Extends global customer reach for integrated digital transformation offerings to military and public safety customers

Expands Canadian defence and public security market for latest generation of Persistent Systems’ mobile solutions and KWESST applications

Combined capability to be showcase at CANSEC 2022, June 1-2

May 24th, 2022 – Ottawa – KWESST Micro Systems Inc. (TSXV: KWE) (OTCQB: KWEMF) (FSE: 62U) (“KWESST” or “the Company”), a developer of next-generation tactical systems for military, security, and personal defense markets, today announced that New York-based Persistent Systems, LLC (“Persistent”), an industry leader in mobile ad hoc networking (MANET) solutions, has designated KWESST an Authorized Integrator of its products.

For dismounted users, Persistent Systems produces the MPU5. This handheld device enables those at the tip of the spear to share voice, video, text, GPS, and sensor data in a true peer-to-peer fashion via the company’s proprietary Wave Relay® MANET—all without the need for external communications infrastructure or a vulnerable hub.

It is a solution that’s being used extensively by military, public safety, and commercial customers in the United States, Canada, and other countries for secure and scalable mobile networking.

“As part of the agreement, KWESST will be able to develop all-new TAK-specific plug-ins for the MPU5, putting new advanced sensors and capabilities onto the MANET,” said Rick Bowes, KWESST Vice-President of Digitization and Counter-Threat systems. He added, “This will be a major technological advantage both for military and for public safety agencies including police forces.”

“As an Authorized Integrator for Persistent Systems we can now offer digitization solutions, including ATAK and TAK integration, that operate on the latest generation of mobile tactical networks for any customer whether military or public safety,” continued Bowes, “Military and public safety visitors at CANSEC will certainly understand these benefits.”

“The Canadian military is prioritizing increased digitization and interoperability for its tactical communications devices and sensors,” said Ryan Kowalske, VP of Business Development for Persistent Systems, “and this new Authorized Integrator agreement with KWESST will help Canada meet those demands.”

KWESST’s integrated digital applications for military and public safety customers – enabled by Persistent Systems networks– will be showcased at CANSEC, Canada’s premier Defence and Security show in Ottawa, June 1-2, at booth 4035.

According to Accenture, digital transformation presents one of the biggest challenges for public safety agencies. Globally, the public safety and security market was $435 billion in 2021 and is expected to reach $868 billion by 2028, growing at a CAGR of 10.4%, according to Fortune Business Insights. The global defense IT spending market size was approximately $81 billion in 2019 and expected to grow at a CAGR of 4.4% through 2027, reaching an estimated $111 billion.

“We are very excited about our partnership with KWESST and look forward to growing it’s full potential,” said Kowalske.

About Persistent Systems, LLC

Headquartered in New York City since 2007, Persistent Systems, LLC is a global communications technology company that develops and manufactures a patented and secure Mobile Ad hoc Networking (MANET) system: Wave Relay®. Wave Relay® transmits and receives data, video, voice and other applications under the most difficult conditions. Their suite of products is utilized in Commercial, Military, Government, Industrial, Agriculture, Robotics, and Unmanned Systems markets. Please visit https://www.persistentsystems.com to learn more. Follow Persistent Systems on Twitter to get updates on the latest developments @pswaverelay.

About KWESST

KWESST (TSXV: KWE) (OTCQB: KWEMF) (FSE: 62U) commercializes breakthrough next-generation tactical systems for military and security forces and personal defense. The company’s current portfolio of unique proprietary offerings includes non-lethal systems (PARA OPSTM and ARWENTM) with application across all segments of the non-lethal market, including law enforcement and personal defence. KWESST also facilitates digitization of tactical forces with its signature TASCS system for real-time awareness and targeting information from any source (including drones) streamed directly to users’ smart devices and indirect fire weapons. Other KWESST products include counter-measures against threats such as drones, lasers and electronic detection. These include: the PhantomTM electronic battlefield deception system to mask the electromagnetic signature of friendly forces with decoy signatures at false locations that deceive and confuse adversaries; a Battlefield Laser Detection System to counter the emerging threat of laser targeting of personnel; and, a non-kinetic system to counter the threat of tactical drones. These systems can operate stand-alone or integrate seamlessly with third-party OEM products and networked battlefield management systems such as ATAK. The Company is headquartered in Ottawa, Canada, with operations in Stafford, VA and representative offices in London, UK and Abu Dhabi, UAE.

For more information, please visit https://www.kwesst.com/

Contact: Steve Archambault, CFO, archambault@kwesst.com or (613) 317-3941

Jason Frame, Investor Relations: frame@kwesst.com

Investor Contact:
Dave Gentry, CEO
RedChip Companies
1-800 RED-CHIP (733-2447) 407-491-4499 KWEMF@redchip.com

Press Contact:
Angela Trostle Gorman
angela@AMWPR.com
1-917-348-0083

Cautionary Note Regarding Forward-Looking Statements
This news release includes certain “forward-looking statements” under applicable Canadian securities legislation for the purpose of providing information about management’s current expectations and plans relating to the future. Forward-looking statements are necessarily based upon a number of estimates and assumptions that, while considered reasonable, are subject to known and unknown risks, uncertainties and other factors which may cause the actual results and future events to differ materially from those expressed or implied by such forward-looking statements. Such factors include, but are not limited to: general business, economic, competitive, political and social uncertainties. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements. KWESST disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this news release.