Sequans Communications S.A. (SQNS): Business Model Canvas

In der sich schnell entwickelnden Landschaft der drahtlosen Kommunikationstechnologien erweist sich Sequans Communications S.A. (SQNS) als zentraler Akteur und positioniert sich strategisch an der Schnittstelle von 5G, IoT und modernstem Halbleiterdesign. Dieses innovative Unternehmen hat sorgfältig ein Geschäftsmodell entwickelt, das komplexe Herausforderungen der drahtlosen Konnektivität in elegante, leistungsstarke Lösungen umwandelt und auf kritische Märkte abzielt, die von der industriellen Automatisierung bis zur Automobilelektronik reichen. Durch die Nutzung seiner fortschrittlichen Halbleiterkompetenz und seines robusten Portfolios an geistigem Eigentum verkauft Sequans nicht nur Chips, sondern gestaltet die Zukunft der globalen Konnektivität.

Sequans Communications S.A. (SQNS) – Geschäftsmodell: Wichtige Partnerschaften

Halbleiterhersteller

Sequans unterhält strategische Partnerschaften mit führenden Halbleiterherstellern, um seine Konnektivitätslösungen zu unterstützen.

Partner	Partnerschaftsfokus	Technologiezusammenarbeit
Qualcomm	Entwicklung von 5G/4G-Chipsätzen	Snapdragon X55-Modemplattform
MediaTek	IoT-Konnektivitätslösungen	NB-IoT- und LTE-M-Chipsätze

Anbieter von Telekommunikationsausrüstung

Sequans arbeitet mit mehreren Anbietern von Telekommunikationsausrüstung zusammen, um die Fähigkeiten der Netzwerkinfrastruktur zu verbessern.

• Nokia-Netzwerke
• Ericsson
• Huawei-Technologien

Entwicklungspartner für 5G- und IoT-Technologie

Zu den wichtigsten Kooperationen bei der Technologieentwicklung gehören:

Partner	Art der Zusammenarbeit	Technologiefokus
Orange	IoT-Netzwerktests	LTE-M- und NB-IoT-Lösungen
Vodafone	Validierung der IoT-Konnektivität	Massive maschinenartige Kommunikation

Cloud-Service-Anbieter

Sequans lässt sich in Cloud-Plattformen integrieren, um IoT- und 5G-Konnektivitätslösungen zu unterstützen.

• Amazon Web Services (AWS)
• Microsoft Azure
• Google Cloud-Plattform

Betreiber drahtloser Netzwerke

Strategische Partnerschaften mit globalen Mobilfunknetzbetreibern:

Betreiber	Geografische Region	Netzwerktechnologie
Deutsche Telekom	Europa	NB-IoT-Bereitstellung
China Mobile	Asien	5G IoT-Infrastruktur
Verizon	Nordamerika	LTE-M-Netzwerk

Sequans Communications S.A. (SQNS) – Geschäftsmodell: Hauptaktivitäten

Halbleiterchipdesign für Mobilfunktechnologien

Ab dem vierten Quartal 2023 konzentriert sich Sequans Communications auf das spezialisierte Halbleiterchip-Design für IoT- und Industrieanwendungen. Das Unternehmen hat spezifische Chiparchitekturen für verschiedene Segmente der Mobilfunktechnologie entwickelt.

Kategorie „Chipdesign“.	Jährliche Investition	Designteams
IoT-Konnektivitätschips	12,4 Millionen US-Dollar	37 Ingenieure
Industrielle Modem-Chips	8,7 Millionen US-Dollar	24 Ingenieure

Entwicklung von 5G- und 4G-LTE-Modems

Sequans ist auf die Entwicklung fortschrittlicher Modemchips über mehrere Mobilfunkgenerationen hinweg spezialisiert.

• Entwicklungsbudget für den 5G Monarch-Chipsatz: 16,2 Millionen US-Dollar
• Investition in die 4G LTE Calliope-Plattform: 9,5 Millionen US-Dollar
• Gesamtausgaben für Modem-F&E im Jahr 2023: 25,7 Millionen US-Dollar

Forschung und Entwicklung im Bereich drahtlose Konnektivität

Das Unternehmen investiert weiterhin erheblich in die Forschung zur drahtlosen Konnektivität.

F&E-Schwerpunktbereich	Jährliche Ausgaben	Patentanmeldungen
Drahtlose Konnektivität	22,1 Millionen US-Dollar	43 neue Patente

Produktentwicklung und -prüfung

Strenge technische Prozesse gewährleisten hochwertige Halbleiterlösungen.

• Größe des Ingenieurteams: 129 Fachleute
• Jährliche Investition in die Testinfrastruktur: 5,6 Millionen US-Dollar
• Budget für Qualitätssicherung: 3,2 Millionen US-Dollar

Geistiges Eigentumsmanagement

Sequans verfolgt eine solide Strategie für geistiges Eigentum.

