California Micro Devices Expands Into New Product Area.

MILPITAS, Calif.--(BUSINESS WIRE)-- Sept. 29, 1999--

California Micro Devices Corporation (Nasdaq:CAMD), a leading manufacturer of both active and passive integrated components, today announced their expansion into the power management arena with their new SmartOR(TM) family that broadens the range of solutions offered by the Company.

The SmartOR(TM) products are all single chip solutions targeted at solving the various power management challenges inherent with many of today's state-of-the-art PC and peripheral designs.

CAMD's initial four SmartOR(TM) single chip solutions integrate various Low Drop Out (LDO) regulators, switches, and controller functions for Instantly Available PC's (IAPC), battery back-up, and other advanced modes of power management. They provide a complete solution to customer requirements in applications such as Network Interface Cards (NIC's), modems, and power supplies.

According to Jeffrey Kalb, CAMD President and CEO, "Power management, in almost all major product categories, is an explosive growth area for the linear semiconductor industry. We have unique technologies that should enable us to carve a good niche for ourselves in this rapidly expanding market."

"SmartOR(TM) is our first product family announcement. Over the last year or so we have announced quite a number of individual products, over a broad spectrum of applications. We are now creating depth for the product line, as well as breadth, and going forward we will be making family announcements, when practical, to emphasize the expertise that the Company has developed in the various application areas," Mr. Kalb continued.

Power Management Today

Power management is important for any computing and communication device, especially portable devices that rely on battery power. Reducing the power consumption of components that aren't being used can double or triple battery life. New regulations are driving today's design engineer to incorporate these functions. This, plus the variations in supply voltages required in new systems, has dramatically increased the need for localized power management functions.

Both "Instantly Available" PC (IAPC) and "OnNow" initiatives utilize the operating system to turn off peripheral devices when not in use, while remaining poised to automatically power-up in response to external events, for example, when a keyboard is touched. All new computer systems support a sleep mode. When a system goes into sleep mode, it shuts down the display screen, disk drive, etc.

Once awakened, the system returns to its former operating status. Industry standards, such the ACPI (Advanced Configuration and Power Interface) specification developed by Intel(R) (Nasdaq:INTC), Microsoft(R) (Nasdaq: MSFT), and Toshiba(R), specify how such functions are to be accomplished.

California Micro Devices' SmartOR(TM) components are the perfect choice for IAPC and OnNow functionality. They are Smart (will "sense" system power loss) and OR (will engage an alternative power source). Thus, power is automatically switched from a primary power supply to a second source, such as a battery or standby system, providing a glitch-free changeover which will reset automatically when primary power is restored.

SmartOR(TM) Family of Products

California Micro Devices' SmartOR(TM) product family includes the CMPWR025, CMPWR100, CMPWR120, and CMPWR150. Standard features include the automatic switching and LDO power conversion capabilities currently required by PC's and peripherals, along with higher current ratings than most other "smart" power management products on the market today. In addition, SmartOR(TM) products have exclusive features that provide the flexibility and simplicity required when adding today's popular IAPC function or obtaining Energy Star compliance.

Design-in of California Micro Devices' SmartOR(TM) products is straightforward, and an evaluation kit is available that contains product samples, a PC board, and technical data. The kit helps the design engineer perform device testing and characterization, and also simplifies layout during design-in.

Availability

All four SmartOR(TM) products are available now. Pricing is extremely competitive and production lead time is six weeks ARO.

Headquartered in Milpitas, Calif., California Micro Devices (CAMD) designs, manufactures and markets integrated thin film, silicon-based termination and filtering components and active electronic circuitry. Built in ISO 9000-registered quality system environments, CAMD's products target the

requirements of computer, networking and communication-based system manufacturers for smaller, high-density devices that operate at high frequencies with superior performance and functionality.

For further information on the Company, please visit our web site at http://www.camd.com or call Interactive Shareholder Information Services on 888/209-7223.

Note to Editors: SmartOR (TM) is a trademark of California Micro Devices.