Under the agreement, the companies will merge SiGe Semiconductor’s RF process and device modeling expertise with Cypress’ leading edge BiCMOS and manufacturing capabilities to bring performance, integration and power advantages to manufacturers of wireless and broadband communications equipment. The companies expect to deliver production-ready SiGe processes during the first quarter of 2002.

Developing a SiGe process internally strengthens our position in the communications markets, as the technology is uniquely capable of meeting the growing expectations of this market, said Chris Seams, Cypress’s Vice President Technology Development & Wafer Manufacturing. SiGe Semiconductor is an ideal partner, because their substantial experience in silicon germanium processes enables us to quickly and effectively bring the technology on line and provide superior performance products to our customers.

SiGe processes are gaining importance with wireless and broadband equipment, as the expectations for size, performance and power consumption exceed what can cost-effectively be achieved in silicon-based CMOS. The technology dramatically reduces power consumption to extend the battery life in handheld devices; improves phase noise to increase performance, data rates, transmission range, and stability over a broad temperature range; and allows more circuitry to be integrated on a single die, reducing the number of external components and associated board space.

Cypress’ advanced manufacturing platforms and expertise in yield management provide the perfect complement to our standard SiGe processes, said Jim Derbyshire, president and CEO, SiGe Semiconductor. We see a huge opportunity to build on this relationship, and hope to continue working with Cypress to extend the benefits of SiGe to new technologies and other markets.