With me today are Austin Russell, Founder and Chief Executive Officer, and Tom Fennimore, Chief Financial Officer. As a quick reminder, this call is being recorded, and you can find the earnings release and slides that accompany this call at luminartech.com/quarterlyreview. In a moment, you'll hear brief remarks followed by Q&A, but ahead of that, we're gonna take five minutes so that you can watch the next installment of our Path to Series Production video series. The URL for that video is on the screen right now, so please take a moment and we'll rejoin the call in five minutes. If you're just joining, we're taking a few minutes to watch the Path to Series Production video. You can see that URL on the screen right now, and we'll be back at five after the hour. All right, everyone. I hope you enjoyed the video. One comment before you get started. In the spirit of continuously improving our shareholder outreach, this quarter we implemented the SAY platform, where verified shareholders can ask and upvote questions. The questions have been great, and we will be addressing some of the top questions at the end of our prepared remarks today, followed by analyst questions. We hope that our shareholders will find this a useful avenue to engage with us. Before we begin the prepared remarks and Q&A, let me remind everyone that during the call we may refer to GAAP and non-GAAP measures. Today's discussion also contains forward-looking statements based on the environment as we currently see it, and as such, does include risks and uncertainties. Please refer to our press release and business update presentation for more information on the specific risk factors that could cause actual results to differ materially. With that, I'd like to introduce Luminar Founder and CEO, Austin Russell. Get this going live. Hey, everybody, seeing and hearing me okay? Yes, absolutely. All right, awesome. Okay, we'll just jump right in. Well, thanks, Trey, and welcome everyone to our quarterly business update. Today we're live from the office of our investor and board member, Alec Gores of The Gores Group in California. Jumping right in, the Q1 was an incredible start to the year for Luminar as we remain focused on intensive execution for our business and our milestones. I'm proud to say that we remain on track to meet or beat each of our four key public 2022 milestones that we outlined at the beginning of the year, and the business is only accelerating as we take a look forward. At the same time, we've continued our win streak with Mercedes and Nissan so far this year and are planning on expanding our series production capacity as we look at increased series production program volume indications from our partners. At the same time, we've made significant advancements over the past few months with regards to industrialization and technology roadmap advancement with our optical manufacturing partner, Fabrinet, live and ramping, as you saw in the video, as well as the new acquisition of Freedom Photonics. With that, I'll jump into more detail on some key areas of the business before handing it off to Tom to review how we've been tracking to our milestones and our financials. Taking a step back, it all starts with the vision statement and the vision of what we had and outlined at the beginning of the year at CES, and our 100-year vision is to have the opportunity to save 100 million lives and 100 trillion hours on the road over the next 100 years. I'm proud to say that our new partner, Nissan, is aligned with that vision of saving lives and time and are making major moves towards that goal. Nissan announced and is now demonstrating its integration of Luminar's technology into its new driver assistance system designed to dramatically reduce accidents and increase vehicle safety. Our performance enables us to dramatically improve the collision avoidance capabilities of the vehicles while advancing towards next generation autonomy. We expect to be able to complete the development of this system and introduce it on initial vehicle models by mid-decade and deploy the technology on virtually every new vehicle model by 2030. To put that into perspective, you know, Nissan produces around 4 million vehicles every year. This is the first major commercial win with a mass market automaker, as well as Luminar's foray into Japan, and we're excited for what's ahead. On our last call, you know, we also talked about the landmark series production win with Mercedes-Benz, which supercharged our start to the year. With these two major wins, we're now halfway to achieving our 2022 goal for growth for additional major commercial wins. Given the increased volume indications as is noted, you know, from our series production partners, we'll also now be increasing our series production capacity to ensure we can successfully scale to the levels needed to meet heightened demand from these OEM partners. From a series production readiness standpoint, that's probably the most significant effort that's currently underway at Luminar. It is all about industrialization and making sure that Iris is series production ready by the end of the year. As you saw in today's video, the Fabrinet bring up and ramp has been an intensive undertaking for the Luminar team, and we're now beginning to see the fruits of our labor as we meet this milestone. As a reminder, Fabrinet is one of our two key series production manufacturing partners alongside Celestica and is responsible for assembling the specialized optical and chip level technologies in our product. You could say that it's the engine, you know, so to say, for the LIDAR. Week by week, our industrialization efforts are progressing as we make our big push forward. From a software standpoint, while it's not the focus for this quarterly call, our software development efforts are also on track for our Sentinel beta release by year end. Just last month, we delivered our latest software alongside Iris for independent testing that will benchmark Luminar's proactive safety versus today's best in class assisted driving systems out there. This really will have the opportunity to prove the step function improvement in safety that we're showing in our live, more ad hoc demos, but in a more quantitative capacity, and, looking forward to sharing all of those independent benchmark results in the not too distant future. From a technology standpoint and technology leadership, we're ensuring that while we execute in the near term, we're also able to strengthen and accelerate our product roadmap. After a multi-year partnership with Freedom Photonics, we've since acquired the company, bringing in-house their high performance diode laser chip technology, as well as the capabilities associated with such. Component level innovation and integration is absolutely critical to enable this level of performance and economics, and Freedom was the last remaining pillar to achieving a full vertical integration across the three core LIDAR components with the receiver, the processor, and the laser, and which is now accelerating development, widening the competitive