Philips Semiconductors Links with TriQuint in Wafer Sourcing Deal; Products Will Serve Portable Phone, Wireless LAN, High-Speed Transmission Equipment and Satellite Communications Markets

Business Wire, April 4, 1996

SUNNYVALE, Calif.--(BUSINESS WIRE)--April 4, 1996--Philips Semiconductors today announced a wafer sourcing agreement with TriQuint Semiconductor (NASDAQ:TQNT), a leading U.S. supplier of radio frequency, gallium arsenide (RF GaAs) components.

Philips Semiconductors will develop all the GaAs ICs at Philips Microwave Limeil, France, drawing on its 20 years of experience in GaAs IC R&D and foundry service. Wafer production will be carried out at TriQuint and Philips Microwave Limeil.

TriQuint will produce wafers to Philips Semiconductors' specifications at its Beaverton, Ore., plant. Philips will assemble and test the products and supply them through its worldwide sales organization. The products will serve market areas such as cellular and cordless phones, wireless local area networks (WLANs) and basestations, as well as high-speed transmission equipment and satellite communications.

Philips Semiconductors is a major supplier of wireless communications integrated circuits (ICs). The wafer sourcing deal is designed to strengthen its position in this rapidly expanding market. The move also means that Philips will be able to reinforce its already strong presence in the RF domain by offering both silicon and GaAs chips for RF communications applications, giving customers a choice of architecture for their designs.

GaAs offers advantages in areas such as board assembly costs, economies of scale, power efficiency, linearity and distortion performance. Furthermore, the technology is especially suited to applications at RF frequencies of 500 MHz and above.

"TriQuint is a world leader in GaAs wafer production, and we are delighted to be working with them," said Bernard Le Henaff, strategic product marketing officer for telecom ICs at Philips Semiconductors. "Our RF applications specialists will now be able to help customers reap the benefits of GaAs technology as well as silicon."

"We are pleased to have the opportunity to work with a global electronics company of Philips' stature," said Steven Sharp, president and chief executive officer of TriQuint.

"We are excited at the prospect of partnering with the technical specialists at Philips, sharing technologies so that together we can better address communications applications. This agreement with a world leader in silicon RF technology further validates the viability of GaAs devices for high-volume applications," added Sharp.

The wafers will be high quality, high performance types that conform to ISO 9001 quality standards. Technical co-operation will be provided by Philip Semiconductors in France.

Philips Semiconductors, a division of Philips Electronics NV, headquartered in Eindhoven, The Netherlands, is the 11th largest semiconductor supplier in the world.

Philips Semiconductors' innovations in digital audio, video, and mobile technology position the company as a leader in the consumer, multimedia, and wireless communications markets. Sales offices are located in all major markets around the world and are supported by regional customer application labs.

TriQuint Semiconductor Inc. is a leading manufacturer of analog, digital, and mixed-signal gallium arsenide (GaAs) IC products. The company produces standard products as well as customer-specific ICs for high-performance systems in wireless, telecommunications, and computer applications, and offers GaAs foundry services for the commercial market.

TriQuint is certified to the ISO 9001 international quality standard. TriQuint (TQNT) has been listed on the NASDAQ stock exchange since December 1993.

Additional information on Philips Semiconductors can be obtained by accessing their home page at: http://www.semiconductors.philips.com/ps/

CONTACT: Philips Semiconductors

Peter Brown, 408/991-3625

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