Analog Devices and Intel to Develop Digital Signal Processing Technology.

SANTA CLARA, Calif.--(BUSINESS WIRE)--Feb. 3, 1999--

Intel and ADI Combine Engineering Resources to Develop New DSP Core

Targeted for Embedded Communication and Computing Devices

Intel Corporation and Analog Devices, Inc. today announced a joint development agreement to design a digital signal processor (DSP) core architecture.

The companies will develop a fixed-point, low-power DSP core ideal for processing video, image, voice, and data in emerging embedded communication and computing devices.

"With the rapid convergence of digital communications and computing, Intel decided to invest in a dedicated DSP core that complements our existing embedded solutions," said Ron Smith, corporate vice president and general manager of Intel's Computing Enhancement Group. "We sought a collaborator to expedite achieving this goal, and with their expertise and experience in DSP technology, Analog Devices fits the bill."

"Intel is widely recognized as being the world's leader in microprocessor technology," said Jerald G. Fishman, president and CEO, Analog Devices. "We are delighted by this opportunity to collaborate with them. We believe that combining Intel's experience in attracting developers with Analog Devices' record of delivering industry-leading DSP technology will deliver the platform of choice in the DSP market.

"This development will influence the course of embedded computer, communications and computing devices for the next millennium."

Under terms of the agreement, Intel and Analog Devices will combine design engineering teams from both companies into a joint design group located primarily in Austin, Texas. The team will be dedicated to the design of a DSP core, programmers' tools, and algorithms necessary to proliferate third-party development and OEM adoption in vertical and general-purpose markets.

The joint design group will be formed immediately, and the first core design is expected to be completed in the second half of 2000. The companies will collaborate on the core design and separately market and sell products based on the design.

Digital signal processors are microprocessors optimized for math-intensive, real-time applications. They are used in a vast array of devices such as medical imaging, modems, industrial controls, pagers, cellular phones, and audio and video equipment. These applications use general-purpose chips or customized chips that feature application-specific software and logic.

About Intel

Intel, the world's largest chip maker, is also a leading manufacturer of computer, networking and communications products. Additional information about Intel is available at www.intel.com/pressroom.

About Analog Devices

Analog Devices is a leading supplier of digital signal processing solutions, including customized, mixed-signal DSPs, general-purpose DSPs, such as the SHARC(R) family, and embedded DSP solutions. Analog Devices' DSP technology powers products from more than 10,000 customers worldwide, and is supported by more than 300 third-party development tools.

With fiscal 1998 sales of $1.23 billion, Analog Devices (NYSE:ADI) is a leading manufacturer of precision high-performance integrated circuits used in analog and digital signal processing applications.

Headquartered in Norwood, Mass., the company employs approximately 7,200 people worldwide and has manufacturing facilities in Massachusetts, California, North Carolina, Ireland, the Philippines and Taiwan.

Note to Editors: Third party marks and brands are property of their respective holders. SHARC(R) is a registered trademark of Analog Devices, Inc.