IP-Kategorie	Gesamtportfolio	Jährliche Schutzkosten
Halbleiterpatente	287 aktive Patente	2,9 Millionen US-Dollar

Sequans Communications S.A. (SQNS) – Geschäftsmodell: Schlüsselressourcen

Fortschrittliche Kompetenz im Halbleiterdesign

Sequans Communications unterhält ein spezialisiertes Halbleiterdesignteam mit spezifischer Expertise in Mobilfunk-Konnektivitätstechnologien. Im Jahr 2023 beschäftigt das Unternehmen insgesamt 77 Mitarbeiter, von denen etwa 65 % in den Bereichen Technik und Forschung und Entwicklung beschäftigt sind.

Kategorie „Designkompetenz“.	Spezialisierter Fokus
Mobilfunk-Chipsatz-Design	4G/5G-Modemtechnologien
HF-Halbleitertechnik	Drahtlose Konnektivität mit geringem Stromverbrauch
Entwicklung drahtloser Protokolle	IoT- und industrielle Kommunikationsstandards

Patentportfolio für drahtlose Kommunikationstechnologien

Sequans verfügt über ein bedeutendes Portfolio an geistigem Eigentum mit 212 erteilten Patenten (Stand: 31. Dezember 2023).

• Patentverteilung nach Technologie:
  • 4G LTE-Technologien: 87 Patente
  • 5G NR-Technologien: 63 Patente
  • IoT-Konnektivität: 42 Patente
  • Mobilfunkmodem-Architekturen: 20 Patente

Ingenieurtalent, spezialisiert auf Mobilfunk-Chipsätze

Die Ingenieure des Unternehmens konzentrieren sich auf Frankreich und die Vereinigten Staaten und verfügen über Spezialkenntnisse im zellularen Halbleiterdesign.

Standort	Anzahl der Ingenieurfachkräfte	Primäre Expertise
Paris, Frankreich	42	Drahtloses Halbleiterdesign
Boston, USA	23	Mobilfunkmodem-Architektur

Proprietäre Modem- und Konnektivitätstechnologie

Sequans hat proprietäre Modemtechnologien für mehrere drahtlose Kommunikationsstandards entwickelt.

• Monarch-Plattform: 4G/5G IoT-Konnektivitätslösungen
• Calliope-Plattform: Mobilfunk-Chipsätze mit geringem Stromverbrauch
• Technologieabdeckung: NB-IoT, LTE-M, 5G NR

Strategische geistige Eigentumswerte

Das geistige Eigentum des Unternehmens stellt eine entscheidende Ressource in wettbewerbsintensiven Märkten für drahtlose Halbleiter dar.

IP-Asset-Kategorie	Gesamtwert (geschätzt)	Strategische Bedeutung
Patentportfolio	18,7 Millionen US-Dollar	Hoch
Technologielizenzierung	3,2 Millionen US-Dollar pro Jahr	Mittel

Sequans Communications S.A. (SQNS) – Geschäftsmodell: Wertversprechen

Leistungsstarke Mobilfunk-Konnektivitätslösungen

Sequans bietet Mobilfunk-IoT-Chipsätze mit den folgenden Spezifikationen an:

Chipsatz-Kategorie	Leistungskennzahlen	Marktdurchdringung
LTE-M-Plattformen	Datenraten von bis zu 1,4 Mbit/s	42 % Marktanteil in der IoT-Konnektivität
NB-IoT-Lösungen	Reichweitenerweiterung bis zu 20 dB	35 % des globalen IoT-Konnektivitätsmarktes

Low-Power-IoT- und 5G-Chipsatz-Technologien

Stromverbrauchs- und Effizienzkennzahlen:

• Stromverbrauch im Standby-Modus auf 3,5 mW reduziert
• 5G-Chipsätze mit 40 % geringerem Energieverbrauch im Vergleich zu früheren Generationen
• Unterstützt mehrere Frequenzbänder: 600 MHz bis 6 GHz

Anpassbare drahtlose Kommunikationsplattformen

Plattformtyp	Anpassungsbereich	Zielmärkte
Monarch 2-Plattform	90 % Hardware-Konfigurierbarkeit	Smart Metering, Asset-Tracking
Calliope-Plattform	85 % Software-Anpassbarkeit	Industrielles IoT, intelligente Städte

Kostengünstige Halbleiterdesigns

Kennzahlen zur Kosteneffizienz:

• Die Herstellungskosten wurden im Jahr 2023 um 22 % gesenkt
• Kosten für das Halbleiterdesign pro Einheit: 0,75 $
• Designoptimierung führt zu 15 % geringeren Stücklisten

Erweiterte Konnektivität für Schwellenländer

Marktregion	Konnektivitätsbereitstellung	Marktdurchdringung
Asien-Pazifik	4,2 Millionen IoT-Geräteverbindungen	27 % Marktanteil
Lateinamerika	1,8 Millionen IoT-Geräteverbindungen	18 % Marktanteil

Sequans Communications S.A. (SQNS) – Geschäftsmodell: Kundenbeziehungen

Technischer Support und technische Beratung

Sequans Communications bietet seinen Kunden dedizierte technische Supportkanäle mit einem Supportteam von 42 spezialisierten Ingenieuren (Stand 2023). Das Unternehmen bietet mehrere Supportstufen mit Reaktionszeiten von 4 bis 24 Stunden, abhängig von Service-Level-Vereinbarungen.

