Atmel Launches Single-Chip Internet Enabler Fueling Low-Cost Internet Phone, E-mail and MP3 Appliances.

Business Editors/High-Tech Writers

SAN JOSE, Calif.--(BUSINESS WIRE)--Feb. 18, 2000

A Complete Single-Chip Solution IC, Featuring

Embedded Linux and Application Software

Delivering True Telephone Sound Quality

Atmel Corporation (Nasdaq:ATML) in partnership with Aplio Inc. today announced the launch of its AT75C310 Smart Internet Appliance Processor IC.

The AT75C310, featuring an Embedded Linux operating system, VoIP (Voice over Internet Protocol) and Audio application software, together with an application development platform, provides a total system solution empowering manufacturers to launch Internet Phones, E-mail and MP3 Appliances at low cost with a short time to market. The AT75C310 reduces development risk, based on a proven and scalable technology.

The VoIP application software delivers true telephone sound quality featuring PacketPlus(TM) Technology. The AT75C310 is the first in a family of Atmel products for Internet-enabled voice and multimedia applications. These products are aimed at the corporate and individual end user markets. They strengthen Atmel's position as a supplier of single-chip solutions in the fast-growing market for Internet and other digital communications appliances.

The Internet Appliance Market

Internet appliances are dedicated devices, intuitive to use, enabling the user to access the Internet at the push of a button for numerous activities, including free long distance telephony (VoIP), e-mail and downloading MP3 music and audio files. They connect to the Internet through an existing phone line, without requiring a PC or additional equipment.

While there were less than one million non-PC Internet devices sold in 1998, IDC predicts that the worldwide market of Information Appliances will rise to over 150 million units in 2002. A study from Killen &Associates predicts that global voice/Internet service revenues will top $63 billion by the year 2002.

The hottest Internet Appliances fueled by the AT75C310 are:

Internet Phones

These phones enable you to call anywhere in the world at the cost of a local call, at the push of a button. They connect to a regular phone line and deliver true telephone sound quality, as good as that of a conventional telephone. The benefits to both individuals and corporations are enormous.

E-mail Phones

These phones encapsulate an E-mail address; they offer e-mail communication to non-PC users. A user has only to press a button to read his or her e-mails and reply with a voice message.

MP3 Players

These devices enable users to download MP3 music and audio files from the Web and exchange them by e-mail. The service is available at the push of a button, from wherever the device can be connected to a phone line.

Key Benefits

The AT75C310 is a low-cost single-chip solution simultaneously handling voice processing, telephony and VoIP protocol stack tasks. This programmable standard product assures fast time to market. The Embedded Linux OS brings a royalty-free open system ready for fast evolution, benefiting from all the innovations brought by the worldwide Linux community.

The AT75C310 has been developed in collaboration with Aplio Inc., which supplies the software. The operating system is a customized port of the Linux kernel.The Linux layer supports a palette of DSP functions including modules for a V34 modem, G723.1 and G729A voice codecs, silence compression and echo cancellation.

A rich application software toolkit includes modules for popular communication protocols (such as H323, SIP, MGCP, POP/SMTP), connection processes and full featured VoIP and Audio software suites, including PacketPlus(TM) Technology which delivers true telephone sound quality. This solution reduces development risk, based on Aplio's proven and scalable Internet Telephony Technology, already in use by more than 100,000 customers in over 50 countries.

The AT75C310 single-chip architecture is the latest example of Atmel's system level integration capability. Based on an embedded ARM7TDMI(TM) core for system control and protocol stack processing, it incorporates two OakDSPCores(TM) for line-side and caller-side signal processing. All three processors deliver unmatched performance for low power consumption.

Each DSP core accesses 88k bytes of on-chip program and data RAM. An advanced interrupt controller and peripheral data controller ensure that the system-on-chip's real-time processing capabilities are more than adequate for the application. An SPI (Serial Peripheral Interface) is provided for downloading the DSP program RAM, and a two-channel USART provides flexible serial communications. Two sets of parallel I/O lines reduce the device pin count.

The industry-standard ARM7TDMI and OakDSPCores are supported by a comprehensive range of state-of-the-art development tools.

The AT75C310 is supplied in a 160-lead PQFP package. Prices are $17 for 100K units.

Aplio/Atmel Partnership

Atmel and Aplio have established a long-term partnership for the development of Internet Appliances. Atmel contributes its state-of-the-art silicon technology, wealth of design experience, high-volume manufacturing capacity and worldwide marketing and sales network. Aplio brings its expertise in advanced Internet communications systems, its detailed market knowledge and its proven software base.

&uot;This partnership creates the synergy to give customers a total system solution, based around a single IC including all the software layers required for rapid, risk-free implementation,&uot; said Eric Amouyal, Atmel's marketing manager for telecom products.

Aplio and Atmel have agreed to develop together the next generation of Smart Internet Appliance Processor products after the AT75C310. These new products will provide the manufacturers of Internet Appliances with single-chip solutions that fit their customers' expectations.

Atmel Corporation

Founded in 1984, Atmel Corporation is headquartered in San Jose with manufacturing facilities in Colorado Springs, Colo., Nantes and Rousset, France and Heilbronn, Germany. Atmel designs, manufactures and markets on a worldwide basis advanced logic, mixed-signal, non-volatile memory, and RF semiconductors. Atmel is also a leading provider of system level integration semiconductor solutions using advanced CMOS, BiCMOS, BiPolar and SiGe process technologies.

Atmel product and financial information may be obtained from its Fax-on-Demand service. In North America call 1-800-292-8635 or Internationally, call 1-408-441-0732. Requests may be made via e-mail to [e-mail] or by visiting Atmel's web site at www.atmel.com.

Aplio Inc.

Aplio is a leading provider of turnkey technologies for Internet appliances. Aplio's patented technology including chips, hardware reference designs and software (including PacketPlus(TM) Technology delivering VoIP calls as good as regular phone calls), enables manufacturers of Internet Appliances to easily and at minimal cost integrate Internet features like Voice over IP, E-mail and MP3 into their devices.

Aplio technology reduces design risks and enables easy product evolutions (featuring Embedded Linux).

Located in San Mateo, Calif., Aplio, Inc. has a worldwide presence with offices in the United States, Europe and Israel. The privately held company is backed by major venture capitalists. For more information about Aplio please visit our web site at http://www.aplio.com.

Note to Editors: Atmel, the Atmel logo and any combinations thereof are trademarks of Atmel Corporation. Aplio is a trademark of Aplio SA. ARM7TDMI is a trademark of ARM Limited. OakSDPCore is a trademark of DSP Group. Other terms and product names in this document may be trademarks of others.