AMCC Selects Global Factory's Solution for Collaborative Manufacturing and Supply Chain Management.

Business Editors/High-Tech Writers

EtroniX, eMfg

ANAHEIM, Calif.--(BUSINESS WIRE)--Feb. 27, 2001

Global Factory, Inc. (Santa Clara, Calif.), a leading provider of Collaborative Manufacturing Execution (CME) platform, today announced that Applied Micro Circuits Corp. (AMCC) (Nasdaq:AMCC), a leader in high-bandwidth silicon connectivity solutions for the world's optical networks, has selected the Global Factory Network solution to establish a web-based collaborative connection with all of its suppliers.

This solution will allow AMCC to effectively manage its operations in real-time and improve supply chain efficiencies resulting in shorter turnaround time, reduced inventories and achievable on-time delivery. The Global Factory Network will be employed initially to facilitate collaboration with AMCC's suppliers, by enabling engineering and quality data sharing, along with forecasting, work-in-progress and order release information. AMCC is already a member of the Global Factory Network and has concluded implementation of the CME solution to collaborate with one of its major suppliers.

"After looking at several other solutions we chose Global Factory because of its innovative approach to solving the problem," said Dana Harris, AMCC's director of Supply Chain. "Global Factory Network's solution allows us to aggregate multiple supplier databases together creating a seamless view of the integrated supply chain. This provides the foundation for a truly collaborative environment that creates value for both suppliers and customers."

Collaborative Manufacturing Execution (CME) platform

Manufacturing processes are continually changing and manufacturing facilities must introduce new products and processes in order to keep up with the fast pace of technology. Collaborative Manufacturing Execution (CME) systems are vital to outpacing the competition. Global Factory's customizable CME platform provides collaborative forecasting, new product introduction, work in progress (WIP) management and order fulfillment adaptability that is required to support evolving enterprise needs, allowing speedy and agile adaptation of new organization structures as they arise. The Global Factory CME is offered to its members through the Global Factory Network.

The Global Factory Network is a web-based collaboration platform designed for easy field configuration and rapid, low risk implementation. This platform allows all parties of the supply chain to collaborate in real-time through the Global Factory Network hub. The hosted application provides for sharing data on manufacturing, engineering, quality, order-release and forecast information, as if the partners were communicating within one extended enterprise. Analytics, alerting and exception reporting are available for all these features, enabling managers to focus on problem solving rather than waste time on reviewing a huge amount of data that does not require immediate reaction. Manufacturing suppliers and their customers subscribe to the Global Factory Network to communicate and obtain critical information for successful operations management.

"We are excited about the opportunity to service AMCC providing them with our CME solution to support their continuous efforts to increase customer satisfaction and improve business practices," said Sharone Zehavi, Global Factory president and CEO. "We believe that implementing a manufacturing execution platform such as the Global Factory Network can help AMCC focus on their core competencies, maximize their potential and maintain their leading position in the optical networking market. In today's manufacturing reality where outsourcing and sub-contracting plays a major role, operations managers must have the ability to dynamically and effectively plan, control and forecast through the extended organization. In order for this to be successful it must be performed in real-time and most important: in collaboration with all of the supply chain partners."

About AMCC

AMCC designs, develops, manufactures, and markets high-performance, high-bandwidth silicon solutions for the world's optical networks. AMCC utilizes a combination of high-frequency analog, mixed-signal and digital 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 PMD, PHY, framer/mapper, network processor, traffic management and switch fabric devices that address the high-performance needs of the evolving intelligent optical network. AMCC's corporate headquarters and wafer fabrication facilities are located in San Diego. Sales and engineering offices are located throughout the world.

About Global Factory

Global Factory, based in Santa Clara, Calif., is leveraging the Internet technology to create the Global Factory Network, a web-based application for extended-enterprise collaboration. The company provides its network members with a seamless and secure cross-enterprise operations management solution. The Global Factory Network is the first Collaborative Manufacturing Execution (CME) platform. Subscribing to the Global Factory Network enables manufacturing suppliers and customers to communicate production status, forecast and loading visibility, delivery schedule and other operations management information. All parties in a collaborative manufacturing chain can operate as if communicating from within one enterprise. The Global Factory Network is subscription-based for affordability and is field configurable for rapid and low risk implementation.

Global Factory was founded in 1999.