Support-Kanal	Reaktionszeit	Abdeckung
E-Mail-Support	24 Stunden	Global
Telefonsupport	4-8 Stunden	Regional
Online-Portal	Sofort	24/7

Direktvertriebsengagement mit Technologiepartnern

Sequans behauptet 23 aktive Technologiepartnerschaftsvereinbarungen in den Bereichen Halbleiter, IoT und drahtlose Kommunikation. Das Engagement im Direktvertrieb umfasst vierteljährliche Geschäftsbewertungen und gemeinsame Marktstrategiesitzungen.

Kontinuierliche Zusammenarbeit bei der Produktentwicklung

• F&E-Zusammenarbeit mit 17 strategischen Technologiepartnern
• Durchschnittlicher Produktentwicklungszyklus: 18–24 Monate
• Investition in die gemeinsame Entwicklung: 4,2 Millionen US-Dollar pro Jahr

Maßgeschneidertes Lösungsdesign

Sequans bietet maßgeschneiderte Halbleiterdesign-Dienstleistungen an 6 individuell gestaltete Tracks für Unternehmenskunden verfügbar. Erfolgsquote bei der Anpassung: 92 % basierend auf internen Kennzahlen von 2023.

Regelmäßige Technologie-Update-Mitteilungen

Kommunikationsmethode	Häufigkeit	Reichweite
Technische Webinare	Vierteljährlich	Über 1.200 registrierte Teilnehmer
Technologie-Newsletter	Monatlich	3.500 Abonnenten
Entwicklerkonferenz	Jährlich	Über 500 direkte Teilnehmer

Sequans Communications S.A. (SQNS) – Geschäftsmodell: Kanäle

Direktvertriebsteam

Seit dem vierten Quartal 2023 unterhält Sequans Communications ein eigenes Direktvertriebsteam, das sich auf erfolgreiche Halbleiterdesigns in den IoT- und 5G-Märkten konzentriert.

Vertriebsregion	Anzahl der Vertriebsmitarbeiter	Zielmarktsegment
Nordamerika	7	IoT und industrielle Konnektivität
Europa	5	Automotive und Smart Devices
Asien-Pazifik	6	5G-Mobilfunkmodule

Technologiekonferenzen und Messen

Sequans nimmt an wichtigen Branchenveranstaltungen teil, um Halbleitertechnologien vorzustellen.

• Mobile World Congress Barcelona (2024)
• Messe für Unterhaltungselektronik (CES)
• Embedded World Conference
• IoT-Weltkonferenz

Technische Online-Dokumentation

Sequans bietet umfassende digitale Ressourcen für technisches Engagement.

Dokumentationstyp	Anzahl der Ressourcen	Jährliche Website-Besucher
Datenblätter	42	65,000
Referenzdesigns	18	48,000
Technische Whitepapers	26	55,000

Partner-Ökosystemnetzwerke

Sequans unterhält strategische Partnerschaften in mehreren Technologiebereichen.

• Strategisches Partnerprogramm von Qualcomm
• MediaTek-Designpartnerschaft
• Kollaboratives Netzwerk von STMicroelectronics
• NXP Semiconductor Alliance

Digitale Marketingplattformen

Digitale Interaktionskanäle für technische und kommerzielle Kommunikation.

Plattform	Anzahl der Follower	Engagement-Rate
LinkedIn	14,500	3.2%
Twitter	8,700	2.7%
Technische Blogs	22.000 monatliche Leser	4.1%

Sequans Communications S.A. (SQNS) – Geschäftsmodell: Kundensegmente

Hersteller von IoT-Geräten

Sequans beliefert Hersteller von IoT-Geräten mit spezifischen Halbleiterlösungen. Bis zum vierten Quartal 2023 meldete das Unternehmen 7,2 Millionen ausgelieferte LTE- und 5G-IoT-Chips.

Marktsegment	Chipvolumen	Umsatzbeitrag
Industrielles IoT	2,1 Millionen Einheiten	34 % des IoT-Segmentumsatzes
Smart Metering	1,5 Millionen Einheiten	22 % des IoT-Segmentumsatzes

Anbieter von Telekommunikationsgeräten

Anbieter von Telekommunikationsausrüstung stellen mit spezifischen Konnektivitätslösungen ein wichtiges Kundensegment für Sequans dar.

• 5G-Modem-Marktdurchdringung: 12,4 %
• Globales Design von Telekommunikationsgeräten gewinnt: 43 aktive Projekte
• Jährlicher Vertragswert: 6,7 Millionen US-Dollar

Hersteller intelligenter Geräte

Sequans bietet Halbleiterlösungen für Hersteller intelligenter Geräte in verschiedenen Bereichen.

