NetLogic Microsystems and TSMC Collaborate on Industry-Leading 55nm Technology for Advanced Low-Power Knowledge-based Processors

MOUNTAIN VIEW, Calif. & HSINCHU, Taiwan, R.O.C.—(BUSINESS WIRE)—November 27, 2007— NetLogic Microsystems, Inc. (NASDAQ: NETL), the leader in the design and development of knowledge-based processors and high-speed integrated circuits, and Taiwan Semiconductor Manufacturing Company (TSE:2330) (NYSE:TSM) (TSMC), today announced their collaboration on the industry-leading 55nm semiconductor process technology for NetLogic Microsystems' advanced knowledge-based processors.

NetLogic Microsystems' latest knowledge-based processor, which was fabricated on TSMC's 55nm-GP process, offers significant power, performance and cost advantages over competitive products as a result of the close collaboration between NetLogic Microsystems and TSMC, the industry leading silicon foundry manufacturer. This new knowledge-based processor was specifically designed for the 55nm-GP process to take full advantage of the advanced process technology. NetLogic Microsystems has developed a suite of custom circuits optimized around TSMC's 55nm node, including analog and clocking circuitry for high-speed interface, core processing elements and other standard cells, as well as refining the design and tape-out flow for this node. As a result, NetLogic Microsystems is now positioned to efficiently design other advanced products for the 55nm node and enjoy the benefits of this half-node across multiple products. A second chip targeted for this process has already taped-out and is currently in fabrication at TSMC.

This achievement extends upon the existing collaboration between TSMC and NetLogic Microsystems on the use of advanced cost-effective half-node technologies, including 110nm and more recently the 80nm process, which was announced in Feb. 2007. The companies expect to broaden the relationship to include NetLogic Microsystems' 10-Gigabit Ethernet physical layer products and other process technologies from TSMC.

"We are pleased to have collaborated closely with TSMC on the 55nm-GP process technology," said Mo Maghsoudnia, vice president of Manufacturing at NetLogic Microsystems. "The close technology collaboration has enabled us to achieve superior performance, lower power consumption and higher yields across our entire product family. We look forward to expanding our collaboration into our new product lines to allow for the delivery of best-in-class products to our customers."

"NetLogic Microsystems made a significant achievement by being one of the first to tape out and manufacture with our 55nm-GP process," said Jason Chen, vice president of corporate development at TSMC. "This is particularly notable, considering the high logic density and complexity of NetLogic Microsystems' new chip. We are excited to once again work closely with NetLogic Microsystems as one of the lead customers for our advanced half-node processes."

TSMC's half-node strategy, including the latest 55nm process technology, has a proven track record of helping customers achieve a crucial edge in competitive marketplaces. By offering lower power consumption, lower cost and improved performance, customers benefit from the proven technology at minimal risk and accelerated development timeline.

NetLogic Microsystems' knowledge-based processors offer the industry's most advanced parallel processing capabilities to enable quad-play (convergence of voice, video, data and mobility) and IPv6 applications. The use of TSMC's 55nm process technology and state-of-the-art design techniques allow this newest processor to perform 500 million decisions per second (MDPS) at a lower cost and using less power than all previous designs. Over the next several months, NetLogic Microsystems will announce more details about the specifications and target markets for these new products fabricated in TSMC's 55nm process.

About TSMC

TSMC is the world's largest dedicated semiconductor foundry, providing the industry's leading process technology and the foundry industry's largest portfolio of process-proven libraries, IP, design tools and reference flows. The Company's total installed capacity in 2006 exceeded seven million (8-inch equivalent) wafers, including capacity from two advanced 12-inch GigaFabs, four eight-inch fabs, and one six-inch fab. TSMC also has substantial capacity commitments at its wholly owned subsidiaries, WaferTech and TSMC (Shanghai), and its joint venture fab, SSMC. TSMC is the first foundry to provide 65nm and 55nm production capabilities. Its corporate headquarters are in Hsinchu, Taiwan. For more information about TSMC please see http://www.tsmc.com.

About NetLogic Microsystems

NetLogic Microsystems, Inc. (NASDAQ: NETL), a fabless semiconductor company headquartered in Mountain View, California, designs, develops and markets high-performance knowledge-based processors and high-speed integrated circuits that accelerate the delivery of voice, video, data and multimedia content for advanced enterprise, datacenter, communications and mobile wireless networks. NetLogic Microsystems' products include high-performance knowledge-based processors, application-aware content processors, 10-Gigabit Ethernet interconnects and network search engines that are being deployed by Tier 1 original equipment manufacturers (OEMs) in leading systems such as routers, switches, wireless infrastructure equipment, network security appliances, datacenter servers, network access equipment and network storage devices. NetLogic Microsystems' knowledge-based processors and content processors employ an advanced processor architecture and a large knowledge or signature database containing information on the network, as well as applications and content that run on the network, to make complex decisions about individual packets of information traveling through the network. NetLogic Microsystems' products significantly enhance the performance and functionality of next-generation networks that are designed to deliver high-definition video delivery over the Internet (IPTV), media-rich content over advanced mobile wireless services, voice transmission over the Internet (VoIP) and network security applications. For more information about products offered by NetLogic Microsystems, call +1-650-961-6676 or visit the NetLogic Microsystems Web site at http://www.netlogicmicro.com.

NetLogic Microsystems and the NetLogic Microsystems logo are trademarks of NetLogic Microsystems, Inc. All other trademarks are properties of their respective owners.

"Safe Harbor" Statement under the Private Securities Litigation Reform Act of 1995: Statements in this press release regarding NetLogic Microsystems' business which are not historical facts may be "forward-looking statements" that involve risks and uncertainties. Forward-looking statements are based on certain assumptions and expectations of future events that are subject to risks and uncertainties. Actual results and trends may differ materially from historical results or those projected in any such forward-looking statements depending on a variety of factors. These factors include, but are not limited to, customer acceptance and demand for our products, the volume of sales to our principal product customers, manufacturing yields for our products, the timing of manufacture and delivery of product by our foundry suppliers, the length of our sales cycles, our average selling prices, the strength of the OEM networking equipment market and the cyclical nature of that market and the semiconductor industry. For a discussion of such risks and uncertainties, which could cause actual results to differ from those contained in the forward-looking statements, see "Risk Factors" in the Company's reports on Forms 10-K and 10-Q, as well as other reports that NetLogic Microsystems files from time to time with the Securities and Exchange Commission. All forward-looking statements are qualified in their entirety by this cautionary statement, and NetLogic Microsystems undertakes no obligation to update publicly any forward-looking statement for any reason, except as required by law, even as new information becomes available or other events occur in the future.

Contact:

NetLogic Microsystems, Inc.
Kelvin Khoo, 650-961-6676 x216
Email Contact
or
TSMC
Wendy Matthews, 408-382-8030
Email Contact




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