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Motorola, Chartered Semiconductor Manufacturing and Hewlett-Packard Company Form Alliance for Technology and Manufacturing

PALO ALTO, Calif., -- February 22, 1999 -- Motorola, Chartered Semiconductor Manufacturing and HP have signed a memorandum of understanding whereby Motorola will license its advanced high-performance CMOS process technology, HiPerMOS, including copper interconnect technology, to Chartered and its joint-venture company with HP, Chartered Silicon Partners (CSP). Chartered and CSP will receive the next three generations of the HiPerMOS process technology roadmap, beginning with 0.15-micron.

This agreement builds upon existing relationships between Motorola and HP and Chartered and HP, and it also creates a new foundry relationship between Motorola and Chartered. This multiple-level agreement ensures a strategic and dependable semiconductor supply source of advanced technology for HP, Motorola and their customers. For Motorola, the alliance is another step toward fulfilling its plan to outsource a significant portion of its manufacturing operations.

The selection of HiPerMOS by Chartered and CSP further establishes Motorola's HiPerMOS as an industry-standard leadership process technology. The HiPerMOS platform is responsible for driving the most advanced CMOS technology in the world for microprocessors, digital signal processors (DSPs), and fast static RAM memory devices. HiPerMOS also encompasses both high-performance mixed-signal and low-power platforms.

"This manufacturing outsourcing alliance will enable Motorola to provide the DigitalDNA™ solutions to our customers by expanding our technology leadership as well as providing an assured supply of wafers from Chartered and CSP," said Hector de J. Ruiz, PhD, president of Motorola's Semiconductor Products Sector. "Having a common process technology platform also ensures compatibility of manufacturing outsourcing options and makes it easier for customers and third parties to design to the Motorola-compatible process."

"I am very pleased that we have been able to expand our existing relationships with Motorola and Chartered with this new alliance," said Bill Sullivan, vice president and general manager of HP's Components Group. HP's components group supplies ASICs to its computer, printer and measurement organizations, as well as IC solutions for the wired and wireless communication markets. "By teaming with Motorola, a technology leader, and Chartered, a leader in the foundry industry, HP secures access to leading-edge process technology and world-class manufacturing. This alliance opens up exciting possibilities for all three companies."

"Partnerships based on trust are essential in building new business models that integrate intellectual property, advanced technology, and manufacturing," said Barry Waite, president and CEO of Chartered. "For those customers requiring high-performance, high-speed solutions, Chartered becomes the conduit to advanced technologies like Motorola’s HiPerMOS. We can balance a sound technology roadmap with our proven, flexible manufacturing capacity that meets the wafer demands of all our customers."

Motorola will receive licensing fees and royalties from the HiPerMOS technology agreement. These will assist Motorola's continued investment in leadership process technology development.


About Motorola
As the world's #1 producer of embedded processors, Motorola's Semiconductor Products Sector offers multiple DigitaIDNA™ solutions which enable its customers in the consumer, networking and computing, transportation, and wireless communications markets, to create new business opportunities. Motorola's semiconductor worldwide sales were $7.3 billion (USD) in 1998.

Motorola is a global leader in advanced electronic systems and services. It liberates the power of technology by creating software-enhanced products that provide integrated customer solutions and Internet access via wireless and satellite communications, as well as computing, networking, and automotive electronics. Motorola also provides essential digital building blocks in the form of embedded semiconductors, controls and systems. Global sales in 1998 were $29.4 billion (USD).


About Chartered
Chartered Semiconductor Manufacturing (www.charteredsemi.com) is a leading dedicated foundry offering advanced wafer manufacturing processes for a broad range of CMOS logic, memory and mixed-signal technologies. Through alliances with complementary service providers, Chartered helps customers gain access to best-in-class services ranging from design to assembly and final test of packaged chips.

Known for quality processes and exceptional customer service, Chartered is a recipient of Semiconductor International Magazine's Top Fab award. Headquartered in Singapore, the Company operates sales and service offices worldwide. Chartered is a member company of Singapore Technologies, a technology-based multinational conglomerate with 1997 revenues of S$ 5.4 billion (US $3.4 billion).


About Hewlett-Packard
Hewlett-Packard Company is a leading global provider of computing Internet and intranet solutions, services, communications products and measurement solutions, all of which are recognized for excellence in quality and support. HP has 124,600 employees and had revenue of $47.1 billion in its 1998 fiscal year.

Information about HP, its products and the company's Year 2000 program can be found on the world wide web at http://www.hp.com/.

 





 
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