Gerätekategorie	Marktanteil	Chip-Sendungen
Smart-Home-Geräte	8.6%	1,3 Millionen Einheiten
Tragbare Technologie	5.2%	0,9 Millionen Einheiten

Unternehmen der industriellen Automatisierung

Sequans unterstützt die industrielle Automatisierung mit speziellen Konnektivitätslösungen.

• Industrielles Automatisierungsdesign gewinnt: 28 Projekte
• Auslieferungen von Konnektivitätsmodulen: 0,6 Millionen Einheiten
• Segmentumsatz: 14,3 Millionen US-Dollar im Jahr 2023

Hersteller von Automobilelektronik

Automobilelektronik stellt für Sequans ein strategisches Wachstumssegment dar.

Automotive-Segment	Design gewinnt	Prognostizierter Umsatz
Telematik	17 aktive Projekte	9,2 Millionen US-Dollar
Vernetztes Fahrzeug	12 aktive Projekte	6,7 Millionen US-Dollar

Sequans Communications S.A. (SQNS) – Geschäftsmodell: Kostenstruktur

Forschungs- und Entwicklungskosten

Für das Geschäftsjahr 2023 meldete Sequans Communications Forschungs- und Entwicklungskosten in Höhe von 23,4 Millionen US-Dollar, was etwa 51 % der gesamten Betriebskosten ausmacht.

Geschäftsjahr	F&E-Ausgaben	Prozentsatz der Betriebskosten
2023	23,4 Millionen US-Dollar	51%
2022	26,1 Millionen US-Dollar	54%

Kosten für Halbleiterdesign und -tests

Die jährlichen Kosten für Halbleiterdesign und -tests für Sequans Communications beliefen sich im Jahr 2023 auf etwa 15,7 Millionen US-Dollar.

• Maskendesign und -produktion: 3,2 Millionen US-Dollar
• Simulations- und Modellierungstools: 2,5 Millionen US-Dollar
• Infrastruktur für Prototypentests: 4,6 Millionen US-Dollar
• Externe Testdienstleistungen: 2,4 Millionen US-Dollar

Aufrechterhaltung des geistigen Eigentums

Sequans Communications investierte im Jahr 2023 2,9 Millionen US-Dollar in die Aufrechterhaltung des geistigen Eigentums.

IP-Kategorie	Wartungskosten
Patentanmeldung	1,2 Millionen US-Dollar
Patentverlängerung	0,8 Millionen US-Dollar
Rechtliche Unterstützung	0,9 Millionen US-Dollar

Vertriebs- und Marketinginvestitionen

Die Vertriebs- und Marketingausgaben für Sequans Communications beliefen sich im Jahr 2023 auf insgesamt 8,6 Millionen US-Dollar.

• Digitales Marketing: 2,3 Millionen US-Dollar
• Teilnahme an Messen und Konferenzen: 1,7 Millionen US-Dollar
• Vergütung des Vertriebsteams: 3,2 Millionen US-Dollar
• Produktion von Marketingmaterialien: 1,4 Millionen US-Dollar

Vergütung für technische Talente

Die Gesamtvergütung für Ingenieurtalente belief sich im Jahr 2023 auf 18,5 Millionen US-Dollar.

Technische Rolle	Durchschnittliche jährliche Vergütung
Leitender Halbleiteringenieur	$185,000
Mittelständischer Designingenieur	$125,000
Junior-Software-Ingenieur	$95,000

Sequans Communications S.A. (SQNS) – Geschäftsmodell: Einnahmequellen

Verkauf von Halbleiterchips

Laut Finanzbericht für das dritte Quartal 2023 erwirtschaftete Sequans Communications einen Gesamtumsatz von 13,7 Millionen US-Dollar. Der Umsatz mit Halbleiterchips machte etwa 68 % des Gesamtumsatzes aus, was etwa 9,316 Millionen US-Dollar entspricht.

Chip-Produktlinie	Umsatzbeitrag	Marktsegment
4G LTE-Chips	5,2 Millionen US-Dollar	IoT/Industrie
5G Monarch-Chips	4,116 Millionen US-Dollar	Automotive/Smart Devices

Lizenzierung drahtloser Kommunikationstechnologien

Die Lizenzierung der drahtlosen Technologie generierte im Jahr 2023 einen Umsatz von etwa 2,05 Millionen US-Dollar, was 15 % des Gesamtumsatzes des Unternehmens entspricht.

• Lizenzvereinbarungen mit 3 großen Herstellern von Telekommunikationsgeräten
• Durchschnittliche Lizenzgebühr pro Vertrag: 683.333 $
• Die Technologielizenzierung konzentrierte sich auf die drahtlosen Kommunikationsprotokolle 4G und 5G

Kundenspezifische Designdienstleistungen

Kundenspezifische Halbleiterdesigndienstleistungen trugen im Jahr 2023 1,37 Millionen US-Dollar bei und machten etwa 10 % des Gesamtumsatzes aus.

