Disrup(ve single crystal filter solu(ons for 4G/LTE
smartphones and beyond
May 2015 Corporate Overview
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Cau$onary Note Regarding Forward-‐Looking Statements Statements in this presenta(on that are not descrip(ons of historical facts are forward-‐looking statements that are based on management’s current expecta(ons and assump(ons and are subject to risks and uncertain(es. In some cases, you can iden(fy forward-‐looking statements by terminology including “an(cipates,” “believes,” “can,” “con(nue,” “could,” “es(mates,” “expects,” “intends,” “may,” “plans,” “poten(al,” “predicts,” “should,” “will,” “would” or the nega(ve of these terms or other comparable terminology. Factors that could cause actual results to differ materially from those currently an(cipated include, without limita(on, • risks rela(ng to the results of our research and development ac(vi(es, including uncertain(es rela(ng to semiconductor process manufacturing; • the early stage of our Bulk ONE® technology presently under development; • our need for substan(al addi(onal funds in order to con(nue our opera(ons and the uncertainty of whether we will be able to obtain the funding
we need; • our ability to retain or hire key scien(fic, engineering or management personnel; our ability to protect our intellectual property rights that are
valuable to our business, including patent and other intellectual property rights; • our dependence on third-‐party manufacturers, suppliers, research organiza(ons, tes(ng laboratories and other poten(al collaborators; • our ability to successfully market and sell our technologies; • the size and growth of the poten(al markets for any of our technologies, and the rate and degree of market acceptance of any of our technologies; • compe((on in our industry; and • regulatory developments in the U.S. and foreign countries. In light of these risks, uncertain(es and assump(ons, the forward-‐looking statements regarding future events and circumstances discussed in this report may not occur, and actual results could differ materially and adversely from those an(cipated or implied in the forward-‐looking statements. You should not rely upon forward-‐looking statements as predic(ons of future events. The forward-‐looking statements included in this presenta(on speak only as of the date hereof, and, except as required by law, we undertake no obliga(on to update publicly or privately any forward-‐looking statements for any reason a\er the date of this presenta(on to conform these statements to actual results or to changes in our expecta(ons. THESE MATERIALS DO NOT CONSTITUTE AN OFFER TO SELL, OR THE SOLICITATION OF ANY OFFER TO BUY, ANY SECURITIES OF AKOUSTIS, INC., OR OF ANY OTHER ENTITY WHATSOEVER. ANY SUCH OFFER MAY ONLY BE MADE BY A DEFINITIVE SUBSCRIPTION AGREEMENT ISSUED BY THE COMPANY. ANY REPRESENTATION TO THE CONTRARY BY ANY PARTY SHOULD BE IGNORED. “Akous's®,” the Akous's logo and “Bulk ONE®” are trademarks of Akous's, Inc.
Corporate Mission
Akous(s’ mission is to revolu(onize the RF filter market for 4G/LTE Mobile Wireless smartphones by manufacturing acous(c wave filters using its patent-‐pending single crystal piezoelectric
materials and acous(c resonator Bulk ONE™ technology.
