Innoviz Technologies (INVZ) Goldman Sachs 16th Annual Industrials Week summary

Technology and product differentiation

• Offers both hardware (LiDAR sensors) and software stack for autonomous driving, targeting Level 2+ to Level 4 applications.

• LiDAR solutions are proven to perform in adverse conditions, including mud, rain, and night driving.

• Provides both long-range and short-range LiDAR, enabling a one-stop shop for clients.

• Integrated solutions with both LiDAR and software enhance safety and ease of adoption for OEMs.

• Deployed on Level 3 platforms with major OEMs, demonstrating qualified, safe, and mission-critical performance.

Market trends and industry outlook

• Market research predicts 6–7 million LiDARs sold annually by 2030, doubling by 2035.

• Level 3 solutions are available today, with significant volume ramp expected from 2026, especially with clients like Volkswagen.

• Level 4 adoption is expected to grow in public transport, robotaxis, and trucking, also ramping from 2026.

• Regulatory changes, such as U.S. requirements for emergency braking at night, are driving LiDAR adoption.

• U.S. and European markets are accelerating due to regulatory and geopolitical factors, including restrictions on Chinese LiDAR.

Revenue model and financial outlook

• Revenue sources include NREs, high-ASP samples, software, and production units.

• Most current and near-term revenue comes from NREs and services during development phases.

• Mass production and higher software revenues are expected to begin in 2026.

• Gross margins are improving, with expectations to turn positive as production scales.

• Cash burn has decreased, with liquidity at $88 million and further strategic financing options available.