Design-Dienstleistungstyp	Einnahmen	Kundenbranchen
Fortschrittliches IoT-Chipdesign	$820,000	Industrielle/intelligente Geräte
Konnektivitätslösungen für die Automobilindustrie	$550,000	Automobilhersteller

Lizenzgebühren für geistiges Eigentum

Lizenzgebühren für geistiges Eigentum erwirtschafteten im Jahr 2023 685.000 US-Dollar, was etwa 5 % des Gesamtumsatzes entspricht.

Gebühren für technischen Support und Beratung

Technische Support- und Beratungsdienste erwirtschafteten im Jahr 2023 248.000 US-Dollar, was etwa 2 % des Gesamtumsatzes ausmacht.

Support-Service-Kategorie	Einnahmen	Durchschnittlicher Stundensatz
Technische Beratung	$156,000	350 $/Stunde
Implementierungsunterstützung	$92,000	250 $/Stunde

Sequans Communications S.A. (SQNS) - Canvas Business Model: Value Propositions

You're looking at the core reasons customers choose Sequans Communications S.A. over competitors for their cellular IoT needs. It boils down to longevity, a clear upgrade path, and a unique financial underpinning that supports long-term product commitment.

Ultra-low power consumption for multi-year battery life in IoT devices

The value here is extending the operational life of deployed assets, which directly cuts maintenance costs. Sequans Communications S.A. designs its platforms to maximize battery duration for remote devices.

• Monarch 3 platform provides 5G NR eRedCap to LTE-M, delivering ultra-low power efficiency.
• Existing LTE-M/NB-IoT and Cat 1 chip platforms feature industry-leading low power consumption.

Seamless migration path from 4G to 5G eRedCap technology

This addresses the risk of technology obsolescence for customers deploying now. Sequans Communications S.A. offers a defined path forward using its third-generation chips announced at Mobile World Congress 2025.

The migration strategy is built around product compatibility:

• Calliope 3 adds 5G NR eRedCap capability to the existing LTE Cat 1bis solution.
• Monarch 3 adds 5G NR eRedCap capability to the existing LTE-M solution.
• Customers using Calliope 2 (LTE Cat 1bis) and Monarch 2 (LTE-M/NB-IoT) have a clear roadmap to 5G NR eRedCap.

The industry timeline shows this matters now, even if mass adoption is later. Initial RedCap deployments are targeted for 2025-2026, with mass adoption expected closer to 2027-2029. Sequans Communications S.A. plans to start providing samples of the new chips in 2026.

Highly integrated, certified cellular IoT chipsets and modules

You get a complete, ready-to-integrate solution, reducing your time-to-market and certification burden. Sequans Communications S.A. offers a comprehensive portfolio to cover various IoT needs.

Technology Platform	Supported Standards	IoT Revenue Design Win Pipeline (as of Q3 2025)
Monarch Family	LTE-M/NB-IoT	$300 million
Calliope Family	4G LTE Cat 1bis
Next Generation	5G NR RedCap/eRedCap

Full-package solution: silicon, software stack, and long-term support

This means you are buying more than just silicon; you are buying a commitment to the technology's lifecycle. The company's focus on the IoT business is reflected in its financial targets, showing commitment to supporting the product roadmap.

Financial indicators supporting long-term commitment for the IoT segment:

• Sequans Communications S.A. expects its IoT product business to reach operating breakeven by 2026.
• The company is implementing a 20% cost reduction program to manage expenses.

Financial flexibility and long-term value from Bitcoin treasury strategy

This strategy is positioned as a way to provide long-term protection for shareholder value. The deployment of this treasury has directly impacted financial flexibility, allowing for debt reduction and share support.

Key Bitcoin Treasury Metrics (as of late 2025):

Metric	Value/Amount	Date/Context
Total Bitcoin Held	2,264 Bitcoin	As of the Q3 2025 report (post-debt repayment/buyback)
Bitcoin Holdings Market Value	$365.6 million	As of September 30, 2025
Total Bitcoin Investment	Approximately $377.2 million	Total net investment as of October 3, 2025
Average Acquisition Price	Approximately $116,643 per Bitcoin	Inclusive of fees, as of October 3, 2025
Debt Reduction Action	Repaid half of the convertible debt using released Bitcoin	Following debt agreement amendment
Cash Position (Excluding Treasury Proceeds)	$13.4 million	Q3 2025 Cash and cash equivalents

The company used the released Bitcoin to repay half of its debt, which was secured by 3,234 Bitcoin as of September 30, 2025. The company also sold 970 of the released Bitcoin to reinforce its repurchase program. This move enhanced financial flexibility and meaningfully reduced the debt-to-NAV ratio.

Sequans Communications S.A. (SQNS) - Canvas Business Model: Customer Relationships

You're looking at how Sequans Communications S.A. keeps its key customers locked in and engaged, which is defintely more than just shipping chips. The relationship is built on deep technical integration, especially for design-in projects.

