National Semiconductor and Chinese government sign agreement of cooperation to provide telecommunication technology in China

Business Wire, Dec 22, 1994

SANTA CLARA, Calif.--(BUSINESS WIRE)--Dec. 22, 1994--National Semiconductor Thursday signed an agreement of cooperation with the Chinese government, CESEC - China Electronics Systems Engineering Corporation and PTIC - China National Posts and Telecommunications Industry Corporation, and partner S. Megga International Holdings Ltd., a Hong Kong-based manufacturer of telecommunications products, to establish an organization to produce and market advanced digital cordless communications products based on the European Digital Cordless Telecommunications standard (DECT) in China.

"This agreement is another example of National Semiconductor's strength in telecommunication technology and our global presence in the telecommunication marketplace," explained Rich Beyer, president of National's Communications and Computing Group. "S. Megga is a customer and partner of National Semiconductor's who has helped National become a true service provider of technologies for moving and shaping information in China and Hong Kong."

The agreement states that National Semiconductor and S. Megga will also transfer advanced DECT technology into China for development and manufacture of DECT-based Chinese products. The technology, while based on the European standard, may need adaptation to the networks of China for compliance with wireless communications regulations and for approval of the Ministry of Posts and Telecommunications.

"National Semiconductor's current DECT chip set and our advanced telecommunication semiconductor technology are ideal for the Chinese landscape's cordless communication thrust due to the DECT's compatibility and interoperability for all communications networks, whether they are at the office, in the home, or via a public system," added Beyer.

S. Megga International Holdings Limited is a Hong Kong-based manufacturer of telecommunications products. Sales for the manufacturer were approximately US$120 million in FY1993. S. Megga provides telecommunication products to an international customer base including Bosch, AT&T, 3M and CESEC and MEI in China.

National Semiconductor Corporation provides semiconductor technologies for moving and shaping information. The company focuses on three key areas - communications, analog-intensive applications and personal systems. Principal market segments are computing, communications, automotive, military-aerospace, and industrial systems. National Semiconductor is headquartered in Santa Clara, California, and has approximately 22,300 employees worldwide. In fiscal year 1994 the Company surpassed the $2.3 billion mark and achieved the highest earnings in its history.

CONTACT: National Semiconductor Corporation

Roberta Silverstein, 408/364-1552