AGERE SYSTEMS ANNOUNCES CHIPSET SOLUTION

Agere Systems (NYSE: AGR) announced that it is delivering its new Vision™ X115 chipset solution supporting cinema-quality video and CD-quality audio capabilities for mainstream EDGE feature phones and Smartphones. The X115 is the first solution based on Agere’s Vision mobile handset architecture and its OptiVerse™ software framework, both of which enable critical improvements for smaller and more affordable, feature-rich phones.
Operators are looking to handset makers for multimedia devices capable of supporting such revenue-generating applications and services as real-time audio and video streaming, stereo music, digital photo imaging and interactive gaming. The X115 solution enables manufacturers to design these features into GPRS/EDGE feature phones and Smartphones targeting a larger segment of the consumer market.
Agere’s X115 leverages the company’s expertise in developing flexible and scalable solutions as network technology continuously evolves from 2.5G to 3G onto HSDPA and future technologies. Within this multi-processor design, the X115 provides exceptional levels of features including CD-quality sound, cinema-quality video and support for a 2 megapixel camera without requiring costly applications processors or multimedia companion chips. In fact, Agere’s solution can reduce a handset’s overall component count by more than 100. Ultimately, it is capable of shrinking integrated circuit bill of material (BOM) costs and footprint by up to 20 percent.
“The X115 is the first of what we plan as a long line of solutions bringing features to the mass consumer market previously available only in higher-end phones,” said Phil Carrier, marketing vice president for Agere’s Mobility Division. “As many of our competitors still struggle with implementing multi-processor offerings, we are demonstrating that Agere is in this market to win with solutions available today. Our solutions deliver rich audio and video requirements at the price points that phone makers, operators and consumers are demanding.”
To further meet market demand, the X115 is designed to support a variety of popular high-level operating systems, including Microsoft Windows Mobile® 5.0, SymbianOS®, and Linux®. This enables Smartphones to be offered to a broader segment of the consumer market. Such phones are multi-functional devices relied upon for uses previously limited to higher-tier phones including contact management, Internet access, navigation and scheduling.

Rich audio and video features
Using the X115, handset makers are able to offer a broad range of video functionality including support for H.263, MPEG-4 and H.264 standards. The X115 offers video playback in both QVGA and QCIF screen resolutions in excess of the 24 frames per second rate that films are played in movie theatres. The combination of X115’s AAC stereo audio and video playback enables the solution to deliver a theatre-quality experience on a wireless handset. This is vastly different from the majority of solutions available today requiring a separate multimedia companion device to deliver audio beyond monotone sounds.
In addition, users of X115-based phones will be able to enjoy their favorite music selections with the sound clarity available from CDs, as the X115 is capable of playing audio in the MP3®, AAC, aacPlus™ and Enhanced aacPlus™ formats. To meet consumer demand for personalized musical ring tones, the X115 has WAV, SMAF and MIDI ring tone synthesizers and provides 64 polyphonic voices.
The X115 achieved a score exceeding 380 in initial chipset solution testing for JBenchmark 2.0. This test measures the graphical performance of second-generation, Java™-enabled mobile devices that support the MIDP (Mobile Information Device Profile) 2.0 standard for high-performance gaming. Based on this achievement, end-products incorporating Agere’s solution are capable of top 10 percent performance in line with high-end Smartphones and PDAs listed in the JBenchmark 2.0 results database.

Uniquely separated communications and applications processing and software
The X115 is a two-chip, GPRS/EDGE solution consisting of an analog baseband and a digital baseband. The X115’s analog baseband includes a complete power management solution that also handles the analog baseband processing, audio mixing and conversion. The digital baseband features three processor cores – an ARM7TDMI-S™ for communications, an ARM926EJ-S™ for applications and Agere’s DSP16000 core for physical layer and audio signal processing.
By separating the communications and applications processing domains within the digital baseband, the Vision architecture allows each of the X115’s processors to be fully dedicated to its particular function. Within the digital baseband, the communications processor serves as the master controller of the system. This ensures that no matter which applications are running, the communications link is maintained. The benefits of Agere’s technological approach are smaller phones, faster time to operator approval and rapid integration of new applications, without compromising a mobile phone’s performance.
Agere completes its X115 solution by combining it with a range of OptiVerse software frameworks, which are critical in easing development and enabling significant time-to-market benefits. OptiVerse software includes reusable and standardized application programming interfaces (API) to provide easy access to underlying communication and application functions within the solution. These interfaces simplify development of customized multimedia applications such as audio and video. Similar to the hardware partitioning, the OptiVerse software separates its communications and applications functions using a well-defined interface, allowing handset makers to concentrate on developing applications with confidence that the communications software will not be disrupted.
Agere expects to be in mass production with the X115 in the fourth quarter of 2005.

About Agere’s W-EDGE™ and 2.5G/EDGE Solutions
Agere offers a full portfolio of 3G and 2.5G/EDGE solutions based on its Sceptre® and Vision™ mobile handset architectures. Agere’s current 3G offering combines W-CDMA and EDGE technology in an integrated chip set and software solution for mass market mobile products that enables seamless handovers between 3G and 2.5G/EDGE networks. Agere’s EDGE offerings are some of the industry’s most integrated Class 12 capable EDGE chip sets, providing a range of advanced multimedia features, while maintaining the power efficiency, compact size and low cost necessary to meet consumer requirements for today’s cellular devices. All of Agere’s solutions include the company’s proven and tested protocol stack and processing technology optimized for the size and low power consumption that consumers expect for mobile devices.