Common Stock, par value $0.0001 per share

Palladyne AI Corp.

650 South 500 West, Salt Lake City, UT, 84101

The information set forth on the cover pages and in Item 3 of this Statement are incorporated to this Item 5(a)-(b) by reference. (a)-(b) As of the date of this Amendment No.1, Dr. Smith beneficially owns an aggregate of 1,625,845 shares of Common Stock, or 5.40%, of the Issuer's outstanding shares of Common Stock, consisting of: * 1,615,503 shares of Common Stock; and * 10,342 shares of Common Stock underlying options exercisable within 60 days of December 23, 2024. Dr. Smith has sole voting and dispositive power over the 1,625,845 shares of Common Stock. The beneficial ownership percentages used in this Schedule are calculated based on the 30,112,399 shares of Common Stock of the Issuer outstanding as of November 6, 2024.

The information set forth on the cover pages and in Item 3 of this Statement are incorporated to this Item 5(a)-(b) by reference. (a)-(b) As of the date of this Amendment No.1, Dr. Smith beneficially owns an aggregate of 1,625,845 shares of Common Stock, or 5.40%, of the Issuer's outstanding shares of Common Stock, consisting of: * 1,615,503 shares of Common Stock; and * 10,342 shares of Common Stock underlying options exercisable within 60 days of December 23, 2024. Dr. Smith has sole voting and dispositive power over the 1,625,845 shares of Common Stock. The beneficial ownership percentages used in this Schedule are calculated based on the 30,112,399 shares of Common Stock of the Issuer outstanding as of November 6, 2024.

Except as described in this Item 5(c), Dr. Smith has not effected any transactions in the Common Stock during the past 60 days. Dr. Smith has effected the following open market sales of Common Stock during the past 60 days: Transaction Date Shares Sold Weighted Average Trading Price Per Share 12/6/2024 12,208 $4.35 12/12/2024 300,000 $3.67 12/17/2024 300,000 $3.62