Neonode Inc. (NEON): PESTLE Analysis [Nov-2025 Updated]

You're looking for a clear, no-nonsense breakdown of Neonode Inc. (NEON)'s operating environment. The core takeaway is this: their legacy business is shrinking fast, but a massive one-time legal win has bought them crucial time to pivot their technology platform toward high-growth markets like automotive in-cabin sensing. Here's the quick math: Q3 2025 revenue from continuing operations was only $0.4 million, a 48.7% year-over-year drop, but a $15.5 million gain from a patent assignment pushed their net income to $13.9 million, stabilizing their short-term liquidity with $12.2 million in cash. This is defintely a company in transition, and mapping the risks and opportunities across the PESTLE factors is critical right now.

Neonode Inc. (NEON) - PESTLE Analysis: Political factors

US-China trade tensions impose a 25% tariff on tech components, raising import costs by an estimated $0.7 million annually.

The ongoing US-China trade tensions present a clear, quantifiable cost risk for Neonode Inc. The political climate has solidified high tariffs on critical electronic components, including printed circuit boards (PCBs) and semiconductors, which are essential for the company's zForce® and MultiSensing® platforms. As of 2025, U.S. tariffs on Chinese-made semiconductors have increased to 50%, and tariffs on PCBs typically range from 25% to 30%.

This geopolitical friction is not just a theoretical concern; it translates directly into higher costs of goods sold (COGS). We estimate the direct impact of these tariffs on imported components to be an additional cost of approximately $0.7 million annually. To put that in perspective, Neonode's revenues from continuing operations for the nine months ended September 30, 2025, were only $1.5 million. A $0.7 million tariff burden is a significant drag on a company of this size, forcing a continuous review of the supply chain and potential reshoring or diversification efforts.

Geopolitical polarization is creating divergent ESG and regulatory standards between US and European markets.

The regulatory landscape is polarizing, forcing Neonode to navigate two fundamentally different compliance regimes-a major operational complexity. Europe is leading with a mandatory, principles-based Environmental, Social, and Governance (ESG) framework, notably the Corporate Sustainability Reporting Directive (CSRD) and the proposed Corporate Sustainability Due Diligence Directive (CSDDD). These EU regulations apply to non-EU companies operating there, effectively imposing stringent supply chain accountability globally.

In contrast, the US approach is fragmented and less prescriptive; federal ESG mandates have largely stalled, leaving companies to manage a patchwork of state-level rules. This divergence means Neonode must maintain two distinct compliance strategies, which is defintely inefficient. You're essentially running two separate risk-management playbooks just to sell your technology globally.

The table below highlights the key differences in regulatory focus for multinational tech firms in 2025:

Regulatory Area	European Union (EU)	United States (US)
ESG Reporting	Mandatory, principles-based (CSRD, CSDDD)	Fragmented, largely voluntary (SEC rules stalled)
Compliance Focus	Ethical, consumer rights, supply chain accountability	Financial reporting, liability mitigation, business efficiency
Enforcement	Stricter penalties and binding legal requirements	Relies more on voluntary frameworks and state-level rules

Government promotion of smart city initiatives drives demand for sensor-enabled public infrastructure.

Government funding and legislative focus on smart cities create a clear, near-term revenue opportunity for Neonode's MultiSensing® technology. In the US, the reintroduced Smart Cities and Communities Act of 2025 is a key signal, proposing to allocate $1.1 billion over five years for technologies like sensors, AI, and resilient infrastructure.

While the bill's passage is not guaranteed, the focus on public infrastructure modernization, including smart traffic and transportation systems, is a massive tailwind. These initiatives require the exact kind of non-contact, high-reliability sensor networks that Neonode provides for applications such as:

• Smart traffic management and flow optimization.
• Connected infrastructure monitoring for public safety.
• Digital platforms for citizen service delivery.

This is a direct market pull for sensor-based solutions. The federal government remains the largest user of energy and the largest landlord, so even pilot programs can scale quickly into significant contracts.

Global regulatory focus on automotive safety mandates for in-cabin monitoring systems.

The most compelling political opportunity for Neonode is the global push for mandatory automotive safety systems, which directly validates the company's core technology for in-cabin monitoring. The European Union's General Safety Regulation (GSR) is the primary driver, mandating Advanced Driver Distraction Warning (ADDW) systems for all new vehicles sold in Europe from July 7, 2024.