moat, and substantially reducing costs to be able to further the ability to achieve the $100 long-term bill of materials target. This is all aligned with what you guys were seeing in the video between Black Forest Engineering, OptoGration, and Freedom Photonics. In conclusion, delivering on our long-term vision requires relentless execution and continuous innovation, and I'm incredibly proud of what the Luminar team has accomplished already this year, and we're just getting started. With that, I'd like to hand it over to Tom to discuss more details about the Q1 financials and provide an update on our 2022 business milestones and where we stand. Great. Thank you, Austin. Let's start by reviewing our progress towards our four key 2022 milestones that we've outlined at the beginning of the year. Our first goal is to achieve series production readiness this year. We remain on track to achieve this goal. As you saw in our video update, Fabrinet is ramping up the manufacturing of our most critical and complex subcomponent, the laser transceiver. This is a crucial step in our series production process. On the software front, we have now progressed our proactive safety system development to the point where it is ready for third-party testing and validation. This testing is being performed by reputable third-party experts to quantify the safety improvements of our system relative to today's ADAS systems. We remain on track for our goal of achieving the Sentinel beta release by year-end. Our third milestone is to grow our cumulative major commercial win total by at least 40%. So far this year, we have two major new wins, Mercedes-Benz and Nissan, putting us on track to meet or beat this milestone this year. Finally, we are on track to meet or beat our 40% growth target in our forward-looking order book. This growth will come from both new customer wins as well as higher requested volume from existing customers. As a reminder, we take a conservative view on the business we include in our order book and include only customers and programs where we have a major commercial win, and oftentimes with a significant level of conservatism or haircut building. Let's review our financial highlights for Q1. Revenue was $6.9 million, up 29% year-over-year. Program revenue as part of one series production deals comprised the majority of our Q1 revenue. As I stated on our last business update call, program revenue can be nonlinear and lumpy from quarter to quarter depending upon the type and level of work performed, new contracts rolling on, and the completion of development work as we approach series production. In Q4 2021, we completed the revenue milestones in our first series production development contract. Because of this lumpy dynamic, Q1 2022 revenue was sequentially lower than Q4, but still up year-over-year. We expect revenue to be sequentially higher in Q2, in part due to this program revenue lumpiness. For the quarter, we reported a non-GAAP loss of $8 million and non-GAAP COGS of $15 million. Of this $15 million, the substantial majority, approximately $14 million, was from costs associated with preparation for scaled series production launch, fixed manufacturing overhead, and R&D expenses associated with our program development revenue. These factors inflate our reported COGS and gross loss at this stage as we front-load costs for series production. In the near future, as we approach series production, we plan to provide more disclosure and analysis of our COGS and adjusted gross profit. From a unit economic standpoint, we remain on track to meet our series production bill of material or BOM and conversion cost targets for our first full year of series production. Our Q1 cash spend was $38 million excluding share repurchases. As I had mentioned on the last update call, Q4 2021 cash spend was higher than run rate due to increases in working capital, including customer payments that occurred in January of this year instead of December last year. Since announcing the convert in December, we've repurchased approximately $275 million of shares. In the current authorization, we have approximately $37 million remaining for our buyback. We ended the quarter with $707 million in cash and marketable securities. Let me now provide a little more color on our 2022 full year financial guidance. We are on track to achieve our 2022 revenue guidance of at least $40 million. In fact, our annual growth rate of 29% is somewhat higher than the 25% annual growth implied in our guidance. We maintain our full-year guidance that net cash spend will be moderately higher than last year's total of $155 million. We maintain our guidance for our operating loss for the year to be higher than our cash spend. We expect our quarterly operating loss for the next few quarters to be somewhat higher than our Q1 operating loss as we continue to invest and prepare for series production. We maintain our 2022 year-end share count guidance to be in the mid-360 million share range, including the shares we recently issued for our Freedom acquisition. Before we hand it over to Trey for Q&A, I'd like to hand it over to Austin for some closing remarks. Thanks, Tom. Well, good perspective on everything, and thanks for giving some insight there. You know, I have to say, you know, we've never had greater conviction around the long-term business and financial trajectory of Luminar for everything that we had had. I think one important point is to illustrate when there's times where, you know, you had to put your money where your mouth is, so to say. You know, for example, you know, one thing that'll come out in the proxy, and just as an example, is that when the board's discussing compensation packages, you know, for a CEO, I want to be able to make sure that's illustrated in that spirit and have waived any normal CEO compensation package it would take in favor of actually not taking a single dollar of compensation as part of that until our stock price reaches $50 per share as well as a critical operational milestone for series production. That said, I'm 100% all in to be able to make this as amazing of a success as we all know it can be and to do it as we accelerate towards our long-term successful business trajectory here. With that, let's give it back to Trey for Q&A. Thanks, Austin. We're gonna start the Q&A with a couple of questions that we received on the SAY platform, and then we'll move to analyst questions. You know, the top three questions in terms of shares voted on the SAY platform were all focused on a similar topic around software, both our offerings, our design wins, monetization. I'll give a little more. Let me read a little bit more detail, but all three of those questions were in that vein. One question was what elements of software we're providing to Nissan and whether that involves any Sentinel software development. A second one was on Sentinel in general, and if we can expand on any elements of Sentinel software deals where we've won with Sentinel. The third one is really around software pricing and how we think about monetizing the software