4DS MEMORY LIMITED — Investor Presentation 2017

Mar 16, 2017

Developing next generation storage class memory MacEquity Partners March 2017

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Disclaimer and important notice

This presentation has been prepared by 4DS Memory Limited. (“4DS” or the “Company”) based on information available to it as at the date of this presentation. The information in this presentation is provided in summary form and does not contain all information necessary to make an investment decision.

This presentation does not constitute an offer, invitation, solicitation or recommendation with respect to the purchase or sale of any security in 4DS, nor does it constitute financial product advice or take into account any individual’s investment objectives, taxation situation, financial situation or needs. An investor must not act on the basis of any matter contained in this presentation but must make its own assessment of 4DS and conduct its own investigations. Before making an investment decision, investors should consider the appropriateness of the information having regard to their own objectives, financial situation and needs, and seek legal, taxation and financial advice appropriate to their jurisdiction and circumstances. 4DS is not licensed to provide financial product advice in respect of its securities or any other financial products. Cooling off rights do not apply to the acquisition of 4DS securities.

Although reasonable care has been taken to ensure that the facts stated in this presentation are accurate and that the opinions expressed are fair and reasonable, no representation or warranty, express or implied, is made as to the fairness, accuracy, completeness or correctness of the information, opinions and conclusions contained in this presentation. To the maximum extent permitted by law, none of 4DS, its officers, directors, employees and agents, nor any other person, accepts any responsibility and liability for the content of this presentation including, without limitation, any liability arising from fault or negligence, for any loss arising from the use of or reliance on any of the information contained in this presentation or otherwise arising in connection with it.

any responsibility or obligation to inform you of any matter arising or coming to their notice, after the date of this presentation, which may affect any matter referred to in this presentation.

The distribution of this presentation may be restricted by law and you should observe any such restrictions. Forward looking statements

This presentation contains certain forward looking statements that are based on the Company’s management’s beliefs, assumptions and expectations and on information currently available to management. Such forward looking statements involve known and unknown risks, uncertainties, and other factors which may cause the actual results or performance of 4DS to be materially different from the results or performance expressed or implied by such forward looking statements. Such forward looking statements are based on numerous assumptions regarding the Company’s present and future business strategies and the political and economic environment in which 4DS will operate in the future, which are subject to change without notice. Past performance is not necessarily a guide to future performance and no representation or warranty is made as to the likelihood of achievement or reasonableness of any forward looking statements or other forecast.

To the full extent permitted by law, 4DS and its directors, officers, employees, advisers, agents and intermediaries disclaim any obligation or undertaking to release any updates or revisions to information to reflect any change in any of the information contained in this presentation (including, but not limited to, any assumptions or expectations set out in the presentation).

The information presented in this presentation is subject to change without notice and 4DS does not have

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Every second of every day...

6000 tweets

7000 Instagram posts

12,000 Tumblr posts 60,000 Google searches

68,000 YouTube videos viewed

2,500,000 emails sent

5,000 photos uploaded

2,500 Skype calls

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68,000 YouTube 6 tweets videos viewed More data has been produced in the

2,500,000 emails sent

last two years than in all preceding 770 Instagram posts history

5,000 photos uploaded

12,000 Tumblr posts Stored data on Flash will increase 4x 2,500 60,000 Skype calls and in cloud 5x by 2020 Google searches

4DS Memory

We are a Silicon Valley memory technology developer listed on the ASX We own 17 US patents developed over the past decade We make Interface Switching (non-filamentary) ReRAM for next generation storage class memory We enable higher-density memory to operate cooler, faster and longer We have a strategic partnership with Western Digital subsidiary HGST, a global storage leader

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Joint development agreement with global leader

• HGST is a subsidiary of Western Digital Corporation, the global leader in digital storage

• Strategic player in emerging high growth technologies

• Commenced in 2014 and renewed for the 2[nd] time in July 2016

• Goal is to optimise 4DS memory technology for storage class memory

• Collaboration provides access to HGST’s expertise

• Cost effective way to demonstrate commercial viability of 4DS’ unique IS ReRAM technology

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To have a role in the emerging multibillion $ market

• All ReRAM needs to display four main characteristics

• Small cell geometry

• Cycling endurance

• Fast access speed

• Data Retention

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Storage Class Memory

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Storage Class Memory

Storage Class Memory	Storage Class Memory
The vast space between DRAM and FLASH
	DRAM	NAND FLASH
Endurance	≈ 1015	≈ 103(guaranteed)
Retention	≈ 0.1 sec	≈ 108sec (3 years)
Latency (speed)	≈ 50n sec	> 1000n sec
Density	2D	3D
Market size	US$50B	US$40B

4DS continues to optimize IS ReRAM for maximum flexibility in this vast space of SCM

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4DS Interface Switching ReRAM (IS ReRAM)

Why is 4DS IS ReRAM the solution?

