#1SEQUANS Sequans Investor Presentation February 2020 Dr. Georges Karam, CEO#2Safe Harbor This presentation contains projections and other forward-looking statements regarding future events or our future financial performance and potential financing sources. All statements other than present and historical facts and conditions contained in this presentation, including any statements regarding expected seasonal revenue decline for the first quarter of 2021, long-term revenue goals, future results of operations and financial positions, business strategy and plans, expectations for Massive loT and Broadband and Critical loT sales, the ability to continue to operate remotely (as required) at high levels of productivity, increasing backlog of orders, the impact of the coronavirus on our manufacturing operations, supply chain, and on customer demand, the impact of component shortages and manufacturing capacity, and our objectives for future operations, are forward-looking statements (within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended). These statements are only predictions and reflect our current beliefs and expectations with respect to future events and are based on assumptions and subject to risk and uncertainties and subject to change at any time. We undertake no obligation to update the information made in this presentation in the event facts or circumstances subsequently change after the date of this presentation. We operate in a very competitive and rapidly changing environment. New risks emerge from time to time. Given these risks and uncertainties, you should not rely on or place undue reliance on these forward- looking statements. Actual events or results may differ materially from those contained in the projections or forward-looking statements. In addition to the risk factors contained in our Form 20- F for the fiscal year ended December 31, 2019, some of the factors that could cause actual results to differ materially from the forward-looking statements contained herein include, without limitation: (i) the contraction or lack of growth of markets in which we compete and in which our products are sold, (ii) unexpected increases in our expenses, including manufacturing expenses, (iii) our inability to adjust spending quickly enough to offset any unexpected revenue shortfall, (iv) delays or cancellations in spending by our customers, (v) unexpected average selling price reductions, (vi) the significant fluctuation to which our quarterly revenue and operating results are subject due to cyclicality in the wireless communications industry and transitions to new process technologies, (vii) our inability to anticipate the future market demands and future needs of our customers, (viii) our inability to achieve new design wins or for design wins to result in shipments of our products at levels and in the timeframes we currently expect, (ix) our inability to enter into and execute on strategic alliances, (x) our ability to meet performance milestones under strategic license agreements, (xi) the impact of natural disasters on our sourcing operations and supply chain, (xii) our ability to remediate material weaknesses in our internal controls relating to controls over the accounting and presentation of complex, non-routine and certain other transactions, including certain revenue arrangements, (xiii) the impact of the coronavirus on the ability to operate our business and research, production of our products or demand for our products by customers whose supply chain is impacted or whose operations have been impacted by government shelter-in-place or similar orders, (xiv) the impact of the coronavirus on capital markets and our ability to raise debt and equity financing, and (xv) other factors detailed in documents we file from time to time with the Securities and Exchange Commission. We have not filed our Form 20-F for the year ended December 31, 2020. As a result, all financial results described in this presentation should be considered preliminary, and are subject to change to reflect any necessary