimate requires a significant, non-linear acceleration in Q4 and the recognition of deferred development contract revenue. What this estimate hides is the risk of further deferrals, which could push a large portion of this revenue into 2026.

MicroVision, Inc. (MVIS) - PESTLE Analysis: Social factors

Increasing consumer demand for vehicle safety features and ADAS

You need to understand that the public is no longer just accepting Advanced Driver-Assistance Systems (ADAS); they are actively demanding them as a core safety feature. This is a massive tailwind for MicroVision, Inc. in 2025. The North America ADAS market is estimated to be worth $14.36 billion this year, and it is projected to grow at a Compound Annual Growth Rate (CAGR) of 16.54% through 2030.

Lidar (Light Detection and Ranging) technology, which MicroVision, Inc. specializes in, is positioned to capture the fastest growth within this sensor market. While radar currently holds the largest share, Lidar is poised for the fastest sensor growth with a 23.14% CAGR through 2030. This isn't a slow shift; it's a rapid, multi-billion-dollar pivot toward the high-resolution 3D perception that Lidar provides. The global automotive Lidar market itself is expected to grow from $1.28 billion in 2025 to nearly $12 billion by 2032, exhibiting a 50.4% CAGR during that period. That's one heck of a growth curve.

Public trust issues following high-profile autonomous vehicle accidents

The biggest social risk is the public's skepticism about full autonomy, which directly impacts the adoption timeline for Level 3 and Level 4 systems that rely heavily on Lidar. As of February 2025, 6 in 10 U.S. drivers still report being afraid to ride in a self-driving vehicle. To be fair, this fear is slowly decreasing-trust has risen slightly, with 37% of Americans now saying they would ride in one, up from 21% in 2018.

Still, high-profile accidents are a constant headwind. The number of reported self-driving car accidents nearly doubled in 2024, with 544 reported crashes compared to 288 in 2023. Adding to the complexity, fully Automated Driving System (ADS) vehicles reported more crashes than driver-assisted (ADAS) vehicles as of April 2025. This means every Lidar-equipped vehicle rollout must be flawless, because one major incident can tank public perception for the entire industry, regardless of which company's sensor failed.

Talent war for skilled engineers in perception and software development

The race to autonomy is creating a fierce talent war, and MicroVision, Inc. is competing with every major automaker and tech giant for the same small pool of specialized engineers. Autonomous vehicle specialists are among the 15 fastest-growing jobs in 2025, and the demand for skills in AI foundations and data complexity is soaring.

Here's the quick math on what it costs to compete: The average annual pay for a Lidar Engineer in the U.S. is already $111,552 as of November 2025. For a more senior, highly specialized Perception Engineer-the person who writes the code to interpret the Lidar point cloud-the average total compensation is even higher, at $215,000, with top ranges reaching $264,000. This defintely puts pressure on R&D budgets. You have to pay a premium to attract and retain the talent needed to turn a hardware product into a commercially viable, high-performance system.

Younger buyers defintely prioritize tech integration in vehicles

The next generation of car buyers is fundamentally changing the vehicle's value proposition, shifting it from engine performance to digital experience and safety technology. Younger buyers prioritize tech integration, which is a clear opportunity for any company providing advanced sensors. For example, 68% of Gen Z still believe personal vehicle ownership is valuable, but their expectations are digital-first.

They are driving the shift toward electric vehicles (EVs) and hybrids, with 63% of Gen Z consumers considering a hybrid for their next purchase. This cohort expects the most advanced safety features as standard. They are also comfortable with the digital transaction, with 38% of Gen Z auto buyers willing to purchase a vehicle entirely online. This digital-first, tech-demanding buyer base will accelerate the adoption of Level 2+ and Level 3 ADAS features, which is the sweet spot for MicroVision, Inc.'s Lidar technology.

• Gen Z and Millennials want AI agents for car research and financing.
• They are driving the demand for EV/Hybrid platforms that integrate new sensors.
• They expect vehicle tech to be as robust as smartphone technology.

Next step: Operations: Review the 2026 R&D budget to ensure compensation packages for Perception Engineers are competitive against the $215,000 average.

