Investor PresentationOddo BHF Forum – January 10, 2019

2

THE SPEAKERS

Anne GABROT • CFO

20 years of experience as group CFO in the telecommunications sector andin technology start-ups.

Loic HAMON • Vice President of Corporate Dev. and Datacenter BU

20 years of experience in mobile technology, security and semiconductors, of which 10 years at Inside Secure et 12 years at Texas Instruments at strategic positions.

3

KALRAY IN A NUTSHELL

Designs processors at the heart of new intelligent systems

~70Employees of which ~60 engineers & PhDs

Financial and industrial shareholders

3officesGrenoble (France), Silicon Valley(Los Altos, USA), Tokyo (Japan)

23patent families* Pengpai

*Including 2 families with an exclusive global patent granted by the CEA until December 31, 2026

KALRAY:

The processor at the heart of new intelligent systems

5

WE ARE ENTERINGA NEW DIGITAL ERA

9 x MORE DIGITAL DATA CREATED

in the last 2 years than since the beginning of humanity1

It is critical to process this data in REAL TIME

through INTELLIGENT SYSTEMS

1 Deloitte Digital, Becoming an exponential organization (Sept. 2017)

6

INTELLIGENT SYSTEMS:A TECHNOLOGICAL DISCONTINUITY

COMPUTERS:APPLICATION PROCESSING

SMARTPHONES:CONNECTIVITY & MOBILITY

INTELLIGENT SYSTEMS: ANALYSIS &DECISION-MAKING

1970 1990 2020

7

A NEED FOR A NEW GENERATION OF PROCESSORSAT THE HEART OF INTELLIGENT SYSTEMS

PROCESSORSDESIGNED FOR LARGE APPLICATIONS

PROCESSORSDESIGNED FOR LOW CONSUMPTION

PROCESSORS DESIGNED FOR INTELLIGENTPROCESSING

1970 1990 2020

8

KALRAY, PIONEER OF INTELLIGENT PROCESSORS

9

USE CASE: THE INTELLIGENT CAR

1 GB OF DATA PROCESSED PER SECOND

RENAULT

Credit : Yannick BROSSARD

10

KALRAY’S INTELLIGENT PROCESSOR: THE OUTCOME OF 10 YEARS OF DEVELOPMENT

Academic EXCELLENCE

> 60 M€ R&D investment

> 350 person-years

23 patents families*

*incl. 2 families as an exclusive CEA license.

11

A COMPANY FOCUSED ON TWO MARKETS WITH VERY STRONG SHORT TERM POTENTIAL

DISRUPTIVE DOMAINS(opportunities for a new entrant)

A HIGH LEVEL OF TECHNOLOGICAL EXPECTATIONS(barrier to entry)

SIMILAR TECHNOLOGY(synergies)

A LIMITED NUMBER OFLARGE CUSTOMERS(market access)

Intelligent car

Intelligentdata center

12

A COMPANY ENGAGED IN A LARGE-SCALECOMMERCIAL DEPLOYMENT PHASE

Industrial processes in place in a fabless model

Certified hardware and software offering

Pengpai

Commercial opportunity validated by well-known corporate shareholders

Ambition€100Mof revenue

in 2022

13

Intelligent processors

KALRAY:

a disruptive technology

MANYCORE

Unlimited number of coreson a single chip

14

KALRAY, PIONEER OF MANYCORE PROCESSORS

TO CONTINUE AND IMPROVE PROCESSORS’ PERFORMANCE IN THE FUTURE, THE INDUSTRY MUST TURN TOWARD THE MANYCORE APPROACH

Few actorshave harnessed this technology

SINGLE CORE

1 coreon a single chip

MULTICORE

Dozens of cores on a single chip

15

WHAT MAKES THE KALRAY ARCHITECTURE UNIQUE

Computing power

Data processing in real time

Completion of dozens of critical tasks in parallel

Low power consumption

Programmable / Open system

Security & Safety

#1

#2

#3

#4

#5

#6

16

BOSTAN COOLIDGE -1 COOLIDGE -2 Dx

PROCESS 28 nm 16 nm 16 nm nm12 nm or

PERFORMANCE 1 TOPS 24 TOPS 48 TOPS / 96 TOPS 100 TOPS / 200 TOPS

USEBoards SC (40G)

Prototypes

Boards and storage chip controllers (100G)

