Poet Technologies Inc. · NASDAQ:POET
Poet Technologies — Investor Presentation (August 2022)
25 slides from Poet Technologies's investor presentation, August 2022
Slide 1: POET Technologies Inc. Investor Presentation August 2022
POET Technologies Inc. POET: NASDAQ | PTK: TSXV Investor Presentation August 2022 © POET Technologies Inc. | POET: NASDAQ | TSXV: PTK.V | PUBLIC © POET Technologies Inc. | POET: NASDAQ | PTK: TSXV | PUBLIC 1
Slide 2: Safe Harbor
Safe Harbor This presentation contains forward-looking statements and forward-looking information within the meaning of U.S. and Canadian securities laws, including but not limited to statements relating to revenue potential, growth and/or projections, as well as the expected performance of products
Slide 3: POET Technologies at a Glance
POET Technologies at a Glance 1 3 Initial Markets: Transceivers for Cloud “Semiconductorization” of Photonics Data Centers and Light Sources for AI- with a Disruptive Platform Technology ML. Wide Applicability to Other Photonics Markets (Wearables, LIDAR) 2 4 POET Optical Interposer™ Delivers Custom
Slide 4: Why Photonics is a big deal NOW
Why Photonics is a big deal NOW Largest spend for Data Centers is on Photonics • Silicon switch hardware cost decreasing FASTER than Pluggable Optics • Data Center spend on Optics 10X spend on Switch Hardware • Photonics complexity increasing with speed • Significant opportunity for differentiated p
Slide 5: Key challenges in Photonics
Key challenges in Photonics Current technologies are not scalable for applications needing 100’s of millions and billions of units per year CURRENT Millions/Year VECTOR TECHNOLOGIES POET REASON Manufacturing, test and Unit Volume ✘ ✓ packaging is fully automated Components are integrated into 100s o
Slide 6: POET Optical Interposers and Optical Engines
POET Optical Interposers and Optical Engines The first-ever chip-scale hybrid integration of electronics and photonics using wafer- level processing for fabrication, assembly, test and packaging. An Electrical Interposer POET Optical Interposer POET Optical Engine Waveguides Electrical Electrical Mu
Slide 7: Simplified Design, Improved Energy and Lower Cost
Simplified Design, Improved Energy and Lower Cost Data Communications Challenges Conventional Discrete Assembly 22.5 • Serial data communication channels have not been able to keep up with Mux ROSA the pace of bandwidth growth. DSP F A U Mux F A U Dmux • Number of communications lanes F A F A Dmux i
Slide 8: Key Benefits to Customers
Key Benefits to Customers Module cost 10-40% Lower Form Factor / Size 75%+ Smaller Chip-scale package 20% - 30% Lower Power Wafer-level assembly & test >100X More Scale CAPEX for assembly & test 10X Lower Platform technology Versatility for Multiple Applications © POET Technologies Inc. | POET: © PO
Slide 9: Key Competitive Differentiators
Key Competitive Differentiators Best in class integration of Tx and Rx: Small size, lower POET’s Optical Interposer provides a comprehensive integration power and customizable design platform relative to incumbent competing technologies Compared to other Silicon Photonic PIC vendors Wafer scale Asse
Slide 10: Strong Value Proposition at 800G and beyond
Strong Value Proposition at 800G and beyond 400G (1X400G) FR4 QSFP-DD Why 800G? DSP 1. 800G (2X400G) is an inflection point integrated on Electronic die POET interposer 400G Leverage for rapid growth in 800G by data for 400G centers. value engineering 800G (2X400G) FR4 OSFP 2. Extends the preferred
Slide 11: Optical Interposer Light Sources for High Bandwidth Communications
Optical Interposer Light Sources for High Bandwidth Communications Engaged with leading AI-ML Accelerator and Chip-Chip communication companies to provide novel light sources at lower cost and greater flexibility than conventional laser suppliers. Laser Array MPO Connector • POET’s Optical Interpose
Slide 12: Target Markets with Large SAMs
Target Markets with Large SAMs Optical Modules & Packaged Light Sources POET Revenue Drivers Billions of US$ $14.0 2022-23 • Initial Sales of Packaged Light Sources for AI-ML $11.9 • NRE Contracts and Optical Interposer Sales to SPX $12.0 $12B SAM in 2027 2024-25 $10.0 • Packaged Light Sources for A