stack. I'll kick that back to you, Austin, and let you kind of shape the answer around those three. Yeah. I'd say software is absolutely a critical part of the overall business. This is really as we make the transition from, you could even say, a component company to a systems and solutions company. It's a critical transition. You know, we've done that at different layers of the stack all the way up, even from like the core LiDAR components to the actual LiDAR system to everything else that goes on top. I think what's absolutely important and critical to realize is that, at the end of the day, you have to be able to have a software solution to be able to enable this for automakers to be able to make the most out of the LiDAR. A LiDAR alone in a car won't do much of anything. In fact, it won't do anything at all until the point of where you can actually be able to enable end functionality for the user and the consumer. This is why we've been really all in on this. Obviously, there are certain key folks like the, you know, Volvos and the Mercedes and NVIDIAs or Nissans of this world that have started off with some of the software development. There are critical complementary aspects that are required, that are needed to be able to make this happen and make this a truly successful in terms of realizing the end functionality. We're really all in on two key aspects of this. One is for proactive safety, as we call it, which is dramatically improving the next generation safety systems on vehicles, and the other part is highway autonomy functionality and capabilities. That's something that we're very proud of the progress that's there. We can say that, as it relates to these deals, there generally is a like, some element of software components with this. In the case of Nissan, I don't think they've actually publicly discussed any of the specific details about the software plans for this, so I can't comment on that at this stage. I will say that at some layer, you know, you could probably expect nearly or the majority of, you know, deals that we move forward with to have some software component associated with it. The one thing I would add on Nissan is we've been doing work with them for development work for them for about a year now. We have been collecting program revenue for that work we've been doing, and that program revenue has been associated with work we've been doing not only in the lidar hardware side, but as well as the software side. As Austin said, they really haven't shared their plan yet on what their plan is gonna be for software and series production, but the development work we've been doing so far has included software. Great. Thanks, guys. We also got two similar questions around the topic of when folks will actually see Luminar LiDAR on the roads in production cars. One of the questions was, "When are we gonna see this technology on vehicles?" The other question, can we see vehicles fully using Luminar LiDAR, not just for testing purposes, but actually ready to go? Yeah, it'll be exciting to actually be able to get this stuff out there. I think you know there's two kind of lead partners that we have you know from a China standpoint. SAIC is our lead partner that'll be able to have the opportunity to introduce this in the not too distant future, and as well as Volvo which you know similarly is on a relative basis in the not too distant future. Very excited to be able to see these guys get a chance to be able to wrap up. I think we've said as part of one of our key milestones that Iris will be series production ready by the end of the year as part of this. I think we've continued to be able to see acceleration and greater aggressiveness on the timelines of what people are excited to be able to deploy this. I think the answer is it depends on the specific automaker. Stay in tune for when SAIC and Volvo formally announce the launch of their vehicles. That'll be an exciting one. That's in the OEM's hands to say. I can certainly say I'm incredibly excited to be able to see this come to fruition in the not too distant future here. Thanks, Austin. Thanks to everybody who submitted questions on the SAY platform. We're gonna continue to use this as a platform to increase shareholder engagement with us. With that, let's transition to the first analyst question on the call. Kevin, the first analyst who's gonna be on the call is Gus Richard from Northland. Sorry, thanks. Thanks for letting me ask a question. Just real quickly, you know, can you talk a little bit about the cadence of, you know, new series wins this year? Do you expect them proportionally throughout the year or are they later in the year? Yeah. Gus, from a perspective we're sitting here, we just completed April. We're early in May. We've already announced 2. Puts us a little over halfway to our goal for the year. These are difficult to predict. We only make our announcements when our customers are ready. Both announcements we made this year, we did a fair amount of work with each of them last year as well. I think you're gonna see them throughout the year, but it's difficult for us to predict the exact timing, 'cause as we talked about, we go only when our customers are ready to make an announcement. Well, I think most importantly is that it's in almost all cases here too. It's the customer really making the announcement. Yeah as much as anything. Like in the case of Nissan recently, that wasn't a Luminar announcement, that was a Nissan announcement. Although sometimes it feels like they could be Luminar announcements given that they're trumpeting us, which is fantastic. Yeah, that said, you know, we already start seeing, you know, people putting out, like SAIC in China over WeChat and other stuff. They're putting out ads for our tech out on vehicles for what's coming up ahead and, you know, people making the push. I think we'll be, like as Tom mentioned, we're on track to meet or beat the goal, which 40% growth would imply, four additional ones. As we noted, we are also seeing increased volume indication from existing OEMs, which would also mean that, you know, greater likelihood to introduce on accelerated timelines for new models as well. That's which of course, you know. Again, it's really the important perspective for all of this is that it's not just about new wins for, like, just putting everything into perspective. Like just take the Nissan example alone, okay? You know, we just said that was 4 million vehicles per year. You know, their ultimate intent of this is to be able to standardize this kind of capability and technology on the vehicles by the end of the decade. You know, we modeled out when, you know, even when we first went public, we modeled out the scenario of what the target market penetration was for 2030, and we modeled out 3%-4%. 