Spectra7 and Molex Showcase 400G Active Copper Interconnects at DesignCon 2020

US Hyperscalers Begin Move to 400G QSFP-DD in 2020

SAN JOSE, Calif.–(BUSINESS WIRE)–Spectra7 Microsystems Inc. (TSX:SEV) (“Spectra7” or the “Company”), a leading provider of high-performance analog semiconductor products for broadband connectivity markets, and Molex, a leader in high-performance interconnects, announced that they will be showcasing 400 Gbps Active Copper Cables (ACCs) at this year’s DesignCon show in the Santa Clara Convention Center in Santa Clara, CA from January 28-30, 2020.

Significant US Hyperscaler deployment of 400 Gbps network equipment will begin in 2020 and according to a recently published report by Dell’Oro Group¹, total 400 Gbps shipments are forecast to surpass 15 M switch ports by 2023.

“Spectra7 has created a compelling solution to address the dramatically increasing power and cost of data center interconnects,” said Greg Walz, advanced technical marketing manager, Molex. “We are seeing significant interest from our largest customers for 400 Gbps ACCs with Spectra7 technology and are pleased to be showcasing this product at DesignCon 2020.”

“Molex is a technology and market leader in the hyperscale interconnect market,” said Spectra7 CEO Raouf Halim. “The adoption of our 400 Gbps GaugeChanger^TM technology by Molex is a significant milestone in the coming volume deployment of GaugeChanger^TM, our data center product line.”

GaugeChanger^TM is an innovative and disruptive technology that allows copper to extend much longer lengths without the cost and power penalty of optics. It works equally well at 25 Gbps NRZ and 50 Gbps PAM-4 enabling new connector standards of 100, 200 and 400 Gbps.

Molex recently began shipping its Passive Copper QSFP-DD (Quad Small Form Factor–Double Density) Cable Assemblies in volume production and the same customers are asking for Active Copper versions for longer lengths. The Molex system along with Spectra7’s GaugeChanger^TM technology offers up to 12 times less power, while providing significant cost savings over optical solutions for hyperscale customers.

Molex will be showing QSFP-DD Active Cable products with Spectra7’s GaugeChanger^TM technology at Booth 631 at DesignCon 2020.

About Molex

Molex brings together innovation and technology to deliver electronic solutions to customers worldwide. With a presence in more than 40 countries, Molex offers a full suite of solutions and services for many markets, including automotive, data communications, consumer electronics, medical, and industrial. For more information, please visit www.molex.com

Molex is a registered trademark of Molex, LLC in the United States of America and may be registered in other countries; all other trademarks listed herein belong to their respective owners.

About Spectra7 Microsystems Inc.

Spectra7 Microsystems Inc. is a high-performance analog semiconductor company delivering unprecedented bandwidth, speed and resolution to enable disruptive industrial design for leading electronics manufacturers in virtual reality, augmented reality, mixed reality, data centers and other connectivity markets. Spectra7 is based in San Jose, California with design centers in Cork, Ireland, and Little Rock, Arkansas. For more information, please visit www.spectra7.com.

CAUTIONARY NOTES

Certain statements contained in this press release constitute “forward-looking statements”. All statements other than statements of historical fact contained in this press release, including, without limitation, those regarding the anticipated monetization of the Company’s patent portfolio and patent financing strategies, and the Company’s strategy, plans, objectives, goals and targets, and any statements preceded by, followed by or that include the words “believe”, “expect”, “aim”, “intend”, “plan”, “continue”, “will”, “may”, “would”, “anticipate”, “estimate”, “forecast”, “predict”, “project”, “seek”, “should” or similar expressions or the negative thereof, are forward-looking statements. These statements are not historical facts but instead represent only the Company’s expectations, estimates and projections regarding future events. These statements are not guarantees of future performance and involve assumptions, risks and uncertainties that are difficult to predict. Therefore, actual results may differ materially from what is expressed, implied or forecasted in such forward-looking statements. Additional factors that could cause actual results, performance or achievements to differ materially include, but are not limited to the risk factors discussed in the Company’s annual MD&A for the year ended December 31, 2018 and the Company’s short form prospectus dated August 9, 2019. Management provides forward-looking statements because it believes they provide useful information to investors when considering their investment objectives and cautions investors not to place undue reliance on forward-looking information. Consequently, all of the forward-looking statements made in this press release are qualified by these cautionary statements and other cautionary statements or factors contained herein, and there can be no assurance that the actual results or developments will be realized or, even if substantially realized, that they will have the expected consequences to, or effects on, the Company. These forward-looking statements are made as of the date of this press release and the Company assumes no obligation to update or revise them to reflect subsequent information, events or circumstances or otherwise, except as required by law.

¹Dell’Oro 400G Report

Contacts

Spectra7 Microsystems Inc.

James Bergeron

Investor Relations

289-512-0541

ir@spectra7.com

Spectra7 Microsystems Inc.

Darren Ma

Chief Financial Officer

669-284-3170

pr@spectra7.com