adjustments or changes in accounting estimates, that are identified prior to the tie we file the Form 20-F. SEQUANS ©2021 Sequans Communications 2#3Sequans Overview Sequans (NYSE: SQNS) is the only company offering a complete range of cellular loT solutions fully-optimized for non-smartphone applications. We focus on cellular connectivity for the Internet of Things (IoT): • Massive loT • Broadband & Critical loT SEQUANS Smart Homes Enterprise Router 09:35 Health & Wellness CP Smart Cities Massive lot CHIPS 5G/4G MODULES Broadband & Critical loT Smart Mobility & Logistics 0 Vertical Applications DOOD Gateway Indoor / Outdoor CPE ©2020 Sequans Communications 3#4Investment Highlights * SEQUANS SEQUANS Revenue growth of 65% in 2020, driven by Broadband loT 1 demand and the ramp of Massive loT business. Mature, comprehensive 4G/5G product portfolio focused on loT with a 2 growing pipeline of opportunities reflecting technology leadership. 3 New go-to-market channels with module, microcontroller and distribution partners will have game-changing implications for Sequans over the next several years. 4 Pursuing aggressive 5G product roadmap for Broadband and Critical IoT partially funded by a premier strategic partners. 5 Unique cellular connectivity assets and knowhow position Sequans for long-term success. ©2020 Sequans Communications 4#5We are Capitalizing on Two Major Technology Trends SEQUANS 5G IOT ©2021 Sequans Communications 5#6We are Capitalizing on Two Major Technology Trends SEQUANS 5G ~$8 Billion Opportunity 2021-2025 IOT ©2021 Sequans Communications 6#7Our Served Market SAM excludes: 2500 Smart phones/tablets • Operators asking for 2G/3G fallback 2000 • China 1500 SAM growth by category: 1000 5-yr CAGR Units 5-yr CAGR $ 500 Broadband/Critical IoT 32% 47% Massive loT 51% 36% Total SEQUANS 46% 42% Served Cellular loT Market ($ millions) ال 2024 Massive loT 2020 2021 2022 2023 ■Broadband/Critical IoT Source: ABI Research, Techno Systems Research and Sequans' estimates 2025 O2021 Sequans Communications 7#8Massive loT Business - Product & End Markets Low Power + Low Cost Go-to-Market* Cat 1 Module Partners 5G gemalto WNC wpycom WISOL Wistron NeWeb Corp. calliope calliope2 LTE-M/NB-IoT (Cat M1/NB1/NB2) monarch monarch SiP monarch2 SEQUANS NB-IoT Optimized 5G monarchN 5G Al AsiaTelco TECHNOLOGIES OEM/ODM Polymer Logistics GEOTAB management by measurement Itron FOXCONN Global Distributors AVNET RichardsonRFPD An Arrow Company Technology Partners MICROCHIP SKYWORKS BREAKTHROUGH SIMPLICITY End Markets Traditional M2M (Replaces 2G/3G) Security Smart Meters Telematics Payment New and Emerging IoT Applications M O» E-Health Asset Trackers Smart Cities Smart Home Consumer Applications RENESAS ST = 09:35 life.augmented NXP Tracker POLTE Speaker Watch * Examples of announced partners and customers ©2020 Sequans Communications 8#9New Go-To-Market Initiatives Scale Sales Capability Reps • Distributors Scale Channel Partners MCU Vendors SEQUANS Reps RichardsonRFPD An Arrow Company MCU Partners Distributors AVNET M Reach Further™ Digi-Key ELECTRONICS MOUSER ELECTRONICS. ©2021 Sequans Communications 9#10MCU Partners Current Relationships Cover 55-60% of Microcontroller Market • Almost all loT devices integrate an MCU • Partners strengthen our position with • • Tier#1 customers Partners help us accessing the "dark pipe" of the lot funnel Various approaches integrating Monarch Platform • Joint development kits • Branded module • More integrated solutions can follow SEQUANS RENESAS NXP MICROCHIP ST life.augmented ©2021 Sequans Communications 10 10#11Broadband loT Business - Product & End Markets Speed + Features Worldwide Deployment* Cat 4 / Cat 6 cassiopeia 4DVANCED Lte SEQUANS SQN3220 SC Cat 18/5G NR SEQUANS SQN3220 Partners Gemtek RENESAS Wireless Broadband Anywhere Franklin Wireless MULTITECH Telit Devices DODO Enterprise Router Gateway Indoor/Outdoor CPE End Markets* Emerging Markets, Tier 2/3 Carriers Globe® XPLORNET Developed Markets, Tier 1 Carriers verizon taurus 5G Millions of CPE, Gateways, and Mobile Routers