eMemory and Grace Semiconductor Expand Partnership, Develop Diverse Solutions and Advanced Processes

Hsinchu, Taiwan (Oct. 17, 2011) - Embedded non-volatile memory (eNVM) leader eMemory Technology Inc. (eMemory) and the leading semiconductor foundry in differentiated technologies Grace Semiconductor Manufacturing Corporation (Grace) are announcing an expansion of their partnership through a shared resources design platform to develop diverse eNVM solutions. eMemory’s uniquely developed OTP (NeoBit), and MTP (NeoFlash/NeoEE) eNVM technologies will be brought fully into Grace’s process platform, and Grace will provide design service support for OTP and MTP IPs. The partnership will provide customers with fully-functional eNVM solutions that, through their low cost and high performance advantages, will give microcontroller (MCU) and consumer electronics customers a significant opportunity to develop global market.

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Grace and eMemory began their partnership in 2005 with an OTP process platform. Tens of products currently in mass production use the 0.18 micron, 3.3V/5V, low cost, high performance OTP process platform successfully developed by the two companies. In the newly expanded partnership, the manufacturing platform will now include MTP in addition to the original OTP, and it is estimated that this more comprehensive eNVM process platform will strengthen technical service/support to satisfy even more diverse customer requirements.

Grace VP of Corporate Development & Strategy and Legal, Dr. Frank Fu states: “By bringing in eMemory’s excellent technical and customer support, Grace will provide customers with an extremely competitive, low-cost eNVM process platform, including OTP and MTP technologies, which will drive down customer costs in manufacturing and R&D, and accelerate products’ time to market. Moving forward, Grace will continue to develop value-added and differentiated processes that help our customers seize winning opportunities in the microcontroller and consumer electronics markets.”

eMemory President, Dr. Rick Shen remarks: “eMemory is very pleased to work more closely with Grace to provide eMemory’s OTP (NeoBit), MTP (NeoFlash/NeoEE) technologies and IP portfolio on Grace’s process platforms. Grace’s dedication to NVM IP design services will provide customers even more competitive eNVM solutions, and our companies will continue to partner together closely in the future to bring eNVM platforms to market having even greater cost benefits and performance excellence.”

Grace Semiconductor and eMemory Technology’s 0.18 micron logic and high voltage OTP process platforms are fully built, and has been in the production phase for many years. The 0.13 micron OTP process platform is estimated to pass qualification by the end of 2011. The 0.18 micron MTP process platform is expected to pass qualification by Q1, 2012, and will provide a greater variety of eNVM Silicon IPs for our application product customers to look forward to.

About Grace:

Grace is a specialized semiconductor foundry with a strong focus on high quality services and advanced value-added technologies, including embedded nonvolatile memory, high voltage, and low leakage processes. The company started operations in 2003 and has been one of the fastest growing companies in the industry. The company is located in Zhangjiang Hi-Tech Park in Pudong, Shanghai, and has more than 1,700 employees. Significant shareholders of the company include Shanghai Alliance Investment, Cheung Kong Holdings and Hutchison Whampoa of Hong Kong. Other important shareholders are Microchip, Sanyo, and private equity firms, such as GEMS and UCL Asia.

About eMemory:

Since its establishment in August, 2000, eMemory has developed OTP and MTP embedded non-volatile memory silicon IP and technology. eMemory continues to push forward into advanced process nodes, and is dedicated to providing silicon IP products and technology services for broad customer adoption. eMemory currently employs around 200 people, is the world’s largest provider of embedded non-volatile memory silicon IP, and is a publicly-traded company listed on the Taiwan Gre-Tai Securities Market (code 3529).

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