Infineon Selects 4KEc™ Core from MIPS Technologies for Single-Chip, ADSL2/2+ CPE Solution

MIPS32® 4KEc™ Core Powers “Amazon” ¯ Infineon’s New Single-Chip, ADSL2/2+ CPE Solution

MOUNTAIN VIEW, Calif., June 21, 2004 - MIPS Technologies, Inc. (Nasdaq: MIPS), a leading provider of industry-standard processor architectures and cores for digital consumer and business applications, announced today that Infineon Technologies, a MIPS Technologies licensee since 2000 and a leading innovator within the telecommunications access market, has taken a license for the MIPS32® 4KEc™ core. With it, Infineon has developed an innovative ADSL2/2+ CPE product called "Amazon" which is ideally suited for Triple-Play applications in which voice, video, and data services are provided through a single-box home gateway.

This agreement expands Infineon's portfolio of MIPS-Based™ 32- and 64-bit solutions for the consumer and networking markets. The MIPS32 4Kc® core is utilized in Infineon's single-chip INCA-IP offering for VoIP telephones, which is the first VoIP system chip to integrate hardware-accelerated encryption, enabling advanced network security support. The MIPS64® 5Kc® has been integrated into Purple, Infineon's Ethernet Switch-on-Chip, enabling execution of management software protocols, including security, stacking, remote management, and Quality-of-Service (QoS) policies.

The new Amazon single-chip, ADSL2/2+ CPE solution supports wire-speed data throughput from the wide-area network (WAN) to the local area network (LAN). In addition to the 235MHz 4KEc core, Amazon has a powerful ADSL2/2+ engine, analog front end, line driver, and AAL5 hardware accelerator. Amazon completes Infineon's end-to-end ADSL2/2+ product portfolio. Availability of Amazon is planned for the third quarter of 2004.

The benefits of developing on an industry-standard architecture, especially one with significant market share in the communications space and a large software base and robust development and debugging environment, contributed to Infineon's choice of the 4KEc core. Improved power management techniques and code compression, along with the vectored interrupts which speeds the response time of the Interrupt Service Routines, were also contributing factors.

"The 4KEc core met the robust performance and power management requirements necessary to make Amazon a high-performance, competitive, single-chip solution," said Alessandro Norscia, director of marketing for Broadband CPE at Infineon Technologies North America Corporation. "With Amazon, Infineon completes its end-to-end ADSL2/2+ product portfolio and extends its reach into the rapidly growing Home Networking and SOHO networking markets, further strengthening our leadership position in the telecommunications access market."

"Infineon's continued endorsement of the MIPS architecture, demonstrated by their recent use of the 4KEc core in Amazon, speaks volumes and we are pleased that their portfolio of innovative, MIPS-Based solutions continues to expand," said Jack Browne, vice president of worldwide sales at MIPS Technologies. "By utilizing the 4KEc core, Infineon leverages the over 100 million dollars worth of software, development tools, and networking middleware already supporting the MIPS architecture."

About Infineon Technologies
Infineon Technologies AG, Munich, Germany, offers semiconductor and system solutions for the automotive and industrial sectors, for applications in the wired communications markets, secure mobile solutions as well as memory products. With a global presence, Infineon operates in the US from San Jose, CA, in the Asia-Pacific region from Singapore and in Japan from Tokyo. In fiscal year 2003 (ending September), the company achieved sales of Euro 6.15 billion with about 32,300 employees world-wide. Infineon is listed on the DAX index of the Frankfurt Stock Exchange and on the New York Stock Exchange (ticker symbol: IFX). Further information is available at www.infineon.com.

About MIPS Technologies
MIPS Technologies, Inc. is a leading provider of industry-standard processor architectures and cores for digital consumer and business applications. 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 and its licensees offer the widest range of robust, scalable processors in standard, custom, semi-custom and application-specific products. The company is based in Mountain View, Calif., and can be reached at +1 (650) 567-5000 or www.mips.com.