Slide 1: POET Technologies Inc. Investor Deck – Q4 2021
POET Technologies Inc. PTK:TSXV POETF:OTCQX Investor Deck – Q4 2021
Slide 2: Presentation Outline
Presentation Outline Photonics and Technology Overview Markets and Potentials Products and Roadmap Customer Engagement Operations, Strategy and Capital PTK: TSXV | POETF: OTCQX © POET Technologies Inc. | PUBLIC 2
Slide 3: Photonics Enables Many New Products
Photonics Enables Many New Products Photonics is the technology of generating and harnessing light Cutting-edge uses of lasers, optics, fiber-optics, and electro-optical devices in numerous and diverse fields Photonics applications and devices require the integration of electronic, photonic and opti
Slide 4: Optical Transceivers for Data Centers
Optical Transceivers for Data Centers POET is focused on a market with high potential for disruption and growth • Large Market: >$3B market growing to >$6B by 2025 Data and Tele- • High Volume: Communications Products made to known industry standards • Sales: Competition is based on performance and
Slide 5: Conventional Assembly of Transceivers Not Sustainable
Conventional Assembly of Transceivers Not Sustainable Assemble multiple components and sub-assemblies one at a time - align and optimize signal (“active alignment”) with each component and sub-assembly placement No Economies of Scale - linear (1 to 1) relationship between unit output and capital inv
Slide 6: Integration and Wafer Scale Production
Integration and Wafer Scale Production Full integration of multiple active components with passive alignment at wafer scale using semiconductor assembly techniques Large Economies of Scale - non-linear (> 1 to 1) relationship between unit output and capital invested How POET Wins ü Simplified Packag
Slide 7: POET's Advanced Chip on Board Solution (100G)
POET’s Advanced Chip on Board Solution (100G) Conventional Chip on Board POET’s Optical Engine 18mm 9mm 7.5mm 3.5mm DML Laser Thin film on sub Filter mount Flip Chip DML Fiber Laser on coupling Interposer Integrated Collimating Isolators Lens Multiplexer Lens Substrate • Bill of materials : 30 separ
Slide 8: POET's Advanced Chip on Board Solution (400G)
POET’s Advanced Chip on Board Solution (400G) Innolight – DR4 POET – FR4 18mm 9mm 15mm Isolators and Lenses EML Lasers – actively aligned 6mm Glass blocks 400Gbps 1.6Tbps Separate ROSA Assembly Conventional solutions are un-competitive for multiplexed POET’s Interposer solutions pack a punch FR4 app
Slide 9: The only DML integration platform in the world
The only DML integration platform in the world Industry Leadership Avg ER : 4.0dB; Avg EMM – 45% • Wafer Scale Hybrid Integrated Photonics Packaging Platform • Low Loss Transmission and Coupling • DeMux and Mux monolithically integrated into Interposer • 28G/56G Flip Chip compatible CWDM and LR4 Las
Slide 10: POET Wins with Optical Interposer Platform
POET Wins with Optical Interposer Platform The benefits of POET’s Optical Interposer add up to a truly disruptive entry into large-scale photonics markets Module cost 20-40% Lower CAPEX investment for module 10X Lower assembly & test Chip-scale package 20% Lower Power Wafer-level assembly and test >
Slide 11: Presentation Outline
Presentation Outline Photonics and Technology Overview Markets and Potentials Products and Roadmap Customer Engagement Operations, Strategy and Capital PTK: TSXV | POETF: OTCQX © POET Technologies Inc. | PUBLIC 11
Slide 12: Large Market for Optical Transceivers
Large Market for Optical Transceivers Even as 400G emerges, the100/200G segments continue to be large and attractive served markets for POET Optical Transceiver Market Forecast - SALES Optical Transceiver Market Forecast - UNITS Billions of US$ Millions of Units Annually $6.5 $6.30 $5.70 2021 2026 $
