The Agreement with Global Tier One Supplier Includes Development Collaboration on Fixed Wireless Access Devices Using GCT’s 5G Chipsets

SAN JOSE, Calif.--(BUSINESS WIRE)--Aug. 20, 2024-- GCT Semiconductor Holding Inc. (“GCT” or the “Company”) (NYSE: GCTS), a leading designer and supplier of advanced 5G and 4G semiconductor solutions, announced today the execution of a memorandum of understanding (“MOU”) with a tier one worldwide infrastructure and terminal provider (the “Tier One Supplier”) to collaborate on the development of Fixed Wireless Access (“FWA”) technology using GCT’s 5G solutions including modem chipset and RFIC. The Company expects to close a definitive agreement before the end of 2024.

“With the continued 5G network expansion around the globe, there is a strong demand for faster and high-performing FWA technology and 5G devices,” said John Schlaefer, CEO of GCT. “We are excited to continue our relationship with this key customer and look forward to working closely together as they roll out their 5G offering with GCT chipsets in 2025.”

The MOU extends GCT’s existing relationship with this Tier One Supplier to include 5G chipsets, and collaboration on developing unique performance-enhancing features for FWA devices. The Company expects the launch of FWA devices related to this activity to commence in the second half of 2025.

About GCT Semiconductor Holding, Inc.

GCT is a leading fabless designer and supplier of advanced 5G and 4G LTE semiconductor solutions. GCT’s market-proven solutions have enabled fast and reliable 4G LTE connectivity to numerous commercial devices such as CPEs, mobile hotspots, routers, M2M applications, smartphones, etc., for the world’s top wireless carriers. GCT’s system-on-chip solutions integrate radio frequency, baseband modem and digital signal processing functions, therefore offering complete 4G and 5G platform solutions with small form factors, low power consumption, high performance, high reliability, and cost-effectiveness. For more information, visit www.gctsemi.com.

Cautionary Statement Regarding Forward-Looking Statements

This press release contains certain forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1955. These forward-looking statements include, without limitation, statements regarding Tier One Supplier, FWA and 5G market opportunities and timing of definitive agreement. Words such as "believe," "project," "expect," "anticipate," "estimate," "intend," "strategy," "future," "opportunity," "plan," "may," "should," "will," "would," "will be," "will continue," "will likely result," and similar expressions are intended to identify such forward-looking statements. Forward-looking statements are predictions, projections and other statements about future events that are based on current expectations and assumptions and, as a result, are subject to significant risks and uncertainties that could cause the actual results to differ materially from the expected results. Most of these factors are outside the Company's control and are difficult to predict. Factors that may cause actual future events to differ materially from the expected results, include, but are not limited to: the ability of the Company to develop its 5G products and generate revenue; the ability of the Company to enter into and meet the obligations under partnership and collaboration agreements; the ability of the Company to grow and manage growth profitability and retain its key employees; the Company's financial and business performance, including the Company's financial projections and business metrics; changes in the Company's strategy, future operations, financial position, estimated revenues and losses, forecasts, projected costs, prospects and plans; the Company's inability to anticipate the future market demands and future needs of its customers; the impact of component shortages, suppliers' lack of production capacity, natural disasters or pandemics on the Company's sourcing operations and supply chain; the Company's future capital requirements and sources and uses of cash; the ability of the Company to raise sufficient capital to fund its operations; the ability to implement business plans, forecasts, and other expectations, including the growth of the 5G market; the risk that the Company may not be able to repay its debt; the risk of economic downturns that affects the Company's business operation and financial performance; the risk that the Company may not be able to develop and design its products acceptable to its customers; actual or potential conflicts of interest of the Company's management with its public stockholders; and other risks and uncertainties indicated from time to time in the Company's filings with SEC, including registration statements on Form S-1 and quarterly reports on Form 10-Q and those disclosures under the "Risk Factors" sections therein. The foregoing list of factors is not exhaustive. Forward-looking statements speak only as of the date they are made. Readers are cautioned not to put undue reliance on forward-looking statements, and the Company assumes no obligation and does not intend to update or revise these forward-looking statements, whether as a result of new information, future events, or otherwise.

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GCT Semiconductor Contacts:
Investor relations website: investors.gctsemi.com
Investor relations contact: Gateway Group, Matt Glover & Ralf Esper, GCT@gateway-grp.com
Media contact: Sophie Heerinckx, sheerinckx@gctsemi.com

Source: GCT Semiconductor Holding Inc.