are Deployed Worldwide Enterprise, Private Networks, CBRS anit Enabling Wireless M2M - IoT SEQUANS * Examples of announced partners and customers Cambium Networks Puloli ©2020 Sequans Communications 11#12New Markets - Private Networks with CBRS in the US Factory Utility SEQUANS College Campus Stadium Airport Train Station ©2021 Sequans Communications 12 12#13Taurus for 5G Broadband & Critical IoT - In development Fixed Wireless Access Critical IoT (Automotive, Surveillance Camera, AR/VR, Drones) (Home, Business) SEQUANS Private 4G/5G Deployment (Vertical Sectors, Harbors, Airports, Mining, Campus) taurus Mobile Routers (MiFi, Mobile Computing) Industrial (Factories, Robotic, Power Plants, Wireless Machinery) ©2021 Sequans Communications 13#145G Partnerships Relationship with Sequans Addresses Multiple Challenges for Partners • • 2019 - major $35+ million strategic partnership with Fortune Global 500 company 2020 recently announced a technology access and license agreement with Renesas 2021 - leading a consortium in 5G project funded by French government Ongoing discussions with multiple potential strategic partners IoT Focus SEQUANS Sovereignty taurus Avoid Single Vendor Extensive Cellular Expertise ©2021 Sequans Communications 14#15Large Business Pipeline ~ $500M of Potential Product Revenue Engagements and Qualified Opportunities . . . Represents specific customer projects where unit demand can be estimated Assumes 3 years of revenue from initial production - some projects in production and some will be in 2021-2023 Revenue from services not included Product Design Wins SEQUANS 40% Secured by Design Wins ©2021 Sequans Communications 15#16Vertical Market Business Vertical Revenue • • Engineering service to adapt existing Broadband and Massive IoT platforms to non-cellular end markets High-margin service revenue ad small volume/high ASP product revenue • Typical engagement has initial 1-3 year development phase Service revenue recognized based on project percent of completion Development phase followed by long tail of maintenance and product shipments SEQUANS End Markets Typical Customers Satellite LOCKHEED MARTIN A Avionics JRC Japan Radio Co., Ltd. THALES MAMOTOROLA SOLUTIONS Public Safety, Military ABSIDE Networks ©2020 Sequans Communications 16#17Revenue Trends - Reacceleration of Annual Growth in 2020 Annual Revenues ($MM) Quarterly Revenues ($MM) (1) Massive loT Vertical ■Broadband loT 60 $18.0 (unaudited) $50.9 65% y/y growth 50 $16.0 40 40 $30.9 30 20 10 SEQUANS 2019 $14.0 $12.0 $10.0 $8.0 $6.0 2020 (unaudited) Q4:19 Q1:20 Q2:20 Q3:20 Q4:20 (1) Includes service revenue from large strategic 5G project with Fortune Global 500 partner ©2021 Sequans Communications 17#18Key Financial Metrics and Long-term Model (non-IFRS) % of Revenue 2019 2020 At Scale Gross Margin 40% 46% 50% Research & Development 75.5% 57.9% 15-20% SG&A 49.4% 30.9% 10-15% Operating Income (Loss) Margin (84.8%) (42.6%) >20% At End of Period ($millions) 2019 2020 Cash & Equivalents, Short-term Deposits $14.1 $18.5 Short-term receivables financing $4.1 $14.2 Government advances & loans $19.9 $23.3 Convertible debt $30.7 $26.1 SEQUANS ©2021 Sequans Communications 18#19Highly Scalable Business Model >20% Operating Margin at Scale (non-IFRS) . Fabless semiconductor model is highly scalable . Required growth in opex is much lower than target revenue growth rate SEQUANS ($M) 200 150 100 50 Revenue & Operating Leverage Breakeven At Scale Gross Profit Opex Operating Income * Assumes no investment in new technology ©2021 Sequans Communications 19#20Summary . Technology and market leader in 5G/4G for massive, broadband & critical loT Most mature, comprehensive and advanced product portfolio; scarce IP and know-how • Long-standing relationships with carriers and top-tier enterprises . • Strong design win momentum in all business segments Significant improvement in go-to-market capabilities via MCU/distribution partners Attractive as a strategic and/or technology partner to capitalize on high-growth market SEQUANS ©2020 Sequans Communications 20