 Immersion Corporation NASDAQ: IMMR is a small-cap stock most investors have never heard of. With over 3,500 patents and a presence in more than 3 billion devices, chances are investors have experienced the companys leading haptic technology. The company is in the spotlight in 2020 as its a component maker for the upcoming Playstation 5.What To Know: Sony Corp NYSE: SNE signed a licensing deal for Immersions haptic technology to use in gaming and VR controllers. The Playstation 5 controller will feature Immersions haptic technology.Gaming companies have already cited how the haptic technology, which allows gamers to feel weapons and terrain, expands the gaming experience.During its first-quarter earnings call, Immersion talked growth with the anticipated launch later this year of the Playstation 5 console leveraging Sonys license of Immersions haptic technology.We believe Sonys new controller will catalyze increased market demand for advanced interactive haptic experiences and this may lead to additional opportunities for Immersion in the future, the company said during its conference call.Why Its Important: The Sony controller has received positive press coverage and shows that companies may need to license or pay up to Immersion to help their products stand out.Sony has been ramping up demand for the Playstation 5, with an expected 9-10 million devices planned to ship in 2020. This is an increase from the prior planned 6 million and represents a great sign since it took the company eight months to ship 10 million Playstation 4s to retailers.Whats Next: Aside from gaming, Immersion is also tackling huge addressable markets in automotive, PC, mobile devices and adult toys. Immersion is working on switching its focus from litigation and licensing deals to more of a recurring revenue model.Immersion shares are down nearly 50 over the last five years. A new focus on recurring revenue and less patent litigation could help with financials. Cost-cutting measures are believed to make the company profitable by the end of the fiscal year.See more from Benzinga 7 Common Misconceptions About Cannabis What You Should Know About CBD Hand Sanitizer The Week Ahead In Biotech: Spotlight On GW Pharma, Ultragenyx FDA Decisions, Pfizer EarningsC 2020 Benzinga.com. Benzinga does not provide investment advice. All rights reserved. 