AMCC Delivers 10Gbps Transceivers With Electronic Compensation, Offering Increased Device Performance and System Cost Savings for Customers.

Business Editors/High-Tech Writers

SAN DIEGO--(BUSINESS WIRE)--Aug. 26, 2003

AMCC's Third Generation S19235 and S19237 CMOS Transceivers Offer

Electronic Compensation, On-Chip Test and Monitor Capabilities, and

Exceptionally Low Power Consumption While Providing Customers with Significant Cost and Real Estate Savings for Optimum System Design and

Performance

Applied Micro Circuits Corp. (AMCC) (NASDAQ: AMCC) today announced that it has built upon the company's proven 10Gbps and CMOS expertise with the introduction of the S19235 and S19237 transceivers. These devices enable OEMs to deliver more integrated capabilities for line card and XFP module applications, while simultaneously driving down overall system power, cost and size. The transceivers build upon AMCC's CMOS design capabilities and integrate the company's Inter-Symbol Interference (ISI) electronic compensation technology to further enhance value for customers. AMCC's ISI technology extends the reach of lower-cost optics, thereby reducing overall costs for network carriers.

The S19235 and S19237 interface seamlessly with a variety of AMCC's best-in-class OC-192 framers, mappers and Forward Error Correction (FEC) devices, provide customers with outstanding solutions that reach new levels of performance and functionality, and offer significant savings in power and real-estate. Both devices support OC-192/STM-64, 10 Gigabit Ethernet, 10 Gigabit Fibre Channel and G.709 OTU-2 rates.

"By leveraging our proven CMOS expertise and recognizing the needs of our customers, we are able to meet the critical demand for high performance 10Gbps PHY devices. Our new devices offer this advanced functionality in a transceiver, including ISI compensation, while lowering overall system costs for equipment vendors," said Neal Neslusan, director of product marketing for AMCC. "These third generation transceivers demonstrate AMCC's continued leadership in delivering viable solutions that exceed performance standards, and build on our long-term commitment to provide customers with high-performance, low-cost PHY devices for the OC-192, OTN and 10 Gigabit Ethernet and Fibre Channel marketplaces."

The S19235 and S19237 transceivers feature low jitter generation figures of 5mUI and 2mUI respectively, which exceed SONET jitter performance standards, and both offer exceptional performance for edge rates, signal integrity and input sensitivity. The devices would allow users to meet the maximum dispersion penalty per Telcordia GR-253-Core LR-2a, b, & c specifications with margin. Integrated into both devices on the receiver side is ISI compensation circuitry, offset cancellation circuitry to improve sensitivity, a limiting amp with threshold adjust, and a CDR with phase adjust.

Ideal for implementation in an XFP environment, the transceivers feature a programmable TSD output differential swing, which affords power savings for module vendors. While the S19237 offers lower jitter generation and lower power dissipation than the S19235, the S19235 operates at an 11.3GHz rate, enabling 10G Ethernet and 10G Fibre Channel traffic to be carried with FEC overhead.

Enabling customers to save on additional costs, the S19235 and S19237 feature an adaptive post-amplifier offset adjust to minimize offsets for low OSNR conditions, which eliminates the need for additional components. Packaged in a 255-pin PBGA, the compact S19235 and S19237 integrate a Built-In Self Test (BIST) generator and checker capability, which allows customers to test part of their system during the design cycle, thus eliminating the need for test equipment, improving module quality and driving down test costs.

Availability & Pricing

The S19235 and S19237 are currently sampling to development partners, with general availability scheduled for Q4 2003. Volume pricing for the devices is $99 for the S19235 and $129 for the S19237. For additional technical information, visit www.amcc.com/BestInClass/S19235 or www.amcc.com/BestInClass/S19237.

For a photo of the S19235 and S19237, visit www.amcc.com/BestInClass/S19235/37Photo.

About AMCC

AMCC designs, develops, manufactures and markets high-performance, high-bandwidth silicon solutions empowering intelligent wide area networks. AMCC utilizes a combination of digital, mixed-signal and high-frequency analog design expertise coupled with system-level knowledge and multiple silicon process technologies to offer integrated circuit products that enable the transport of voice and data over fiber optic networks. The company's system solution portfolio includes switch fabric, traffic management, network processor, framer/mapper, PHY and PMD devices that address the high-performance needs of the evolving intelligent optical network. AMCC's corporate headquarters are located in San Diego. Sales and engineering offices are located throughout the world. For further information regarding AMCC, please visit our Web site at http://www.amcc.com.

Forward-Looking Statements

The statements contained in this press release that are not purely historical are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Such forward-looking statements, including statements relating to the products discussed in this press release, are subject to a number of risks and uncertainties, including the risk that the products would not be successfully or timely developed, completed or manufactured or achieve market acceptance, risks relating to general economic conditions, as well as the risks and uncertainties set forth in the company's Annual Report on Form 10-K for the year ended March 31, 2003, and in other filings of the company with the Securities and Exchange Commission. As a result of these risks and uncertainties, actual results may differ materially from these forward-looking statements. The forward-looking statements contained in this news release are made as of the date hereof and AMCC does not assume any obligation to update any forward-looking statement.

Product photos, datasheets and application notes are available upon request. AMCC is a registered trademark of Applied Micro Circuits Corp.