Accelerator intelligent car

Qualification CarMarket DC - NFV

DC

CONSUMPTION (WATTS) 8W – 25W 5W – 15W 5W – 20W 2W – 10W

2018 2019 2020 2021

COMMERCIAL LAUNCH

UNDER DEVELOPMENT UNDER DEFINITION

COOLIDGE : ONGOING R&D FOR ACOMMERCIAL LAUNCH IN 2019

Major progress in very promisingapplication market segments

18

2018 MILESTONES

INTELLIGENT DATA CENTER

Successfull IPO,€ 47,7 M raised (1)

KALRAY first to receive

NVME-oF certification for a

fully integrated system (2)

(1) Including the over-allotment option exercised in July 2018 (€4.2 M)(2) KTC80 product has been certified by the NVM Express organization through the University of New Hampshire InterOperability Laboratory (UNH-IOL), an independent testing provider of standard conformance solutions and multi-vendor interoperability.

IPO COOLIDGE

Ongoing researchand developments

for commercial launch in

2019

Strong interest fromautomotive

industryfor Kalray’s solutions(Renault, Baidu, NXP, Fondation Autoware)

INTELLIGENTCAR

19

INTELLIGENT DATA CENTER :A MARKET WITH A TECHNOLOGICAL DISCONTINUITY

Explosion of data

Explosion of the number of machines

A need for speed

A technological breakthrough

A need for speed and intelligence to analyze data “on the fly”

SPEED

100X

HDD SSD

INTELLIGENTDATA CENTER

Intelligentacceleration boards

(1) Made up of: • 500 M€ SMART NIC market (“Serverless DPDK Public Report “, CAVIUM)• 500 M€ NVMe-OF Smart Adapter market (G2ME NVMe Market Report, 2017)

(2) Source: NVMe Market Sizing, G2ME Report, 2017

Target marketKALRAY

~ € 1Bin 2022(1)

CAGR 2017-21

+60%(2)

20

INTELLIGENT DATA CENTER : KEY COMPETITIVE ADVANTAGES

KALRAY: THE SOLUTION THAT BRINGS INTELLIGENCE “ON THE FLY” TO THE WORLD OF DATA CENTERS

First “NVMe-oF all-in-one” certified solution *

8x more powerful than the latest products announced by our competitors**

Power consumption below 20W***

* Kalray KTC80 has been certified in April 2018 by the independent certification Inter Operability Laboratory ((University of New Hampshire). No competitors’ products has been certified so far (www.iol.unh.edu/registry/nvmeof)** Kalray KTC80 : 288 cores @ 550MHz = 158GHz / Mellanox Bluefield : 16 cores @ 1.2GHz = 19.2GHz / Broadcom Stingray : 8 cores @ 2GHz = 16 GHz*** Kalray measurement of KTC80

INTELLIGENTDATA CENTER

Volume sales

21

MAJOR COMMERCIAL PROGRESS

EXAMPLES OF “CHIP” PROSPECTS

EXEMPLES OF “BOARD” PROSPECTS

Evaluations Selection Volume sales

H1 2019 H1 2020H2 2019H2 2018H1 2018

NVMe-oFCertification

Customerqualification

Softwares developmentsQualif

“BOARD CUSTOMERS”

“CHIP CUSTOMERS”

INTELLIGENTDATA CENTER

22

INTELLIGENT CAR:TOMORROW’S CAR RETHOUGHT

A need for performanceA need to consolidate the electronic functions of the car

Perf. increase

x100up to

x1,000

50 to 100 processors

per car today

NEEDS ESTIMATED BY MANUFACTURERS TODAY:BETWEEN 150 AND 300 TOPS

Target marketKALRAY

~€1.5Bin 2025(1)

INTELLIGENT CAR

(1) Source: JP Morgan, https://www.marketwatch.com/story/want-to-invest-in-self-driving-cars-check-out-the-chips-2016-08-26

CAGR 2019-2025

+75%(1)

2020 202220212019H2 2018

EXAMPLES OF TIER-1 COMPANIES

23

EXAMPLES OF CAR OEMs

Prototypes

EXAMPLES OF ACCESSORY MAKERS

Selection Qualification Volume Sales

Integration process of car manufacturers

INTELLIGENTCARTHE INTELLIGENT CAR:

PARTNERING WITH INDUSTRY LEADERS

24

STRONG INTEREST FROM THE INDUSTRYFOR KALRAY’S TECHNOLOGY

KALRAY JOINSAUTOWARE FOUNDATIONAS FOUNDING PREMIUM

MEMBER

INTELLIGENTCAR

STRATEGIC PARTNERSHIP TO

JOINTLY DEVELOP THE AI

PLATFORM REQUIRED FOR

AUTONOMOUS DRIVING

DEMONSTRATIONS OF NEW

ARTIFICIAL INTELLIGENCE

SOLUTIONS AND

ACCELERATION OF

PERCEPTION CAPABILITIES

25

H1 2018 results reflect the step-up in development programs

P&L AS OF JUNE 30, 2018

Sale of cards and development platforms to clients in product assessment or qualification phase.

