Digimarc is a software company that uses digital watermarking technology — imperceptible marks embedded in physical or digital media that carry encoded information readable by scanners or software — to help businesses verify authenticity, prevent counterfeiting, and protect digital content. Digimarc's three commercial focus areas are retail loss prevention (primarily gift card fraud prevention and PLU fraud), product authentication (anti-counterfeiting solutions for pharmaceutical, tobacco, and CPG companies), and digital trust and integrity (leak detection, piracy prevention, and content provenance, a category that has seen growing demand from AI-related use cases). Underpinning all of these commercial solutions is a long-standing contract with a consortium of the world's central banks, for whom Digimarc has spent nearly 30 years developing a currency counterfeiting deterrence system; this contract runs through December 2029 and represented 41% of FY25 revenue. Digimarc generates revenue through subscriptions (~60% of revenue), which carry gross margins around 86-90%, and services (~40%), which are primarily driven by the Central Banks contract at mid-50% margins. Digimarc sells through direct and indirect channels, including partnerships with gift card manufacturers, network companies like Blackhawk and InComm, and scanner manufacturers like Honeywell and Zebra. Near-term growth is expected to be driven by gift card adoption, with eight North American retailers advancing rollout plans, as well as anti-counterfeiting upsells and digital trust pipeline expansion.