#1SEQUANS Sequans Investor Presentation May 2023 Dr. Georges Karam, CEO Deborah Choate, CFO#2Safe Harbor This presentation contains projections and other forward-looking statements regarding future events and our future financial performance. All statements other than present and historical facts and conditions contained in this presentation, including any statements regarding our future results of operations and financial positions, business strategy, plans, including the ability to enter into new 5G strategic agreements, the exploration of strategic options, expectations for Massive loT sales, our ability to convert our pipeline to revenue, 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 press release. 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, 2022, 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 resulting from inflationary pressures and rising interest rates, including manufacturing and operating expenses and interest expense, (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 fluctuations 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) the impact of the Ukraine-Russia conflict on our independent contractors located in Ukraine, (xiii) our ability to raise debt and equity financing, and (xiv) other factors detailed in documents we file from time to time with the Securities and Exchange Commission. SEQUANS O2023 Sequans Communications 2#3Sequans - Leader in Cellular loT We provide cellular 5G/4G solutions for Internet of Things (IoT) devices in both categories • Massive loT - low throughput, low power, • low cost Broadband & Critical loT - high throughput, low latency Sequans' goal is to deliver the best performance at competitive pricing for the 5G/4G Cellular loT market, projected to exceed $3 billion by 2025, growing at a CAGR of 38% Complete Range of Chips and Modules Fully Optimized for loT Applications Smart Homes Enterprise Router 09:35 Health & Wellness Smart Cities Massive lot Smart Mobility & Logistics CHIPS 5G/4G MODULES Broadband Critical lot Vertical Applications DODO Gateway Indoor/Outdoor CPE Source: ABI Research, Techno Systems Research and Sequans' estimates SEQUANS O2023 Sequans Communications 3#4Sequans Overview Co-founded in 2003 by CEO, Georges Karam ADS listed on NYSE (Ticker: SQNS) since 2011 Global Company • • • Headquartered in France Main R&D facilities in France, England, Israel and Ukraine 370 people in 14 countries (80% R&D & customer support) Fabless semiconductor business model Primary use of capital is for ongoing 4G and 5G product development $60.6M 2022 Revenue¹ 71% 2022 Gross Margin¹ Annual growth rate over next 3 to 5 years expected to exceed market CAGR Balance Sheet Highlights At December 31 ($millions) 2021 2022 Cash & Equivalents, Short-term Deposits $4.8 $10.7 Short-term receivables financing Government advances & loans $9.5 $7.7 $15.6 $10.4 Convertible debt $36.4 $43.5 1. Full year ended December 31, 2022. SEQUANS O2023 Sequans Communications 4#5We are Capitalizing on Two Major Technology Trends Leveraging a strong track record of execution in 4G IoT for the emerging 5G market SEQUANS IOT 5G O2023 Sequans Communications 5#6Our Served Market Served Cellular loT Market ($ millions) $3,000 SAM Growth by Category CAGR $2,500 5-year CAGR $2,000 38% $1,011 $778 $582 Massive loT 34% $1,500 Broadband lot 40% $483 $1,000 $2,028 Total 38% $1,837 $1,543 $316 $500 $1,019 SAM excludes: $524 Smart phones/tablets, devices with 2G/3G fallback and China $0 2021 2022 2023 2024 2025 Broadband loT Massive loT SEQUANS Source: ABI Research, Techno Systems Research and Sequans' estimates O2023 Sequans Communications 6#7Massive loT Business - Product & End Markets Our Products Offer Low