3%-4% gets you know, $5 billion revenue, $2.5 billion EBITDA, you know, with a $60 billion forward-looking order book at that rate. Just that alone. You know, can be able to take up that level of market penetration. Now, obviously, we're not stopping there, and frankly I would be very disappointed if we only hit 3%-4% market penetration with that. It just goes to show just with the law of large numbers just how meaningful this is. You take a look at the other tech names in the examples, like the NVIDIAs and Mobileye and other type of stuff that have gone along that trajectory, you know, with this and how it makes all the difference. As a follow-up, your recent laser acquisition, you sort of alluded to a product roadmap, if you will. If you could talk a little bit about, you know, how it's gonna help you out in terms of BOM and capabilities and sort of what exactly that roadmap looks like. There's a few different things there. It's three different aspects. One, it accelerates tech and product roadmap. Two, it widens competitive moat. Three, it reduces cost. You know, I mean, and all those three independently are probably very valid reasons to do something like this. When you combine it all together, it's a no-brainer for us to be able to vertically integrate. A lot of these guys, it's not like there's 10 different companies that can do these kinds of things. You have these very specialized, you know, niche technology developers, you know, that have largely been, you know, like government funded, you know, for like specific one-off projects at a time. That it's just really interesting to see these developments here. We've partnered with some of them over the years, often exclusively, with exclusive contracts, to be able to actually do core development with them for at the component level with the Luminar design and Luminar architecture. Leveraging these capabilities is absolutely critical to being able to continue to improve, continue to improve performance, continue to improve cost, continue to improve everything. Those results are absolutely gonna be realized. When it comes to the laser, that was the last missing puzzle piece, you know, to this with the receiver and the ASIC, you know, to this. But now you have the laser, the receiver, the ASIC, all the core LIDAR components that are there that are needed, to be able to get towards that long-term, you know, $100 BOM trajectory as part of this. you know, we can see cost benefits, you know, for roadmap acceleration. I would say in addition to cost, like I said, this is gonna be critical for what's next after Iris as well. you know, obviously we wanna be careful about talking too far into the future with this, but you know, there's more to come. we're making sure to also not take our heads off the ground with execution for Iris and everything that we have ahead since it's incredibly important to get this locked in with the key major automakers that we have. Got it. Thanks. I'll pass it on. Thanks, Gus. The next question comes from Dan Levy at Credit Suisse. Hey, good evening. Thank you for taking the questions. Wanna start with the Nissan agreement. Maybe you can give us a little color about how this came about. Just on the agreement itself, I think we know Nissan is generally more of a mass market brand, and so the price points are lower, which means that the costs in the vehicle are lower. What does that imply in terms of the types of ASPs that you would have, which are probably gonna be different than what you'd have for, say, Mercedes or Volvo, which are more premium vehicles? Yeah. No, it's interesting. I think we're noticing a trend now of some of the OEMs going out and publicly saying what they want the price to be. It was like, I think actually Nissan went out and said, "Yeah, it would be great if like Luminar charges $300 for the product." And like which, I mean, hey, you can, anybody can ask for stuff. The reality is I have been public and said that, you know, listen, it's gonna start out more on the order of a $1,000 type ASPs and progress towards, you know, $500 type ASPs over the longer term when you go truly mass market at that scale. Now obviously that's like many years from now here, but I think that it makes a lot of sense. Now obviously there's a significant software value that's contributed on top of that too that's you know arguably you could say the cumulative value that you're providing for this between hardware and software is into the thousands you know even in a standardized case. Obviously we're also leveraging other second order opportunities, not to get too deep into it, but you know things like the trajectories around insurance and other aspects to be able to capture significant value and essentially even as much or more value than what the LIDAR itself when it comes to these kinds of things. It's really interesting to be able to see that. That said, I think that when it comes down to the product, there's no question that the idea behind this only being in certain specific luxury models as an option is going by the wayside and now actually having the opportunity to truly go mass market. This is really the first public bold statement from someone to make that happen. Dan, we've talked in the past about our initially our BOM is gonna be a target of $500 and longer term we wanna take it closer to $100. There's two things that are needed to kind of take it from that $500 to the $100. The one is there are some you know I would say you know product development goals that we need to achieve. Freedom Photonics is critical in doing that. We now have that in-house. The other thing is you need substantial volume and economies of scale to bring the cost. With the recent major commercial wins we've had, including Nissan, you now see a path for us to do that. This is really self-fulfilling. Getting the volume allows us to continue to innovate and bring our costs down. It gets us that economies of scale. That's the roadmap that we have to kind of you know, we're always gonna be asked by our customers to bring the cost down, but you're right. In order to penetrate that mass market, you need to change the price of the LiDAR than what you're initially charging in the luxury or premium segment. Great. Thank you. As a follow-up, Austin, so you noted that your compensation plan is gonna be updated or released in the proxy, and you said there are some operational milestones alongside a stock threshold. Could you just elaborate what those operational milestones are? Yeah, the key is launching with series production. I mean, that's the fundamental business value inflection point that's there. Now, of course, now. That was something that the board, it'd be good to put into place. But I think the most relevant and valuable. I would say the hardest to hit one obviously is gonna be the $50 per share that's there, since that's what we have ahead. But I'm, like I said, I couldn't have more conviction in terms of the long-term business value of everything that we have, and that's what I'm signing up for. As I said, as part of that, wouldn't make a dollar. Are there revenue or EBITDA thresholds attached to that? No. There is a time vesting schedule. It's like a seven-year period, that's there, that I have to be with the company, as part of this. Not that I was planning on not being here in seven years, but it's a that is another condition that's