Microsoft Windows Mobile-Based Smartphones to Run on Low-Cost Texas Instruments Platform

BARCELONA, Spain — Feb. 13, 2006 — Today Microsoft Corp. and Texas Instruments Inc. (TI) announced that Amoi Electronics, HTC Corp. and Sagem Communication are developing new Windows Mobile®-based Smartphones leveraging TI’s OMAPV1030 EDGE chipset. These phones will be based on a lower-cost, high-performance chipset architecture for Windows Mobile device-makers, previously only available for feature phones. Until now, many smartphones running on a high-level operating system such as Microsoft® Windows Mobile necessitated a more expensive dual-core chipset to power the rich user interface, data networking and additional personal and business applications.

Compared to previous multicore architectures, this single-core solution offers significant cost savings on the total bill of materials. This has been achieved through higher levels of integration, more aggressive process technology and better system partitioning. Microsoft leveraged TI’s OMAPV1030 chipset with its own Windows Mobile software to enable smart device capabilities at feature phone costs, thereby spurring smartphone market growth.

Analysts suggest that an increasing number of companies prefer employees to have access to critical business information while outside of the office. Driving down the costs of smart devices is critical to maximizing this demand for increased sales and services.

Gartner Inc. predicts a huge rise over the next three years or so in the number of people using wireless e-mail. By the end of 2006, there will be at least 16 million business and consumer users. And by the end of 2008, half of all employees who access e-mail via PCs will also have access to wireless e-mail.1

“TI’s integrated and optimized OMAPV1030 solution was designed to deliver enhanced features at a reduced cost,” said Edgar Auslander, general manager of worldwide strategy and corporate development for TI’s wireless business unit. “Combined with Windows Mobile software from Microsoft, the OMAPV1030 will enable handset manufacturers like Amoi, HTC and Sagem Communication to bring advanced multimedia and productivity features to mainstream mobile phones.”

“Our mobile operator partners are eager to expand their customer base with a diverse and affordable portfolio of Windows Mobile-based devices,” said Kevin Dallas, general manager in the Mobile and Embedded Devices Division at Microsoft. “Texas Instruments’ innovative hardware platform, coupled with our software, will help device-makers sell more smartphones to an increasing number of mobile workers who want to stay connected while away from the office.”

Availability of these handsets is expected within 12 months.

About Texas Instruments

Texas Instruments Incorporated provides innovative DSP and analog technologies to meet our customers’ real world signal processing requirements. In addition to Semiconductor, the company’s businesses include Sensors & Controls, and Educational & Productivity Solutions. TI is headquartered in Dallas, Texas, and has manufacturing, design or sales operations in more than 25 countries.

Texas Instruments is traded on the New York Stock Exchange under the symbol TXN. More information is located on the World Wide Web at www.ti.com.

About Microsoft

Founded in 1975, Microsoft (Nasdaq “MSFT”) is the worldwide leader in software, services and solutions that help people and businesses realize their full potential.

1 Gartner, Magic Quadrant for Enterprise Wireless E-Mail Software, 2H05 October 2005

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

Texas Instruments and OMAP are either registered trademarks or trademarks of Texas Instruments in the United States and/or other countries.

The names of actual companies and products mentioned herein may be the trademarks of their respective owners.

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