Power + Low Cost Solutions - Key to MIoT Applications Calliope Cat 1 Higher Throughput and Voice Monarch LTE-M/NB-IoT Low Throughput Applications 5G 5G calliope calliope2 monarch monarch2 monarchSiP Jointly with Skyworks Second generation platforms support networks' evolution from 4G to 5G Addressing Largest and Fastest Growing IoT End Markets Traditional M2M (Replaces 2G/3G) New and Emerging IoT Applications ™ σ À N Consumer Applications = 09:35 Security Smart Meters Telematics Payment E-Health Asset Trackers Smart Cities Smart Home Tracker Speaker Watch SEQUANS O2023 Sequans Communications 7#8Broadband IoT Business - Product & End Markets Speed + Features Cat 4 / Cat 6 Global Deployment* OEM/ODM & Partners Gemtek Wireless Broadband Anywhere 4DVANCED Lte SON3220 SC SQN3220 cassiopeia Cat 18 / 5G NR COMING SOON: Anticipated Release: 2023 taurus SEQUANS 5G TOZED KANGWEI RENESAS End Markets* Emerging Markets, Tier 2/3 Carriers Globe® XPLORNET MULTITECH Enterprise Router solutions Jacs Devices BEC TECHNOLOGIES DODO Gateway Indoor/Outdoor CPE Millions of CPE, Gateways, and Mobile Routers are Deployed Worldwide Developed Markets, Tier 1 Carriers verizon T-Mobile- at&t Enterprise, Private Networks, CBRS anit Enabling Wireless M2M - IoT Cambium Networks Puloli * Examples of announced partners and customers O2023 Sequans Communications 8#9Massive loT Business – Go-to-Market Strategy - Leveraging Partners and Distribution Channels to Access Fragmented IoT Market Module Partners gemalto WNC Wistron NeWeb Corp. Ael AsiaTelco TECHNOLOGIES GEOTAB management by measurement UBIIK RENESAS OEM/ODM TOSHIBA Itron withings QUIDEL Honeywell COMCAST SERCOMM Global Distributors AVNET invoxia NAPCO SECURITY TECHNOLOGIES Building36. AN ALARM.COM COMPANY Digi-Key - Scale Our Sales Capability – increases addressable scope of applications and/or small volume markets Leverage Our Channel Partners Technology Partners / MCU Vendors - Majority of IoT devices integrate an MCU Current Relationships Cover 55-60% of Microcontroller Market Strengthens our position with Tier 1 customers • ELECTRONICS M MOUSER ELECTRONICS. RichardsonкrPU An Arrow Company Technology Partners MICROCHIP NXP RENESAS SKYWORKS BREAKTHROUGH SIMPLICITY * Examples of announced partners and customers SEQUANS • Integrating Monarch Platform for rapid go-to-market O2023 Sequans Communications 9#10Targeting ~20% Operating Margin at Scale (non-IFRS) Long-term Model (non-IFRS)² USD MM Revenue: 2020 2021 2022 At Scale¹ $50.9 $50.9 $60.6 $200 Product $37.9 $30.4 $23.0 >75% License and Services $13.0 $20.5 $37.6 <25% As a Percent of Total Revenue Gross Margin 46% 53% 71% 45-55% Research & Development 60.6% 51.9% 37.3% 15-20% SG&A 34.0% 37.5% 33.2% 10-15% Operating Margin (48.5%) (36.0%) (6.3%) ~20% Roadmap to Achieving Scale Target revenue growth rate expected to exceed operating expense growth rate Revenue growth sources: new customers, entering new markets and launching new, higher ASP products including 5G Taurus in 2025 License and service revenue supports higher gross margin 1. Estimated to be achieved after the launch of 5G Taurus platform 2. Non-IFRS non-cash excludes impact related to stock-based compensation SEQUANS O2021 Sequans Communications 10#11Executing Growth Levers to Drive Future Performance Sequans is executing a growth strategy to deliver attractive financial performance by increasing lot applications served with Design Wins/Design-Ins advancing through its pipeline for Massive IoT and Broadband lot SEQUANS SEQUANS 1 Current sales pipeline represents 3-year life revenue projects exceeding $750 million, representing ~$100 million of annualized revenue at peak production in 2025/2026 2 3 Massive