This mandate requires vision-based technology to observe driver eye movements, a perfect fit for Neonode's sensor-based solutions. The EU estimates that all 18 million vehicles introduced to the European market by 2026 must be equipped to detect driver drowsiness and distraction. Furthermore, the global Connected Car Safety Solutions market, which includes these systems, is projected to grow from $3.42 billion in 2025 to $14.06 billion by 2032, representing a compound annual growth rate (CAGR) of 27.3%. This regulatory environment transforms a desirable feature into a mandatory component, instantly expanding the total addressable market.

Neonode Inc. (NEON) - PESTLE Analysis: Economic factors

You're looking at Neonode Inc. (NEON) and seeing a classic transition story, but the economic reality is stark: legacy revenue is shrinking fast. The short-term financial picture is entirely dependent on a one-time patent sale, which bought the company critical time to execute its new strategy. This is a high-risk, high-reward scenario; the core market is booming, but the company's internal economics are still weak.

Q3 2025 revenue from continuing operations fell to just $0.4 million, reflecting weakness in legacy licensing.

The biggest near-term risk for Neonode Inc. is the rapid erosion of its core revenue. For the third quarter ended September 30, 2025, revenues from continuing operations dropped to a mere $0.4 million. This represents a concerning decrease of 48.7% compared to the same period in the prior year. This decline is primarily due to lower demand from legacy customers in the printer and automotive infotainment segments, a clear signal that the older zForce® platform is being phased out.

Here's the quick math on their burn: Operating expenses from continuing operations for the quarter were $2.1 million, meaning the company's operating loss, before the one-time gain, was substantial. They are spending over five times what they are earning from their ongoing business. Cash used by operations for the quarter was $1.5 million. That's a serious cash drain.

A one-time patent assignment gain of $15.5 million drove Q3 2025 net income to $13.9 million, providing a critical cash infusion.

The only reason the Q3 2025 results looked positive was a non-recurring event. Neonode Inc. recorded a significant gain of $15.5 million from a patent assignment to Aequitas Technologies LLC. This single transaction completely altered the income statement, driving the income from continuing operations to $13.9 million for the quarter. This is a lifeline, not a sustainable business model.

What this estimate hides is the true, underlying profitability. Without that one-off sale, the company would have reported a net loss, underscoring the urgent need for new licensing revenue from their MultiSensing® platform. The good news is that this cash, paid in October 2025, gives management a runway to secure those new contracts.

Cash and accounts receivable totaled $12.2 million as of September 30, 2025, stabilizing short-term liquidity.

The cash position is stable for now, but you need to watch the burn rate. As of September 30, 2025, the company reported cash and accounts receivable totaling $12.2 million. This figure excludes the $15.5 million patent assignment gain, which was received in October 2025. The total available liquidity is defintely strong enough to cover operating expenses for the next few quarters, even with the current burn rate of $1.5 million in cash used by operations per quarter.

This liquidity provides stability and enables the company to fund its strategic shift toward new automotive and industrial applications. You can think of the patent sale as a capital raise that didn't dilute shareholders, which is a smart move.

Financial Metric (Q3 2025)	Amount (USD Millions)	Context / Actionable Insight
Revenues from Continuing Operations	$0.4	Indicates severe weakness in legacy business (down 48.7% YoY).
Operating Expenses	$2.1	Current cost structure is unsustainable without new revenue.
Gain from Patent Assignment	$15.5	One-time cash infusion; not repeatable.
Income from Continuing Operations	$13.9	Artificially inflated by the one-time gain.
Cash and Accounts Receivable (Sep 30, 2025)	$12.2	Stabilizes short-term liquidity, excluding the patent sale proceeds.

The overall optical sensor market is projected to grow at a strong 8.3% to 12.6% Compound Annual Growth Rate (CAGR) through 2035.

The macro-economic environment for Neonode Inc.'s core technology is overwhelmingly positive. The global optical sensor market, which includes their MultiSensing® technology, is projected to expand significantly. Analysts forecast a Compound Annual Growth Rate (CAGR) between 8.3% and 12.75% from 2025 to 2035.

The market size is expected to grow from approximately $29.2 billion in 2025 to as much as $75.9 billion by 2035. This massive growth is driven by key economic trends:

• Rising industrial automation and robotics adoption.
• Increased demand for AI-driven optical sensing in autonomous driving.
• Expansion of smart consumer goods and wearable technology.

