SigmaTel Announces the Sale of the 1,000,000th D-Major MP3 Audio Decoder Chip

Business Wire, Nov 11, 2002

Business Editors & High-Tech Writers

AUSTIN, Texas--(BUSINESS WIRE)--Nov. 11, 2002

SigmaTel(R) Inc. is pleased to announce that 1,000,000 D-Major(tm) MP3 audio decoder chips have been sold.

Many of the top MP3 player makers are utilizing the D-Major solution and have, or will have, MP3 players on store shelves for the holiday season. D-Major technology enables long battery life, small form-factor solutions and high-quality audio playback, all at a low design cost.

The honor of being the purchaser of the one-millionth chip goes to the Taiwan consumer electronics design supplier, TGE (Tai Guen Enterprise Co. Ltd.). Legend in China, a customer of TGE, is introducing multiple MP3 players powered by D-Major technology. Legend, the number one PC manufacturer in a very explosive Chinese market, is looking to capture the portable audio player market, as well.

"SigmaTel would like to thank all of our customers for their continued dedication to the high-level of technology and support that we have based our company goals on," says Ron Edgerton, CEO of SigmaTel. "As with all of our customers, TGE and Legend are commended for their role in the success of bringing D-Major technology and quality to the consumer. One million MP3 chips is only the beginning of a very successful future."

"As predicted last May, SigmaTel continues to make inroads into the MP3 flash player market," says Danny Mulligan, general manager of the audio decoder business unit at SigmaTel. "The D-Major solution is one that all MP3 player makers must acknowledge when developing new designs. SigmaTel prides itself on technology that is flexible for the designer with high-quality audio and feature-rich options for the consumer."

About TGE GROUP

TAI GUEN ENTERPRISE CO. LTD is a high-tech enterprise specializing in consumer Electronics, computer peripheral and IA products. For additional information on TGE Group, please visit http://www.tgegroup.com/.

About Legend

Legend Group Limited (HKSE stock code: 992) (ADR stock code: LGHLY) is the largest IT corporation in China. Legend brand PC accounted for a market share of 27.5% in the PRC market in 2001. The Legend brand PC is also the No. 1 best seller in the Asia Pacific region (excluding Japan) and accounted for a market share of 11.9%. Apart from manufacturing and sales of PCs, the major businesses of Legend also include provision of IT services and Internet services, manufacturing and sales of handheld devices and contract manufacturing business. For additional information on Legend, please visit http://www.legendgrp.com.

About D-Major:

D-Major(tm) audio decoder solutions provide high quality audio playback for portable devices such as MP3-style players, PDAs and cell phones. With D-Major's high level of integration and quality, portable audio devices are attractive to a larger audience because of a lower system cost. For information on the D-Major audio decoder product line, visit www.sigmatel.com.

About SigmaTel:

SigmaTel, a provider of integrated circuit (IC) design, is converting the real world into a digital experience with its innovative mixed-signal solutions for the digital audio and wireless infrared markets. Since its inception, SigmaTel has built a strong reputation as an innovative developer of mixed-signal ICs, by being first to market with several highly integrated designs. The privately held company, based in Austin, Texas, is committed to providing customers with high performance products along with superior customer service. For more information, visit SigmaTel's Web site at www.sigmatel.com.