Cirrus Logic Teams With Sony to Double CD-RW Storage Capacity; Market Leader Introduces Industry's First CD-RW Chip That Enables New `Double Density' Standard.

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AUSTIN, Texas--(BUSINESS WIRE)--July 12, 2000

Cirrus Logic Inc. (Nasdaq:CRUS), the industry's market leader of ReWritable Compact Disc (CD-RW) chips, today announced a new CD-RW drive device that offers twice the storage capacity of current solutions.

This new double-density encoder/decoder, designated the CR3490, makes it possible to store 1.3 gigabytes of data on a single CD-RW disc, and boasts the industry's fastest write (16x) and read (48x) speeds.

Cirrus Logic was the first company to deliver a device capable of those speeds and now offers the first device that will meet the new Double-Density CD-ROM/-R/-RW (or DDCD) specification from Sony and Philips when it is finalized.

With more than 10 million CD-RW devices shipped to date, Cirrus Logic holds 35 percent of the burgeoning CD-RW drive market and continues to be the technology and performance leader. This market is already making its way, as a standard feature, into high- and medium-end OEM PCs and is expected to be the removable storage drive of choice, replacing the floppy.

According to Mary Craig at industry research firm Dataquest, "CD-RW will be the dominant, re-writeable, high-capacity removable storage device on personal computers (PCs) by the middle of this decade."

With 1.3 gigabytes of storage, consumers will be able to store twice the number of compressed audio files or family photographs and can back up more conventional data on a single CD, an affordable medium that is reusable many times over. In the drive market, where high speeds are imperative, Cirrus Logic is the proven speed leader.

"We chose to work with Cirrus Logic on this very strategic program for Sony, as we have throughout the history of our optical storage business, because of their leading edge technology and performance," says Hiroshi Yamanouchi, senior general manager, Sony Optical Storage Division, Tokyo, Japan.

"For more than 10 years, Cirrus Logic has been creating the opportunity for our customers to offer consumers more and more storage capacity at the fastest speeds possible," says Bob Dickinson, vice president and general manager of Cirrus Logic's Optical Storage Division. "With broadband access into the home, a new portal of entertainment via the PC is available, with streaming video, and compressed audio files."

The explosion of Internet entertainment is just one example of the increasing demand for storage capacity. Notably, 1.3 gigabytes translates into 60 minutes of real-time video, or 144 minutes of real-time audio, which translates into more than 500 MP3, or 1,000 WMA Internet audio files on a single, removable CD.

Patented Technology Reduces System Cost

Manufacturers who obtain a DDCD License from Sony or Philips can easily design in this latest technology, reducing development costs and time-to-market. Like its predecessor, the CR3480, the new CR3490 incorporates a highly automated recording formatter with a built-in control processor.

This embedded processor automates the entire write process so drive manufacturers can pre-program the write operation commands in the buffer before the hardware executes them. This prevents unnecessary interruptions of the write sequence, called buffer underrun, and minimizes the bandwidth from the microprocessor. Since the entire write process is implemented in hardware, no re-design is required for faster speeds.

Cirrus Logic has also incorporated its patented advanced buffer manager into the new CR3490, which allows full streaming of data between disc and host simultaneously. The buffer management scheme is also implemented in hardware, allowing OEMs to use a single, low-cost microprocessor to control all the functions in the drive.

Packaging, Pricing and Availability

The CR3490, ATAPI CD-RW encoder/decoder is packaged in a 128-pin LQFP package and is priced at $8.00 each in quantities of 25,000. The device will be available in September.

Cirrus Logic Inc.

Cirrus Logic is a premier supplier of high-performance analog and DSP chip solutions for Internet entertainment electronics. Building on its global market share leadership in audio integrated circuits and its rich mixed-signal patent portfolio, the company targets high-volume audio, storage and communications applications. Cirrus Logic sells its products under the Crystal(R), Maverick(tm) and 3Ci(tm) brands as well as its own name. Founded in 1984 in Silicon Valley, Cirrus Logic operates from headquarters in Austin, Texas, and major sites located in Fremont, Calif., and Broomfield, Colo., as well as offices in Europe, Japan and Asia. More information about Cirrus Logic is available at www.cirrus.com.

Safe Harbor Provision

Any forward-looking statements and all other statements that may be made in this news release that are not historical facts are subject to a number of risks and uncertainties, and actual results may differ materially. Please refer to Cirrus Logic's current Form 10-K and other filings with the Securities and Exchange Commission for more information on the risk factors that could cause actual results to differ.

Note to editors: Cirrus Logic, Crystal(R), Maverick(tm) and 3Ci(tm) are registered trademarks of Cirrus Logic Inc.

All other product names noted herein may be trademarks of their respective holders.