loT sales pipeline growth driven by smart city/metering segment market leadership, new design wins with Cat M/NB Monarch 2 and recently launched Cat 1 Calliope 2 5G Taurus platform targeting >$1.5 Billion SAM in 2025, sampling later this year and already generating significant interest from multiple tier-one customers O2023 Sequans Communications 11#12Large Sales Pipeline Drives Future Product Revenue Growth > $750M of 3Y LNR* Potential Product Revenue . ● • ● Represents specific customer projects where unit demand can be estimated Assumes 3 years of revenue from the initial production - some projects currently in production, significant percent enter production in 2024 2025 Pipeline reflects >100 opportunities Revenue from license and services not included Engagements and Qualified Opportunities Product Design Wins 50% Secured by Design Wins with >85% in Massive lot * Assumes 3 years of revenue from the initial production of each customer project. SEQUANS O2023 Sequans Communications 12#13Massive loT: Expanding Market Share in High-Growth Segments Pursuing Large, High-Growth Markets with Opportunity to Expand Existing Market Share Smartcity 10.1 Asset Tracking 5.3 eHealth/Fitness/Consumer 3.8 12.0 Smarthome 3.7 2021 SAM (Mu) 10.7 18.2 ■2024 SAM (Mu) SEQUANS Serviceable available market (SAM) In millions of units. Source: ABI Research, Techno Systems Research and Sequans' estimates 30.6 MIoT growth driven by applications predominantly for these markets, leveraging our current product portfolio featuring Monarch 2 and Calliope 2 O2023 Sequans Communications 13#14Taurus for 5G Broadband & Critical IoT – Launching in Fall 2023 - Fixed Wireless Access Critical IoT (Automotive, Surveillance Camera, AR/VR, Drones) (Home, Business) SEQUANS Private Network (Vertical Sectors, Harbors, Airports, Mining, Campus) taurus S contr Mobile Routers (MiFi, Mobile Computing) Industrial (Factories, Robotic, Power Plants, Wireless Machinery) Targeting >$1.5 Billion SAM Opportunity by 2025 O2023 Sequans Communications 14#15. Building 5G Partnerships 5G Partnerships Deliver Benefits to Sequans and Our Partners 2019 - major $35+ million strategic partnership with Fortune Global 500 company • 2020 - announced a technology access and license agreement with Renesas • 2021 - appointed leader of 5G project consortium funded by French government • 2022 - recent $50+ million strategic partnership expands addressable market to China, with potential for royalty revenue over 10 years starting in 2025 SEQUANS Taurus 5G Addresses Multiple Challenges for Partners IoT Focus Sovereignty taurus Extensive Cellular Expertise Avoid Single Vendor O2023 Sequans Communications 15#165G Licensing Platform Leveraging 5G IP to Build New Partnerships Scarcity of our 5G IP platform for Cellular loT attracting new strategic partners for large addressable markets that Sequans could not easily pursue alone • IP licensing agreement can provide license and royalty revenue streams over multiple years • Goal is to expand Sequans presence to new regions or market segments Currently engaged with several new target partners 5G taurus SEQUANS O2023 Sequans Communications 16#17Key Take-aways • • ● Market leader with comprehensive 4G/5G technology for Massive, Broadband & Critical IoT Four primary growth drivers 2023 - 2026 • Massive loT with Monarch 2 design wins in pipeline moving to mass production Cat 1 Calliope 2 launch expanding pipeline and doubling Massive IoT SAM 5G IP Licensing and royalty revenue stream with new deals under discussion Broadband loT product pipeline expands with the launch of 5G Taurus in 2023 Growing pipeline • > $750 million of 3Y LNR projects revenue with ~50% secured in Design