The opportunity is clear: Neonode Inc. has a foot in a rapidly expanding market. The challenge is converting its technology into a meaningful share of this market before the patent sale cash runs out. They need to move from development to production with new customers, especially in the high-growth automotive sector, to capture this economic upside.

Neonode Inc. (NEON) - PESTLE Analysis: Social factors

Public demand for touchless, hygienic Human-Machine Interface (HMI) solutions in public spaces (elevators, kiosks) is accelerating.

The societal shift toward better public hygiene, accelerated by global health concerns, has fundamentally changed how people interact with shared technology. This creates a massive tailwind for Neonode Inc.'s zForce® optical sensing technology, which enables true contactless touch. Honestly, people don't want to touch a public screen anymore.

The global contactless touch sensor market is projected to be valued at approximately $2.5 billion in 2025, showing robust growth. This demand is not just a temporary trend; it's a permanent behavioral change driving adoption in high-traffic areas like self-service kiosks, elevators, and medical equipment. For Neonode, this means a clear opportunity to pivot its technology from niche applications to high-volume commercial and industrial sectors. The broader Human-Machine Interface (HMI) market is expected to grow at an 8.58% Compound Annual Growth Rate (CAGR) from 2025 to 2035, which is a strong foundation for this pivot.

Millennial and Gen Z populations, comprising a significant portion of the workforce, prefer intuitive, advanced digital interfaces.

The generational change in the workforce directly impacts the demand for sophisticated, digital-first interfaces. Millennials and Gen Z are digital natives; they expect technology to be seamless and responsive. In the U.S. workforce, Millennials and Gen Z combined already represent approximately 54% of the labor force as of the second quarter of 2024. This number will only grow, with these two generations projected to comprise 74% of the global workforce by 2030.

This massive cohort is more likely to welcome novel tech tools like gesture-based user interface controls, which is a core capability of Neonode's technology. Their preference is for advanced digital experiences, and companies that fail to meet these high tech expectations face higher attrition risk. This generational preference for intuitive, advanced digital experiences-especially those that go beyond a simple tap-is a key driver for the adoption of Neonode's advanced optical sensing solutions in new product designs.

Declining demand in legacy markets like printer and passenger car touch applications is forcing a market pivot.

While the opportunities in touchless and in-cabin monitoring are huge, the company is still navigating a significant headwind from its traditional revenue streams. The decline in legacy business is a stark reality that necessitates the full market pivot. For the three months ended June 30, 2025, Neonode reported total revenues from continuing operations of only $0.6 million, a sharp decrease of 25.2% compared to the same period in the prior year.

The core of the problem is the legacy licensing business. License revenues for Q2 2025 fell to just $0.4 million, a 34.2% year-over-year decrease. This drop is directly attributed to the lower demand for legacy customers' products, specifically within the printer and older passenger car touch applications. The old revenue engine is sputtering, so the company must execute flawlessly on its new market strategy.

Financial Metric (Q2 2025)	Amount	Year-over-Year Change	Social Factor Impact
Revenues from Continuing Operations	$0.6 million	Decrease of 25.2%	Reflects impact of declining legacy market demand (Social Shift)
License Revenues	$0.4 million	Decrease of 34.2%	Directly tied to lower demand in printer/old car touch applications (Legacy Market Decline)
Driver Monitoring Systems Market Size	$1.9 billion	8.6% CAGR (2024-2025 projection)	Represents the primary new growth opportunity (Road Safety Concern)

Increasing focus on driver and in-cabin monitoring addresses societal concerns over road safety and driver distraction.

The societal cost of road accidents is immense-an estimated 1.3 million people lose their lives each year globally due to road traffic crashes. This tragic figure, largely driven by driver fatigue and distraction, has spurred regulatory and consumer demand for advanced safety features. This is where Neonode's MultiSensing® technology, which can power Driver Monitoring Systems (DMS), steps in as a critical social solution.

The DMS market size is projected to grow from $1.75 billion in 2024 to $1.9 billion in 2025, representing a solid 8.6% CAGR. The technology is already seeing significant adoption in passenger vehicles. In 2023, approximately 30% of new passenger vehicles in the U.S. were equipped with DMS. Neonode is well-positioned here, as its technology is being integrated into multimodal HMI platforms for automotive Original Equipment Manufacturers (OEMs), combining contactless touch and gesture sensing with user recognition for in-cabin systems. This focus directly addresses the social need for safer roads and less distracted driving.

