Lumentum Holdings Inc. · NASDAQ:LITE

Lumentum — Merger or Acquisition (October 2023)

14 slides from Lumentum's merger presentation, Oct 30, 2023

  1. Slide 1: Lumentum to Acquire Cloud Light to Accelerate Data Center Speed and Scalability

    Lumentum to Acquire Cloud Light to Accelerate Data Center Speed and Scalability October 30, 2023

  2. Slide 2: Cautionary Note Regarding Forward Looking Statements

    Cautionary Note Regarding Forward Looking Statements This communication contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements generally relate to

  3. Slide 3: Call Participants

    Call Participants Alan Lowe Wajid Ali Chris Coldren President and Executive Vice Senior Vice President, Chief Chief Executive Officer President and Strategy and Corporate Chief Financial Officer Development Officer © 2023 Lumentum Operations LLC 3 © 2023 Lumentum Operations LLC | 3

  4. Slide 4: Compelling Strategic and Financial Benefits

    Compelling Strategic and Financial Benefits Capture AI inflection Better equipped to Better partner to cloud Amplifies edge and with expanded address future and AI infrastructure metro networking intra-data center customer roadmaps customers opportunity opportunity ▪ >5x expansion in ▪ Chip-scale ph

  5. Slide 5: AI Models Driving Major Inflection in Compute Workloads

    AI Models Driving Major Inflection in Compute Workloads PETAFLOP/S-DAYS 1E+06 AlphaGoZero 1E+04 Neural Machine Neural Architecture Search 1E+02 Translation T17 Dota 1v1 VGG Xception 1E+00 DeepSpeech2 Seq2Seq ResNets AlexNet 1E-02 AI workloads GoogleNet Dropout Deep Belief Nets and 1E-04 layer-wise p

  6. Slide 6: 5 to 10x Increase Needed in Network Bandwidth

    5 to 10x Increase Needed in Network Bandwidth Conventional Data Center AI Cluster Data Center Hosts … … Rack (Accelerators, GPUs) Rack 5 to 10x Data Center More Data Center Network TOR Panel Switch Optical Network Network Optical Network Bandwidth Rack Interconnects Shelf Shelf … … Optics enable hig

  7. Slide 7: Demand for High-Speed Transceivers Rising Rapidly

    Demand for High-Speed Transceivers Rising Rapidly Intra-Data Center Transceiver Unit Forecast [Mu] 50 1.6T: ~5Mu in 2028 40 800G: Optical network needs 30 ~26Mu in 2028 to keep pace with 20 deployment of AI compute 10 400G: ~17Mu in 2028 0 2023 2024 2025 2026 2027 2028 CALENDAR YEAR Source: LightCou

  8. Slide 8: Intra-Data Center Transceiver Opportunity to Grow >30% CAGR

    Intra-Data Center Transceiver Opportunity to Grow >30% CAGR Intra-Data Center Transceiver Served Opportunity Laser Transmitter IC: 10-20% of Transceiver $12B Revenue Opportunity 400G/800G/1.6T Active Optical Cables $10B 400G/800G/1.6T $5.3B Transceivers >30% $2.4B CAGR ≤ 200G Transceivers Transceive

  9. Slide 9: Offering Advanced Transceivers at High Manufacturing Scale

    Offering Advanced Transceivers at High Manufacturing Scale Cloud Light Transceiver Revenue Mix Cloud Light Manufacturing Expertise <400G 100% Products 80% 37% >50% 800G Products 60% OPTOELECTRONICS PACKAGING OPTOELECTRONICS ASSEMBLY 40% 400G 20% Products 0% Last Twelve Months Sept Quarter 2023 (Oct

  10. Slide 10: Lumentum Becomes Data Center Supplier of Choice

    Lumentum Becomes Data Center Supplier of Choice Inside the Data Center Outside the Data Center Connectivity for Switching/Provisioning Long-Reach High-Speed Ethernet Intra-Data Center of Increasingly Data Center and InfiniBand Switching Dense Traffic Interconnect Applications Emerging: Optical Circu

  11. Slide 11: Addressing Global Cloud Customer Needs in an AI Inflection

    Addressing Global Cloud Customer Needs in an AI Inflection Highest-speed ICs, transceivers, and AOCs for InfiniBand & Ethernet applications Security of supply through global manufacturing and component vertical integration Track record of being first-to-market with technology roadmap innovation High

  12. Slide 12: Addition of Cloud Light Boosts Market Opportunity and Growth

    Addition of Cloud Light Boosts Market Opportunity and Growth Expansion in Lumentum’s cloud intra-data center opportunity Growth in intra-data center transceiver opportunity, driven by AI/ML Opportunity for high-speed optical modules in data centers (2028) Lumentum’s intra-data center revenue in 12-m

  13. Slide 13: Transaction Overview

    Transaction Overview Strategic ▪ Squarely positioned for the AI-driven inflection in 800G+ optical modules and AOCs Rationale ▪ Commitment to long-term technology partnerships with leading data center customers ▪ Approximately $750 million consideration, subject to customary adjustments Transaction

  14. Slide 14: Thank You

    Thank You 14 © 2023 Lumentum Operations LLC 14

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