As of June 30, 2018 : Differed subsidies revenue€ 3,072 K to be recognized in the next 24 months

In 2018 : +282 k€ of « personnel costs » due to recruitment

Of which non-conversion premium in 2018 : €2,070 K

26

1 Net operating result = Operating result + Research tax credit

30/06/17 30/06/18BOSTAN : 1,159 k€ 725 k€COOLIDGE : 828 k€ 1,777 k€

In 2018 : + €555 K R&D subcontractors (design & development) and + € 97 K of licences for design tools.

Consolidated (in K€) June 30, 2017 June 30, 2018

Net sales 475 322

R&D capitalization 1,987 2,502

Subsidies 875 853

Total revenue 3,337 3,677

Cost of sales (159) (81)

Operating expenses (4,674) (5,652)

Including salaries & contributions (2,870) (3,152)

Including other expenses (1,804) (2,500)

Amortization (2,467) (2,107)

Operating result (3,963) (4,163)

Taxes (including research Tax Credit) 915 1,385

Net operating result1 (3,048) (2,778)

Financial result (63) (2,275)

Exceptional result (529) (26)

Net result (3,640) (5,079)

27

CASH FLOW STATEMENT AS OF JUNE 30, 2018

27

Consolidated – (In K€) Dec. 31, 2017 June 30, 2018

Operating CF before Capex & WC variation (2,339) (1,464)

Change in working capital (97) (1,469)

Capex (6,833) (4,355)

Free cash-flow (9,269) (7,288)

Net cash from investors 10,828 36,946

Debt reimbursement 584 (378)

Exchange differences 8 2

Cash flow from financing activites 11,420 36,570

Annual cash in (cash out) 2,151 29,282

Cash beginning of period 803 2,954

Cash end of period 2,954 32,236

Before exercise of over-allotment option (€ 4.2 M)

Including € 1,388 K prefinancing of CIR (research tax credit) in 2017, not in 2018

28

BALANCE SHEET AS OF JUNE 30, 2018

1 Of which Coolidge project for €7,580 K

Before exercise of over-allotment option (€ 4.2 M) in July 2018

Consolidated (in K€) 2017/12/31 2018/06/30 2017/12/31 2018/06/30

NON CURRENT ASSETS 12,076 14,335 EQUITY (335) 35,322

Intangible assets1 9,649 11,974 Provisions 18 18

Tangible assets 1,973 1,911 R&D refundable advances 6,354 6,067

Financial assets 454 450 Shareholders accounts 1,596 0

CURRENT ASSETS 5,316 36,148 Bank loans 548457

Inventories 239 249 Accounts payable 4,237 3,961

Accounts receivable 133 176 Taxes & contrib. payable 1,388 1,729

Other receivables (CIR, CICE, subsidies) 1,990 3,487 TOTAL LIABILITIES 14,141 12,232

Cash 2,954 32,236

Accrued expenses 138 145 Deferred revenue (subs.) 3,723 3,073

TOTAL ASSETS 17,530 50,628 TOTAL LIABILITIES & EQUITY 17,530 50,628

29

KALRAY ON STOCK EXCHANGE

MARKET DATA SHAREHOLDING AS OF DECEMBER 28, 2018

Market : Euronext Growth (Paris)

Name : KALRAY

ISIN : FR0010722819

Ticker: ALKAL

Stock price: €11.60 (as of Dec.28, 2018)

Market cap : € 50.3 M (as of Dec.28, 2018)