Slide 13: Many Other Large Markets Need POET's Optical Interposer
Many Other Large Markets Need POET’s Optical Interposer The Global Market for Photonics* was >$576B in 2019 and growing to >$1.2T in 2030, nearly a 7% annual CAGR Communications Computing Sensing Data and Tele- Edge Artificial Medical Autonomous Communications Computing Intelligence Technology Vehic
Slide 14: POET's Tech is key to unlocking new Health Tech Apps
POET’s Tech is key to unlocking new Health Tech Apps POET’s commercial focus about to turn to wearable devices, and mobile and medical devices, representing an attractive 2025 TAM of >$48B Blood Hydration Alcohol POET’s Optical Interposer enables a Oxygen seamless integration of visible to IR spectr
Slide 15: Datacoms deployment has matured building blocks for Chip Scale Spectrometers
POET’s Datacoms deployment has matured many building blocks relevant to Chip Scale Spectrometers Multi-level Waveguide High Resolution Gratings Co-packaging of Electronics Interferometers, technology scalable from with minimal phase errors and Photonics on a Directional Couplers and VISIBLE to NIR c
Slide 16: POET to Target Medtech / Wearables Markets
POET to Target Medtech / Wearables Markets $48B+ TAM in 2025 Short Term Target Markets Large market opportunity as growing universe of healthcare monitoring devices incorporate additional sensing capabilities Wearables Smartphones Devices Blood pressure monitor, pulse oximeter, body temperature moni
Slide 17: >$1B Annual Sales Opportunity in Current and Target Markets
>$1B Annual Sales Opportunity in Current and Target Markets Optical BioSensing >$1 Billion Annual Transceivers 5G Co-Packaged Computing Watches and LIDAR Revenue Potential for Datacom Networks Optics and Edge Mobile Applications Devices Market Size SAM $2-3.5B annually $3-5B $2-3B $3-5B $30B $1-3B a
Slide 18: Presentation Outline
Presentation Outline Photonics and Technology Overview Markets and Potentials Products and Roadmap Customer Engagement Operations, Strategy and Capital PTK: TSXV | POETF: OTCQX © POET Technologies Inc. | PUBLIC 18
Slide 19: 100G/200G CWDM Optical Engine
100G/ 200G CWDM Optical Engine 6mm DML Laser Bank Pre Laser Attach Post Laser Attach DeMux Mux 9mm Monitor Photo Diodes • POET’s DML-compatible Optical Interposer Platform produces complete single chip optical engines that can be assembled PASSIVELY and at WAFER SCALE • Platform is flexible for both
Slide 20: POET's Platform Enables Rapid Deployment
POET’s Platform Enables Rapid Deployment POET’s Platform technology enables the reuse of key features and tools, shortening the development process and allowing the launch of multiple products simultaneously 100G/200G FR4 PRODUCTS 100G LR4 PRODUCTS With the only integration platform in the world for
Slide 21: Roadmap to Commercial Products
Roadmap to Commercial Products Alpha Beta Production 100G CWDM Solutions 2H 1H 2H TX, RX, TXRX 21 22 22 100G LR4 Solutions 1H 2H TX, TXRX 22 22 200G CWDM and LR4 2H 1H 2H Solutions 21 22 22 400G Solutions 1H 2H 1H DR1, DR4, FR4 22 22 23 Si Photonics Modulator Custom Light Bar 1H 2H 1H Solutions* 22
Slide 22: Presentation Outline
Presentation Outline Photonics and Technology Overview Markets and Potentials Products and Roadmap Customer Engagement Operations, Strategy and Capital PTK: TSXV | POETF: OTCQX © POET Technologies Inc. | PUBLIC 22
Slide 23: Customer Wins Starting NOW
Customer Wins Starting NOW TORONTO, Ontario, POET Technologies Announces Design Win and Purchase October 5, 2021 Order from Leading Systems Company POET Technologies Launches Its Products and Optical TORONTO, Ontario and Interposer Platform in China to Critical Acclaim SHENZHEN, China, Live Product
Slide 24: POET Enters China Market to High Acclaim!