part of it. Great. Thank you. Thanks, Dan. Next question comes from Aileen Smith at Bank of America. Hi, guys. I wanted to ask the first question from, I think it's slide 5 in the deck, specifically that you are accelerating capacity expansion in light of commercial momentum. Can you elaborate a little bit more on this, and specifically what timeframe this is for? I think now you're at something like 10+ commercial wins. The outlook you gave when you went public was, you know, a model based on 4 wins. I'm assuming that most of those, you know, commercial programs don't go into production until mid-decade. Is the capacity expansion something immediate for planned production in 2023 or the near term, or rather further out in the business plan? It's more in the immediate term, Aileen. As we talked about in the past, we are launching with Celestica as our contract manufacturing partner that's gonna be doing the final assembly. Fabrinet's doing the most complicated and technically advanced subcomponent, which is the transceiver. They then send it over to Celestica who does the final assembly. From there they ship it to our customer. We were initially planning to launch at a shared facility where, you know, Celestica would make our LiDAR, but a bunch of other components that they make for their other customers. Our volume indication from our customers have now reached, you know, a point in the near term where the run rate we're being asked to produce kind of exceeds the available capacity in that shared facility. We're gonna be working with Celestica to build out more or less a dedicated facility, you know, located right near their plant in Monterrey that will be dedicated to Luminar and being able to handle the capacity that we need, not only in the near term, but in the medium term as well, given the better than expected volume guidance we've gotten from our customers, as well as, you know, from our better than expected commercial win momentum. Okay, great. I wanted to ask a question around the Nissan partnership and read-throughs to other automakers. Specifically, you're launching on select new models first around the mid-2020s, and then by 2030, you know, possibly across all of their new vehicles. That's a pretty big commitment and, you know, almost a preemptive announcement of standardization in a sense. In terms of the conversations with other automakers, how many would you say are structured in a similar capacity where you start off more on premium models with a plan to be rolled out across the entire product portfolio over time? Rather, do most automakers wanna see the technology perform in initial models first before committing to rolling it out further? Well, I think generally the strategy of the industry is to try and introduce the cool new stuff in the high-end models, and then ultimately have it trickle down over to the rest of it over the course of a decade or two. I think what people are realizing is that, you know, this isn't something that's just a cool widget, you know, that's on the vehicle as part of this. This is fundamental to the overall driving experience, to the overall safety of the vehicle, to the value of the vehicle, to the consumer impression, and not to mention pressure from a regulatory standpoint, the insurance costs and stuff. There's so many different factors that come into play here, that really make an incredibly strong, you know, almost no-brainer business case to standardize this across a lineup. I think it's. There's no question that the conversation is certainly shifting from if to a matter of when at this stage in a more holistic capacity. I think that that's happening as well. Now, that's not to say that people won't start on this. You have to start somewhere. If you were to try and launch on millions of vehicles all at the same time, you know, with this, that would probably be a bad idea, you know, with this. But this is where, I mean, automakers, when they introduce this, the key is that what is the trajectory of what the actual product roadmap they have and want is? I think we're seeing, whereas, you know, historically you would be like decade-plus long cycles by the time you introduce a new tech in a first vehicle model, by the time it proliferates throughout the industry. I mean, even with like seatbelts and airbags and everything, I mean, it took decades, you know, for this to happen. Now we're talking years, you know, for this. So it's really accelerated, and that's obviously, you know, in the tech world that sounds slow, but, you know, in the automotive world that's moving at blazing speed, you know, when it comes down to it. This is just because it's such a significant commitment to be able to try and plan for these things, and huge investments in advance. Also it's incredibly sticky, you know, on this stuff too. It makes a big difference over a long-term period. I think, Aileen, it really comes down to. There's really two major systems that our technology enables that we've talked about. One is the highway autonomy, which fits very well with the luxury and the premium brands, particularly with what that trim and package can cost the consumer and the additional profitability it brings to the OEM. The other is the proactive safety, and we've always viewed the proactive safety as what drives standardization. You know, we've been very public recently, initially showing demos last year, showing it live at CES, and this is really starting to resonate with the OEMs, particularly the mass-market OEMs. We think proactive safety should be available to everyone, just not the people who drive high-end luxury vehicles. This technology will save a lot of lives. Nissan recognizes that. They recognize the power of our LIDAR and what that can enable in additional safety functions. They wanna design a system that, yeah, they're probably gonna start it on the high-end vehicles, but they wanna put it on every vehicle because they see the impact that this can have on making our roads a lot safer. Okay, great. That's helpful. Thanks for taking the questions. Thanks, Aileen. The next question comes from Joshua Buchalter at Cowen. Hey, guys. Congrats on all the commercial and operational progress and thanks for taking my question. First one, a bit of a clarification. I believe on the order book target, the Mercedes wasn't included in the 40% growth 'cause it was in the 2021 number. So I guess I wanted to ask, I assume that's not the case for Nissan, and is there any amount in the 40% growth, contributing to the 40% growth given it's, you know, latter half of the decade when the majority of the volumes will be? Sure. Talk a little bit more about that. The most recent order book that we have at $2.1 billion is as of December 1st, 2021. We did a lot of work for Nissan last year, but it didn't progress to the point where we kind of declared that a major commercial win. As I talked about before, we're very conservative with what we put in there, and it needs to reach a certain threshold and a certain certainty where we felt comfortable on that. Nissan, in the $2.1 billion in 2021, had