Motorola and Microsoft Drive Next-Generation Handheld Applications

REDMOND, Wash., and AUSTIN, Texas, Sept. 18, 2002 — Motorola, Inc.’s (NYSE:MOT) Semiconductor Products Sector (SPS), the leading applications processor supplier to the PDA market, and Microsoft Corp. are collaborating on the underlying technology to drive new capabilities for handheld devices.

Motorola’s DragonBall platform application development system based on ARM® technology now supports the Microsoft® Windows®
CE operating system. The two companies announced their plans at today’s ARM & Microsoft Executive Summit in Redmond, Washington. Motorola’s DragonBall family, which leads the industry in low power consumption, enables wireless device users to benefit from extended run times as a result of long battery life while still enjoying advanced features, such as digital photography and wireless connectivity.

Also announced today, Motorola’s SPS has joined the ARM Consortium for Windows CE. Committed to its work with the consortium, Motorola’s SPS will provide continued support for Windows CE, and future Windows CE platforms to help meet the group’s goal of optimizing development of Windows CE-based solutions on the ARM architecture. As a new ARM consortium member and the #1 producer of embedded processors (source: Gartner Dataquest, May 2002), Motorola brings five generations of application processor expertise to Windows CE-based handheld devices.

“As the industry leader in applications processors for handheld computing, Motorola is a natural partner for Microsoft,”
said Todd Warren, general manager of the Embedded and Appliance Platforms Group at Microsoft.
“Microsoft is pleased to be able to add Motorola’s DragonBall processor family to the list of processors that support Windows CE. The combination of the DragonBall processor with the Windows CE operating system will enable designers to build innovative, small footprint, mobile devices that include support for rich applications, multimedia, and Internet connectivity.”

Features such as multimedia support and wireless Internet connectivity, while standard on many wireless devices, consume significant battery power. This means less usable time and more time spent recharging batteries. Design and manufacturing techniques, such as
“doze”
and
“sleep”
modes, used for DragonBall processors translate to less power consumption, even with support for advanced PDA applications. In addition, other integrated features of the DragonBall processors, such as the multimedia extensions and video port, enable original equipment manufacturers (OEM) to use fewer components in their wireless devices, thus reducing system costs.

“The integration between Motorola’s hardware and Microsoft’s software provides the foundation for new, cutting edge handheld computing with advanced functionality,”
said Pete Shinyeda, corporate vice president and general manager of Motorola’s Wireless and Broadband Systems Group.

The pairing of Windows CE with DragonBall processors bring added flexibility and ease of use to OEMs. The benefits to consumers are longer battery life and more features, often at lower prices.”

Windows CE is the robust, real-time embedded operating system for building the next generation of mobile, small footprint smart devices. With a complete operating system feature set and end-to-end development environment, Windows CE contains everything designers need to create custom Windows-powered devices that include rich networking, multimedia and Web browsing capabilities.

Motorola’s DragonBall family of processors provides designers with a complete platform solution. DragonBall processors feature an integrated suite of software and reference designs that greatly accelerate the creation of next-generation mobile communication products. As part of Motorola’s Innovative Convergence (TM) platform portfolio the DragonBall family allows manufacturers to develop cost-effective wireless products with a complete range of capabilities, including digital image capture, file sharing, wireless connectivity, e-commerce using smartcards, multimedia entertainment and more — all with fewer components, longer battery life, and extra performance for additional applications and features.

Availability

Motorola’s DragonBall platform application development system based on ARM technology with Windows CE 3.0 support is now available. Support for Windows CE .NET is expected by the end of 2002.

About the Microsoft Embedded and Appliance Platforms Group

The Microsoft Embedded and Appliance Platforms Group (EAPG) delivers the Windows Embedded operating systems and tools, which are comprehensive software platforms for building the next generation of intelligent, 32-bit connected Windows Powered devices that demand rich applications and Internet services. In addition, Microsoft offers a wide range of programs and services designed to meet the specific needs of Windows Embedded customers, industry partners and developers. Windows Embedded operating systems currently shipping include Windows CE .NET and Windows XP Embedded, as well as the Server Appliance Kit for Windows 2000. The EAPG is also working on a new device category, Windows Powered Smart Displays, which will be available for the 2002 holiday season and will extend the Windows XP experience throughout the home.

About Microsoft

Founded in 1975, Microsoft (Nasdaq
“MSFT”
) is the worldwide leader in software, services and Internet technologies for personal and business computing. The company offers a wide range of products and services designed to empower people through great software — any time, any place and on any device.

About Motorola

As the world’s #1 producer of embedded processors, Motorola’s Semiconductor Products Sector creates DigitalDNA (TM) system-on-chip solutions for a connected world. Our strong focus on wireless communications and networking enables customers to develop smarter, simpler, faster and synchronized products for the person, work team, home, and automobile. Motorola’s worldwide semiconductor sales were $4.9 billion (USD) in 2001. http://www.motorola.com/semiconductors.

Motorola, Inc (NYSE:MOT) is a global leader in providing integrated communications and embedded electronics solutions. Sales in 2001 were $30 billion. http://www.motorola.com .

About ARM Consortium for Windows CE

The ARM consortium for Windows CE operating system was formed to optimize development of WinCE-based solutions on the ARM architecture. The consortium fosters innovation and decreases time to market for the ARM silicon partners and facilitates Microsoft approved compliance testing and certification of ARM partner silicon. The consortium works to optimize Windows CE solutions for the emerging portable, multimedia, and embedded control markets.

MOTOROLA, the Stylized M Logo and all other trademarks indicated as such herein are trademarks of Motorola, Inc. registered in the U.S. Patent and Trademark Office. ARM is the registered trademark of ARM Limited.

Microsoft and Windows are either registered trademarks or trademarks of Microsoft Corp. in the United States and/or other countries.

All other product or service names are the property of their respective owners. (c) 2002 Motorola, Inc.