Microtune Ships 10 Millionth Cable Modem Tuner; Solidifies Position as a Leading DOCSIS-Based Tuner Supplier to the Cable Broadband Access Market

Business Wire, July 9, 2002

Business Editors & High-Tech Writers

Microtune(TM), Inc. (Nasdaq:TUNE) solidified its position as a leading radio frequency (RF) supplier in the standards-based cable access market with the shipment of its 10 millionth cable modem tuner. This tuner, the MicroTuner(TM) MT2040 single-chip integrated circuit, is based on the DOCSIS(TM) 1.1 standard and shipped on July 1, 2002 to Samsung Electronics Co., Ltd. This achievement was reached three years after Microtune introduced its first-generation cable modem tuner solutions, developed to deliver the high-performance, low-power RF capability required for high-speed Internet access via two-way cable communications.

"Shipping our 10 millionth cable modem tuner is a significant milestone," commented Douglas J. Bartek, Chairman and CEO of Microtune. "It reflects the continuing demand by worldwide consumers for high-speed broadband access and demonstrates our aggressive strategy of providing customers a portfolio of tuner options based on innovative RF silicon and systems technology, superior price/performance and streamlined manufacturability."

A key element of Microtune's market success has been anticipating customer demand for RF components that support international standards, such as the 1.0, 1.1 and 2.0 versions of DOCSIS and Euro-DOCSIS. The company has continued to evolve its tuner technology to meet the increasingly complex requirements of these cable specifications, as well as the new services fostered by them, including Voice over Internet Protocol (VoIP), rich multimedia, gaming, home networking and videoconferencing.

In the process, Microtune's RF technology was responsible for a number of industry firsts, including the first cable modems based on a true single-chip tuner technology for DOCSIS 1.0 and 1.1 certifications. Recently, Microtune provided the RF tuner and amplifier core for a DOCSIS 2.0-based cable modem that received the CableLabs(R) seal of approval in Certification Wave 21.

As customers' requirements have changed over the last three years, particularly in the demand for lower cost, lower power and more manufacturable solutions, Microtune has kept pace with these needs by introducing new breeds of tuners, as typified by Microtune's fifth- generation MicroTuner MT2050 single-chip integrated circuit. These tuner solutions were engineered to reduce RF price, performance, size and power barriers, enabling cable manufacturers to place more cost-efficient, more reliable end products into high-volume production.

Also critical for manufacturers, Microtune's RF technology provides a reliable solution that eliminates the problems that have plagued competing silicon tuner chip sets. These include microphonics, which can cause a loss of signal, and electrical spikes, which can damage the cable modem.

To date, Microtune has provided the RF tuner solution in one or more models for 42 of the 67 companies that have been awarded DOCSIS or EuroDOCSIS certification, representing more than 60% of the certified suppliers.

MICROTUNE PORTFOLIO OF PRODUCTS

Microtune offers a complete portfolio of RF products for broadband cable access, ranging from single-chip MicroTuner tuners and amplifiers to production-ready silicon-based MicroModules. These products function as the critical RF 'gateway' in the cable modem, receiving and transmitting analog/digital signals to and from the cable headend to the rest of the system's electronics. They function as the essential RF building blocks in speeding the broadband deployment of voice, video and data via two-way broadband cable connection. With its system-on-chip wireless connectivity products, Microtune enables cable broadband devices to easily connect with phones, notebooks, PDAs, printers, and other computer peripherals and consumer electronics devices.

ABOUT MICROTUNE

Microtune, Inc. is a leading silicon and systems company that designs, manufactures and markets radio frequency (RF)-based solutions for the global broadband communications, automotive electronics and wireless connectivity markets. Inventors of the MicroTuner(TM) single-chip broadband tuner, the Company offers a portfolio of advanced tuner, amplifier, transceiver and wireless products that enable the delivery of information and entertainment across new classes of consumer electronics devices. The Company currently holds 14 U.S. patents for its technology, with more than 50 applications pending approval that span its RF and wireless products, containing almost 2000 supporting claims. Founded in 1996, Microtune is headquartered in Plano, Texas, with key design, manufacturing and sales centers located around the world. The web site is www.microtune.com.

Microtune is traded on the NASDAQ Stock Exchange under the symbol TUNE.

Editor's Note: Microtune, MicroTuner, MicroStreamer and VideoCaster are trademarks of Microtune, Inc.