Slide 13: Aiming at Two Key Market Inflection Points
Aiming at Two Key Market Inflection Points Two key market inflection points represent major growth opportunities, both playing to POET’s strengths and driven by customers. Millions of Units Transceiver Module Unit Forecast Millions of Units Served Market for Packaged Light Sources 16.0 12 14.0 Addit
Slide 14: Go-to-Market Plan
Go-to-Market Plan POET’s “Go-To-Market” Plan leverages its advantages in BOM Pricing as well as its lower Cost to Manufacture 800G 2xFR4: BOM Manufacturing Value Add reduction and enhanced through POET’s Interposer manufacturing STEP FUNCTION CHANGE IN Platform MANUFACTURING COST 1.6T 4xFR4: THROUGH
Slide 15: Go-to-Market Plan
Go-to-Market Plan NOW SAMPLING AND IN DEVELOPMENT - RELEASE TO PRODUCTION AND 2024-2026 SELLING TO MODULE SAMPLES IN 1H 2023 SALE IN 1H 2023 CUSTOMERS RELEASE TO PRODUCTION Driver Lasers with integrated MIM capacitors MPDs Multiplexer Electronic die integrated on Electronic die integrated on 200G/40
Slide 16: Product Roadmap
Product Roadmap Q1’22 Q2’22 Q3’22 Q4’22 Q1’23 Q2’23 Q3’23 Q4’23 100G CWDM4 Tx OE 100G/200G Rx OE 200 FR4 Tx OE POET JV 100 LR4 Tx/Rx OE 400 FR4 Rx OE 400 FR4 Tx OE Key Near-term Milestone Packaged Lightbar POET 800G (2x400G FR4) Engines & Modules Alpha Beta Release to Production © POET Technologies
Slide 17: Current Prospect to Customer Funnel
Current Prospect to Customer Funnel Illustrative Pipeline of Customers >40 Targeted >30 Active Discussion >20 Requested Samples 6 Contracted & Committed © POET Technologies Inc. | POET: © POET Technologies Inc. |NASDAQ | TSXV: POET; NASDAQ PTK.V | PTK: | PUBLIC 17 | PUBLIC TSXV 17
Slide 18: Current Active Customer Engagements
Current Active Customer Engagements Customer 3-yr Rev Potential Engagement Customer Customer Type Product Expected (cumulative) Level Production SPX POET Customer A System company 4X100G CWDM4/LR4 OEs Contracted 2H 2023 $20M - Customer B Celestial AI Packaged Light Source Contracted 2H 2023 $10M $30
Slide 19: Manufacturing: From Wafers to Optical Engines to Modules
Manufacturing : From Wafers to Optical Engines to Modules Joint Venture POET owns between POET + 48% interest and Sanan IC Optical Interposer Optical Engine Optical (CMOS Wafers) Assy/Test Modules POET And Other Module Companies Photonic Components 200mm (manufactured to POET POET proprietary fab pr
Slide 20: Growth Strategy
Growth Strategy Complete 400G TxRx optical engine development – gateway to 800G 1 (2X400G) and 1.6T pluggable modules. Enable success of initial Packaged Light Source customer and 2 drive adoption across additional customers. Drive initial growth in standard optical engines in near-term through Supe
Slide 21: Long-Term Financial Model
Long-Term Financial Model POET is positioned to achieve significant operating leverage driven from its revenue ramp Over the longer-term, POET expects to achieve 50%+ gross margins and 25%+ EBITDA margins Near-Term Mid-Term Long-Term Revenue Scenarios $20 $100 $250 ($ millions) Gross Margin % 40% 45
Slide 22: Key Metrics
Key Metrics Balance Sheet Snapshot Capitalization Snapshot Weighted Ave. US$ in Millions Exercise Price Total Cash (as of June 30, 2022) $13.8 Common Shares Outstanding 36,692,815 Cash & Equivalents $11.4 Warrants Outstanding 2,971,353 Short term Investments $2.4 Debenture Warrants 1,100,750 $3.75 B
Slide 23: Experienced Global Executive Leadership Team
Experienced Global Executive Leadership Team Dr. Jinyu Mo, SVP & GM, Asia Dr. Suresh Venkatesan, CEO and Chairman • Sr. Director and Chief Scientist, MACOM Technology Solutions • Inventor of the POET Optical Interposer • Founder/CTO, Nexwave Photonics • Principal Inventor for 18 issued patents and 2
Slide 24: Summary
SUMMARY Innovative, patented hybrid optoelectronic integration platform Widely acknowledged by industry as a leading technology for current and future opto-electronic product development Only known technology that can meet volume, size, cost and energy requirements for future photonics products in m
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