LAES SEALSQ Corporation

SEALSQ Corp (NASDAQ: LAES) ("SEALSQ" or "Company"), a company that focuses on developing and selling Semiconductors, PKI and Post-Quantum technology hardware and software products, announces its bold entry into the AI chip market, underscored by its visionary AIoT (Artificial Intelligence for Internet of Things) strategy, which seamlessly merges the power of AI with the expansive potential of IoT technologies. This move positions SEALSQ at the cutting edge of technological innovation, where the convergence of AI and IoT is set to drive digital transformation and reshape industries.

While IoT has been around for several years, recent technological advances, including better connectivity, cloud computing, machine learning, artificial intelligence, related analytics, and low-cost sensors, have significantly accelerated its adoption. However, with the surge in data volumes, challenges have arisen in absorbing, interpreting, and making informed decisions from this data. AI enables technical systems to perceive their environment, solve problems, and act to achieve specific goals. Essentially, AI allows machines to understand existing scenarios, address issues, and implement solutions autonomously.

The core of SEALSQ's AIoT strategy is the integration of advanced semiconductors, smart sensors, AI technologies, and a comprehensive data cloud. This fusion creates a holistic platform designed to not only foster innovation but also ensure the success and efficiency of digital transformation initiatives for its customers. AIoT acts as the brain that powers the nervous system of the network of IoT objects operating within the SEALSQ Ecosystem, which currently secures over 1.6 billion IoT devices secured with SEALSQ VaultIC. With the introduction of 5G, this ecosystem is poised for even more rapid growth, as 5G will enable the connection of every object, person, and machine. AIoT will embed AI into the core infrastructure components of the ecosystem, including Root of Trust, semiconductors, and edge computing. Specialized APIs provide interoperability between components at the device, software, and platform levels, optimizing system and network operations.

SEALSQ's vision extends far beyond the current capabilities of AIoT. Our Moonshot Development Plan is set to revolutionize AI's power and capabilities by integrating cutting-edge, comprehensive post-quantum chips into mainstream computing, AI research, and everyday technologies by 2028. This strategic initiative isn't just about maximizing AI efficiency—it's about ensuring ultra-security in a post-quantum era.

HIGH-LEVEL GOALS

• Achieve a 50x improvement in AI training and inferencing times: By leveraging quantum computing, SEALSQ aims to break existing barriers in AIoT performance, enabling faster and more efficient IoT processing.
• Ensure 99.999% quantum-resistant security for all AI operations: SEALSQ is leading the charge in quantum-resistant security, ensuring that AI-driven technologies remain secure against emerging quantum threats.
• Integrate SEALSQ chips into 70% of AI-driven technologies: From home automation to autonomous vehicles, SEALSQ’s post-quantum chips will power the future of AI-driven innovations.

STRATEGIC INITIATIVES

• Quantum AI Accelerator: Collaborate with top AI research institutions globally to utilize SEALSQ’s quantum speedup in advancing AI research and development.
• Ultra-Secure Quantum Networking: Partner with major telecom providers to replace classical data transfer with quantum networking, ensuring ultra-secure communication channels.
• Quantum-Optimized Industry Solutions: Work with leaders in industrial automation, automotive, and home automation to introduce quantum-enhanced products, leading to smarter cars, more efficient factories, and homes that learn and adapt faster than ever.
• Global Quantum Security Alliance: Form a coalition of technology companies, cybersecurity agencies, and governments to set standards for post-quantum security, ensuring a unified approach to the challenges of the future.
• Quantum Sensing Revolution: Collaborate with hardware and tech companies to integrate quantum-enhanced sensors into everyday technologies, resulting in highly accurate and sensitive devices.

IMPLEMENTATION ROADMAP

Year 1-2: Post-Quantum Foundation

• Focus on intensive R&D to refine and enhance post-quantum capabilities.
• Launch the Quantum AI Accelerator program in collaboration with AI research institutes.
• Establish dedicated teams for industry-specific collaborations.

Year 2-3: Quantum Integration

• Release developer kits to enable seamless integration of SEALSQ chips into AI and tech ecosystems.
• Launch the first range of quantum-optimized products in partnership with industry leaders.
• Host international conferences to showcase advancements in Quantum Machine Learning.

Year 3-4: Quantum Expansion

• Expand into international markets, ensuring global adoption of SEALSQ chips in AI technologies.
• Initiate the Global Quantum Security Alliance, influencing global standards.
• Collaborate with educational institutions to foster the next generation of quantum AI innovators.

Year 4-5: Quantum Integration

• Achieve the integration of SEALSQ chips into the majority of AI-driven technologies.
• Provide regular updates to keep SEALSQ chips ahead of the quantum tech curve.
• Celebrate the realization of the 50x AI performance improvement vision.

