AMD Announces Industry's First Complete Single-Chip Home Phoneline Networking Solution.

SUNNYVALE, Calif.--(BUSINESS WIRE)--Nov. 2, 1998--

PCnet-Home Device Enables Inexpensive, Plug-and-Play Consumer

Networking Solutions Over Existing Telephone Wiring

AMD (NYSE:AMD) today announced the PCnet(TM)-Home controller, a single-chip device that enables home users to link multiple PCs together over standard telephone wiring without impacting telephone services.

AMD's home networking solution enables multiple PCs to share access to a single Internet connection, data files, and resources such as printers through any phone outlet. AMD's complete hardware and software home networking solution also includes a point-and-click installation wizard that simplifies installation.

"AMD is providing a complete home networking solution that turns standard telephone wiring into a powerful digital communications channel that enables home users to access data, peripherals, and the Internet from any phone outlet inside the home," said S. Atiq Raza, AMD co-chief operating officer and chief technical officer.

"By simply plugging a PC into a phone outlet, users will now be able to simultaneously access a single printer and Internet connection, ending the need to have dedicated resources for every PC within a home. AMD plans to begin production shipments of the PCnet-Home device in December, with end-user products expected to be available during the first quarter of 1999."

Industry Support

"With the announcement of the PCnet-Home controller, AMD adds another critical building block in the advancement of industry growth toward an inexpensive, easy-to-use home networking solution," said Mark A. Carpenter, Director, Communications and Home Connectivity, Compaq Computer Corporation.

The research firm Dataquest estimates more than 15 million homes in the United States currently have two or more PCs. This number is expected to reach 26 million by 2003.

Jupiter Communications, another research firm, predicts an additional 15 million non-PC, Internet-access devices will be installed in U.S. homes by 2002. These users will require an inexpensive, simple way to distribute access to data, peripherals and the Internet to all of these digital devices within the home.

"As a single-chip solution, the PCnet-Home controller offers a powerful combination of hardware and software technologies that can easily be integrated into an affordable networking solution for the home," said Jim Cady, vice president and general manager of Diamond Multimedia's Communications Division.

"As part of our home networking strategy, we plan to introduce a phoneline-based solution, utilizing the PCnet-Home device, that will be marketed under our HomeFree brand of networking products."

PCnet-Home Device Enables Home Networks

The PCnet-Home controller is the industry's first single-chip home networking silicon device that includes all of the hardware and software required for PC or peripheral manufacturers to quickly bring to market inexpensive phoneline networking devices based on the widely-endorsed technology specification of the Home Phoneline Networking Alliance (HomePNA).

Benefits of a home network: -0-

--   Internet sharing enables one PC to act as an Internet gateway,
     allowing every other computer in the home to access the Internet
     through a single connection.
--   Peripheral and file sharing allows all of the computers in the
     home to access common resources. Users will now be able to print
     from any connected computer in the home.
--   Multi-player gaming lets two users play against one another from
     across the hall or across the house.

-0-

PCnet-Home Features

The PCnet-Home single-chip device integrates an Ethernet controller based on AMD's PCnet-FAST Ethernet controller, a physical layer (PHY) device supporting the 802.3 standard for 10BASE-T, and a HomePNA-compliant PHY device supporting 1 Mbps data transfer over standard telephone wiring.

The device is ideal for PC motherboard and network interface card applications, and includes AMD's 1/10 Mbps auto-negotiation technology that allows platform designers and peripheral manufacturers to create a device capable of supporting both HomePNA and Ethernet networks.

Features supported by the PCnet-Home controller include automatic node detection, plug-and-play installation capabilities, an Internet activity log, customizable management utilities, and an Internet cache that can increase web browsing performance.

Additional software support includes AMD's innovative any1Home(TM) technology that simplifies network management by indicating when a valid node has been detected. The any1Home packet technology uses minimal network resources to detect a network failure, allowing upper layer protocols to take action and correct potential conflicts that may compromise network performance.

Price and Availability

AMD expects to begin production shipments of the PCnet-Home controller in December. It will be available in a 160-pin PQFP package. The PCnet-Home device will cost $14.92 in 10,000 unit quantities.

Cautionary Statement

Except for historical information contained herein, the matters discussed in this news release are forward-looking statements that involve risks and uncertainties, including the timely development and market acceptance of new products, the impact of competitive products and pricing, the effect of changing economic conditions, and such risks and uncertainties detailed from time to time in the company's SEC reports.

About AMD

AMD is a global supplier of integrated circuits for the personal and networked computer and communications markets. AMD produces processors, flash memories, programmable logic devices, and products for communications and networking applications. Founded in 1969 and based in Sunnyvale, AMD had revenues of $2.4 billion in 1997. (NYSE:AMD).

About the Home Phoneline Networking Alliance

The Home Phoneline Networking Alliance is an incorporated, non-profit association of industry-leading companies working together to help ensure adoption of a single, unified phoneline networking industry standard and rapidly bring to market a range of interoperable home networking solutions.

WORLD WIDE WEB: Press announcements and other information about AMD are available on the Internet via the World Wide Web. Type http://www.amd.com at the URL prompt.

NOTE TO EDITOR: Readers may obtain additional information by calling 800/222-9323 or 408/749-5703.

Note to Editors: PCnet, PCnet-Home, PCnet-FAST, and any1Home are trademarks of Advanced Micro Devices, Inc. AMD, The AMD logo and combinations thereof are registered trademarks of Advanced Micro Devices, Inc.