zero Nissan in there. There was some Mercedes in there because the Mercedes, you know, agreement kind of progressed to a point, and you can see in some of the public filings some of the agreements we entered into last year with them where we did include it. What I would say, though, is the numbers for both of those customers can go up this year and in the future if they give us more programs, if they give us more volume. We're gonna update our forward-looking order book at the end of the year. We declared Nissan a major commercial win, which means it's eligible to be in there, but the amount we're gonna include this year is gonna be very, very conservative, you know, based upon, you know, where we are in that specific time, at the end of the year with Nissan. This is where you see the multiplier effects even from. Yeah existing wins that's there, even if it may have a start of, you know, for example, like some, you know, specific model or something that's there, but then it expands to, you know, more vehicle lines and other things there too. That's what obviously makes all the difference, and that's what we're also experiencing and seeing with greater volume indications, you know, across the board. Not to name specific names, but that's a driver. That's not a fundamental surprise, but something that was even more than expected from what we had. Okay. Thank you. I appreciate all the color there. For my follow-up, you spent a good deal of time talking about vertical integration both on the call and in the video. In particular, I wanted to ask about Freedom Photonics. Correct me if I'm wrong, but I believe it allows you to go to a laser diode instead of a fiber laser. Can you walk me through some of the benefits from either performance, cost, and form factor and why, you know, acquire versus source? Thank you. Yeah. I would say the fundamental laser chip design capabilities, you know, being able to have that in-house is definitely something that can accelerate the roadmap, you know, when it comes down to it. You know, we obviously take the build, buy, partner decisions very seriously, you know, when it comes down to it. I think this is one of those things that is just so fundamental that, you know, partner is great, but let's continue to be able to industrialize this stuff. Because one other aspect is you have to be able to make sure that you can actually have auto-grade components for a series production product, and this is not something that frankly exists historically in this industry. We have to really be able to focus to make sure that, you know, we have the full capacity secured. It's industrialized to meet automotive grade and quality and standards, and we're at a stage where, you know, it can scale accordingly. Obviously, you know, what's the initial driver behind it is the tech. Yeah, there's you could probably do something on the notion that, I mean, these guys have truly breakthrough capabilities when it comes to laser power and efficiency and everything out of a diode, you know, with that, which is able to significantly reduce costs, you know, that are there versus, you know, the current systems that are out there. Without talking too much or giving too much away on that front, there's no question that's kind of the final pillar to what we needed to have to be able to ultimately meet our long-term cost roadmap from what's there. That's why that was a really important part of that. Obviously, it's a breakthrough new capability that we have in-house leveraging the platform that they have today from the chip design capabilities for lasers. We truly are from the chip level up across all aspects of the LIDAR design. This is obviously a fundamental differentiator versus everyone that's historically used the same, you know, low performance, off-the-shelf, you know, components that are available readily from the, you know, existing, you know, component suppliers that have been around for decades, you know, which just doesn't get you anything close to the level of performance capability that you need or the economics needed to be able to truly deliver this in series production for what's needed. Thanks, guys. Thanks, Josh. Next question comes from Michael Filatov at Berenberg. Hey, guys. Thanks for taking my questions. So first I just want to nail something down. You know, in your annual filing, you talked about, you know, if you don't achieve a major commercial win with respect to a particular vehicle model, it may not have the opportunity to supply your products to that OEM for, you know, many years. I'm just wondering, you know, A, you know, how many of your commercial wins are for specific models or committed to specific models or platforms, right? Is Nissan a commitment to supply specific models or platforms? I suppose, you know, can a supplier, maybe a competitor, theoretically supply, you know, Mercedes if even though you have sort of a commitment with them for series production, you know, maybe in a future platform when they're launching, if you get what I'm saying? Michael, typically what happens, and it's different by each OEM. I would say most of the time we typically start with a specific program. It doesn't jump to standardization across all vehicles, all makes, all models, all programs. On day one. On day one. It specifically starts with a specific program. Then the OEMs kind of design the autonomous system around you, and that gives you a design advantage as you go win more and more business. Let's take Mercedes, for example. What we see with a lot of these OEMs is some of them have started with a specific lidar projects that enable a traffic jam pilot assist or something. For that, you know, you don't need the robustness of our lidar. You probably arguably don't need a lidar at all in order to enable that. If you wanna take it to the next generation of safety like Nissan wants to do, or the next generation of autonomy, which Mercedes wants to do, you tend to need to use our lidar. For example, Mercedes is using Valeo, another existing legacy lidar for that TJP and some of the lower-end systems. For that next generation stuff, they decided that that technology doesn't work, and they really need to use the robustness of our lidar. Winning those initial programs, it tends to be a select few, and then they'll, as that technology is proven and then they develop it, they'll roll it out to more programs over time. Going back to what we said before, those major commercial wins for a customer, what we include in that order book are only the programs that we've been delegated as wins. I think it's fair to say that from, you know, nearly what a dozen, you know, major commercial wins that nearly all of them either have identified- Yeah You know, the lead programs that we've been working with them on for some time or are developing on a specific platform as part of something that they're still figuring out the details for what specific models and that they launch and everything. Usually OEMs actually, you know, get to a stage where they don't even announce vehicles and other stuff, I mean, up until