ASE Announces Collaboration with AMD in Flip Chip Development for Chipset Assembly.

Business Editors/High-Tech Writers

KAOHSIUNG, Taiwan--(BUSINESS WIRE)--Feb. 18, 2003

Companies sign joint development agreement to share proprietary

technologies and develop exclusive solutions for AMD chipsets

Advanced Semiconductor Engineering Incorporated (ASE) (TAIEX:2311)(NYSE:ASX), one of the world's largest semiconductor packaging and testing companies and AMD (NYSE:AMD) today announced that they have signed an agreement to jointly develop solutions for flip chip assembly on organic packages for microprocessor chip sets.

Under the agreement, AMD and ASE will share technical expertise and exchange development information on flip chip assembly materials, processes and equipment to assemble AMD's next generation chipset products.

"This collaboration is expected to optimize both companies' resources in assembly technologies," said J.J. Lee, Vice President, Research and Development, ASE Group. "According to Prismark Partners LLC, AMD ranks among the top users of flip chip technology. We are honored that AMD has selected ASE as their primary partner for high-volume flip chip manufacturing for future generation AMD chip sets."

The collaboration will benefit AMD's customers with shortened time-to-market, allowing them to work concurrently with AMD on chipset designs as well as with ASE on backend manufacturing processes. "Working closely with AMD, ASE will offer complete turnkey services including wafer bumping, flip chip packaging and final testing for AMD and their chipset partners," added J.J Lee.

"AMD's collaboration with ASE will provide our customers with the latest chip set performance and signal integrity technology advancements, resulting in better overall system performance," said Rich Heye, vice president infrastructure and engineering, Computation Products Group, AMD. "Our new manufacturing capabilities will provide AMD chipset partners access to the latest production processes for high quality flip chip assembly and packaging."

About ASE Group

The ASE Group is one of the world's largest providers of semiconductor manufacturing services. As a global leader geared towards meeting the industry's ever growing needs for faster, smaller and higher performance chips, the Group develops and offers a wide portfolio of technology and solutions including IC test program design, front-end engineering test, wafer probe, wafer bump, substrate design and supply, wafer level package, flip chip, system-in-package, final test and electronic manufacturing services through Universal Scientific Industrial Co Ltd, a member of the ASE Group. The Group generated sales revenues of $2.17 billion in 2001 and employs 23,000 people worldwide. For more information about the ASE Group, visit www.aseglobal.com.