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TEXAS INSTRUMENTS AND ERICSSON EXTEND PARTNERSHIP TO INCLUDE ADVANCED DESIGN AND PROCESS TECHNOLOGIES

 KISTA, Sweden, Nov. 19 ~PRNewswire~ -- Texas Instruments and the Swedish telecommunications concern L.M. Ericsson today announced a cross-licensing agreement that will combine the companies' respective semiconductor and end-equipment expertise to develop new semiconductor components for telecommunications applications.
 Under terms of the agreement, TI will share with Ericsson its knowledge, technical support and rights to manufacturing of sub-micron integrated circuits for Ericsson's telecom systems requirements using TI's .5-micron and .35-micron process technologies.
 A team of Ericsson process and equipment engineers is currently enrolled in a 12-18 month training program at TI's Dallas, headquarters. Their curriculum includes process and prototype developments, design rules and semiconductor manufacturing steps, as well as assembly and test of integrated circuits, process control and process modification.
 Ericsson plans to build a prototype semiconductor wafer fabrication facility at Kista, Sweden. The sub-micron facility will have a planned capacity of approximately 1,000 wafers per month, and is expected to begin pilot production in 1994. TI plans to meet Ericsson's volume production requirements through one or more of its advanced sub-micron facilities.
 BLUEPRINT FOR COOPERATION
 "This type of 'virtual vertical integration' between semiconductor supplier and end-equipment manufacturer could become a blueprint for alliances in the electronics industry," said Roberto Schisano, president of TI Europe. "Ericsson will gain significant time-to-market advantages, increased system performance, differentiation, and lower total cost over the end-equipment life cycle. TI, in turn, gains additional system expertise that will help us develop new components for telecommunications equipment," he concluded.
 "Based on this agreement Ericsson manifests its determination to be in the forefront of state-of-the-art microelectronics. This is exactly in line with my strategy to continue to invest in new competitive product offerings to Ericsson's customers," said Lars Ramqvist, CEO of LM Ericsson.
 Earlier this year, Ericsson was the first manufacturer to introduce a pocket-size, "dual-mode" analog and digital cellular phone for the U.S. market, based on TI's digital signal processor (DSP) technology.
 TI and Ericsson have enjoyed a close partnership since 1987, when the companies signed a principal cooperation agreement (PCA), allowing Ericsson early access to TI's advanced semiconductor technologies and TI access to Ericsson's telecom systems knowledge. The new agreement is an extension to the previous PCA.
 Ericsson is an international leader in telecommunications, recognized for its advanced systems and products for wired and mobile communications in public and private networks. Ericsson is also a leading supplier of electronic defense systems.
 Ericsson has 70,000 employees and activities in 100 countries. Turnover in 1991 was SEK 46 billion.
 Texas Instruments Incorporated, headquartered in Dallas, is a high- technology company with sales or manufacturing operations in more than 30 countries. TI develops, manufactures and markets semiconductors, defense electronics systems, software productivity tools, computers and peripheral products, custom engineering and manufacturing services, electrical controls, metallurgical materials, and consumer electronics products.
 -0- 11~19~92
 ~CONTACT: Terri West, in the United States, 214-995-3481, Neil McGlone, in Europe, 33-93-22-25-94, both of Texas Instruments; or Bengt Callmer, 46-8-757-4689, or Kurt-Ingvar Engde 46-8-757-4914, both of Ericsson~
 (TXN)


CO: Texas Instruments; L.M. Ericsson ST: Texas IN: CPR SU:

LR -- NY042 -- 2810 11~19~92 11:02 EST
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Publication:PR Newswire
Date:Nov 19, 1992
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