AMCC to Leverage Proven Switch Fabric Architecture to Enable Advanced Services in Demanding High-Bandwidth, Packet-over-SONET and Ethernet Applications with the PRS Q-80G.

SAN DIEGO -- AMCC to Continue Switch Fabric Market Leadership with Sixth-Generation PRS Solution, Leveraging New Technology to Deliver Full-Bandwidth Multicast Support and Low Latency for 80 Gbps to 320 Gbps Platforms

Applied Micro Circuits Corporation (AMCC) (Nasdaq:AMCC) today announced the latest member of the sixth-generation, industry-leading PRS switch fabric family. The PRS Q-80G shared-memory switch fabric will build upon the successful PRS Q-64G, providing improved multicast capabilities, reduced latency, enhancements to more efficiently handle TDM traffic, and higher-speed 3.2 Gbps serial links that will provide the overspeed required for wire-speed performance. Using 0.13-micron technology, this latest solution will deliver 80Gbps - 320Gbps of user bandwidth in a low-power, compact switch fabric design, relieving the pressure of space and power limitations facing equipment manufacturers, network service providers and enterprise customers. The PRS Q-80G will enable faster time-to-market for OEMs addressing the wide range of high-bandwidth, demanding applications that handle any mix of real-time and best effort traffic in the Metro Ethernet, WAN multi-services and enterprise (data centers, NAS/SAN, high-end LANs) space.

This latest member of the market-leading PRS switch fabric portfolio will be an integral part of a complete system solution with AMCC's integrated network processor and full-featured traffic manager products, framers and software tools. To facilitate the evaluation and prototyping of complete solutions, AMCC will also be offering a 320 Gbps reference switch board featuring the AMCC PRS Q-80G.

"The PRS Q-80G will help dramatically lower system and network costs by enabling the convergence of multiple disparate networks over a single packetized IP/MPLS infrastructure, and enhancing our customers' ability to provide increased differentiation, value -- and therefore profitability -- through the offering of individual services," said Gilles Garcia, director of marketing for AMCC's switch fabrics. "Support for the growing proportion of multicast traffic on the Internet -- users distributing a wide variety of audio and video content -- is an integral part of this solution. Through such support, combined with AMCC's proven development support and tools and the inherent multi-terabit scalability afforded by the PRS architecture roadmap, AMCC will once again protect customer investments and accelerate time to market for OEMs today and into the future."

The PRS Q-80G switch, when used in conjunction with previously introduced C48X and C192X fabric interface devices, will provide 80 Gbps (two chips), 160 Gbps (four chips) or 320 Gbps (eight chips) full-duplex aggregate user bandwidth with a per-port speed-up factor of two, or eight for C48X-based ports. This functionality will match wire-speed requirements for all possible cases with all line protocols, fully enabling system services such as security, deep packet inspection, web caching, and SSL in demanding Packet-over-SONET (PoS) and Ethernet applications.

The PRS Q-80G will enable the design of single-stage switch fabrics with up to 32 ports for NPUs that support OC-192c, 10-Gbps and multi-Gigabit Ethernet (GE) applications, or up to 128 ports for NPUs that support OC-48c and multi-GE applications, or any intermediate mix of those ports. The PRS Q-80G will also have built-in 40 Gbps clear channel attachment capabilities, requiring only an ASIC or FPGA to interface with a 40 Gbps protocol engine. The PRS C192X chip will be configurable in subport mode, allowing switch designs with up to four multi- GE/OC-48c network processors per line card. For compatibility with existing line card designs based on the PRS C48 and C192 fabric interfaces, the integrated SerDes of the PRS Q-80G can operate at 2.5 Gbps instead of 3.2 Gbps. The PRS Q-80G solution will be hardware and software compatible with the PRS 64Gu, 80G and Q-64G, protecting customers' existing investments and enabling flexible evolution paths.

Availability

The PRS Q-80G will begin sampling and the reference switch board will be available in Q2, 2005. The C48X and C192X interface devices are currently available. For additional technical information, visit http://www.amcc.com/BestInClass/PRSQ-80G. For a photo of the PRS Q-80G, visit http://www.amcc.com/BestInClass/PRSQ-80GPhoto.

About AMCC

AMCC provides the essential building blocks for the processing, moving and storing of information worldwide. The company blends systems and software expertise with high-performance, high-bandwidth silicon integration to deliver silicon, hardware and software solutions for global wide area networks (WAN), embedded applications, storage area networks (SAN), and high-growth storage markets such as Serial ATA (SATA) RAID. AMCC's corporate headquarters are located in San Diego, California. 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 markets, growth of markets and products, including the risk that the markets would not grow at the rates forecasted, and the demand for products would not materialize, 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, 2004, 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.

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