Number of shares: 4,526,890

Potential dilution : 285,304

NEXT INVESTORS DATES

January 22, 2019 : Activity in the second half of 2018

April 11, 2019 : Annual Results 2018

May 16, 2019 : Annual General Shareholders Meeting

July 17, 2019 : Activity in the first half of 2019

12,2%

Private investors4

37,2%

Financial

investors1

22,2%

Corporate investors2

28,3%

Public

1 ACE Management, CEA Investissement, Inocap, Helea Financière, Eurekap!, Compagnie du Planay, Myropola, Paminove and L’Ermigaud2 Pengpai, Safran, MBDA3 Private investors including founders, employees and members of the Supervisory Board4 Pengpai, Safran, MBDA, Alliance Ventures

Outlook

CO

OLI

DG

E-1

Volume storage cardsCar prototypeCoolidge 1

31

STRONG AMBITIONS AND A STEPPED APPROACH IN BOTH TARGETED MARKET SEGMENTS

2018 2019 2020 2021 2022

Customer qualificationStorage cardcertification

BO

STA

N

Volume commercial

launch

Balanced operating Result 1

CO

OLI

DG

E-2

Commercial launch

Intelligent data centerIntelligent car ramp-up

> €100Mof revenue

1 Balanced operating result = operating income + CIR (French research tax credit

90%

10%

100,000 boards

100,000 chips

APPENDICES

33

#1 COMPUTING POWER

Computing power

Data processing in real time

Completion of dozensof critical tasks in parallel

Low power consumption

Programmable / Open system

Security & Safety

AN ARCHITECTURE BUILT FOR VERY HIGH PERFORMANCE

Artificial intelligence performance

(1) Power of Coolidge 80 (2) Coolidge 80 vs. figure release for latest GPU XAVIER available mid-2018 per chip size(3) Vs. Market PC

Performance

24TOPS(1)

X3(2)

X2,000(3)

34

#2 REAL TIME

Fluiddata traffic

A "NETWORK-ON-CHIP" TECHNOLOGYBASED ON FAST AND DETERMINISTIC

DATA SHARING

Computing power

Data processing in real time

Completion of dozensof critical tasks in parallel

Low power consumption

Programmable / Open system

Security & Safety

35

#3 PARALLEL

Computing power

Data processing in real time

Completion of dozensof critical tasks in parallel

Low power consumption

Programmable / Open system

Security & Safety

Up to80independent critical

functions on a single processor

AN ARCHITECTURE ENSURINGCOMPLETE ISOLATION

BETWEEN CORES

36

#4 CONSUMPTION

UNRIVALLED COMPUTING POWERVS. CONSUMED ENERGY

AT THIS LEVEL OF PERFORMANCE

Computing power

Data processing in real time

Completion of dozensof critical tasks in parallel

Low power consumption

Programmable / Open system

Security & Safety

(1) Source: “An Instruction Level Energy Characterization of ARM Processors”, ARM Cortex, FORTH-ICS/TR-450, March 2015 (ARM Cortex A15 & ARM Cortex A7)(2) Source: Measured on Matrix Multiply EPI Test + Source Bill Dally, “To ExaScale and Beyond” – Nvidia

12xbetter energyconsumption

37

#5 PROGRAMMABLE

Computing power

Data processing in real time

Completion of dozensof critical tasks in parallel

Low power consumption

Programmable / Open system

Security & SafetyUnlike proprietary languages such as CUDA TM by NvidiaTM

SUPPORT OF STANDARD LANGUAGESAND OPEN-SYSTEM

INDUSTRY SPECIFICATIONS

Scalability & flexibility

38

#6 SECURITY & SAFETY

Computing power

Data processing in real time

Completion of dozensof critical tasks in parallel

Low power consumption

Programmable / Open system

Security & Safety

AN ARCHITECTURE BUILT,FROM THE START, FOR SECURITYAND SAFETY WITH AEROSPACE

AND DEFENSE SPECIALISTS

39

A TECHNOLOGY PROTECTEDBY 23 PATENT FAMILIES

The way in which the processor architecture,

as executed on a large number of cores,

is built and improved

MANYCOREARCHITECTURE

The way in which the cores of manycore processors are built and improved

MANYCORECORES

The way in which cores are connected with each other

and interfaces, providing safety, determinism

and low latency

MANYCOREINTERCONNECT

*Exclusive global patent granted by the CEA until December 31, 2026, bearing in mind that if the list of licensed components remains compliant, and short of substantial modifications to the

business plan, the parties are committed to maintaining the application of the financial conditions as they exist on the date of expiry. When the cumulative amount of royalties paid by the

company reaches €1.5M, KALRAY will have an option to purchase all, or part of the specific patents granted, exercisable at any time. The Parties shall meet as early as possible to agree on a

cost price that cannot be superior to the amount of royalties that would have been paid out to the CEA had no purchase been carried out in the years following the exercise of the purchase

option until the expiry of the current license, for the relevant patents, based on a realistic business plan, and having deducted the maintaining costs in effect which the CEA should have

covered for the period in question.

