Dolby Laboratories (DLB) 2026 Baird Global Consumer, Technology & Services Conference summary

Business model and ecosystem

• Operates as a global trusted standard embedded in billions of devices, with a deep technology moat in perceptual science for sight and sound.

• Monetizes primarily through licensing to OEMs for TVs, mobile phones, PCs, and automotive, enabling playback of Dolby Atmos and Dolby Vision experiences.

• Licensing revenue is split between foundational technologies (now ~20% of licensing, low single-digit growth) and faster-growing Dolby Atmos, Vision, and imaging patents (~15% growth, driven by device penetration).

End market trends and expansion

• Broadcast TVs remain the largest market, with stable unit shipments; mobile is second, with a focus on expanding Dolby Atmos and Vision penetration, especially in Android and China.

• Automotive is a growing segment, with Dolby Atmos and Vision being adopted by major OEMs globally, starting at premium models and expanding to broader lineups.

• Dolby Vision 2 enables high-quality experiences on lower-end TVs, with differentiation maintained at the high end via Dolby Vision 2 Max; new TVs with this tech launch at year-end.

Partnerships and ecosystem durability

• Streaming partners like Peacock are early adopters of Dolby Vision 2, especially for live sports, with more partners in the pipeline.

• Meta (Facebook, Instagram) and Douyin have adopted Dolby Vision, driven by improved user engagement and consistent viewing experiences, encouraging further OEM adoption.

• Social and streaming platform adoption is expected to drive broader OEM integration, with ongoing engagement across the industry.