Kopin Corp Canaccord Genuity's 46th Annual Growth Conference

Sure. Many of the investor meetings that I start off usually start with, "Oh, I know Kopin from 1996, 2006, 2016," because Kopin's a 40-year-old company started by Dr. Fan out of MIT Lincoln Laboratory. I took the company over just over four years ago now. By background and introduction, I'm a turnaround CEO by trade. I spent over a decade at a company called Analog Devices here in Massachusetts. Did a little bit of work with the NSA in Type 1 cryptography thereafter, and worked at a company called Ultra Electronics, which most of you don't know, but it's a 100-year-old defense company out of the U.K., which we sold to Advent here in Boston for $2.5 billion, which they just actually resold for $10 billion, so they did all right in that. Kopin right now is focused on microdisplay development.

We build four different types of microdisplays here in the United States: LCD, OLED, ferroelectric liquid crystal on silicon, and MicroLEDs, which is our big franchise that we're developing. We invented a fifth kind, Austin, which is the bidirectional microdisplay called NeuralDisplay, which actually was the birthplace of our Neural I/o chip, which we partnered with our friends over at Fabric.AI to develop, which is a 1.6 terabit AI GPU transceiver.

Sure. So brightness as a spec, the displays that you are all probably looking at right now. Roughly speaking, I am going to use a rough term in terms of nits. It is about 1,000 nits of brightness that you are looking at right now. That is a common LCD type of brightness. OLED, very bright. We can get up to roughly 20,000 nits of brightness with the top-end device that we can build. The problem with organic light-emitted diodes is they are organic. They are like your teeth, your bones. If I push a lot of current through them, they will start to degrade over time. It is just physics. The more current and brightness you push through an OLED, the dimmer it gets over time. If you are flying an aircraft, that is a real bad thing. You want to move to a MicroLED.

Our current MicroLED that we actually demonstrated here at our tech day yesterday is capable of 1.8 million nits of brightness, which is 3.8 foot-lamberts of brightness. That is basically a laser, for lack of a better term. Because these tiny little pixels act like a laser, that is why we can use them as a data-centric type of medium.

Sure. So for those that do not know, Kopin received a $15 million Industrial Base Analysis and Sustainment Act award, which is basically the Department of War reshoring a lot of capability here in the U.S. that necessarily we may not invest in on our own. That production line is now being assembled in Westborough, Massachusetts. We received our custom-made bonder actually last quarter. It is now being implemented. At its peak, with the current structure that it is, we believe it can turn out about 160,000 wafers per year. Depending on the size of the chips that we will produce on those wafers, we could receive up to several million units per year.

Yeah, great question. One that I got pretty much every investor meeting today. Our friends from UMAC aren't here yet, so I'll talk badly about them first. Working with the Drone Dominance Program with The Pentagon, essentially these are all focused one-way drones or OWA drones. Essentially they're bullets, folks. They're not coming back. Those types of drones, the U.S. government wants to build around 3 million drones next year of this class. The Drone Dominance Program is all online. You can actually look it up and see the Drone Dominance Gauntlet winners. Currently, Kopin is supplying headsets to one of the top 3. They've already supplied 6,000 drones to The Pentagon, and we've supplied headsets to go along with them. Kopin right now is in 5 of the top 10 in the current gauntlet.

What we've learned is the ratio, depending on the size of the drone, if it's a 1 foot and below, the ratio is about 1 to 10 drones. So 1 headset for every 10 drones. If it's a foot or bigger, it's about a 1 to 20 relationship, so 1 headset for 20 drones. The reason that is the ordinance and the size of the drone itself and the use cases that we see. It's public knowledge that Ondas and UMAC are investors in Kopin, as well as a company called Theon International, who most of you probably do not know. They are a Greece-based company, and a major supplier to NATO. We're working with all 3 companies on headsets to drive essentially and pilot their drones.

To give you a sense, next year we're guiding to about $10 million of revenue, at least in our first-person viewer drone goggles. If more of the drone dominance competitors win that use our headset, that could go to $50 million of revenue next year. We don't know who's going to win the next gauntlet. That's up to them. All we can do is supply them our headsets and wish them well. Did I answer your question?