MoU with European Satellite Operator

EnSilica plc (AIM:ENSI), a leading chip maker of mixed signal ASICs (Application Specific Integrated Circuits), is pleased to announce it has signed a binding Memorandum of Understanding ("MoU") with a major European satellite operator to support its chipset requirements. The MoU includes a contract for the feasibility study for a high-value satellite payload ASIC.

The feasibility study contract will commence this month, with non-recurring engineering revenues falling into EnSilica's current and next financial years. A positive outcome in the feasibility study is likely to lead to the significant development of an ASIC used in the payload of a communications satellite.

EnSilica has a specialist business unit focused on radio frequency (RF) and communications, with key differentiated technology and experience for chips used for satellite payloads, user terminals, modems and receivers for positioning and timing (PNT). The Company expects increased market activity across these areas as the technologies, critical for defence and government applications, are growing in importance given the ongoing geopolitical tensions.

Ian Lankshear, CEO of EnSilica, commented:

"We're delighted to announce this significant agreement with one of Europe's leading satellite operators focused on developing a specialist chip to be used in a satellite payload, starting with a feasibility study. This custom chip is intended to provide key differentiation to the satellite operator's services, enhancing its market offering.

The satellite communications sector has had significant private and government investments, driven in part by the current geopolitical instability, with chips as integral components of technologies used for defence and government purposes. EnSilica will continue to explore commercial opportunities across this rapidly growing market."