MicroVision, Inc. (MVIS) - PESTLE Analysis: Technological factors

MicroVision's MAVIN LiDAR is a key solid-state technology differentiator

The core of MicroVision's technological play is the MAVIN long-range LiDAR, which uses a proprietary Micro-Electro-Mechanical System (MEMS) mirror for beam steering. This design is what makes it a true solid-state solution, meaning it has no large, macro-rotating components, which is a huge benefit for automotive reliability and integration.

The MAVIN sensor delivers high resolution at range, capable of detecting and identifying small objects at highway speeds up to 220 meters, with a maximum Field of View (FOV) of 60° x 22°. Plus, its low latency data output frame rate of 20 Hz is crucial for Advanced Driver-Assistance Systems (ADAS) to make near-real-time decisions. This solid-state architecture is what allows the company to drive optimal performance at very competitive pricing.

To be defintely comprehensive, MicroVision is also expanding its technology base beyond its initial time-of-flight (ToF) sensors. The company signed an asset purchase agreement in October 2025 to acquire the business and assets of Scantinel Photonics GmbH, which brings 1550nm Frequency-Modulated Continuous Wave (FMCW) LiDAR technology into the portfolio. This move significantly broadens MicroVision's solid-state lineup and provides a path for long-range commercial vehicle and passenger car ADAS applications.

Intense competition from rivals like Luminar and Innoviz in OEM deals

The market for high-volume automotive OEM (Original Equipment Manufacturer) deals is intensely competitive, and while MicroVision is actively engaged in seven high-volume RFQs (Request for Quotes) for its MAVIN and MOVIA S products, the commercial traction of rivals presents a clear near-term risk. You can see the revenue gap in 2025 is substantial, as competitors have secured earlier production wins.

Here's the quick math on Q3 2025 revenue for the key players:

Innoviz Technologies, for example, is guiding for 2025 revenues of up to $60 million and has a development agreement with a Top 5 passenger OEM. Luminar Technologies, despite the major setback of the Volvo Car Corporation termination in November 2025, still projects a higher revenue range of up to $74 million for the year. This shows MicroVision is still playing catch-up on the commercialization front, relying heavily on its industrial MOVIA L sensor for near-term revenue.

Shift to software-defined vehicles (SDV) requires deep sensor integration

The industry is moving past just hardware; the future is the Software-Defined Vehicle (SDV), and that means you need deep sensor integration and a robust software stack. MicroVision's answer is its integrated perception software, the MOSAIK Suite. This suite processes raw LiDAR data and provides a reliable, accurate abstraction of the vehicle's surroundings, which is exactly what OEMs need to simplify their ADAS development.

A key technological win in 2025 was the full integration of the MOVIA LiDAR into NVIDIA's DRIVE AGX platform in Q2. This automatically makes MicroVision a part of a prestigious autonomous vehicle ecosystem, which is a major signal to other OEMs that their hardware is ready for deep integration. The MOSAIK software also automates a significant portion of the sensor validation process, a feature that translates directly into cost and time savings for automotive manufacturers.

Need for continuous miniaturization and cost reduction in sensor hardware

LiDAR won't reach mass adoption until the cost drops significantly, and MicroVision is keenly aware of this. The company is strategically focused on reducing the Average Selling Price (ASP) to targets of $200 to $300 for mass-market adoption. This aggressive target requires a fundamental shift in manufacturing, specifically moving from electromechanical systems to more scalable wafer-level processes.

The near-term focus is on scaling production for the MOVIA L sensor, which is aimed at the industrial market. MicroVision has increased production capacity with its Tier 1 automotive manufacturing partner, ZF, and expects this acceleration throughout 2025 to result in a reduced average cost per sensor. This industrial volume ramp is the company's bridge to the higher-volume, lower-cost automotive future, with a projected demand potential of $30 million to $50 million from industrial verticals over the 12 to 18 months following Q4 2024.

• Target $200-$300 ASP for mass adoption.
• Scaling MOVIA L production with ZF to lower unit costs.
• Shifting to wafer-level processes for long-term cost reduction.

What this estimate hides is the current financial reality: Q3 2025 revenue was only $0.2 million, and the net loss was $14.2 million. The path to profitability hinges entirely on successfully executing this cost-down and volume-up strategy. Finance: Monitor the MOVIA L sensor's average cost reduction against the ZF production ramp in the Q4 2025 report.

