Rambus is a company that designs chip interface technologies and architectures. The firm holds the majority of patents on chip design technologies and is widely known as a “patent troll” as it files many lawsuits against almost everybody who is involved in chip designing or has some connection to these technologies and, thus, could violate Rambus intellectual property rights. Most of Rambus’ revenues derive for licensing, and the firm continues to file for new patents. Micron Technology and Marvell Technology are among those who pay license fees to Rambus.

The company is now focused on improving data processing in data centers, which are one of the most demanded segments right now. There is little doubt that Rambus will make another revenue record in 2023 and outrun a record of $230 million cash from operations generated in 2022. The company is also set to improve its gross margin to 65% in the coming months, as a demand for semiconductors for serves is rising rapidly. Booming AI and neural networks are expected to largely contribute to such expectations. With all of the above said, Rambus shares may indeed positively surprise investors in the long term.