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S3 ANNOUNCES SHIPMENT OF 805 DRAM GRAPHICS ACCELERATORS FROM SECOND FOUNDRY SOURCE

 SANTA CLARA, Calif., June 17 /PRNewswire/ -- S3 Inc. (NASDAQ-NMS: SIII) announced today that S3 805 DRAM graphics accelerators from an additional foundry, Nippon Electric Corp. (NEC) in Japan, began shipping to S3 customers this week. Increases from the initial production level achieved by NEC are expected over the third and fourth quarters of 1993.
 "We are pleased that NEC has been qualified as an additional source of supply for our S3 805 DRAM and 928 VRAM accelerator products, letting us better address the volume needs of our customers," said Terry Holdt, S3 president and chief executive officer. "The earlier than anticipated delivery can be attributed to the focus and commitment by both organizations."
 The NEC facility was originally expected to begin to supply commercial volumes of S3 products by the third quarter of 1993. Until now, S3 has been shipping products manufactured solely by Hewlett- Packard's Corvallis, Ore., foundry. "The combination of both Hewlett- Packard and NEC supplying advanced ASIC technology and manufacturing capacity will further complement S3's ability to develop high- performance products at commercial volume levels for its customers," said Paul Franklin, director of operations at S3.
 S3 Inc. is dedicated to applying acceleration technology to create a natural interface for personal computers. The company combines silicon and software to offer a range of acceleration products supporting the leading PC operating environments. S3 pioneered graphics acceleration in 1991 with the first, single-chip graphic accelerator.
 -0- 6/17/93
 /CONTACT: George Hervey, vice president, finance and chief financial officer, or Anne Banta, director of corporate communications, of S3, 408-980-5400; or Nanci Werts, of in.ves'com, 503-221-2087, for S3/
 (SIII)


CO: S3 Inc.; Nippon Electric Corp. ST: California IN: CPR SU:

JH -- SE008 -- 3154 06/17/93 13:55 EDT
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Publication:PR Newswire
Date:Jun 17, 1993
Words:290
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