AMCC and Silicon Turnkey Express Establish Strategic Partnership for Advanced Mezzanine Cards.

Partnership Will Result in High-Performance Solutions for Wireless Infrastructure Applications

AUSTIN, Texas -- Applied Micro Circuits Corp. (AMCC) (NASDAQ:AMCC) and Silicon Turnkey Express Inc. (STx) today announced the establishment of a strategic partnership to develop advanced mezzanine card (AMC) reference designs for the wireless infrastructure market. The announcement is being made at the Power Architecture Developer Conference where AMCC is a Platinum Sponsor. The new products resulting from this agreement will enable AMCC's customers to accelerate their development of high-performance, low-power AMC cards for 3G, WiMAX[TM] and LTE base stations.

The first AMC resulting from this partnership will be a dual-processor solution based on AMCC's Power Architecture(TM) 460GT processor, also announced today at the Power Architecture Developer Conference. This card will provide high-performance Serial RapidIO([R]), PCI-Express and GigE interfaces to the backplane providing a turnkey solution optimized for high-throughput requirements. The cards will be compatible with the PICMG(SM) AMC.4 specification and can be used directly in MicroTCA([R]) backplanes and as mezzanine cards in ATCA([R]) chassis. The Power Architecture-based AMC cards developed by STx will be available to customers in two ways. AMCC will provide reference design kits, including the AMC cards as well as the complete hardware/software design, that will enable customers to start their own AMC or proprietary card development from a proven baseline. Separately, STx will sell the AMC cards in production quantities directly to OEMs and system integrators for direct incorporation into end equipment products.

"AMCC's new PPC 460GT AMC cards will be outstanding additions to the growing RapidIO ecosystem," said Tom Cox, executive director of the RapidIO Trade Association. "These new cards will be of high interest to system OEMs as they are building systems now. With RapidIO cards using the PICMIG AMC.4 standard, OEMs can quickly prototype and go to production."

"Silicon Turnkey Express has been the pre-eminent supplier of tools and reference systems since the beginning of the RapidIO ecosystem," said Robert Appelbaum, president of STx. "We are very excited to see AMCC solve one of the ecosystem's biggest challenges: finding an industry leader to supply reliable embedded processors into the wireless infrastructure market. We believe AMCC will be very successful in creating partnerships with large OEMs who will welcome their support and excellent products."

"We are delighted to announce this strategic partnership with Silicon Turnkey Express," said Charlie Ashton, director of software at AMCC. "We have many customers developing wireless infrastructure subsystems based on the industry-standard AMC form-factor. The availability of turnkey reference designs will enable them to quickly bring to market high-performance cards based on a proven design and using our PowerPC processors. We look forward to introducing the first product developed for us by STx and to a long-term partnership in this area."

The Power Architecture Developer Conference, being held September 24-25 in Austin, Texas, features a broad cross section of the developer community for the first-ever vendor-neutral event to showcase the full depth and breadth of the Power Architecture technology. Information on the conference can be found at [e-mail].

About AMCC

AMCC provides leadership semiconductor solutions to process, transport, and store digital information for the world's wired and wireless networks. As a leading supplier of Power Architecture[TM]-based processors and with world-class expertise in SONET and Ethernet protocol processing and PHY technology, our products are the foundation of the IP Communications Revolution. For further information regarding AMCC, please visit our website at http://www.amcc.com.

About Silicon Turnkey Express

Silicon Turnkey Express, STx, is a designer and manufacturer of (ODM) Original Design Manufacturer reference platforms. STx focuses on providing integration, support, and design services to semiconductor suppliers as well as ODM production-ready embedded reference boards and software. STx provides a "concept to production" solution by offering custom design, integration services and Electronic Manufacturing Services. To learn more about STx, please visit our website at www.silicontkx.com.

Forward-Looking Statements

This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements may be identified by words such as expects, anticipates, plans, believes, estimates, will or words of similar meaning. 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 may 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, and in the Company's other SEC filings. 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 press release are made as of the date hereof and AMCC does not assume any obligation to update any forward-looking statement, whether as a result of new information, future developments or otherwise.

AMCC is a registered trademark of APPLIED MICRO CIRCUITS CORPORATION. Power Architecture is a trademark licensed by Power.org. PowerPC is a trademark licensed by the IBM Corporation. All other names are for informational purposes and may be trademarks of their respective owners.