Wins . > $100 million of annualized product revenue potential from current customers SEQUANS O2023 Sequans Communications 17#18SEQUANS Sequans Investor Presentation Thank you! Investor Relations Contact: Kim Rogers, Hayden IR [email protected]#19Appendix SEQUANS • · · · • . Competitive Landscape in 4G/5G loT Leadership Team and Board of Directors. Income Statement Balance Sheet Non-IFRS Financial Results Reconciliation Capitalization Table O2023 Sequans Communications 19#20Competitive Landscape in 4G/5G IoT Served Markets Sequans has Broadest Product Scope in 4G/5G IOT SEQUANS Qualcomm MEDIATEK GCT Altair A Sony Group Company NORDIC SEMICONDUCTOR Excludes Chinese vendors SEQUANS Massive lot Broadband lot LTE-M/NB-IoT Cat 1 Cat 4/Cat 6 5G NR Not Optimized NB-IoT Only O2023 Sequans Communications 20 20#21Leadership Team and Board of Directors Leadership Team Dr. Georges Karam Deborah Choate President and Chief Executive Officer Chief Financial Officer Dr. Georges Karam Chairman Dr. Sailesh Chittipeddi Director Wes Cummins Director Bertrand Debray Executive Vice President and GM, Broadband loT Louis (Ping Lin) Chuang Executive Vice President and GM, Massive loT & z Danny Kedar Chief Operating Officer SEQUANS Nick Taluja Executive Vice President, Worldwide Sales Mailys Ferrère Director Yves Maitre Director Dr. Richard N. Nottenburg Director Hubert de Pesquidoux Director Dominique Pitteloud Director Zvi Slonimsky Director Visit www.sequans.com to view full management team, and bios O2023 Sequans Communications 21#22UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS Three months ended (in thousands of US$, except share and per share amounts) March 31, 2023 December 31, 2022 March 31, 2022 Revenue Product revenue $ 2.340 $ License and services revenue 9.559 4.990 10.921 $ 5.925 7.966 Total revenue 11,899 15,911 13,891 Cost of revenue 2.556 3.935 4.436 Gross profit Operating expenses: Research and development Sales and marketing General and administrative Total operating expenses Operating profit (loss) 9.343 11.976 9.455 7.488 7.361 6.414 3.033 2.561 2.521 2.818 3.040 2.492 13,339 12,962 11,427 (3,996) (986) (1,972) Financial income (expense): Interest income (expense). net (2.515) (2.543) (2.672) Change in fair value of convertible debt derivative 2.302 1.011 6.397 Foreign exchange gain (loss) (165) (1.536) 370 Profit (Loss) before income taxes (4,374) (4,054) 2,123 Income tax expense 666 907 104 Profit (Loss) $ (5,040) $ (4,961) $ 2,019 Attributable to: Shareholders of the parent (5.040) (4.961) 2.019 Minority interests Basic loss per ADS ($0.10) ($0.10) $0.05 Diluted loss per ADS ($0.10) ($0.10) $0.04 Weighted average number of ADS used for computing: Basic 48.382.629 - Diluted 48,382,629 47.951.407 47,951,407 41.142.823 46,013,404 SEQUANS O2023 Sequans Communications 22 22#23UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF FINANCIAL POSITION (in thousands of US$) ASSETS Non-current assets Property, plant and equipment Intangible assets. Deposits and other receivables Other non-current financial assets Total non-current assets Current assets Inventories Trade receivables Contract assets Prepaid expenses Other receivables Research tax credit receivable Short-term deposits Cash and cash equivalents Total current assets Total assets At March 31, 2023 At Dec 31, 2022 $ 7,744. 