Altera and MIPS Technologies Agreement Fuels Next-Generation System-on-a-Programmable-Chip Design

Altera PLDs to Integrate MIPS Technologies Processor Cores as Part of New Excalibur^TM Embedded Processor Solutions

Embedded Processor Forum, San Jose, Calif., June 12, 2000--MIPS Technologies (Nasdaq: MIPS), one of the leading providers of embedded processor intellectual property (IP), and Altera Corporation (Nasdaq: ALTR), a leading programmable logic device (PLD) supplier, today announced that Altera has licensed MIPS Technologies embedded processor cores to enable true system-on-a-programmable-chip (SOPC) solutions. Under the terms of the agreement, MIPS Technologies will supply Altera with a MIPS32 4K^TM processor core for integration into Altera's APEX^TM architecture. The resulting devices will be made available to customers as part of Altera's Excalibur^TM embedded processor solutions, also announced today (see release entitled, "Altera Unveils Strategy for Embedded Processor Integration in System-On-A-Programmable-Chip Design"). These MIPS-based^TM Excalibur embedded processor solutions will provide the single-chip integration, high-performance, and flexibility needed for a broad range of applications in the communications, computing, digital consumer, and industrial markets.

"By offering a MIPS-based embedded processor as part of our new Excalibur solutions, Altera gives customers industry-leading processor technology combined with our leading-edge APEX architecture, enabling the horsepower and flexibility required for next-generation system designs," said Rodney Smith, Altera chairman, president and CEO. "Designers can now look beyond ASICs, ASSPs, and stand-alone embedded processors toward our system-on-a-programmable-chip solutions."

"We believe that Altera's 14,000 customers will find the integration of our processor technology very attractive," said John Bourgoin, MIPS Technologies, Inc. chairman, president and CEO. "Altera's Excalibur product offering will bring a combination of flexibility, integration and performance to customers who desire the MIPS architecture for use in a wide range of communications applications."

About MIPS Technologies, Inc.

MIPS Technologies, Inc. is one of the world's primary architects of embedded 32- and 64-bit RISC processors. The company drives the broadest architectural alliance that is delivering 32- and 64-bit embedded RISC solutions. The company licenses its intellectual property to semiconductor companies, ASIC developers and system OEMs. MIPS Technologies, Inc. and its licensees offer the widest range of robust, scalable processors in standard, custom, semi-custom and application-specific products. MIPS Technologies, Inc. is based in Mountain View, California, and can be reached at 650/567-5000 or http://www.mips.com.

About Altera

Altera Corporation, The Programmable Solutions Company^®, was founded in 1983 and is a leading supplier of programmable logic devices (PLDs). Altera's CMOS-based PLDs are user-programmable semiconductor chips that enhance flexibility and reduce time-to-market for companies in the communications, computer peripheral, and industrial markets. By using high performance devices, software development tools, and sophisticated intellectual property cores, system-on-a-programmable-chip (SOPC) solutions can be created with embedded processors, memory, and other complex logic together on a single PLD. Altera common stock is traded on The Nasdaq Stock Market under the symbol ALTR. More information on Altera is available on the Internet at http://www.altera.com.

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Altera, The Programmable Solutions Company, Excalibur, APEX, and specific device designations are trademarks and/or service marks of Altera Corporation in the U.S. and other countries. All other trademarks are the property of their respective holders.

MIPS is a registered trademark and MIPS-based, MIPS32 and 4K are trademarks of MIPS Technologies, Inc.

Editor Contacts:

Barry Katcher	Stephanie Oswold	Constance Sweeney
Altera Corporation	Tsantes & Associates	MIPS Technologies, Inc.
(408) 544-8202	(408) 369-1500	(650) 567-5059
bkatcher@altera.com	stephanie@tsantes.com	cks@mips.com