MicroVision, Inc. (MVIS) - PESTLE Analysis: Legal factors

The legal landscape for MicroVision, Inc. is defined by the need to aggressively protect its core intellectual property (IP) while simultaneously mitigating significant product liability exposure inherent in the autonomous vehicle supply chain. Your focus here should be on IP defense and the financial risk of sensor failure claims.

Strong patent portfolio is crucial for protecting proprietary MEMS technology

MicroVision's competitive moat is built on its proprietary Micro-Electro-Mechanical Systems (MEMS) technology, which requires a robust, defensible patent portfolio. As of July 30, 2025, the company holds a total of 1201 patents globally, with 823 having been granted. This demonstrates a long-term commitment to IP, with over 50% of the 1201 patents currently active. For US filings, the company has a strong grant rate of approximately 80.99% at the USPTO. This patent strength is essential for securing high-value automotive contracts, as OEMs demand suppliers with proven, non-infringing technology.

The strategic acquisition of assets from Ibeo Automotive Systems in 2023 added over 700 patents, immediately expanding the company's IP breadth in perception software and flash lidar. Furthermore, the November 2025 agreement to acquire the business and assets of Scantinel Photonics GmbH, including its Frequency-Modulated Continuous Wave (FMCW) lidar IP, is a defensive and offensive move to control key future lidar technologies. You need to view this IP base as a tangible asset that protects future revenue streams.

Product liability concerns for sensor failure in autonomous driving systems

The shift to Advanced Driver-Assistance Systems (ADAS) and autonomous driving (AD) introduces immense product liability risk for sensor manufacturers like MicroVision. If a MAVIN or MOVIA sensor fails, leading to an accident, the company could face strict liability claims. The legal precedent is already being set; for example, a Florida jury recently held Tesla partially responsible for a fatal accident involving its Autopilot system, resulting in a $243 million damages award.

This risk is magnified because MicroVision often partners with third parties for production and distribution, which, as noted in their SEC filings, subjects them to risks regarding product warranty and product liability. The liability will likely be shared among the OEM, the Tier 1 supplier, and the sensor maker, but a single catastrophic sensor failure can lead to multi-million dollar lawsuits. This is a defintely a balance sheet risk you must factor into your long-term model.

Compliance with global data privacy regulations (e.g., GDPR) for vehicle data

Autonomous vehicles generate vast amounts of data, much of which is considered personal data under global regulations like the European Union's General Data Protection Regulation (GDPR) and various US state laws, such as the California Consumer Privacy Act (CCPA). Because MicroVision has significant operations in Germany (Hamburg) and is targeting global OEMs, compliance with GDPR 2.0 updates and the EU AI Act (passed in 2024) is non-negotiable.

MicroVision's strategy to mitigate this risk is technological: its perception software stack utilizes deterministic AI at the edge. This means critical decisions are made locally on the sensor hardware, independent of the cloud, which the company states leads to 'improved data privacy' and reduces the risk of non-compliant cross-border data transfers. The complexity of compliance is rising, with the EU AI Act imposing stricter requirements on high-risk AI systems, which includes ADAS components.

Ongoing legal disputes over intellectual property (IP) in the LiDAR space

The LiDAR sector is highly litigious, with competitors frequently suing over patent infringement. While MicroVision has not disclosed a major, financially quantified IP lawsuit in 2025, the risk is constant, and the company explicitly lists its ability to 'enforce our intellectual property rights and protect our proprietary technologies' as a key risk factor.

The strategic acquisitions of Ibeo and Scantinel Photonics are essentially legal defense mechanisms, creating a large, diverse IP shield that makes infringement claims against MicroVision more difficult and costly for competitors. The primary legal action in 2025 is focused on strategic IP consolidation, rather than active litigation.

• Monitor competitor lawsuits against other LiDAR firms to gauge the enforcement environment.
• Budget for significant legal defense costs; IP litigation can cost millions of dollars.
• Ensure all new product lines, like the MAVIN and MOVIA sensors, have a clear, documented chain of non-infringement.