21 proprietary families + 2 families with an exclusive CEA license*

0

100

200

300

400

500

600

700

2016 2017 2018 2019 2020 2021

40

Intelligent acceleration cards

INTELLIGENTDATA CENTER

STORAGE SMARTCARDS (NVMe-oF Adapters)

“SMARTNIC” CARDS (Networking)

Worldwide sales in $M

0

100

200

300

400

500

600

700

2016 2017 2018 2019 2020 2021 2022

Worldwide sales in k units

(1) Made up of: • 500 M€ SMART NIC market (“Serverless DPDK Public Report “, CAVIUM)• 500 M€ NVMe-OF Smart Adapter market (G2ME NVMe Market Report, 2017)

(2) Source: NVMe Market Sizing, G2ME Report, 2017

Target marketKALRAY

~ € 1Bin 2022(1)

CAGR 2017-21

+60%(2)

INTELLIGENT DATA CENTER :A FAST GROWING MARKET

41

INTELLIGENT CAR: KALRAY’S COMPETITIVE EDGE

KALRAY: A PLATFORM CAPABLE OF INTEGRATING A MULTITUDE OF CRITICAL FUNCTIONSAND OF PROVIDING THE PERFORMANCE REQUIRED BY THE INDUSTRY IN A SINGLE CHIP

0

1

2

3

4

5

Computing power /Consumption

Real time /

Predictability

Optimized costParallel mutitasking

Programmability

● KALRAY● GPU● SoCs

● Neurochips

INTELLIGENT CAR

42

SCALABLE REVENUE SOURCES

CHIPS

LICENSES OF TECHNO. CHIPS

• Server manufacturers

• Preseries of autonomous vehicles

• Larges series of autonomous vehicles

€1,000

x €100

x €10

€10,000 x dozens

x thousands

x100 thousands

x10 millions

• All

• Server integrators

$Potential annual volumesUnit price*Customer

BOARDS

DEVELOPMENT PLATFORMS

2020

2022

2019

*Reference prices based on the type of solution sold

43

AN ORGANIZATION AROUND COMPLEMENTARY EXPERTISE

9%Support & Services

50%R&D

11%Support functions

30%Commercial, Marketing and client applications

Eric BAISSUS • CEO20 years of experience in telecommunications (Alcatel-Lucent) and electronics (Texas Instruments). Founder and CEO of Open-Plug (2002)

Loïc HAMON • Vice President of Corp. Development and Datacenter BU20 years of experience in mobile technology, security and semiconductors

Anne GABROT • CFO20 years of experience as group CFO in the telecommunications sector and in technology start-ups

Benoît DE DINECHIN • CTO20 years of experience in IT systems and processor architecture (ST Micro Fellow, Cray Research)

Randy SKELLEY • VP Intelligent Storage BU30 years of experience in data storage, networking and security (Qlogic (Cavium), Quantum, Chelsio, Clearpath & ATTO)

Stéphane CORDOVA • VP Intelligent Car BU20 years of experience in semiconductors (ST Microelectronics and ST Ericsson)

EXECUTIVE COMMITTEE

70 STAFF MEMBERS

KALRAY S.A. GRENOBLE, FRANCE

180 avenue de l’Europe38330 Montbonnot Saint Martin , FranceTel: +33 (0)4 76 18 09 18 email: info@kalray.eu

KALRAY INC. LOS ALTOS, CA, USA

4962 El Camino Real Los Altos, CA - USATel: +1 (650) 469 3729 email: info@kalrayinc.com

MPPA, ACCESSCORE and the KALRAY logo are trademarks or registered trademarks of Kalray in various countries. All trademarks, service marks, and trade names are the marksof the respective owner(s), and any unauthorized use thereof is strictly prohibited. All terms and prices are indicative and subject to any modification without notice.

KALRAY JAPAN - KKrepresented by MACNICA Inc. Strategic Innovation GroupMacnica Building, No.1, 1-6-3 Shin-YokohamaKouhoku-ku, Yokohama 222-8561, JapanTel: +81-45-470-9870