Conexant Receives Type Approval for Industry's First Complete Dual-band System Solution for GSM Digital Cellular Handsets; Samsung Announced as Lead Customer.

NEWPORT BEACH, Calif.--(BUSINESS WIRE)--July 29, 1999--

Conexant Systems, Inc. (Nasdaq:CNXT), announced today that it has earned full type approval for a complete dual-band system solution for Global System for Mobile Communications (GSM) digital cellular handsets.

Until now, most GSM handset manufacturers have had to source components and software from multiple vendors, creating difficult system-integration and time-to-market challenges. Conexant's offering will be the first of its kind to provide digital cellular phone manufacturers with a comprehensive antenna-to-microphone solution from a single supplier to support both the 900MHz and 1800MHz GSM communications bands.

The rigorous type-approval process ensures that Conexant's solution will be compatible with GSM networks throughout the world. Samsung Electronics will be the lead customer for Conexant's dual-band GSM solution, and will be incorporating it into several new handset models later this year.

"Our GSM system solution exemplifies Conexant's ability to integrate a broad range of design, process, packaging and protocol expertise from multiple product platforms across the company," said Moiz Beguwala, senior vice president and general manager for Conexant's Wireless Communications Division. "Having achieved this critical type approval milestone, we remain on schedule for production release by the end of our current fiscal year."

GSM is the world's most widely adopted and fastest-growing digital cellular standard, with more than 138 million handsets expected to be sold in 1999. By the year 2001, GSM handsets will represent 60 percent of the global cellular market according to wireless industry analyst firm Herschel Shosteck Associates Ltd. Dual-band GSM solutions have been introduced by most major phone manufacturers this year. Dual-band phones provide greater flexibility in high traffic environments such as city centers, and provide the extra capacity to support a higher number of phone calls with improved voice quality.

Conexant provides component, radio frequency (RF) and full system solutions for the world's major wireless communications standards, including Code Division Multiple Access (CDMA) and GSM, the two main technologies contributing to the proposed third-generation (3G) mobile communications standards. Conexant's expertise in both CDMA and GSM uniquely positions the company to play a leading role in 3G technology development.

This press release contains statements relating to future results of the company (including certain projections and business trends) that are "forward-looking statements" as defined in the Private Securities Litigation Reform Act of 1995. Actual results may differ materially from those projected as a result of certain risks and uncertainties. These risks and uncertainties include, but are not limited to: global and market conditions, including, but not limited to, the cyclical nature of the semiconductor industry and the markets addressed by the company's and its customers' products; demand for and market acceptance of new and existing products; successful development of new products; the timing of new product introductions; the availability and extent of utilization of manufacturing capacity; pricing pressures and other competitive factors; changes in product mix; fluctuations in manufacturing yields; product obsolescence; the ability to develop and implement new technologies and to obtain protection of the related intellectual property; the successful implementation of the company's diversification strategy and restructuring plan; labor relations of the company, its customers and suppliers; timely completion of Year 2000 modifications by the company and its key suppliers and customers; and the uncertainties of litigation, as well as other risks and uncertainties, including but not limited to those detailed from time to time in the company's Securities and Exchange Commission filings. These forward-looking statements are made only as of the date hereof, and the company undertakes no obligation to update or revise the forward-looking statements, whether as a result of new information, future events or otherwise. Other brands and names contained in this release are the property of their respective owners.

With revenues of more than $1.2 billion, Conexant is the world's largest independent company focused exclusively on providing semiconductor products for communications electronics. With more than 30 years of experience in developing communications technology, the company draws upon its expertise in mixed-signal processing to deliver integrated systems and semiconductor products for a broad range of communications applications. These products facilitate communications worldwide through wireline voice and data communications networks, cordless and cellular wireless telephony systems, personal imaging devices and equipment, and emerging cable and wireless broadband communications networks. The company aligns its business into five product platforms: Network Access, Wireless Communications, Digital Infotainment, Personal Imaging, and Personal Computing. Conexant is a member of the Nasdaq-100 Index, which represents the largest and most active stocks listed on The Nasdaq Stock Market across major industry groups.