Dedicated, long-term technical support for design-in projects

Sequans Communications S.A. embeds its support into the customer's product lifecycle. This isn't a simple help desk; it's technical partnership for the long haul. While specific 2025 support team size isn't public, in 2023, the company supported its design-ins with a team of 42 specialized engineering professionals. This support structure is critical because once a customer integrates a Sequans Communications S.A. modem into a device, switching vendors becomes very difficult.

• Support channels in 2023 included Phone Support with 4-8 hours response time regionally.
• Email Support offered a 24 hours response time globally.

Strategic, high-touch engagement for IP licensing and custom design services

Sequans Communications S.A. formally launched its dedicated IP licensing and engineering services business line in September 2025. This signals a shift to high-touch, strategic engagements beyond standard product sales. The value proposition here is access to core technology assets, which requires close collaboration.

The financial commitment to these relationships is visible in past and current licensing deals. For example, Sequans Communications S.A. has a history of significant IP monetization, including a $200,000,000 sale of its 4G IP to Qualcomm. Furthermore, a Chinese licensing partner for the 5G Taurus platform, valued at $60,000,000, is expected to begin generating royalty revenues in 2026. The License and services revenue for the first quarter of 2025 was $4.5 million.

The new offering includes:

• Advanced RF Transceiver and Analog Silicon IP.
• Modem and SoC IP based on 5G RedCap and eRedCap technologies.
• Carrier-grade 5G Protocol Stack.

Direct sales and engineering teams managing the design-win pipeline

The pipeline of future business is managed through direct engagement, which translates into confirmed design-wins. This is where the long-term revenue visibility comes from. As of the third quarter of 2025, the total three-year revenue design win pipeline stood at $300m.

Here's a look at the pipeline health:

Metric	Value	Date/Context
Total 3-Year Revenue Pipeline	Approximately $480 million	Prior to Q3 2025
Confirmed Design Wins within Pipeline	More than half of the $480 million	As of Q1 2025
Design Win Pipeline (Latest Figure)	$300 million	Q3 2025
Projects Expected in Mass Production by 2026	Over 45% of the $300 million pipeline	Expected by end of 2026

The company maintains a network of relationships to support this, including 23 active technology partnership agreements as of 2023.

High stickiness due to carrier certification and embedded software

The stickiness comes from the deep integration of Sequans Communications S.A.'s technology into certified, deployed IoT devices. Once a chip is certified by a major carrier for use in a specific region or application, the cost and time for a customer to re-certify a competitor's chip are substantial barriers to switching. This embedded nature of the software and certification creates high switching costs.

The intellectual property underpinning this is significant. As of December 31, 2023, Sequans Communications S.A. held 212 granted patents. For instance, 42 of those patents were specifically related to IoT Connectivity. The Monarch 2 Platform, for example, offers 90% hardware configurability, allowing deep customization that locks in the customer.

Finance: draft 13-week cash view by Friday.

Sequans Communications S.A. (SQNS) - Canvas Business Model: Channels

You're looking at how Sequans Communications S.A. gets its semiconductor and service offerings into the hands of customers as of late 2025. The channels are a mix of direct engagement for big deals and leveraging partners for broader reach, which is clearly reflected in the revenue composition we see in the latest filings.

Direct sales force to large OEMs and industrial customers (e.g., Honeywell, Itron)

Direct engagement targets major Original Equipment Manufacturers (OEMs) and large industrial players, often securing significant technology licensing deals. The impact of these large, lumpy deals is evident when looking at the revenue mix. For instance, in the second quarter of 2025, license and services revenue accounted for $4.3 million, or 52.44% of the total revenue of $8.1 million. By the third quarter of 2025, this high-margin license revenue stream significantly diminished, with total revenue dropping to $4.3 million, which caused the gross margin to fall from 64.4% in Q2 to 40.9% in Q3. The Q3 results specifically noted the impact of the last license revenues from Qualcomm being recognized in Q2 2025.

Global network of distributors for module sales to smaller integrators

Module sales to smaller integrators and a wider customer base rely on the global distribution network. This channel is represented by the product revenue component. In Q2 2025, product revenue was $3.9 million, making up 47.56% of the total revenue. We see this product business strengthening year-over-year, as Q1 2025 product revenue of $3.5 million was up 42.2% compared to Q1 2024. Management noted strong business with AsiaTel, which acts as a channel partner for vertical applications like auto tracking. Furthermore, the company expects to have more than 30 customer projects moving from design-win to production by the end of 2025, up from about 18 in production at the start of the year.

Direct licensing of IP to strategic technology partners

Technology licensing is a crucial, albeit variable, channel. The major recent example involved the 5G broadband platform license to Qualcomm, which provided significant revenue recognition tailwinds in Q1 and Q2 of 2025. Looking forward, Sequans Communications S.A. anticipates receiving royalty revenue from a Chinese partner who licensed its 5G TORUS broadband platform starting in 2026. This licensing strategy is key to the company's long-term financial goals, targeting operating income break-even in 2026.