• Operates without filaments

• allows the current to scale in line with cell sizedevice

• Scales well to smaller geometries

• well suited for GB storage

• Demonstrates ongoing scalability potential – critical to meet the growing demands for storage class memory

• 4DS Memory

technology The benefits of 4DS IS ReRAM

• Higher density / scalability

• Lower power consumption

• Greater endurance and reliability

With higher density memory that runs cooler, faster, longer, 4DS is well positioned to target the emerging multibillion-dollar Storage Class Memory market

• Faster access speed and performancestorage

• Simpler manufacturing steps

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Technical Achievements in 2016

• Scalablity

• 4DS achieved working 40nm IS ReRAM cells for the first time in October 2016

• 40nm is vital for storage class memory – as the cells have no filaments, they are inherently scalable and do not have the same physical limitations as Flash or Filamentary ReRAM

• – Scalability essential for Storage Class Memory

• Endurance

• 1000 cells of different geometries showed excellent endurance cycling, some individual cells cycling well in excess of 100,000 cycles

• Endurance is a another critical feature to ensure application in Storage Class Memory

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Technical Targets to Achieve

• Access speed

• Demonstrate a significant increase in speed

• Move speed to closer to DRAM speed

– Have implemented a plan to achieve this – results 6 – 8 weeks

– From there make architectural changes to memory cells

• Data retention

• Initial results are encouraging

• Additional data retention will be a focus following analysis of access speed

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Development timeline

- Produced 40nm cells - Met endurance performance milestone - Endurance in excess of 100,000 - Initial retention data - JDA with Western Digital subsidiary HGST renewed to 30 June 2017	- Assess access speed and optimise data retention - Continue to test cells for cycling over well in excess of 100,000 cycles - Continue fabrication refinements, characterization and testing	- Additional patents to be granted - Demonstrate viability of 4DS IS ReRAM for SCM - Attract a potential IP licensing deal or strategic partnership / sale 2017 goals
Today	Ongoing

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Our strategy

• Deliver higher density memory that operates with lower power consumption, increased reliability and improved performance

• Develop and own all IP

• Focus on storage class memory for next generation data storage

• Demonstrate commercial viability and prove the value of our IS ReRAM solution

• Create significant shareholder value by continuing to achieve all critical technical milestones and potentially commercialise the technology in 2017

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ReRAM landscape

Company	Exchange : Code	Market Cap	Type	Target Market
Crossbar	Private	n/a	Filamentary ReRAM	Internet of Things, wearables, SSDs
Weebit Nano	ASX : WBT	A$35 million	Filamentary ReRAM	Internet of Things, wearables
Adesto Technologies	NASDAQ : IOTS	US$56.6 million	Filamentary ReRAM	Internet of Things
Strategic Elements	ASX : SOR	A$21 million	Nano cube ReRAM	Printable memory
4DS Memory	ASX : 4DS	A$22 million	Non-filamentary ReRAM	Storage class memory - datacentre, cloud

Recent transactions

Acquirer	Transaction	Date	Value	Technology	Market
Western Digital	Acquired startup Virident	2013	US$685 million	Flash controllers	Cloud
Western Digital	Acquired sTec	2013	US$340 million	Solid state drives	Cloud
Seagate	Acquired LSI	2014	US$540 million	Flash controllers	Mobile
Cypress	Merger with Spansion	2015	US$5 billion	Flash memory	Flash systems
Western Digital	Acquired Sandisk	2016	US$19 billion	Flash memory	Cloud

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.

Capital structure ASX Code 4DS Market capitalisation (fully diluted) $22 million Ordinary shares on issue 845.9million Unlisted options 101.6 million Cash ~$3.8 million Dec 2016

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Board and management team Global expertise founding and building high-tech companies

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Jim Dorrian

Non-Executive Chairman

Served as CEO and director of several Silicon Valley companies. M&A and IPO experience gained through founding and managing successful technology exits as a partner at Crosspoint Venture Partners, a venture capital firm for early stage companies.

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Dr Guido Arnout CEO & Managing Director

Specific expertise with over 30 years in commercialising electronics technology from concept to product including Power-Escape, CoWare, CrossCheck Technology and Silvar-Lisco.

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Howard Digby Non-Executive Director

Former senior roles at IBM, Adobe, Gartner and the Economist Group. NonExecutive Director of Estrella Resources (ASX:ESR) and an advisor to a number of early stage technology companies.

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David McAuliffe Executive Director

Experienced company director. Involved in numerous capital raisings and in-licensing of technologies and founder of several companies in Australia, France and the UK, many of which are now publicly listed.

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Michael Van Buskirk Chief Engineering Officer

Executive roles with a number of leading memory companies in Silicon Valley including Adesto Technologies Corporation, Innovative Silicon Inc and Spansion Inc.

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Summary

• 4DS is developing a next generation Interface Switching ReRAM memory solution which can store more data and can operate cooler, faster and longer

• Unique, patented IP, wholly owned and developed in-house over the past 10 years

• Strategic partnership with the leader in digital storage

• Low cash burn rate for an emerging memory technology developer

• World-class team of memory specialists, material scientists and test engineers

• Consistently achieves stated milestones

• Board experienced in founding, building and exiting high tech companies

• 4DS is well positioned to potentially play a significant role in storage class memory

We are addressing the massive memory storage demands of tomorrow

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Corporate Directory

4DS Memory Limited Registered office US office ABN 43 145 590 110 Level 2, 50 Kings Park Road 3155 Skyway Court Fremont CA 94539 West Perth WA 6005 ASX Code: 4DS UNITED STATES AUSTRALIA www.4dsmemory.com PO Box 271, david@4dsmemory.com West Perth WA 6872 AUSTRALIA +61 8 6377 8043

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