Sorry if it's not clear. Just trying to grasp the situation.

POET Operations Update

April 4th, 2016

• POET demonstrates resonant cavity detector performance exceeding best-in-class
• Process Transfer to 6-inch Production Fab successfully validated on multiple runs

... POET intends to commercialize its integrated resonant cavity detector as its first product and demonstrate this prototype by the end of 2016. ...

... The POET team continues to make significant progress in the lab-to-fab transition, achieving a key milestone in successfully validating POET’s process technology transfer to its high volume production foundry supplier. Multiple 6-inch wafer lots of VCSELs and transistors were also processed at the foundry. Testing and characterization of these devices is underway and POET expects to require further development cycles through additional wafer processing to fully achieve the true potential for these integrated opto-electronic devices. Announcements will be forthcoming on the performance of these devices, over the next months, as development progresses. ...

POET-Technologies-Corporate-Overview.pdf

Q1’2016 Functional VCSEL, Detectors, NFETs at Foundry Partner

Establish manufacturing capability and process flow capable of building 25GHz FETs and 10GHz VCSELs and Detectors

Q2’2016 Functional Transmit and Receive Components

Demonstrate integrate Transmit and Receive Functions – integrated flow with FETs, VCSELs and Detectors

Q3’2016 Tape out first Transceiver Prototype

First pass design for 10Gbps and 25Gbps Transceivers

Q4’2016 First integrated Transceiver Prototypes

First demonstration of integrated transceivers at 10Gbps – enables start of customer validation

AUDIO TRANSCRIPT: POET TECHNOLOGIES OPERATIONAL UPDATE 2015-09-30

DR. Taylor 21:01 – And finally, a critical case of any optical transceiver link is the detector on the receiving end. We had demonstrated basic DC functionality of the POET detector this quarter with extremely encouraging sensitivities. The POET detector is unique in that it integrates transimpedance amplifier, commonly called the TIA, within the detector, thereby enabling significant system power and cost savings. Over the next quarter we will be developing and validating our large-signal modulation capabilities of both our laser and our detector. I am pleased with the progress the team has demonstrated and we are building all the proof-points necessary to provide the market with a disruption it demands. – Suresh.

AUDIO TRANSCRIPT: POET TECHNOLOGIES OPERATIONAL UPDATE 2016-02-16

Subhash Deshmukh:18:52 – In the fourth quarter of 2015, we had also planned on initial wafer starts to install our process technology in a foundry. Here, too, through multiple cycles of learning we developed, optimized and installed, on time, a multi-step fabrication flow utilizing the set of equipment and other processes available at the foundry. We had proposed the first demonstration of fully externally processed six inch wafers for both VCSELs and FET functionality in Q1 of 2016. We are on track to delivering this critical objective by the end of this quarter.

19:34 – We are also on track to demonstrate integrated 10 gigabit per second transmit and receive components that incorporate the FETs, VCSELs, and detectors by the second quarter of 2016. These milestones will allow us to provide functioning prototypes to the market in the second half of 2016, as per our plan. These advances are at the heart of our mission to deliver the next generation of transceivers and providing the performance of light at the cost of copper. With that I’ll turn it back to Suresh.

Suresh Venkatesan: 25:12 – Question: When can we expect your first product introduction? Will we see proof points soon?

25:17 – Answer: As we said on September 30th, our plan is to introduce these optical engines – what we call optical engines – they are single-chip monolithically integrated optical transceivers, and for explicit applications in short reach and very short reach data communications in the form of active optical cables, or what are called AOCs. Ahead of that, we will clearly market and sell individual components, like for example the detectors, opportunistically. Not only to drive early revenue, but also to vet our solutions in the market. We believe that the POET solution could provide an immediate margin of expansion to customers using our solutions, even in otherwise low-margin or commoditized product lines, so we are extremely bullish about our market penetration here. We are all trying to complete our first devices in the current quarter. Our next quarter remains the target for basic component-level functionality. And that’s the basis, if you will, for prototypes in the second half of the year just as Subhash mentioned earlier when we talked about our on-going milestones. It remains early in our evolution at this point to precisely define and provide a roll-out for our first product. However, we do expect this to feature our unique ability to integrate optical components along with control electronics. So we’re talking about VCSEL-based, monolithic, single-chip optical transceivers.

On plan, on the march, on target

37:32 – Suresh Venkatesan: Okay, thanks. So, hey, thanks again for all of you! I know it is after hours on the East Coast, and there several, I am sure over 100 now, of you that have dialled into this call and shown this kind of dedication to POET. We definitely look forward to meeting and talking with a number of you soon. But before I leave this call let me summarize the key points. Of course, all of this is subject to our usual cautionary statements and comments relative to forward looking information.

• First: POET is on plan. We expect to demonstrate the needed device proof points from Wavetek through the rest of the quarter.