Mr. Sohail Khan reports

VIXS COMPLETES THIRD PARTY VALUATION OF ITS INTELLECTUAL PORTFOLIO

ViXS Systems Inc. has received an independent valuation of its portfolio of 510 patents and applications from Black Stone IP, LLC (BSIP). BSIP estimates a range of value between $43-million (U.S.) and $109-million (U.S.). BSIP is a boutique investment bank focused on valuing and trading intellectual property and technology assets, headquartered in San Francisco. BSIP's team includes 25 PhDs, engineers, IP lawyers and investment bankers. Together they have has executed over 100 IP-driven transactions.

The portfolio was valued using an industry-standard discounted cash flow methodology, where BSIP projected cash flows from potential licensing of intellectual property across ViXS's key technology areas. The valuation assessed a breadth of potential uses of patented technologies, the number and relative quality of patents in relevant technology groups, size of addressable markets, comparable royalty rates, and level of adoption of the technology, among other factors. The valuation range results from different assumptions around degrees of success of such a licensing program. In addition, the results were tested against per-patent values from precedent relevant patent sale transactions completed by BSIP and third party publicly available data.

"It is clear from Black Stone IP's valuation and the interest of third parties in our patents received by the company from time to time, that the ViXS portfolio has substantial monetization value based on mainstream shipping features," stated Sohail Khan, president and chief executive officer of ViXS. "In addition, the portfolio's relevance to important next-generation functions opens up the potential for higher licensing value going forward. This is an important first step in our IP monetization strategy."

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