MicroVision, Inc. (MVIS) - PESTLE Analysis: Environmental factors

LiDAR integration is essential for most electric vehicle (EV) autonomous stacks

The environmental factor here is simple: the global shift to electric vehicles (EVs) is the single biggest driver for advanced sensor technology like MicroVision's LiDAR (Light Detection and Ranging). EVs are the core of the zero-emission movement, but to achieve mass adoption and true safety, they need Level 3 (Conditional Automation) and higher Advanced Driver-Assistance Systems (ADAS). This is where LiDAR is critical. MicroVision's solid-state architecture, like their MOVIA sensor, is designed to be a key component in this transition, offering the high-resolution, long-range perception that human drivers can't match in complex scenarios. The company has already achieved full integration of its MOVIA LiDAR into the NVIDIA DRIVE AGX platform, which is a significant step toward becoming a standard component in the EV ecosystem. This is a massive tailwind for MicroVision, but it also means the company is directly tied to the EV market's growth and, more importantly, its regulatory compliance.

Automotive industry focus on reducing carbon footprint in manufacturing

It's not enough for a car to have zero tailpipe emissions; the entire supply chain must be green. Automakers are facing intense pressure to reduce the carbon footprint of their manufacturing processes, a trend that directly impacts MicroVision as a supplier. Major manufacturers like BMW have pledged to produce all vehicles using 100% renewable energy by 2025, and the industry is moving toward carbon-neutral plants. This means MicroVision's Tier 1 partners, like ZF, are now demanding greater transparency and lower embedded carbon from components like LiDAR units. The good news is that scaling up production, which MicroVision is doing for its MOVIA L sensor in 2025, naturally reduces the average cost per sensor, and often, energy efficiency gains come with that scale. The company's smaller, solid-state designs inherently use fewer materials and less complex assembly than older mechanical LiDAR, which is a structural advantage in this new carbon-conscious environment.

Pressure to use sustainable materials in sensor and electronics production

The push for sustainability doesn't stop at the factory gate; it goes right down to the raw materials in the sensor itself. The global automotive sustainable materials market is valued at a significant $321,501 million in 2025, driven by a shift toward recycled aluminum, bio-based plastics, and ethically sourced materials like cobalt and lithium. While MicroVision's core technology involves complex MEMS, lasers, and optics, the housing, wiring, and circuit boards must meet these new standards. This is a clear opportunity for MicroVision to differentiate itself in the Request for Quotation (RFQ) process by proactively addressing the material composition of its MAVIN and MOVIA products. The company's ability to minimize waste and maximize component recyclability will become a key competitive factor, especially as OEMs look to meet their own aggressive ESG (Environmental, Social, and Governance) targets.

Here's a snapshot of the environmental pressures and MicroVision's current financial context:

Global push for zero-emission vehicle (ZEV) mandates by 2035

The regulatory environment is defintely pushing the entire automotive market toward MicroVision's core product. The 2035 deadline for 100% ZEV sales for new cars and vans is a hard stop for the internal combustion engine (ICE) in major markets like the European Union and Canada. This is a massive, non-negotiable growth catalyst for the EV market, and by extension, for the advanced perception systems that enable them. For 2025 specifically, the UK mandate requires 28% of new car sales to be ZEV. This creates an immediate need for the high-performance ADAS that MicroVision's MAVIN and MOVIA sensors support. The US has a goal of 50% ZEV sales by 2030, which is also driving billions in automaker investment. This means the automotive design cycles MicroVision is currently engaged in (seven RFQs) are all for vehicles that will be part of this mandated zero-emission future. It's a clear runway for the company's technology, assuming they secure one of those high-volume contracts.

The ZEV mandates create three clear action areas for MicroVision:

• Accelerate ADAS integration: Focus on Level 3 and Level 4 autonomy to meet the safety needs of the ZEV push.
• Emphasize solid-state advantage: Highlight the lower material and energy footprint of solid-state LiDAR versus older mechanical designs.
• Target ZEV-focused OEMs: Prioritize engagement with manufacturers who have the most aggressive 2030 and 2035 ZEV targets.

Next step: Strategy team: Model the impact of a 10% reduction in average selling price (ASP) on the 2026 cash burn rate by Friday.