Monitoring & Evolution

• Feedback Loops: Regular engagement with partners and customers to ensure continuous improvement and responsiveness to emerging needs.
• Quantum Watch: A dedicated team to monitor advancements in quantum technology and potential security threats, ensuring SEALSQ remains at the forefront of innovation and security.

By 2028, SEALSQ’s moonshot vision is to create a world where AI, powered by quantum technology, is exponentially more efficient, secure, and integrated into every aspect of our lives. Through our unwavering commitment to innovation and collaboration, we aim to make this vision a reality. As quantum computing ushers in a new era of technological evolution, SEALSQ will be at the helm, guiding the integration of AI, IoT, and quantum technologies to redefine what is possible in our connected world.

The future is bright, connected, intelligent, and quantum-powered. SEALSQ is not just keeping pace with these changes; we are leading the charge, setting new standards, and shaping the future of technology.

Data processed through AIoT is collected and made accessible, allowing customers to extract value, enhance market intelligence, and deepen their knowledge base. This system also enables secure automation of actions and business decisions based on real-time data, allowing IoT to operate independently with minimal human support—unlike the current market, which often requires predefined coding of all actions.

A key advantage of AI in this context is its ability to enable IoT devices to learn from their environment and make decisions autonomously, without the need for human intervention. This capability significantly automates processes, improves efficiency, and enhances operational outcomes. For instance, AI algorithms and predictive maintenance implemented through AIoT enable IoT devices to dynamically determine actions, self-program based on analytics and customer-defined knowledge, and reduce operating and maintenance costs for providers. AI can also predict machine failures, enabling proactive maintenance actions, thereby reducing downtime and extending the lifespan of critical equipment.

Generative AI technology, another essential element of SEALSQ's strategy, further enhances the ecosystem's learning capabilities, allowing autonomous IoT devices to operate with unprecedented precision. Whether navigating complex environments like self-driving cars or personalizing user experiences in smart homes, Generative AI optimizes functionality and adaptability. The market for AI in cybersecurity is intricately linked with IoT, encompassing applications such as fraud detection and network security. By integrating AI, these systems are able to recognize potential threats more effectively, enhancing overall security and resilience.

Looking toward the future, the growth of IoT is undeniable. According to the IoT Analytics "State of IoT—Spring 2023" report, "The number of global IoT connections grew by 18% in 2022 to 14.3 billion active IoT endpoints." This trend is expected to continue, with forecasts predicting around 29 billion IoT connections by 2027. The combination of AI and IoT offers a powerful synergy—while IoT enables devices to communicate over the internet, AI empowers these devices to learn from their data and experiences. Many businesses have already begun incorporating AI and IoT into their processes and products, recognizing the transformative potential of this dynamic duo.

About SEALSQ

SEALSQ focuses on selling integrated solutions based on Semiconductors, PKI and Provisioning services, while developing Post-Quantum technology hardware and software products. Our solutions can be used in a variety of applications, from Multi-Factor Authentication tokens, Smart Energy, Smart Home Appliances, Medical and Healthcare and IT Network Infrastructure, to Automotive, Industrial Automation and Control Systems.

Post-Quantum Cryptography (PQC) refers to cryptographic methods that are secure against an attack by a quantum computer. As quantum computers become more powerful, they may be able to break many of the cryptographic methods that are currently used to protect sensitive information, such as RSA and Elliptic Curve Cryptography (ECC). PQC aims to develop new cryptographic methods that are secure against quantum attacks. For more information, please visit www.sealsq.com.

Forward-Looking StatementsThis communication expressly or implicitly contains certain forward-looking statements concerning SEALSQ Corp and its businesses. Forward-looking statements include statements regarding our business strategy, financial performance, results of operations, market data, events or developments that we expect or anticipates will occur in the future, as well as any other statements which are not historical facts. Although we believe that the expectations reflected in such forward-looking statements are reasonable, no assurance can be given that such expectations will prove to have been correct. These statements involve known and unknown risks and are based upon a number of assumptions and estimates which are inherently subject to significant uncertainties and contingencies, many of which are beyond our control. Actual results may differ materially from those expressed or implied by such forward-looking statements. Important factors that, in our view, could cause actual results to differ materially from those discussed in the forward-looking statements include the expected success of our technology strategy and solutions for IoMT Security for Medical and Healthcare sectors, SEALSQ's ability to implement its growth strategies, SEALSQ's ability to continue beneficial transactions with material parties, including a limited number of significant customers; market demand and semiconductor industry conditions; and the risks discussed in SEALSQ's filings with the SEC. Risks and uncertainties are further described in reports filed by SEALSQ with the SEC.

SEALSQ Corp is providing this communication as of this date and does not undertake to update any forward-looking statements contained herein as a result of new information, future events or otherwise.

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