like, right when things launch that are there. You know, I think people have been excited Valeo about the capabilities that we enable. They wanna be able to get out there with it. You know, it goes to show a great example with the Nissan showing off the vehicle capabilities. It makes all the difference. Got it. Just one more, following up on Josh's question, actually. You know, on your target $100 BOM, again, it seems like there's gotta be an architecture change there going from a fiber laser to a 1550 laser diode. If you were doing that, you know, switching to a laser diode without fiber amplifiers, I mean, I could see how they could certainly achieve significant cost reductions given the cost of fiber lasers. But you know, could that impact performance, right, the range of the LiDAR sensor, given that you're taking away fiber amplifiers? Then, you know, when would you expect that transition in architecture to happen, right? Is this a couple of years away, or is this, you know, 5, 10 years down the line? I think it's fair to say that every version of what's after Iris and what's after that has significantly higher performance than, not the other way around, while also driving that cost down. There is some secret sauce behind it in a few different dimensions, but this is like where the core driver behind it. It takes a combination of you have to have the most sensitive receiver in the world of its kind to be able to make all of this work and it's effective, and that's what we've been able to do between Black Forest Engineering and OptoGration as part of these core components combined with our overall system design. As part of this, there's a few different factors that come into play with the overall architecture, but we've been able to pull it off without getting into too much detail on that. All right. Thank you. Thanks, Michael. Next question comes from David Kelley at Jefferies. Hey, good afternoon, guys. Thanks for taking my questions. Maybe just starting with Fabrinet, hoping you could talk a bit more about some of those process improvements you've seen over the last quarter or so, and what are the next steps that you're looking to achieve there as you prep for, you know, automotive grade scale production? Yeah. I think in terms of the critical next steps for Fabrinet is really just about continuing the process, rapid iteration, continuous improvement, being able to reduce cycle times, being able to make sure that we can ramp up with the necessary capacity. I mean, there's capacity that we have to put in, as Tom was alluding to with Celestica. There's stuff that we have to do with Fabrinet. But it's great to be able to have these guys live and ramping, you know, with this as we go through the sample stage and leading up to series production. That's a critical step. I would say in terms of what's. I wouldn't say there's anything. This was kind of the major milestone there. There's still a lot of work left to do, but I would say it's relatively tactical when it comes to an execution standpoint for that, and they've got a great team out there that we're working closely with in Thailand. Fabrinet was really doing the core transceivers, the LIDAR engine behind it, and then that gets shipped over to Celestica who does the final assembly for everything that's there. It's really a matter of just continuing the industrialization process improvement cycle times. It's kind of boring, but you know, important to nevertheless be able to make sure that we do it well, do it right, and do it all throughout the course of the year. I got it. Boring's not a bad thing. No, thank you. Exactly. I guess as a follow-up, you know, so you're now vertically integrated, receiver, processor, laser. You know, maybe to ask a question a little bit differently, but help me to talk about some of the competitive advantages and specifically, you know, we always think about global OEMs, you know, that want leading technology but also some assurance to scale production visibility from their supplier. I guess, you know, it's clearly early. You've just completed the third acquisition, but have you seen it or do you see being fully integrated driving any aspect of differentiation as you think about the bidding process with customers going forward? Absolutely. I think actually, well, one interesting example that we had, just somebody sent over, something of a screenshot from, like, for example, the Nissan presentation that's there. Again, like this isn't our slide, this is stuff that like OEMs are presenting live. Like you take a look at an example. Can you guys see this? Yeah. Goes to show, you know, as you can see of, like, for these next generation LIDARs, it's the capabilities that are here. You know, people are doing these extensive benchmarks throughout the industry in terms of the different tech capabilities that are there. It's really Luminar that's ending up on top, you know, each time around as opposed to. This is the fundamental underpinning about what can be enabled for, from a next generation safety standpoint as well as a highway autonomy standpoint. You take a look and from both ranging performance as well as the resolution at range, you know, across the entire field of view, you know, and the range and where it matters most is very important, and that's where we really end up in that critical target performance box, you know, that's there at the cutting edge of what's to be had. That's not to say that there won't be more in the future as part of this, and there will be. This is all enabled by the fundamentals of these core components from the companies that we've acquired, from the design direction of everything that we've had within Luminar from the core LIDAR engineering experts. I mean, we basically, you know, acquired the majority of the world's supply of relevant folks, you know, that actually work on all of these things. That's where you start to see like realizations of what actually can happen. You know, like, okay, what does all that mean? Well, you know, and this maybe answers some other questions that people had about the functionality of what you're trying to do. Like this is a good example of where you see, like you can see the tire coming out on the road here too as an example of where they have to be able to model in simulation, what's ahead, you know, to be able to avoid that. This is exactly the kind of stuff that you can be able to prevent crazy scenarios and collisions and, you know, a stalled car out on the road, same kind of deal. There's a longer, like, you know, half hour-long video that Nissan has, you know, as an example that goes into detail on some of these things. It just, this is the kind of fundamental differentiation that now automakers are starting to put out. It's not us anymore. It's at the actual automakers themselves. I mean, that's why I was saying it's almost like Luminar marketing at some stage, you know? That's where I think I do think people are seeing it as a differentiator for their vehicles and next generation technology vehicle lines and everything that's there. That's why people were