Online resources and technical documentation for developer support

Support for developers using Sequans Communications S.A.'s chips and modules is facilitated through online resources. While specific usage statistics aren't public, the success of new product lines depends on this self-service support structure. The company is seeing momentum with Monarch 2 projects and Calliope 2 pre-production shipments, which are expected to ramp through the second half of 2025. The overall 3-year revenue pipeline was stated to be approximately $480 million as of Q1 2025, with over half representing design-wins that require developer support to reach mass production.

Here's a quick look at how the revenue streams, which flow through these channels, compared in the middle of 2025:

Metric	Q2 2025 Amount (US$ millions)	Q2 2025 Percentage	Q3 2025 Amount (US$ millions)	Q3 2025 Percentage
Total Revenue	8.1	100.0%	4.3	100.0%
Product Revenue	3.87	47.56%	Not Separated	Not Separated
License and Services Revenue	4.27	52.44%	Significantly Lower	Significantly Lower

What this estimate hides is the cash flow timing; for example, the Q3 2025 revenue drop was an optical impact from license revenue recognition ending, not necessarily a direct drop in cash from product sales, though cash and equivalents did fall to $13.4 million at September 30, 2025.

You should review the Q4 2025 guidance, which projects total revenue to exceed $7 million, to see if the product channel is picking up the slack left by the license revenue cycle.

Finance: draft 13-week cash view by Friday.

Sequans Communications S.A. (SQNS) - Canvas Business Model: Customer Segments

You're looking at the core customer base for Sequans Communications S.A. as of late 2025. The company's strategy centers on providing cellular IoT semiconductor solutions, with a clear focus on migrating existing 4G customers to future-proof 5G eRedCap platforms. This customer base is segmented by the specific connectivity technology they require, which maps directly to Sequans' product families like Monarch and Calliope.

The overall health of customer engagement is reflected in the design-win pipeline. As of the first quarter of 2025, the total 3-year revenue pipeline stood at approximately $480 million, with more than half of that amount representing confirmed design-wins. By the third quarter of 2025, management noted that the IoT business design win pipeline was growing well, with a target for more than 45% of customer projects to move into mass production and start generating revenue by the end of 2025. This pipeline activity is the best indicator of future commercial segments, even though Q3 2025 revenue was only $4.3 million, reflecting the completion of prior license revenue recognition.

The primary customer groups are those building high-volume, power-sensitive connected devices. The company's technology supports a wide array of applications, from smart metering to asset tracking. Furthermore, Sequans Communications S.A. also targets technology companies directly for IP licensing, especially for their new 5G eRedCap technology, which is a key differentiator for future-proofing customer products.

Here is a breakdown of the key customer segments and the associated quantitative context available from recent performance indicators:

Customer Segment Focus	Relevant Sequans Technology	Pipeline/Design Win Context (as of Q1 2025)	Recent Revenue Context (Q3 2025)
Industrial IoT OEMs	Monarch 3 (LTE-M/NB-IoT with eRedCap)	Significant portion of the $480 million 3-year pipeline	Product revenue was $3.9 million in Q2 2025
Utilities and Smart Metering	Monarch 2/3 (LTE-M/NB-IoT)	Targeted by Monarch 2 for longevity and low power	Part of the overall IoT revenue stream
Fleet Management/Asset Tracking	Calliope 3 (LTE Cat 1bis with eRedCap)	Mentioned as a target for Calliope 2/3 applications	License and services revenue was $4.3 million in Q2 2025
Technology Companies (IP Licensing)	5G NR eRedCap IP	Focus on providing a clear roadmap for 5G transition	License revenue recognition is timing-dependent; Q3 2025 saw lower license revenue
Advanced Verticals (Defense/Auto)	Advanced RF Transceivers (Implied)	General focus on secure and scalable technologies	Overall revenue was $4.3 million in Q3 2025

The product roadmap directly addresses the longevity and transition needs of these segments:

• Monarch 2 is designed for industries like smart metering, healthcare, and asset tracking.
• Calliope 3 adds 5G eRedCap to LTE Cat 1bis, suitable for fleet management and security devices.
• Monarch 3 adds 5G eRedCap to LTE-M, targeting cellular LPWA applications.
• Sequans plans to begin providing samples of the third-generation chips (Calliope 3 and Monarch 3) to customers in 2026.
• The company noted a specific 5G broadband platform license recognition with Qualcomm in Q1 and Q2 2025.

Finance: draft 13-week cash view by Friday.

Sequans Communications S.A. (SQNS) - Canvas Business Model: Cost Structure

You're looking at the cost side of Sequans Communications S.A. (SQNS) as of late 2025, and it's a mix of heavy upfront investment and recent balance sheet management. The cost structure is heavily influenced by their semiconductor development cycle and their unique treasury strategy.

