Movidius's CASE STUDY

In the dynamic landscape of technological innovation, certain companies stand out not just for their products, but for their transformative impact on markets and industries. Movidius, a pioneering vision processor company headquartered in San Mateo, California, is one such entity. Established in 2006, Movidius specializes in the design of compact, high-performance, ultralow power computational imaging and vision processing chips. These aren't just another set of silicon marvels, but a confluence of cutting-edge vision technology, artificial intelligence, machine learning, and deeply integrated software ecosystems. The Movidius journey offers rich insights into how a company can transform vision processing and create far-reaching impacts across various sectors.

The Genesis of Movidius

We began as a startup with a vision—to democratize advanced vision technologies, making them easily accessible and remarkably efficient. The early days were characterized by intense R&D and a clear mandate: to create high-performance vision processors that consumed ultralow power. This mandate wasn't just a technical challenge; it was a market-driven necessity aimed at unlocking the potential of mobile and wearable devices, consumer electronics, and industrial camera applications.
In the initial years, our agile approach and lean startup methodology paid rich dividends. Within a short span, Movidius captured the attention and interest of major technology providers and Original Equipment Manufacturers (OEMs). Our lean strategy, which emphasized rapid prototyping, validated learning, and iterative product development, transformed the idea into reality.

Market Disruption Through Innovation

Movidius’s substantial impact surfaced with the advent of the Myriad 2 Vision Processing Unit (VPU). As noted by Computerworld, "The Myriad 2 VPU brought unprecedented computational ability to edge devices, taking artificial intelligence from centralized cloud systems to decentralized, real-time applications" (Computerworld, 2023). This innovation allowed devices to process complex algorithms locally without relying on constant cloud connectivity, which significantly reduced latency and improved real-time decision-making—a crucial attribute for applications such as autonomous vehicles and smart surveillance systems.
The extent of our technological leap is best captured with numbers. According to an industry report by MarketsandMarkets, devices utilizing Movidius processors demonstrated an up to 10x reduction in power consumption compared to traditional processors by 2018 (MarketsandMarkets, 2018). This efficiency didn't compromise performance; instead, it facilitated complex deep learning and neural network computations right at the device level—ushering in an era of true edge computing.

Strategic Partnerships and Industry Integration

One of the cardinal pillars driving Movidius's success has been our strategic partnerships. We recognized early on that collaborating with industry leaders would be pivotal. Our alliance with Intel marked a significant milestone, leading to our eventual acquisition by the tech giant in 2016. As Brian Krzanich, CEO of Intel, highlighted, "Movidius’s ultralow power and high-performance chips align perfectly with Intel's broader strategy of bringing AI to a broader range of devices. This acquisition is not just about technology but about catalyzing a new wave of AI-driven smart devices" (HBR, 2017).
Such synergy has enabled both accelerated development and wide-scale deployment of our technologies. By partnering with other key stakeholders such as hardware manufacturers, cloud service providers, and AI software developers, Movidius has been instrumental in driving cohesive innovation. Our collaborations with machine learning research institutions and academic entities have also bridged the gap between cutting-edge research and market-ready products.

Empowering Developers with Holistic Solutions

A pivotal aspect of our business model has been our comprehensive ecosystem approach. Recognizing that hardware alone wouldn't solve the industry's demands, we invested in a robust suite of software, development tools, and reference designs. These resources empower developers, streamline the innovation process, and significantly reduce the time-to-market for new products.
Our holistic approach encompassed everything from vision processing chips to scalable software solutions. It was designed to offer developers a frictionless experience, enabling them to deploy sophisticated vision applications swiftly. The results? A significant uptick in the adoption of our technology across sectors such as autonomous vehicles, smart homes, medical imaging, and more, making Movidius a name synonymous with state-of-the-art visual processing.

Revenue and Business Model Diversity

Sustaining growth and fostering continuous innovation necessitated a multifaceted revenue model. At Movidius, we have strategically diversified our revenue streams. Primarily, we derive significant income from the sale of our high-performance vision processors and development tools. This is further augmented by licensing our proprietary software and intellectual property. This diverse revenue model ensures a steady and scalable income flow, essential for funding ongoing R&D and staying ahead in a rapidly evolving market.
Our financial strategy enables us to invest heavily in product innovation, paving the way for cutting-edge advancements in vision processing technologies. Not only do we aim to meet the existing market demands, but we also anticipate future trends, ensuring that our solutions remain robust, reliable, and future-proof.

Continual Impact and Future Outlook

The journey of Movidius has been one of relentless pursuit of excellence and innovation. Our impact on the world of vision technology is profound, shaping industries and everyday experiences. As we forge ahead, we remain committed to pushing the envelope of what is possible. Leveraging AI and machine learning, our ultralow power vision processors will continue to enable a wide array of applications—from highly efficient smart home devices to next-generation autonomous systems.
In essence, Movidius stands as a testament to what thoughtful innovation, strategic partnerships, and a vision-driven approach can achieve. Our ability to adapt, improvise, and introduce cutting-edge products has not only propelled us to the forefront of vision processing but has also set new industry standards. Navigating through the complex landscape of technology with a clear vision and adaptable strategy, Movidius continues to redefine the realms of computational imaging, making futuristic technologies a present-day reality.
As we reflect on our journey, it becomes evident that Movidius is more than just a company; it is a catalyst for innovation, driving the next generation of intelligent, contextually aware experiences for consumers and industry professionals alike. Guided by our core values of efficiency, seamless integration, and perpetual innovation, we look forward to continually shaping the future of vision technology.