Motorola Semiconductor Products Sector Adopts Hantro Video Technology for DragonBall(tm) MX

Motorola SPS and Hantro set to deliver innovative video for smartphones and handheld products

Austin, Texas and Oulu, Finland - November 18, 2002 - Smartphone and PDA manufacturers can soon expect to be able to exploit the full potential of high resolution streaming video. Motorola (NYSE:MOT) Semiconductor Products Sector, a leading applications processor supplier for handheld devices, and Hantro, a leading provider of mobile multimedia solutions, plan to collaborate on incorporating advanced multimedia technology into Motorola's DragonBall(tm) MX platform with the licensing of Hantro's software and hardware video codecs.

Motorola intends to use Hantro's full multimedia framework to enable applications such as multimedia messaging and multimedia streaming for the industry-leading DragonBall MX product family. DragonBall MX is a vital element of Motorola's fully integrated Innovative Convergence(tm) platform for 2.5G and 3G wireless devices and PDAs in the converged mobile communications and handheld computing markets.

"The long-term collaboration characterized by this agreement between Motorola and Hantro makes an important statement about Motorola's commitment to video over the long term and Hantro's position as the industry leader in providing multimedia solutions for mobile terminals." says Eero Kaikkonen, CEO and President of Hantro.

The DragonBall MX family of application microprocessors continues to drive the market in providing high performance with low power consumption. DragonBall MX is engineered to enable a manufacturer to deliver high performance smartphones or advanced wireless-enabled PDAs to consumers who want to access rich applications such as real-time and two-way mobile video without burning through a pocketful of batteries.

In addition to excellent video quality, low power consumption, low CPU load, and many other features, Hantro's comprehensive video solution set is designed to provide the multimedia framework that enables rapid concept-to-market implementation for manufacturers and enables several generations of products from the same codec, saving development costs.

"The integration of Hantro's video technology into Motorola's DragonBall MX platform provides the foundation for new, cutting edge handheld computing and wireless handsets with exciting new feature sets, " said Kenny Cheung, Asia General Manager of Motorola's Wireless and Broadband Systems Group. "By leveraging Hantro's technology and Motorola's superb display integration, battery life management and wireless technologies, we'll be able to deliver a mobile video experience to exceed users expectations."

In its product portfolio, Hantro provides its customers with MPEG-4 and H.263 standards based real-time video codecs that are scalable from lower resolutions and frame rates up to CIF resolution with 30 frames per second. The multimedia messaging and streaming applications are based on the Hantro Multimedia Framework, which is a comprehensive video system designed for fast time-to-market implementation of video applications by combining a variety of Hantro ready-made codecs and multimedia protocols. This framework supports both hardware and software codecs, depending on the performance requirements, and supports a large range of applications from subQCIF streaming to CIF two-way video telephony.

About the Motorola Innovative Convergence(tm) Platform
Motorola offers a portfolio of Innovative Convergence platforms and products to help customers quickly address the converging mobile computing and wireless communications markets. The portfolio includes: the i.200, i.250 and i.300 wireless platforms; the DragonBall(tm) family of applications processors to drive multimedia applications; industry-leading Java(tm) 2 Micro Edition J2ME(tm) reference implementation designed to provide wireless device designers with up-to-date software for quick integration of Java
applications; image capture technology to enable imaging and real-time video; and Bluetooth(tm) solutions engineered to deliver high-quality applications based on Bluetooth wireless technology.

The i.250 Innovative Convergence platform is designed to simplify and expedite the handset development and manufacturing process by organizing the tools and pieces of the solution into three major development environments.

The platforms include:
* Integrated Development Environment (IDE) - features a comprehensive hardware and software environment, integrating the advanced GSM/GPRS chipset, handset reference design, GSM software engine with field-proven GPRS and user interface toolkit, and an application development system.

* Radio Test Environment (RTE) - includes tools for configuring
features, testing and fine-tuning radio performance.

* Manufacturing Test Environment (MTE) - features software and
manufacturing adaptation tools and services so a customer can decrease manufacturing set-up time by quickly ramping up a production line.

About Hantro
Hantro provides its customers with video solutions for handheld devices. Hantro has both hardware and software based MPEG-4 and H.263 standards based video codecs that have been delivered to customers and are proven solutions. Hantro's product portfolio also includes video applications including video capturing, playback, messaging, streaming, and telephony. Hantro's codecs are optimized for the device and semiconductor manufacturers, which are developing battery-operated video-capable end products like cellular phones, still cameras, PDAs, camcorders, PC cameras, and web pads. Hantro's investors are funds managed by CapMan, Startupfactory, Menire and Nexit Ventures.

About Motorola, Inc.
As the world's # 1 producer of embedded processors, Motorola's Semiconductor Products Sector creates DigitalDNA(tm) system-on-chip solutions for a connected world. Our strong focus on wireless communications and networking enables customers to develop smarter, simpler, safer and synchronized products for the person, work team, home and automobile. Motorola's worldwide semiconductor sales were $4.9 billion (USD) in 2001.
http://www.motorola.com/semiconductors