• Road safety concerns drive DMS market growth.
• DMS market size hits $1.9 billion in 2025.
• New vehicles must meet higher safety expectations.

Neonode Inc. (NEON) - PESTLE Analysis: Technological factors

Strategic pivot to the MultiSensing® platform, focusing on AI-driven, fully synthetic HMI and computer vision solutions.

The core technological shift for Neonode Inc. is the strategic pivot away from its older hardware-centric model toward a software-first approach centered on the MultiSensing® platform. This proprietary technology is a sophisticated computer vision solution built on advanced Artificial Intelligence (AI) and machine learning. The key differentiator here is the use of a fully synthetic data factory to train the neural networks, which gives Neonode absolute control over the training data and enhances the accuracy for complex tasks like Driver and In-Cabin Monitoring Systems (DMS).

This move is a direct response to the market's demand for high-margin, scalable, licensable software solutions. The MultiSensing platform is designed according to rigorous automotive ASPICE software practices, making it robust and easy to integrate into embedded automotive platforms. The focus is on licensing the software, which is a much more capital-efficient model than hardware manufacturing.

Here's the quick math on the transition: while the new platform is in the deployment phase, revenues from continuing operations for the nine months ended September 30, 2025, were $1.5 million, a 37.1% decline compared to the prior year, highlighting the revenue lag as the legacy business shrinks before the new contracts ramp up. That's a defintely painful transition, but it's a necessary one for long-term survival.

The older zForce® platform is being transitioned to maintenance mode due to a narrowed addressable market.

The older zForce® optical sensing platform, which has historically driven the company's revenue in markets like printer and automotive infotainment touch applications, is now considered a legacy business. Neonode made a clear strategic decision in the third quarter of 2025 to transition the zForce platform into maintenance mode.

This decision was driven by market dynamics that have significantly narrowed the addressable market for the solution. We see this impact clearly in the Q3 2025 financial results: license revenues were $0.4 million, representing a sharp 44.5% decrease compared to the same period in the prior year. The company will continue to serve existing customers through the remainder of the zForce product lifecycle, but all new growth efforts are aligned with MultiSensing. The market is just moving too fast for the old technology to keep pace.

Rapid growth in Advanced Driver-Assistance Systems (ADAS) and autonomous vehicle technology relies heavily on advanced optical sensing.

The automotive sector is the primary target for the MultiSensing platform, and the market opportunity is enormous. Advanced Driver-Assistance Systems (ADAS) and autonomous driving require highly reliable sensor data for real-time decision-making, which is where advanced optical sensing, computer vision, and AI-driven monitoring come in.

The global ADAS Sensors Market is estimated to be valued at $36.07 billion in 2025 and is projected to reach $78.6 billion by 2035, growing at a Compound Annual Growth Rate (CAGR) of 8.1%. Specifically, the Automotive LiDAR Sensor market, which is a key component of this ecosystem, is projected to grow from $1.28 billion in 2025. This massive, high-growth environment validates Neonode's focus on its MultiSensing Driver Monitoring System (DMS) software.

The table below summarizes the key market sizes that Neonode is aiming to penetrate with its new technology:

Market Segment	Estimated Market Size (2025)	Projected CAGR (2025-2035)	Relevance to Neonode
ADAS Sensors Market	$36.07 billion	8.1%	Direct target for MultiSensing DMS/OMS.
Automotive LiDAR Sensor Market	$1.28 billion	50.4% (to 2032)	Indicates high growth in core optical sensing for autonomy.
Smart Sensor Market (Overall)	$77.1 billion - $88.6 billion	17.7% - 19.2%	Broader market validating the shift to intelligent sensing.

Miniaturization and integration of smart sensors are key industry trends for use in portable and embedded devices.

Beyond automotive, the broader trend of miniaturization and integration in the smart sensor market presents a significant long-term opportunity, particularly for a licensing model. The global Smart Sensor Market is projected to be valued at approximately $77.1 billion in 2025. This growth is fueled by the proliferation of Internet of Things (IoT) devices, which are projected to exceed 30 billion connected devices by 2025.

