National Semiconductor Licenses Foveon's X3TM Sensor Technology To Expand Portfolio of Imaging Solutions

National Semiconductor

March 10, 2003- National Semiconductor (NYSE: NSM), a leading innovator of analog and mixed signal imaging systems, today announced a strategic licensing and manufacturing agreement to integrate the award-winning Foveon X3 image capture technology into National's imaging solutions, including new applications for handsets and consumer devices.

"Foveon X3 technology extends National's image sensor roadmap from low-cost VGA to high resolution images," said Joe Montalbo, vice president and general manager of National's Custom Solutions Group.  "Adding Foveon's X3 technology to our existing IP in image sensors, processors and connectivity gives National a superior position in the imaging marketplace."

Foveon, Inc., a privately held company partially funded by National and founded by Dr. Carver Mead, a pioneer in solid state electronics and VLSI design, is rapidly redefining digital photography using analog chips manufactured at National's state-of-the-art fabrication plant in South Portland, Maine. In addition to developing the world's first 16.8-million pixel image sensor, Foveon has developed the X3 image sensor, the first and only image sensor that captures green, red and blue light at each and every pixel.
 
National, which already provides image sensor and processing solutions for consumer, handset and automotive applications, anticipates incorporating Foveon X3 technology into scanners, copiers and handsets, among other consumer-targeted applications.

"With the continued integration of imaging functions into cell phones and PDA's, products will be differentiated by the quality of the images they capture and send. The combined technology-and-manufacturing strengths of National and Foveon will provide OEMs and consumers with outstanding images at affordable prices," Montalbo said.
 
"We are proud to work with National Semiconductor on projects that will expand the markets for Foveon's portfolio of image sensor products," said Jim Lau, President and CEO of Foveon, Inc.  "National's world-class manufacturing, sales and marketing organization are a key asset in our development of new customers and markets."