2017 Q3 Earnings Conference Call

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This presentation includes certain forward-looking statements that are made as of the date hereof and are based upon currentexpectations, which involve risks and uncertainties associated with our business and the economic environment in which thebusiness operates. All such statements are made pursuant to the “safe harbour” provisions of, and are intended to be forward-looking statements under applicable Canadian securities laws. Any statements contained herein that are not statements of historicalfacts may be deemed to be forward-looking statements. For example, the words anticipate, believe, plan, estimate, expect, intend,should, may, could, objective and similar expressions are intended to identify forward-looking statements. This presentationincludes, but is not limited to, forward looking statements relating to TeraGo’s growth strategy, initiatives and priorities revenuegrowth, increase of data centre utilization, cross-selling and up-selling, funnel building, doubling capacity utilization in 2018, andinvestment in growth. By their nature, forward-looking statements require us to make assumptions and are subject to inherent risksand uncertainties. We caution readers of this document not to place undue reliance on our forward-looking statements as a numberof factors could cause actual future results, conditions, actions or events to differ materially from the targets, expectations, estimatesor intentions expressed with the forward-looking statements. When relying on forward-looking statements, whether written or oral, tomake decisions with respect to the Company, investors and others should carefully consider the risks, uncertainties andassumptions, including the risk that there will be delays in new product launches impacting sales, retention and churn reductionefforts decreasing profit margins, the Company not being able to realize the anticipated benefits from execution of its growthstrategy, TeraGo’s “go-to-market” strategy may not materialize, trends in the global cloud and data centre sectors may not beaccurately projected, the outcome of the ISED 5G Consultation may not be favourable to the Company, the partnership with AWSnot resulting in a favourable outcome, those risks set forth in the “Risk Factors” section in our annual MD&A for the year endedDecember 31, 2016 available on www.sedar.com and other uncertainties and potential events. In particular, if any of the risksmaterialize, the expectations, and the predictions based on them, of the Company may need to be re-evaluated. Consequently, all ofthe forward-looking statements in this presentation are expressly qualified by these cautionary statements and other cautionarystatements or factors, contained herein, and there can be no assurance that the actual results or developments anticipated by theCompany will be realized or, even if substantially realized, that they will have the expected consequences for the Company.

Except as may be required by applicable Canadian securities laws the Company does not intend, and disclaims any obligation toupdate or revise any forward-looking statements, whether oral or written as a result of new information, future events or otherwise.

For any Non-GAAP Measures referenced in this presentation such as “Adjusted EBITDA”, please refer to the Company’s MD&A forthe three months ended September 31, 2017 and 2016 for additional commentary which should be read in conjunction with thispresentation, and includes its definition and a reconciliation of such measure back to a GAAP measure.

Forward Looking Statements

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TONY CICIRETTOPRESIDENT & CHIEF EXECUTIVE OFFICER

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TeraGo Overview

Leading Canadian Managed Cloud and Connectivity Solutions Company,Providing Enterprise-Class Solutions Tailored to Mid-sized Businesses.

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TeraGo: Strategy Update

• Stabilize the Connectivitybusiness

Focused on reducing rate ofchurn

Two large customer renewalsin Q3’17

• Invest to accelerate growthin Cloud and Colocation

Signed our largest multi-year,multi-million dollar dataservices agreement

• Increase data centreutilization

• Cross-sell and up-sell tolarge existing customerbase

• Leverage wireless networkand spectrum

• Focus on managing costsin Connectivity to providemargin and predictablecash flow to fund growthinitiatives in Cloud andColocation

REVENUE GROWTH PROFITABILITY LEVERAGE PLATFORM

RECORD SALESBOOKINGS FOR CLOUD

AND COLOCATION

ADJUSTED EBTIDAGROWTH FROM Q2 TO

Q3

SUBMITTED COMMENTSTO ISED ON 5G

SPECFTRUMALLOCATION

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DAVID CHARRONCHIEF FINANCIAL OFFICER

$4.4 $4.8 $4.8 $4.7 $4.7

$10.2$10.9

$9.5 $9.2 $8.8

$14.6

$15.7

$14.3$13.9

$13.5

Q3'16 Q4'16 Q1'17 Q2'17 Q3'17

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Revenue

ConnectivityRevenue

Cloud & ColocationRevenue

Revenue ($ millions)

▷ Cloud and Colocation revenuegrew 1.7% in Q3’17 compared toQ3’16 driven by greaterprovisioning of services to newand existing customers

▷ Connectivity revenue decreased11.6% in Q3’17 compared toQ2’16 driven by competitionincluding certain customersrenewing contracts at lowerrates and lower usage revenues

▷ Total revenue decreased 7.4%to $13.7M in Q3’17, compared to$14.5M in Q2’16

▷ In Q3’17, Cloud and Colocationaccounts for 34% of totalrevenues vs 31% in Q3’17

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Adjusted EBITDA

$4.5

$4.9

$3.7

$3.0$3.2

31% 31%

26%

22%24%

$0.00

$1.00

$2.00

$3.00

$4.00

$5.00

$6.00

$7.00

Q3'16 Q4'16 Q1'17 Q2'17 Q3'17

Adjusted EBITDA ($ millions)

Adjusted EBITDA Margin

▷ Adjusted EBITDA decreased to$3.2M in Q3’17 compared to$4.5M in Q3’16 driven by thedecrease in revenue and theimplementation of key strategicinitiatives including higher salesheadcount and marketing spend

▷ Adjusted EBITDA margin was24% in Q3’17 compared to 31%in Q3’16 but improved from 22%in Q2’17

▷ SG&A was $7.4M in Q3’17compared to $10.0M in Q3’16and $7.5M in Q2’17 as theCompany continues managecosts

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Capital Expenditures & Liquidity

Operating Cash Flow ($ millions)

$4.8 $5.1

-$1.6

$4.6

$2.9

Q3'16 Q4'16 Q1'17 Q2'17 Q3'17

▷ Cash generated from operating activities of$2.9M in Q3’17 compared to $4.8M in Q3’16

▷ Capital expenditures of $1.67 million, or12.2% of revenue

▷ Continue to generate positive free cash flowas we execute our strategic growth plan

▷ Strong balance sheet and financial flexibilityto execute its growth plan

▷ Cash balance of $7M

▷ Unutilized $10M operating line

▷ Acquisition facility of $25M

▷ Leverage at 2.55x adjusted EBITDA, wellbelow our covenant of 3.5x

Capital Expenditures ($ millions)

$1.6

$3.1

$1.7 $1.6 $1.7

10.7%

21.1%

11.8% 11.7% 12.2%

Q3'16 Q4'16 Q1'17 Q2'17 Q3'17

0.0%

5.0%

10.0%

15.0%

20.0%

25.0%

$0.00

$0.50

$1.00

$1.50

$2.00

$2.50

$3.00

$3.50

$4.00

$4.50

$5.00

Q3'16 Q4'16 Q1'17 Q2'17 Q3'17

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TeraGo Summary

TeraGo is a leading Canadian Managed Cloud and Connectivity Solutions company

Building forGrowth

OperatingLeverage

Value Creation

• Rate of churn is declining in Connectivity

• Sales and bookings in Cloud and Colocation are growing

• AWS Standard Partner Tier achieved and sales funnel isbuilding

• Doubling capacity utilization in 2018 with significantheadroom for further growth without requiring a large capitalinvestment

• Positive cash flow while we’re reinvesting in the business

• Leverage spectrum to create value for shareholders