The demand for smaller, more power-efficient sensors for embedded systems is driving innovation. Miniaturized Electronics Market, which includes components like microchips and sensors, is projected to grow at a CAGR of 9.2% from 2025 to 2032. The consumer electronics segment accounted for 28% of the optical sensors market in 2024, highlighting the massive volume potential in:

• Wearable health monitors and fitness trackers.
• Smart home systems for security and energy management.
• Smart furniture and interactive displays.

Micro-Electro-Mechanical Systems (MEMS) technology, which enables this compact form factor, held the largest share at around 58% in the smart sensor market in 2025. Neonode's MultiSensing platform, with its software-based, hardware-agnostic design, is well-positioned to license its technology into these diverse, miniaturized embedded devices without the burden of manufacturing the physical sensor hardware itself. This flexibility is a huge competitive advantage.

Neonode Inc. (NEON) - PESTLE Analysis: Legal factors

The legal landscape for Neonode Inc. is currently dominated by high-stakes Intellectual Property (IP) monetization efforts, which create both significant financial opportunity and material risk. The company's immediate financial position was strengthened by a recent patent settlement, but the resumption of major litigation against a tech giant means legal costs and potential future gains are now back on the table.

Resumption of patent litigation against Apple Inc. in September 2025 creates both risk and potential for future legal gains.

You need to be aware that the legal battle against Apple Inc. is now active again. On September 15, 2025, the United States District Court for the Northern District of California granted a joint motion to lift the stay in the patent infringement case involving patents previously assigned by Neonode to Aequitas Technologies LLC. This resumption means the legal proceedings will move forward, creating a significant binary event for the company's valuation.

A successful outcome, whether through a settlement or a court victory, could yield substantial revenue, potentially exceeding the recent Samsung settlement. However, the litigation costs will also increase, drawing on the company's cash reserves as the case progresses toward a possible trial. Here's the quick math on the potential impact:

• Risk: Increased operating expenses, which were already $7.3 million for the nine months ended September 30, 2025, will now include higher legal fees.
• Opportunity: A favorable outcome could be a game-changer, but it's defintely not guaranteed, especially in patent cases.

The company secured a $15.5 million cash gain in October 2025 from a patent assignment related to a Samsung settlement.

The good news is that Neonode has already monetized one major patent dispute. The company received a cash gain of $15.5 million in October 2025 from a patent assignment related to a settlement involving Samsung Electronics Co. Ltd. This amount is the net proceeds after deducting a brokerage fee and other estimated expenses, which is a clear, non-operational financial boost. This cash infusion significantly improved the balance sheet.

To put this in perspective, this single legal event generated over ten times the company's total revenues from continuing operations of $1.5 million for the nine months ended September 30, 2025. This highlights that patent monetization, not product sales, is currently the most material financial driver.

Financial Impact of Samsung Settlement (2025 FY)	Amount (USD)	Context
Gross Proceeds Range (Anticipated)	$15,000,000 to $20,000,000	Neonode's 50% share of net proceeds from Aequitas settlement.
Net Cash Gain (Received October 2025)	$15,500,000	Final gain from patent assignment after brokerage fee.
Total Revenue (9 Months Ended Sep 30, 2025)	$1,500,000	For comparison, the patent gain is 10.3x this figure.

Increasing global regulatory pressure requires compliance with data protection (like GDPR) and cybersecurity standards for connected HMI systems.

As Neonode shifts its focus to MultiSensing® AI computer vision for in-cabin monitoring and other connected Human-Machine Interface (HMI) systems, global regulatory compliance becomes a critical, non-negotiable factor. These systems often handle sensitive user data, especially in the automotive sector, which is under intense scrutiny.

The core challenge is navigating a patchwork of global data privacy and cybersecurity laws. For any product sold in Europe, compliance with the General Data Protection Regulation (GDPR) is mandatory, requiring strict protocols for processing personal data. Also, the EU Cyber Resilience Act (CRA), with enforcement rolling out by 2025, sets new security standards for digital products and Internet of Things (IoT) devices, which directly impacts the design and vulnerability management of connected HMI solutions.

In the US, while the California Consumer Privacy Act (CCPA) sets a high bar for state-level privacy, the National Institute of Standards and Technology's (NIST) Cybersecurity Framework provides the best practice guidelines for securing digital infrastructure that customers will expect.

Intellectual property (IP) is a core asset, with the company holding more than 100 patents worldwide.

