NVIDIA 2015 Annual Report Download - page 108

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(B) In fiscal year 2011, we entered into a six-year cross licensing agreement with Intel and also mutually agreed to settle
all outstanding legal disputes. We valued the settlement portion at $57.0 million, which was recorded within income
from operations in fiscal year 2011.
(C) On November 8, 2012, we initiated a quarterly dividend payment of 7.5 cents per share, or 30 cents on an annual basis.
On November 7, 2013, we increased the quarterly cash dividend to 8.5 cents per share, or 34 cents on an annual basis.
(D) On December 2, 2013, we issued $1.5 billion aggregate principal amount of 1.00% Convertible Senior Notes due 2018.
(E) On June 10, 2011, we completed the acquisition of Icera, Inc. for total cash consideration of $352.2 million, and recorded
goodwill of $271.2 million.
ITEM 7. MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF
OPERATIONS
The following discussion and analysis of our financial condition and results of operations should be read in conjunction
with “Item 1A. Risk Factors”, “Item 6. Selected Financial Data”, our Consolidated Financial Statements and related Notes
thereto, as well as other cautionary statements and risks described elsewhere in this Annual Report on Form 10-K, before
deciding to purchase, hold or sell shares of our common stock.
Overview
Our Company and Our Businesses
NVIDIA is dedicated to advancing visual computing, enabling individuals to interact with digital ideas, data and
entertainment with an ease and efficiency unmatched by any other communication medium.
Our business model has three elements: creating NVIDIA-branded products and services, offering our processors to
original equipment manufacturers, or OEMs, and licensing our intellectual property. NVIDIA-branded products and services
are visual computing platforms that address four large markets: Gaming, Enterprise, High Performance Computing & Cloud,
and Automotive.
Our two business segments - GPU and Tegra Processor - are based on a single underlying graphics architecture. In
addition to the two reporting segments, the “All Other” category primarily includes licensing revenue from our patent cross
licensing agreement with Intel, which we expect to recognize through March 2017.
GPUs, the engines of visual computing, are among the world's most complex processors. Our GPU product brands
aimed at specialized markets include GeForce for gamers; Quadro for designers; Tesla for researchers, deep learning and
big-data analysts; and GRID for cloud-based visual computing users.
We also integrate our GPUs into tiny mobile chips called system-on-a-chip (SOC) processors, which power tablets,
and automotive infotainment and safety systems. Our Tegra brand integrates an entire computer onto a single chip,
incorporating GPUs and multi-core CPUs with audio, video and input/output capabilities. They can also be integrated with
baseband processors to add voice and data communication. Tegra conserves power while delivering state-of-the-art graphics
and multimedia processing.
Headquartered in Santa Clara, California, NVIDIA was incorporated in California in April 1993 and reincorporated in
Delaware in April 1998.