Medity^TM Semiconductor Solution for 3G Mobile Phones

Toward Top Share in Semiconductors for 3G W-CDMA Handsets

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NEC Electronics today announced the Medity^TM semiconductor solution for 3G mobile phones. Medity1, the first generation, is a complete set of semiconductor, software, and service solutions. NEC Electronics expects it to become the de facto standard development platform for 3G mobile phones using the W-CDMA system. Announced concurrently was the start of sample shipments of the M1 (product name MC10038), a system LSI for Medity1 that integrates a digital baseband LSI and an application processor on a single chip.
Within the Medity framework, NEC Electronics intends to become the leading provider of semiconductors for W-CDMA mobile phones.

Medity is based on a 3G semiconductor communications core developed jointly by NEC and NEC Electronics. The total solution includes 1) a semiconductor chipset that includes the M1 digital baseband and application chip, RF ICs, and power ICs; 2) software to drive the chipset; 3) a reference design kit that includes an evaluation board for software development; 4) tools to support the development of communications and application software; and 5) system integration services to assist in the migration of operation systems and middleware. Medity1 became available today.

Working with software developers and other partner companies, NEC Electronics intends to make Medity a comprehensive, open platform for the development of compact, versatile, and power-efficient 3G mobile phones.

The M1 chip (referred to as the "DBB/application chip" below) began sampling today. It is a system LSI that integrates a 3G communications core developed jointly with NEC and an application processor on a single chip. The application processor features a high-performance CPU and DSP functions for sophisticated media processing. Memory sharing between the 3G communications core and the application processor is completely implemented. Shared memory allows the part count to be reduced for lower costs and more compact handsets. In sample quantities the M1 chip is priced at 8,000 yen. Volume production will begin in October 2006, and is expected to reach 300 thousand units per month.

Since its establishment as an independent company in November 2002, NEC Electronics has positioned mobile phone semiconductors as one of the company's strategic priorities. It is the leading supplier of system LSIs for the Personal Digital Cellular (PDC) system, the mainstream 2G system in Japan. It also led the way in development of semiconductors for the 3G W-CDMA system. As the semiconductor division of NEC, the company shipped its first digital baseband ICs for W-CDMA in 2000, and as of 2005 was the world's leading supplier. Since September 2004 it has also been a leader in application processor ICs for mobile phones, releasing products with unique power-saving technology, high-performance bus systems, and DSP features for optimal media processing.

Consumers in the mobile phone market demand products that are smaller and less expensive, with longer battery lives and the ability to run every type of application. The transition from 2G to the higher speeds of 3G is also well underway.

To meet the challenge of delivering all of these features, mobile phone manufacturers need to 1) reduce the development effort expended on components and concentrate their resources on features that differentiate the product. 2) cut their bill-of-material costs by reducing the total number of components, and 3) miniaturize the handset. Medity represents a comprehensive solution that can help manufacturers clear these and other hurdles. It is a well-integrated platform consisting of the following 5 products and services.

NEC Electronics regards Medity as the centerpiece of its mobile phone semiconductor business and intends to work together with its partner companies to make it the de facto standard platform for the development of 3G communications applications.

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About NEC Electronics

NEC Electronics Corporation (TSE: 6723) specializes in semiconductor products encompassing advanced technology solutions for the high-end computing and broadband networking markets, system solutions for the mobile handset, PC peripherals, automotive and digital consumer markets, and platform solutions for a wide range of customer applications. NEC Electronics Corporation has 26 subsidiaries worldwide including NEC Electronics America, Inc. (www.am.necel.com) and NEC Electronics (Europe) GmbH (www.eu.necel.com). For additional information about NEC Electronics worldwide, visit www.necel.com.

Medity and platformOViA are either registered trademarks or trademarks of NEC Electronics Corporation in Japan, Germany, and/or other countries. All other registered trademarks or trademarks are property of their respective owners.