POET Enters China Market to High Acclaim! 6 Product Demonstrations 60 C-Suite and Exec Staff 20 Leading Optics Companies 2 Committed Customers >10 Sample Backlog >2 Strategic Discussions PTK: TSXV | POETF: OTCQX © POET Technologies Inc. | PUBLIC 24
Slide 25: Engaged with Leading Companies
Engaged with Leading Companies Customer Traction at Leading Module and System Companies Illustrative Pipeline of Customers Targeted >35 Active Discussion >20 Requested Samples >10 6 Finalizing Project Plan Committed 4 PTK: TSXV | POETF: OTCQX © POET Technologies Inc. | PUBLIC 25
Slide 26: Presentation Outline
Presentation Outline Photonics and Technology Overview Markets and Potentials Products and Roadmap Customer Engagement Operations, Strategy and Capital PTK: TSXV | POETF: OTCQX © POET Technologies Inc. | PUBLIC 26
Slide 27: World Class Management Team
World Class Management Team Executive Team Dr. Suresh Venkatesan Vivek Rajgarhia Thomas Mika CEO and Chairman President & General Manager Exec. Vice President & CFO • SVP Technology at GlobalFoundries • SVP and GM, MACOM • Chairman, Rennova Health • Various Senior roles at Motorola & • CEO and Co-Fo
Slide 28: Global Development and Manufacturing
Global Development and Manufacturing SZHENZHEN, CHINA Applications Engineering TORONTO, CANADA Corporate Headquarters XIAMEN CHINA Joint Venture ALLENTOWN, USA Assembly, Test, Optical Engine Sales Product KULIM, MALAYSIA Development Silterra SINGAPORE Interposer Interposer Manufacturing Development
Slide 29: Asset and Capex Lite Manufacturing Strategy
Asset and Capex Lite Manufacturing Strategy POET Owned Processes and Design including Consigned Equipment High-Volume Wafer Foundry (Silterra) High-Volume III-V Semiconductor Foundry (SAIC) Optical Interposer III-V Semiconductor Active Fabrication Optics ü 30 K+ wafers per month ü Largest III-V Comp
Slide 30: Range of Forecasted Revenue for SPX
Range of Forecasted Revenue for SPX POET successfully competes in existing large segments (100/200G) of the optical transceiver market and in emerging segments like 400G Optical Transceiver Market Forecast - SALES Forecasted Revenue for 100/200/400G* Billions of US$ Millions of US$ $6.5 $6.30 $5.70
Slide 31: POET Capital Structure
POET Capital Structure Cash at 11/03/21:~US$23.8M; Cash Burn of ~$1M/month Five-year Warrants Expired on Nov. 2, 2021: Strike Price C$0.52 (US$0.39) – 97% Exercised Outstanding Warrants include 11.8M (C$0.50) and 18.7M (C$1.15) Expire Feb – Sept 2023 Capital Structure Value of Warrants & Options 9%
Slide 32: Why Invest in POET Now?
Technology proven out by leading companies First rate management team with public company track records Disruptive technology applying to large and known markets with huge potential Why Invest in Just entering New Product Introduction / Commercialization POET Now? stage (revenue ramp in 2022) Not wi
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Slide 34: Overall Business Strategy
Overall Business Strategy Support SPX as an independent company to drive growth in optical transceivers and deliver maximum 1 cash flow to partners Continue to engage with industry leaders and incumbents to design, develop and sell devices 2 based on the Optical Interposer Exploit “localization” imp
Slide 35: POET Technologies at a Glance
POET Technologies at a Glance POET Technologies has developed a unique hybrid photonics packaging platform targeting Optical Interposer Platform applications in high-speed data communications for the large Datacom / Telecom markets Superior Cost and Built on its highly disruptive Optical Interposer
Slide 36: POET's Technology Solution
POET’s Technology Solution Adding Novel, Patented Waveguide Layers on a Conventional Semiconductor Wafer Enables the Integration of Electronic and Photonic Components at Wafer-Scale Electrical • Typical electrical interposer with high-speed electrical Interposer connections among devices has been co
Slide 37: JV Adds World-Class Manufacturing and Scale
JV Adds World-Class Manufacturing and Scale Super Photonics Xiamen – POET and Sanan IC Joint Venture (JV) Virtual vertical integration of manufacturing for Optical Engines Ability to rapidly scale production to thousands of devices per month Sanan IC | Xiamen Sanan Integrated Circuit Co., Ltd. • Xia