51,473 795 343 60,355 $ 8,489 48,705 783 337 58,314 8,552 9,387 3,645 8,494 1,959 176 1,907 1,399 5,093 5,799 5,855 4,515 5,000 5,344 5,671 32,355 40,441 $ 92,710 $ 98,755 EQUITY AND LIABILITIES Equity Issued capital, euro 0.01 nominal value, 194,258,298 shares authorized, issued and outstanding at March 31, 2023 (193,426,478 shares at December 31, 2022 and euro 0.02 nominal value) $ Share premium Other capital reserves 2,315 2,409 64,651 $ 2,306 2,418 62,870 Accumulated deficit (70,139) (65,099) Other components of equity (498) (391) Total equity (1,262) 2,104 Non-current liabilities Government grant advances, loans and other liabilities 5,633 6,235 Convertible debt 45,472 43,455 Convertible debt embedded derivative 901 3,203 Lease liabilities 2,109 2,278 Trade payables Provisions Deferred tax liabilities Contract liabilities Total non-current liabilities Current liabilities Trade payables 1,067 1,788 2,176 2,196 266 258 404 404 58,028 59,817 11,626 9,342 Interest-bearing receivables financing Lease liabilities Government grant advances and loans Contract liabilities Other current liabilities and provisions 6,528 7,723 1,312 1,291 3,947 4,159 3,211 5,774 9,320 8,545 35,944 36,834 S 92,710 $ 98,755 O2023 Sequans Communications 23 SEQUANS Total current liabilities Total equity and liabilities#24UNAUDITED RECONCILIATION OF NON-IFRS FINANCIAL RESULTS (in thousands of US$, except share and per share amounts) Three months ended March 31, 2023 $ (5,040) $ December 31, 2022 (4,961) March 3 202 $ 2,019 Net IFRS gain (loss) as reported Add back Non-cash stock-based compensation expense according to IFRS 2(1) 1,781 1,810 1,31! Non-cash change in the fair value of convertible debt embedded derivative Non-cash interest on convertible debt and other financing (2) (2,302) 1,408 (1,011) (6,39: 1,404 1,21 Non-cash impact of convertible debt amendment Non-IFRS gain (loss) adjusted $ IFRS basic gain (loss) per ADS as reported (4,153) ($0.10) $ (2,758) ($0.10) $ (1,84! $0.0: Add back Non-cash stock-based compensation expense according to IFRS 2 (1) $0.04 $0.04 $0.0: Non-cash change in the fair value of convertible debt embedded ($0.05) ($0.02) ($0.1 derivative Non-cash interest on convertible debt and other financing (2) $0.03 $0.02 $0.0% Non-cash impact of convertible debt amendment $0.00 $0.00 $0.01 Non-IFRS basic gain (loss) per ADS ($0.09) ($0.06) ($0.0. IFRS diluted gain (loss) per ADS ($0.10) ($0.10) $0.0 Add back Non-cash stock-based compensation expense according to IFRS 2 (1) $0.04 $0.04 $0.0 Non-cash change in the fair value of convertible debt embedded derivative ($0.05) ($0.02) ($0.1 Non-cash interest on convertible debt and other financing (2) $0.04 $0.02 $0.0% Non-cash impact of convertible debt amendment $0.00 $0.00 $0.00 Non-IFRS diluted gain (loss) per ADS ($0.09) ($0.06) ($0.0. (1) Included in the IFRS loss as follows: Cost of product revenue $ 32 $ 45 $ Research and development 470 601 47 Sales and marketing General and administrative 347 286 མངྐུནྣ 2! 291 932 878 52 SEQUANS (2) Related to the difference between contractual and effective interest rates O2023 Sequans Communications 24 14#25Capital - fully diluted as of 30 April 2023 April 30, 2023 Shares Total issued shares/ADS 233,161,342 ADS 58,290,336 Fully Diluted at maturity of all debt: Convertible debt and warrants 2019 Aug, $4.12/ADS conv price, 9.5% PIK at maturity Additional 9.5% incentive for conversion by 8/23 6,511,758 1,627,939 618,617 154,654 7,130,375 1,782,594 2021 Lynrock, $7.66/ADS conv price, assuming PIK 6% all years 24,877,619 6,219,405 Nokomis Warrants, $6.80/ADS exer price, exp 04/2024 1,800,000 450,000 Nokomis Warrants, $4.12/ADS exer price, exp 08/2025 594,680 148,670 Harbert Warrants, $5.36/ADS exer price, exp 10/2028 816,716 204,179 Concord Warrants, €0.08/ADS exer price, exp 02/2034 9,392,986 2,348,247 Unvested RSA at 30 April 2023 16,187,782 4,046,946 Stock options/warrants at 30 April 2023 5,837,536 1,459,384 Fully diluted shares/ADS 299,799,035 74,949,759 SEQUANS ©2023 Sequans Communications | Proprietary & Confidential