Chips and Technologies Completes Chipset Supply Agreement Between Real 3D and Vogue 3D; Vogue 3D to Introduce High-Performance Graphics Accelerator Boards Based on Real 3D's R3D/100 Graphics Chipsets.

SAN JOSE, Calif.--(BUSINESS WIRE)--April 15, 1997--Chips and Technologies, Inc., the world's number one supplier of video graphics controllers and accelerators for flat panel displays, today announced a major design win for Real 3D, maker of the REAL 3D(R) R3D/100 PC graphics chipset. Vogue 3D - a wholly owned subsidiary of Parallax Solutions, Inc. - will utilize the R3D/100 PC graphics chipset as a key component in 3D graphics accelerator boards. Chips and Technologies is REAL 3D's worldwide distributor of R3D/100 PC graphics chipsets.

Vogue 3D plans to introduce a new graphics accelerator board for high-end CAD/CAM users based on the R3D/100 PC graphics chipset. Vogue 3D currently markets entry-level and upper mid-range 3D boards. The Real 3D chipset-powered add-in board - scheduled for release in May 1997 - is specifically designed for users who demand accelerated textures and faster graphic computing power.

"As part of our ongoing efforts to provide accelerated textures and faster graphics at reasonable prices, Vogue 3D evaluated several graphics chipset suppliers before ultimately electing to form an alliance with Real 3D and Chips and Technologies," said Vogue 3D president and Parallax founder Bill Komiss. "We placed a great priority on finding companies that shared our vision and we required that the key component supplier - the company that helps us meet our customer requirements - be singularly dedicated to providing leading-edge performance in the graphics chipset. Real 3D fit all those criteria and gave us the added benefit of a partner like Chips and Technologies that understands PC market requirements."

"The agreement between Vogue 3D and Real 3D represents an important design win for Real 3D's technology, and a key milestone for Chips and Technologies as the worldwide distributor of R3D/100 PC graphics chipsets," said Tim Erjavec, Director of Marketing at Chips and Technologies. "We will continue to leverage our relationships within the PC industry to develop new opportunities for Real 3D graphics chipsets in a wide range of products and markets."

"We are very pleased that Vogue 3D selected the R3D/100 chipset for their next-generation 3D graphics accelerator board," said Gerry Stanley, President of Real 3D. "The Real 3D family of graphics accelerator products continues to set the mark for performance and value, and our commitment to leading-edge development offers a secure upgrade path for our customers."

REAL 3D's R3D/100 is a tightly coupled dual chipset featuring an integrated setup engine, PC graphics processor, and real-time 3D texture processor. This combination of on-board texture mapping and management with true polygon/line rasterization not only creates sustained real-time image fidelity but also significantly reduces load on the host PC and bandwidth demand over the PCI bus. The result is a single PCI-card solution that renders 3D geometry and surface detail faster than any other 3D graphics accelerator in its class.

About Chips and Technologies

Chips and Technologies, Inc. (NASDAQ:CHPS) develops semiconductor and software solutions for leading manufacturers of personal computers. These unique, highly integrated solutions provide enhanced graphics, full-motion video, and other advanced display capabilities for both notebook and desktop computers. Chips and Technologies is widely recognized as the world's number one supplier of flat panel video graphics controllers and accelerators to the portable computer market. Chips and Technologies can be reached on the World Wide Web at http://www.chips.com .

About Real 3D

Real 3D is a company within the Lockheed Martin Commercial Systems Group. The unit was formed as a separate entity to commercialize real-time graphics technology developed by Lockheed Martin for high-performance combat simulators. Real 3D has entered into agreements with Intel Corporation to co-develop real-time 3D graphics chip technology for consumer level PC products, and with Chips and Technologies, Inc. to co-develop 2D/3D graphics technology for portable and desktop graphics solutions.

Lockheed Martin is a highly diversified $27 billion advanced technology company with core businesses in defense, commercial, civil government, energy, and international markets. Real 3D can be reached at 1-800-393-7730 or on the World Wide Web at http://www.real3d.com.

About Vogue 3D

With sales offices in New Jersey, California and Dallas, Vogue 3D markets to hardware manufacturers, value-added resellers and systems integrators nationwide. Information regarding the company's product lines and sales offices can be obtained from the corporate office at Tel: [phone] or by Fax: [phone].

This press release contains forward looking statements, which are generally preceded by words such as "expects," "anticipates," or "intends." Such statements are subject to risks and uncertainties, including competitive conditions, the timing of product development, conditions in the personal computer marketplace, and other risks described in detail in the Company's filings with the Securities and Exchange Commission. -0-

Editor's Note: REAL 3D is a registered trademark of Lockheed Martin Corporation. All other trademarks and brand names are the property of their respective owners.

CONTACT: Chips and Technologies

Lisa Lawrence, 408/434-0600

[e-mail]

or

MQPR 

Matthew Quint, 510/548-8985

[e-mail]

or

For Real 3D

Ken Kilner, 904/672-0135

[e-mail]

or

For Vogue 3D

Jim Burnett, 214/669-5757

[e-mail]