Analog Devices Completes Sale of FUSIV Network Processor and ADSL ASIC Product Line to Ikanos Communications.

NORWOOD, Mass. -- Analog Devices, Inc. (NYSE: ADI) announced today that it has completed the sale of its FUSIV network processor and Asymmetrical Digital Subscriber Line (ADSL) application-specific integrated circuit (ASIC) product line to Ikanos Communications, Inc. (NASDAQ: IKAN) of Fremont, California. In connection with this transaction, ADI estimates that it will record a one-time gain in the range of $11 million to $12 million in the fiscal second quarter of 2006, which ends April 29, 2006. ADI plans to continue to invest in and support high-performance analog products such as DSL line drivers and programmable DSP products for a wide range of broadband applications.

Analog Devices, Inc. is a leading manufacturer of high-performance analog and digital signal processing integrated circuits used in virtually all types of electronic equipment. The company is headquartered in Norwood, Massachusetts and employs approximately 8,600 people worldwide. Analog Devices' stock is listed on the New York Stock Exchange and the company is included in the S&P 500 Index.

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This press release contains forward-looking statements, including our statements regarding planned revenue, earnings, and operating margins, that are based on our current expectations, beliefs, assumptions, estimates, forecasts, and projections about the industry and markets in which Analog Devices operates. The statements contained in this release are not guarantees of future performance and involve certain risks, uncertainties, and assumptions that are difficult to predict. Therefore, actual outcomes and results may differ materially from what is expressed in such forward-looking statements, and such statements should not be relied upon as representing Analog Devices' expectations or beliefs as of any date subsequent to the date of this press release. Important factors that may affect future operating results include the effects of adverse changes in overall economic conditions, currency exchange rate fluctuations, the timing and duration of market upturns and downturns, the growth or contraction of the markets we serve, demand for semiconductors generally and for our products in particular, the risk that our backlog could decline significantly, our ability to hire engineers, salespeople and other qualified employees needed to meet the expected demands of our customers, reversals or slowdowns in the markets or customers served by our products, the adverse effects of building inventories to meet planned growth that fails to materialize, the occurrence and frequency of inventory and lead-time reduction cycles, raw material availability, availability of both internal and external manufacturing capacity, technological and product development risks, competitors' actions and technological innovations, and other risk factors described in our most recent Form 10-Q for the fiscal quarter ended January 28, 2006, as filed with the Securities and Exchange Commission.