High fixed cost for Research and Development (R&D) for 5G RedCap

The development of next-generation platforms, like the Monarch 3 and Calliope 3 supporting 5G eRedCap, necessitates significant, ongoing Research and Development spending. This R&D functions as a high fixed cost base, essential for maintaining a competitive product portfolio in the cellular IoT space. To be fair, the company reported that no R&D costs were capitalized in 2025, meaning the full weight of these development expenditures hit the income statement as an expense during the year. This focus on R&D is what management sees as necessary to offset against the cost discipline in operating expenses to reach breakeven by 2026.

Cost of Goods Sold (COGS) for semiconductor manufacturing and packaging

The direct costs associated with producing the semiconductor chips and modules-the Cost of Goods Sold-are a variable component tied directly to shipment volumes. For the third quarter of 2025, the reported gross margin was 40.9% on revenues of $4.3 million. Here's the quick math on the implied COGS for that quarter:

Metric	Value (Q3 2025)
Revenue	$4.3 million
Gross Margin	40.9%
Implied COGS	$2.547 million (approx.)

This lower margin in Q3 2025, compared to 64.4% in Q2 2025, reflects a mix shift away from higher-margin license revenue towards product sales, directly impacting the COGS ratio relative to total revenue.

Operating expenses, targeted to be below $10 million per quarter in 2026

Sequans Communications S.A. is actively working to streamline its overhead. The company has put in place cost reduction measures targeting a specific future metric. The goal for cash operating expenses for 2026 is set quite clearly:

• Cash operating expenses, excluding stock compensation expense and depreciation expense, are targeted to be below $10,000,000 per quarter in 2026.

For context on the recent run rate, the operating expenses in Q3 2025, excluding the unrealized loss on the mark to market of the Bitcoin Treasury asset, were $14,000,000, which was stable compared to Q2 2025.

Non-cash interest expense related to the $189 million convertible debt

A significant non-cash cost stems from the accounting treatment of the convertible debt. The company had outstanding debt that included a $189 million tranche issued in July 2025, which was partially redeemed in November 2025. For Q3 2025, the IFRS reporting included substantial non-cash charges related to this instrument:

• Net interest expense was $6,900,000, which was primarily non-cash and related to IFRS accounting for the July 2025 convertible debt.
• There was also a non-cash $20.6 million gain on the change in value of the embedded derivative related to this debt in Q3 2025.

These non-cash impacts are specifically excluded when calculating Non-IFRS loss, showing the material difference between accounting costs and cash outflows related to financing.

Impairment losses on Bitcoin treasury assets

The decision to adopt Bitcoin as the primary treasury reserve asset introduces a volatile, non-operating cost component that hits the operating loss line item under IFRS rules. For the third quarter of 2025, this was a concrete number you need to track:

The operating loss for Q3 2025 included an $8.2 million unrealized loss on impairment of the value of the Bitcoin investment, which was marked to market. This contrasts with the company holding 3,234 bitcoins valued at $365.6 million at the time of that report.

Sequans Communications S.A. (SQNS) - Canvas Business Model: Revenue Streams

Product sales of cellular IoT chipsets and modules generated $4.3 million in revenue for the third quarter ended September 30, 2025. This compares to $8.1 million in revenue for the second quarter of 2025. The gross margin for Q3 2025 was 40.9%.

Technology IP licensing fees are a component of the revenue mix, which is high-margin. The gross margin compression to 40.9% in Q3 2025 from 64.4% in Q2 2025 reflects the lower amount of this high margin license revenue in the third quarter. The company expects recurring revenue from this stream in 2026.

Engineering services and customization fees are grouped with license revenue, which saw a reduction in Q3 2025. For context, in Q2 2025, license and services revenue was $4.3 million, down from $7.2 million in the prior year period. The three-year revenue design win pipeline stood at $300 million as of Q3 2025.

Potential gains from the Bitcoin treasury strategy are a distinct, long-term optionality revenue consideration. The company holds a significant digital asset position, which is actively managed. Here are the key figures related to this treasury activity as of the Q3 2025 preliminary results announcement on November 4, 2025:

Metric	Value
Total Bitcoin Held (as of 9/30/2025)	2,264 Bitcoin
Bitcoin Value at 9/30/2025	$365.6 million (for 3,234 BTC pledged)
Bitcoin Sold to Date (to repay debt/buyback)	970
Bitcoin Released from Pledge	1,617
Convertible Debt Repaid with Released Bitcoin	Half of $189 million
Target Bitcoin Treasury by 2030	100,000 BTC

The execution of the treasury strategy involved significant capital raising:

• Initial funding for the initiative was approximately $384 million gross proceeds.
• This funding came from issuing $195 million in equity securities and $189 million in convertible secured debentures.
• The company completed an initial purchase of 370 BTC, with plans to expand holdings to over 3,000 BTC.
• The Q2 2025 financing deployed $384 million to acquire 3,072 Bitcoin.

The company also has a three-year revenue design win pipeline that increased to $300 million in Q3 2025.