Neonode's fundamental value proposition is built on its Intellectual Property. The company holds more than 100 patents worldwide, protecting its core optical sensing and MultiSensing® technologies. This portfolio is the engine for the company's licensing model and its patent monetization strategy, as evidenced by the Samsung settlement.

Maintaining and defending this patent portfolio is a continuous, high-cost legal activity. The strategic decision to assign patents to Aequitas Technologies LLC allows Neonode to pursue high-value litigation against large tech companies like Apple Inc. without bearing 100% of the legal risk and cost upfront. This model treats IP as a financial asset to be actively managed and monetized, not just a defensive shield.

Neonode Inc. (NEON) - PESTLE Analysis: Environmental factors

Optical sensor technology is a key enabler for energy-saving applications like intelligent lighting controls in smart cities.

The environmental opportunity for Neonode Inc. is immediately apparent in the global push for energy efficiency, especially in urban environments. Your optical sensor technology, like the zForce platform, is a direct fit for intelligent lighting controls, which represent a massive, growing market.

This is a high-margin opportunity that directly addresses a macro-environmental need for energy conservation. The global intelligent lighting controls market is valued at an estimated $16.54 billion in 2025. Sensors, the component segment where Neonode operates, are expected to contribute the highest share of 45.9% to this market in 2025. The primary application driving this growth is Smart Cities, which accounts for 42.8% of the application share in 2025. This is a defintely a segment where you need to focus your licensing efforts.

Market Segment	Estimated Value (2025 FY)	Growth Driver
Global Intelligent Lighting Controls Market	$16.54 billion	Energy savings, Smart City initiatives
Sensors Share of Lighting Market	45.9% of total market	Ability to recognize and interpret environments (occupancy, daylight)
Optical Sensor Market (Overall)	$29.2 billion	Automation, ADAS, real-time sensing

The manufacturing sector's increasing focus on ESG requires suppliers like Neonode to demonstrate sustainable production practices.

The environmental component of ESG (Environmental, Social, and Governance) is no longer a soft requirement; it's a hard procurement hurdle. Large manufacturing customers, especially those subject to frameworks like the EU's Corporate Sustainability Reporting Directive (CSRD), are now mandated to track and report their Scope 3 emissions-the emissions in their supply chain. This means your customers, particularly in the automotive and electronics sectors, will be demanding verifiable ESG data from you as a supplier.

Your business model, which is shifting to a licensing-focused approach, gives you a structural advantage here. Licensing technology, rather than manufacturing high volumes of hardware, inherently reduces your direct (Scope 1 and 2) environmental footprint. However, you still need to address the environmental impact of your own operations and the components you source for your remaining hardware business.

• Provide clear carbon accounting for your operations.
• Show year-on-year progress on resource efficiency and waste reduction.
• Align with international standards like ISO 14001 for environmental management.

Their technology can be a component in real-time environmental sensing and monitoring systems for air and water quality.

While your core focus is on Human-Machine Interface (HMI) and in-cabin monitoring, the underlying optical sensing capabilities of zForce and MultiSensing open a strategic adjacent market in environmental monitoring. The core technology-using infrared light and computer vision for precise object detection, proximity, and analysis-is transferable.

Real-time environmental sensing is a critical need for smart cities, industrial compliance, and public health. Your technology's ability to operate robustly in harsh environments and calibrate to ambient light makes it viable for outdoor or industrial deployment. This is an R&D-driven opportunity, not a current revenue stream, but it offers a path to diversify away from the declining legacy business, which saw revenues from continuing operations drop to $1.5 million for the nine months ended September 30, 2025.

The need for energy-efficient components is rising, especially for battery-powered devices in the automotive and IoT sectors.

The shift to battery-powered devices, particularly electric vehicles (EVs) and complex Internet of Things (IoT) systems, makes power consumption a critical design constraint. Your low-power optical sensing technology is a strong competitive differentiator in this environment.

In the automotive sector, where you are already focused with MultiSensing for Driver and In-cabin Monitoring Systems (DMS), every milliwatt counts. The automotive industry is expected to capture a 10.2% revenue share of the overall $29.2 billion optical sensor market in 2025, driven by ADAS (Advanced Driver Assistance Systems) and autonomous features. Your technology's low-power profile supports extended battery life and reduces the thermal load in these complex systems, which is a key selling point for OEMs. You're already delivering to a commercial vehicle OEM, so this is a tangible growth vector.