so shocked to see folks like and folks in the industry like Nissan as mass market folks starting to adopt this. David, one unexpected benefit that we're starting to see, and look, it's still early innings, is now that we have the BFE, OptoGration and Freedom teams, all on the same side and wearing the same jersey, in kind of our R&D work, just having all those bright individuals sitting at the same table and brainstorming on where to take the next generation of the product, they're really unlocking some very interesting things. There are what I would say some R&D synergies, not by taking cost out, by just having smart people collaborate, by all sitting at the same table that we're starting to see, you know, in the early stages here. Yeah. Okay, great. That's helpful. Thank you. Thanks, David. Next question comes from Srini Pajjuri at SMBC. Hey, Srini. Thank you. Hi, guys. Thanks for taking my question. Austin, a question on the software readiness. I know you said you expect Sentinel to be production ready or, you know, beta version by end of this year. I guess, you know, as you shift to Volvo and SAIC, I believe, end of this year, do you expect both hardware and software to be available at the launch, or is this something that's gonna be available down the road on OTA? And just as a follow-up to that, obviously, you know, it's a great start, but, you know, you're selling a platform onto these, you know, models. Do you see any additional OTA upselling opportunities down the road on these, you know, initial design wins? Absolutely. I think when it comes to this, from a software standpoint, the answer is that yes, you know, there already is expected to be a software content, you know, with these OEMs off the bat that's there. Now, the capability will continue to improve over time, and it will continue to get better, and the performance will get better, and the capabilities will get better. This is, you know, it was a foreign concept just a handful of years ago, and now it's really coming into full light with OTA capabilities for pretty much every new vehicle that we bet on launching on. So that's an important part of that. But yeah, in terms of additional opportunities, I mean, absolutely. Like, it's the same kind of thing of when we were. I mean, when we were first talking to OEMs about dynamic pricing models and subscription pricing models and all of these other things there, people are now taking a page out of our book to be able to actually implement these things all the way down to the consumer level in some cases. It's happening, and there's absolutely additional opportunities that are had there, on both a one-time and a recurring basis. In fact, I would be surprised if that's not the dominant model by the end of the decade in terms of how all the rest of this evolves and plays out being able to have continuous recurring revenue streams from this. It's still, it's gonna, you know, it's actually ultimately most advantageous to It's not just for us, it's for the OEM as well and the consumer for that matter, with this. It's a transition time obviously to be able to fully realize that. Thank you. That's helpful. Then my next question is for Tom. Tom, I'm looking at your annual guidance, you know, greater than $40 million. If I just annualize your Q1 number, I think we get pretty close to that. Given your comment that both Volvo and SAIC are gonna start ramping later this year, I would've thought, you know, that number would be actually meaningfully higher. You know, I'm looking at my back of the envelope math here. I think the SAM opportunity at Volvo alone, just for hardware is north of $100 million annually. I'm just curious as to why you're not being more aggressive on the outlook for the year. Thank you. Yes, yeah, it's a good question, Srini. Look, we think the vast portion of our revenue this year is gonna be from the program revenue as well as pre-production sensor sales. We're being conservative in terms of what we're estimating for anything from series production revenue, and I think quite frankly you're not gonna see a significant amount until next year. Some of your high level math that you just talked about for series production, you know, doesn't sound too far off to me. No. I think it's fair to say in a world of companies that overpromise and underdeliver in this space, we wanna be the company that underpromises and overdelivers. That's something that's kind of core to the philosophy. Everybody hears it from me consistently. Yes, if we end up doing better than expected on our goals, that would be my bad. Okay. Thanks, Srini. All right. We'll have one more analyst and then we'll close out the call. The last questions will be from Itay Michaeli at Citi. Great, thank you. Hi, everyone. Just wanna go back to the comment around increasing capacity and your customers kind of increasing demand. First, I'm curious how much of that is reflected in the order book to date, and curious, like, what is happening there. Is it higher take rates on trims? Is it expanding into other vehicles? Sort of what's kind of driving some of that demand, and maybe if you can quantify to some extent? Yeah. What I would say is, once again, at the $2.1 billion that we had at the end of 2021, that had some assumption in there for what the business would be, not only in 2023 but in the future. The decision to kind of, you know, work with Celestica to build out this dedicated facility was only made recently this year. You can kind of back into there that there's probably, you know, some higher volume requests from our customers that weren't fully incorporated into our 2021 year-end target. Perfect. Just a quick follow-up, but back to Nissan. What are the next milestones in the relationship? Like, what should we be thinking or anything you might announce, you know, in the next 6-12 months? Yeah. Look, right now the teams are working real time together on developing this system. You know, we've already invested a lot of time to kind of get this to the stage where Nissan kind of shared some of their live demos. For those that didn't see it, because it's in Japanese, but they do a good job with English translation. It's up there on YouTube, and I think we have a link to it in some of the earnings material that we released. We're working on developing this system, and then we'll work with Nissan to figure out what is the cadence that they wanna deploy this out to each specific vehicle platform that they have. You know, they have a framework for what they wanna do, but right now the teams are focusing on getting this system to work the right way. Yeah. I mean, the next steps at the end of the day is you gotta execute, continue to deliver, scale, you know, do what it takes to make this happen and make this successful. It's a pretty straightforward path. Not an easy one, but it's clear. Absolutely. No, that's very helpful. Thank you. Thanks, Itay, and thanks everybody who joined our quarterly call. We'll end the call now, Kevin. Thank you, everyone. All right, thanks, everyone. Appreciate you joining, and we'll see you again soon.