Interphase Announces New Integrated ATM ASIC and Silicon Migration Strategy; Migration Path Ensures Customers of Feature-rich ATM at Attractive Market Pricing.

DALLAS--(BUSINESS WIRE)--March 14, 1996--Interphase Corporation (NASDAQ/NMS:INPH), a leader in providing high-performance networking adapters for Asynchronous Transfer Mode (ATM) networks, today announced the (i)chip, a new integrated ATM Application Specific Integrated Circuit (ASIC) developed by the company.

The (i)chip is the first in a series of integrated ASICs that Interphase plans to develop for the ATM market.

The (i)chip provides an embedded host interface, segmentation and reassembly (SAR) which can be user-defined as either on or off-board, 128 byte PCI bursts, support for 4K VC connections, enhanced CBR traffic, early packet discard and a number of other enhancements designed to boost system performance.

The new ASIC will be implemented on the Interphase line of 155Mbps Server and Workstation ATM adapters and 25Mbps Desktop ATM adapters beginning in April 96.

"With the ability to directly control the development schedule of the silicon utilized by Interphase adapters, we will be able to bring future ATM specifications to our customers in an extremely short timeframe," said Ed Sullivan, Interphase ATM Technical Director. "This allows us to continue our history of providing new implementations of standards-based ATM products almost concurrently with approval of specifications by The ATM Forum."

The (i)chip Family of ATM ASICs

In conjunction with announcing its new silicon, Interphase also revealed a roadmap for future versions of the (i)chip. The company's plans call for up to four additional implementations within the next several months.

"As new standards, currently being worked on, change the features and functions of ATM," said Sullivan, "Interphase will insure that future revisions of our SAR technology will track and meet the new requirements in a timely manner. For instance, buffer chaining will be added to support the larger packet sizes currently proposed by the MPOA working group within the Forum's Technical Committee."

The next version of the Interphase ATM ASIC, the (i)chip+ will add true ABR capability -- processing and generating Resource Management (RM) cells in hardware -- providing a quick response time with a low level of cell loss. This differs from some current "ABR Ready" offerings in the marketplace where software is utilized to process RM cells.

Long-term Commitment to ATM Development

According to Jim Gleason, Interphase vice president of sales and operations, the new silicon strategy reinforces the company's commitment to be a long-term provider of ATM technology.

"Embedding the physical layer and memory in future releases will enable us to provide feature-rich ATM products with a lower cost structure," said Gleason. "That's why when ATM adapters are priced similar to today's Ethernet adapters, Interphase ATM products will be competitive from both a feature and pricing perspective."

On Display at Networld + Interop Las Vegas

Interphase will demonstrate products utilizing the new (i)chip technology at the upcoming Networld + Interop tradeshow in Las Vegas April 2-4, 1996 (Booth no. 3527). For more information call (800) FASTNET, email [e-mail], or visit our web page at www.iphase.com.

Interphase Corporation is a leading supplier of desktop and server I/O products for high speed networks. The company is a principal member of The ATM Forum, a founding member of the Desktop ATM25 Alliance, and steering committee member of the ATM Consortium at the University of New Hampshire's Interoperability Lab. Interphase is a leading proponent of fostering ATM interoperability in the industry and sponsors multi-vendor interoperability test sessions at its corporate facilities in Dallas, Texas. Interphase was recently ranked as the no. 2 supplier of ATM adapters in North America by Dataquest (June 1995).

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Note to Editors:

(i)chip is a trademark of Interphase Corporation. All other products mentioned are trademarks or registered trademarks of their respective companies.

CONTACT: Interphase Corp., Dallas

Michael Eckley, 214/654-5325

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S&S Public Relations

Laura Greenberg, 708/291-1616, Ext. 229