ZiLOG Extends Z8 Encore! Family of High-Performance Flash MCUs with Smaller Packages and Reduced Memory for Cost-Conscious Applications.

Business Editors/High-Tech Writers

Embedded Systems Conference San Francisco 2003

Moscone Center Booth #1126

SAN JOSE, Calif.--(BUSINESS WIRE)--April 21, 2003

Flash for Cash Design Contest Encourages Creative Designs that

Leverage the Strengths of Z8 Encore!(TM) Microcontrollers

ZiLOG, Inc. (OTC:ZILG), one of the leading providers of 8-bit microcontrollers, announced today the newest members of its Z8 Encore!(TM) family of Flash microcontrollers, as well as a new design contest. The new devices, which are scheduled to ship in volume in August, continue to expand ZiLOG's Flash memory product offerings with devices that feature 4KB or 8KB of high-speed Flash memory packaged in SOIC and SSOP packages with 20 or 28 pins. The devices will be unveiled at the Embedded Systems Conference (ESC) in San Francisco, which runs from April 22nd to 25th.

"These new devices meet the needs of designers working in the most cost-sensitive markets while still offering the robust features and high-performance clock speeds that define the Z8 Encore! family," said Mike Burger, President of ZiLOG. "When the family was launched in November, we promised our customers an extension of the Z8 Encore! family that would include devices that meet the need for performance and compactness at a lower cost. This commitment is fulfilled with these new devices which target designs that need the same high performance characteristics but with fewer peripherals and a smaller package."

The Z8 Encore! microcontrollers, which operate at more than twice the speed and execute instructions three times faster than ZiLOG's classic Z8(R) MCU meet the needs of designers working on consumer and industrial applications. The ZiLOG Z8F08 (8KB Flash) and Z8F04 (4KB Flash) devices feature 1KB of linear register SRAM, as well as a robust array of peripherals, including one 9-bit UART port, two 16-bit counter timers and a 5 channel 10-bit A/D converter.

Like the rest of the family, the new devices feature ZiLOG's high-performance register-to-register based architecture and a fast eZ8 CPU 20MHz core, which maintains backward compatibility with the company's very popular Z8 MCU. All of the devices in the Z8 Encore! family use the same core and peripheral interfaces to ensure seamless migration across different devices without expensive code modification or re-investments in tools.

ZiLOG offers a comprehensive development kit for the Z8 Encore! family. The kit includes the Windows version of ZiLOG Developer Studio (ZDSII), an ANSI-C Compiler and C source-level debugger, a full-featured evaluation board, a sample Flash device, an RS-232 to ZDB cable, a 9VDC universal power supply, and a target module interface board. The development kit also includes the ZiLOG XTools(TM), an intuitive, production-quality suite of tools designed to reduce total system development time. For a limited time, the company is offering its Z8 Encore! Development Kit for only $49.95 (Book Price: $199.00).

The Z8F04 devices, which feature 4KB of Flash, will initially sell for $2.40 each in 1,000s (depending on configuration). The Z8F08 devices, which feature 8KB of Flash, will sell for $2.90 each in 1,000s (depending on configuration). The new devices are currently expected to be available in production quantities starting in August 2003, while sample quantities are expected to be available in the second half of 2003.

Continuing the drive to innovative new designs using the Z8 Encore!, ZiLOG is also announcing its "Flash for Cash" design contest, with fourteen cash prizes worth a total of $20,000. The contest, which encourages designers to create creative applications using a ZiLOG Z8 Encore! Flash microcontroller, will begin on April 23rd with a deadline for entries of October 31, 2003.

"ZiLOG has enhanced the 8-bit market with the Z8 Encore! family of Flash microcontrollers," said Mike Burger, President of ZiLOG. "With the Flash for Cash contest, we want to encourage designers to demonstrate the ways that they have leveraged these devices to speed their development process and implement a higher level of functionality than ever before."

The contest is open to individuals or groups of U.S. residents who are 18 years and older. Designers are encouraged to submit a 500-word abstract on any working electronics project based on the Z8 Encore! Flash microcontroller, along with their entry form. Contestants will be provided with a free mini-design kit, which includes a smart cable and graphical user interface (GUI) software, while supplies last. Designs will be judged by a panel of independent judges on the basis of technical merit, originality, usefulness, cost-effectiveness and design optimization.

For complete rules and entry form for the design contest, visit ZiLOG's Web site at www.zilog.com/contest.

About ZiLOG, Inc.

ZiLOG, Inc. (OTCBB:ZILG) is a leading designer, manufacturer and marketer of semiconductors for worldwide embedded control markets, including consumer and industrial control solutions. Headquartered in San Jose, Calif., ZiLOG employs approximately 700 people worldwide. ZiLOG maintains design centers in San Jose, Calif.; Ft. Worth, Texas; Nampa, Idaho; Seattle, Wash.; and Bangalore, India; manufacturing in Nampa; and test operations in Manila, Philippines. For more information, visit the company's Web site at: http://www.zilog.com.

Note to Editors: ZiLOG and Z8 are registered trademarks of ZiLOG, Inc. in the United States and in other countries. Z8 Encore! and XTools are trademarks of ZiLOG, Inc. in the United States and in other countries. Other product and or service names mentioned herein may be trademarks of the companies with which they are associated.

Some statements contained in this press release that are not historical facts may be forward-looking statements subject to risks and uncertainties that could cause our actual results and financial position to differ materially from these statements. These forward looking statements are identified by terms and phrases such as "anticipates," "believes," "intends," "expects" and similar expressions and include the date for shipment of new devices and the expected date for the availability of production volumes. Our actual results could vary materially from the results projected by these forward-looking statements based on a variety of factors including, but not limited to, the inability of ZiLOG to manufacture production volumes due to technical issues or capacity limitations. These statements are based on current expectations but are also inherently subject to business uncertainties and contingencies beyond the control of the companies. Readers are cautioned not to place undue reliance on these forward-looking statements that speak only as of the date hereof. ZiLOG expressly disclaims any obligation or undertaking to release publicly any updates or revisions to any statements to reflect any change in the companies' expectations or any change of events, conditions or circumstances on which any such statement is based.