Agere Systems Announces Chipset Solution for Mainstream Mobile Phones Capable of Cinema-Quality Video and CD-Quality Sound

ALLENTOWN, Pa., Oct. 17 /PRNewswire-FirstCall/ -- Agere Systems (NYSE: AGR) today announced that it is delivering its new Vision(TM) 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(TM) software framework, both of which enable critical improvements for smaller and more affordable, feature-rich phones.

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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(R) 5.0, SymbianOS(R), and Linux(R). 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 theaters. The combination of the X115's AAC stereo audio and video playback enables the solution to deliver a theater-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(R), AAC, aacPlus(TM) and Enhanced aacPlus(TM) 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(TM)-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(TM) for communications, an ARM926EJ-S(TM) 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 is built upon Agere's proven and tested protocol stack which has been deployed in more than 100 handset models over 70 operator networks. 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(TM) and 2.5G/EDGE Solutions

Agere offers a full portfolio of 3G and 2.5G/EDGE solutions based on its Sceptre(R) and Vision(TM) mobile handset architectures. Agere's current 3G offering combines W-CDMA and EDGE technology in an integrated chipset 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 chipsets, 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. About Agere Systems

Agere Systems is a global leader in semiconductors for storage, wireless data, and public and enterprise networks. The company's chips and software power a broad range of computing and communications applications, from cell phones, PCs, PDAs, hard disk drives and gaming devices to the world's most sophisticated wireless and wireline networks. Agere's customers include top manufacturers of consumer electronics, communications and computing equipment. Agere's products connect people to information and entertainment at home, at work and on the road -- enabling the connected lifestyle.

For more information, customers may visit Agere's Web site at http://www.agere.com or contact one of Agere's regional sales offices. Customers in the U.S. may also call the Agere Systems Customer Response Center at 1-800-372-2447. Customers in Canada may call 1-800-553-2448. Customers outside those countries may call 1-610-712-4323. Fax inquiries may be directed to 1-610-712-4106, or e-mail queries to docmaster@agere.com. Written inquiries should be sent to Agere Systems, Room 10A-301C, 1110 American Parkway NE, Lehigh Valley Central Campus, Allentown, PA, 18109, USA. Agere, Agere Systems, the Agere Systems logo and Sceptre are registered trademarks, and Vision, OptiVerse and W-EDGE are trademarks of Agere Systems Inc.

aacPlus and Enhanced aacPlus are trademarks of Coding Technologies

ARM7TDMI-S and ARM926EJ-S are trademarks of ARM Limited

Java is a trademark of Sun Microsystems, Inc.

Linux is a registered trademark of Linus Torvalds

MP3 is a registered trademark of Blaupunkt GMBH

SymbianOS is a registered trademark of Symbian Ltd.

Windows Mobile is a registered trademark of Microsoft Corp. This release contains forward-looking statements based on information currently available to Agere. Agere's actual results could differ materially from the results stated or implied by those forward-looking statements due to a number of risks and uncertainties. These risks and uncertainties include, but are not limited to, our reliance on major customers and suppliers, our ability to keep pace with technological change, our dependence on new product development, price and product competition, availability of manufacturing capacity, customer demand for our products and services, and general industry and market conditions. For a further discussion of these and other risks and uncertainties, see our annual report on Form 10-K for the fiscal year ended September 30, 2004, and our quarterly report on Form 10-Q for the quarter ended June 30, 2005. Agere disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.