Philips Leads Speed Race with Industry's Fastest DVD Recording Semiconductor Solution; Nexperia DVD Data Recorder Reference Design Enables Recording Speeds up to 16x.

Business Editors/High-Tech Writers

SAN JOSE, Calif.--(BUSINESS WIRE)--March 8, 2004

Royal Philips Electronics (NYSE:PHG)(AEX:PHI) today introduced its Nexperia(TM) semiconductor reference design for the industry's fastest DVD+R/+RW (DVD+Recordable/+ReWriteable) recorders available for the PC market today. DVD recorders based on the new reference design will allow consumers to record a complete DVD+R disc in less than five minutes at speeds of up to 16x. The reference design, powered by Philips Nexperia chipsets and software, also features the recording of dual-layer DVD+R media, which virtually doubles the data storage capacity on a DVD disc from 4.7 Gigabytes (Gbyte) to 8.5 Gbyte. As a result, consumers will be able to create DVD discs complete with hours of home videos, numerous photo albums and intensive PC data rapidly.

Targeting the PC market, Philips Nexperia DVD Data Recorder reference design will benefit drive makers by offering them a competitive advantage in the race for speed, which is critical in today's digital consumer environment. Since Philips is making available a fully functional 16x reference design based on a cost-effective two-chip solution, manufacturers will also benefit from an improved time-to-market with up to 30 percent time savings. The reference design is fully programmable, making it easy for drive makers to seamlessly add new functions. Furthermore, the dual-layer DVD+R media supported by Philips reference design is compatible with existing DVD video players and DVD-ROM drives commercially available today.

"Consumers today are demanding high-speed recording capabilities and the utmost in storage capacity to preserve their volumes of digital content on an optical storage medium, such as DVDs," said Jeroen Keunen, general manager of consumer and multimedia, Philips Semiconductors. "Philips was first to market with a DVD+R/+RW reference design with speeds of 8x and now with the introduction of a 16x recording solution, we are helping our customers meet the stringent requirements of the consumer and also reinforcing our leadership in optical storage."

Philips Nexperia DVD Data Recorder reference design consists of Philips Nexperia PNX7860E DVD processor with embedded codec, microcontroller, controller and host interface, along with the TZA1047HL analog pre-processor. The reference design is built in conjunction with Philips optical pickup unit (OPU), which leads the OPU industry with lower power lasers for 16x based on Philips' patented beam shaper technology.

Pricing and Availability

The Nexperia DVD Data Recorder reference design is based on the Philips PNX7860E and TZA1047HL, which together are priced at approximately USD $15 in volume quantities. The reference design is scheduled to be in volume production during the first half of 2004.

About Royal Philips Electronics

Royal Philips Electronics of the Netherlands is one of the world's biggest electronics companies and Europe's largest, with sales of $32.8 billion (EUR 29 billion) in 2003. It is a global leader in color television sets, lighting, electric shavers, medical diagnostic imaging and patient monitoring, and one-chip TV products. Its 164,500 employees in more than 60 countries are active in the areas of lighting, consumer electronics, domestic appliances, semiconductors, and medical systems. Philips is quoted on the NYSE (symbol: PHG), Amsterdam and other stock exchanges. News from Philips is located at www.semiconductors.philips.com.

Nexperia(TM) is a trademark of Koninklijke Philips Electronics N.V.