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Focus on Improving Filters for RF Front-‐End
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Digital RF Y
Signal Rou(ng
Amps Filters Switches
Frontend Backend
Mobile Wireless Smartphone
RF front-‐end
Premium filters needed for
4G/LTE
Current filters waste
up to 50% of Amp Power
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End user benefits: Lower-‐loss RF acous(c wave filters reduce heat, enable longer baeery life in 4G/LTE mobile devices
q Single crystal piezoelectric materials offer a 30% advantage
q Akous(s’ Bulk ONE™ acous(c wave filter technology expected to enable up to 40% in RF power savings Ø Each 10% in efficiency adds 4% to baeery life Ø Reduces (ssue hea(ng
q 50% of power generated in RF front-‐end is wasted as heat due to inefficient RF filters Ø Shortens baeery life Ø Human (ssue hea(ng in proximity of phone
q Conven(onal RF acous(c wave filters use “dirty”, lossy thin-‐film materials
Problem Solu(on
Future stand alone ‘wearable’ mobile devices require more efficient acous(c RF filters
FUTU
RE
Bulk ONE™
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Trends: Smartphone sales and traffic growing, Filter content exploding in support 4G/LTE frequency alloca(on
0"
10"
20"
30"
40"
50"
2005" 2010" 2013" 2015"
RF"Complexity"Rapidly"Growing"
Filte
r req
uiremen
ts
Year
40B+ unit/yr. Acous(c Wave RF Filter Market
by 2018
source: Ericsson
2 6
20
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q Smartphones everywhere for talk/data/apps q RF filter content exploding due to 4G/LTE q Smartphone unit sales: 1.2/yr. growing to 1.9B/yr. by 2018
(Source: CCS Insight 2014)
TODA
Y
Opportunity: Increased need of RF filtering in Mobile Wireless devices to support 4G/LTE
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20+ acous(c wave RF filters in today’s LTE RF Front End
• Exploding RF filter content: 20+ acous(c wave filters and growing
• Current RF filters offer frequency selec(vity with severe penalty (50% loss)
• Excessive power loss driving PA requirements, size and cost of Frontend
• Acous(c wave filter is now the performance differen(ator in the Front-‐end
RF Filter market for Mobile Wireless is prime for disrup$on
with lower loss filter
Growing IP Porpolio: 7 US Patent Applica(ons Filed
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Addi(onal technology licensing ac(vity
underway Mobile Devices
High Selec(vity Filter
Package Technology
Acous(c Devices & Mfg.
Piezo Materials
Plaporm Substrate
Akous(s Management and Principals
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Jeff Shealy – CEO ü MBA (Wake Forest University), PhD ECE (UCSB) ü +20 Yrs. Exp. in RF/Wireless; RFMD Execu(ve for 13 Yrs., Hughes ü 2 Prior High-‐tech ventures, RF Nitro (RFMD acq. for $30M, 2001), Avogy ü Exper(se: Public company, P&L, GaN tech commercializa(on
Mark Boomgarden – Corp. VP & VP of Opera$ons ü BSEE (UNCC) ü +20 Yrs. Exp. Hi Tech Opera(ons; Tessera SVP/GM ü Silicon start-‐up, DigitalOp(cs ü Exper(se: Silicon Foundry Ops, Packaging, Licensing
Richard Ogawa – Special Legal Advisor ü BSCE – UCD ü Juris Doctorate – Univ. of the Pacific ü +20 Yrs. Exp., Ogawa P.C., Inphi GC ü Exper(se: Silicon valley patent aeorney
• Akous(s: 20 seasoned professionals
• Partners: Two university
Dave Aichele – Corp. VP & VP of Business Development ü BSEE (Ohio University), MBA (Leeds -‐ University of Colorado) ü +20 Yrs. Exp. Hi Tech Biz Dev/Sales; T1V EVP, RFMD Director ü Fortune 500 to start-‐up, +10 yrs mobile wireless market experience ü Exper(se: New tech business development, Contract Nego(a(ons Shawn Gibb – Chief Materials Scien$st ü BS Chem (NYU), BE ChE / ME Materials (Stevens Inst. Of Technology) ü +18 Yrs. Exp. In RF/Wireless/Optoelectronics, Crystal IS VP Engineering ü 1 Prior High-‐tech venture, Crystal IS (Ashai Kasei Aquired $40M, 2012) ü Exper(se: III-‐N material growth (bulk & thin film), III-‐N technology
Prof. Denbaars
Prof. Shealy
Manufacturing partner signed; Tech transfer underway
• Joint development and wafer supply agreements signed with strategic foundry partner
• Produc(on facility supports 6” Bulk One™ wafer manufacturing
• Opportunity with Partner to expand manufacturing opera(ons in Asia
• Current milestone schedule:
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Ø Milestone 1: Manufacturing Partner Gap Analysis, Complete
Ø Milestone 2: Process Transfer to Foundry Partner, June 2016
Ø Milestone 3: Complete Filter Process Capability, September 2016
Ø Milestone 4: Produc(on-‐Ready Filter Design, End 2016
Awarded NSF R&D funding for single crystal resonator BAW filters
Akous(s awarded Federal (NSF) and State of N.C. (NCBST&I) R&D grants for commercializa(on Expect addi(onal $1.3M in follow-‐on (non dilu(ve) R&D support from NSF beginning in 2016
!
Early technology demonstrators:
6” piezoelectric material and processed wafers:
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Analy(cal Model Guided Design: