AMD and M-Systems to Collaborate on High-Density Embedded Storage Solutions for Mobile Markets
-- Collaboration to Combine AMD's Industry Leading Flash with M-Systems' Award Winning DiskOnChip® Technology to Deliver High Performance Data Storage Solutions --
-- AMD to Adopt M-Systems' Flash Data Storage Technology in Strategic Agreement --
SUNNYVALE, CA AND KFAR SABA, Israel--MAY 22, 2001--AMD (NYSE: AMD) and M-Systems Flash Disk Pioneers Ltd. (NASDAQ: FLSH) today announced a strategic agreement to jointly develop sophisticated high-density Flash data storage solutions for the rapidly growing mobile data storage market. Building on AMD's leadership in manufacturing, packaging, and Flash technology; and M-Systems' award-winning DiskOnChip® technology, this collaboration is intended to create embedded data storage products optimized for high-performance mobile and other applications.
Under the terms of the agreement, the two companies will jointly develop and market Flash data storage solutions. The combination of AMD's advanced low power Flash with M-Systems' widely-supported and easy-to-use TrueFFS® (True Flash File System) technology is expected to create solutions which offer high-performance, small form-factors and an extremely cost-effective interface. This suite of products will be designed to offer the functionality and ease-of-use of a hard drive, with the superior speed, performance, low power consumption and reliability of AMD's Flash memory.
Cellular telephones, wireless devices, hand-held PCs, automotive PCs, and other mobile products that need to quickly store and retrieve large amounts of data, can greatly benefit from the small form factor and cost-effective interface of the solutions the two companies plan to develop. Offering integrated security features with extensive data storage capabilities, these products will be designed for mobile-commerce applications such as the secure digital music initiative.
"AMD believes that there is a burgeoning market for high-capacity embedded data storage devices in advanced portable products," said Walid Maghribi, AMD's senior vice president and president of the company's Memory Group. "The growing need for small, low-power, rugged and secure storage solutions that are capable of holding large quantities of data, audio and video files, represents a tremendous opportunity for Flash memory. AMD has partnered with M-Systems to develop this new Flash-based data storage solution to address the mobile market's unique needs."
"We chose to adopt M-Systems' DiskOnChip technology because of its combination of the TrueFFS software, a unique controller with highly integrated security features, and their ability to provide a comprehensive solution," added Maghribi.
"We are elated to enter into a partnership with AMD, a company that has earned the reputation for delivering extremely reliable Flash memory products to the market," said Dov Moran, president and CEO of M-Systems. "AMD's expertise in Flash memory and knowledge of the mobile market space, coupled with M-Systems' ability to offer an extremely reliable high-capacity storage solution to applications demanding very high performance, makes this partnership ideal for this venture."
About M-Systems' TrueFFS® Technology and DiskOnChip Flash Disk Products
M-Systems' TrueFFS is a patented Flash file system and set of technologies that performs full read/write hard disk emulation with an unmatched level of reliability and performance. TrueFFS works in all major operating system environments, including Microsoft® Windows® 2000, Windows CE, Windows NT®, Windows NT Embedded, Windows95/8, DOS, BE, Linux and other leading operating systems.
With combined TrueFFS and DiskOnChip flash disk technologies, M-Systems' DiskOnChip family of Flash disk products have a burst read/write speed of up to 20 Megabytes per second, an endurance of one million write/erase cycles, advanced error correction/error detection, and are the most reliable Flash disk solutions in the market.
M-Systems' DiskOnChip is currently available in 32-pin DIP, 144-pin DIMM or 48-pin TSOP form factors with capacities ranging from 8 MB to 288 MB. This unique product adds flexibility, minimizes integration efforts, reduces engineering costs and shortens time-to-market. M-Systems' DiskOnChip features high reliability, low power consumption and small size. In October 1998, M-Systems introduced the world's first and only monolithic, single-die Flash disk, the 8 MB DiskOnChip Millennium. Just recently, a new 32 MB version with higher performance and advanced data protection features - the "DiskOnChip Millennium Plus" - was released.
DiskOnChip Millennium was the first solution to combine a controller and high-density Flash memory on a single die, enabling a vast number of applications to benefit from on-board data storage.
About M-Systems Flash Disk Pioneers Ltd.
M-Systems Flash Disk Pioneers Ltd. (NASDAQ: FLSH) is a leading developer, manufacturer and marketer of innovative data storage products, known as Flash disks. The Company's Flash disks provide the functionality of a mechanical hard drive on a solid-state silicon chip. M-Systems was first to bring to market a complete Flash disk in a single die, using breakthrough DiskOnChip Millennium technology. The Company's products are based on its patented TrueFFS technology and include the DiskOnChip, DiskOnKey™, and Fast Flash Disk (FFD) product families. DiskOnChip is primarily used in the embedded systems and Internet appliances markets, while the FFD product line is used in video and audio servers, telecommunications systems, and military applications. The DiskOnKey product family is targeted at the PC and laptop markets. For more information, contact M-Systems at 8371 Central Avenue, Suite A, Newark, Calif. 94560. Telephone: 1-510-494-2090; E-mail: firstname.lastname@example.org; and, on the Internet: http://www.m-sys.com.
AMD Flash Memory Awards
AMD's Flash memory products have received numerous customer service, quality and technology awards. The most recent Flash memory awards include: Cisco Systems' highest customer satisfaction recognition - the Cisco President's Award; the Nortel 2000 "Supplier of the Year" award; the Samsung 2000 "Best Supplier" award; the Volkswagen 1999 "Leading Edge" award; and the Cisco 1999 "Semiconductor Supplier of the Year" award.
About AMD Flash Memory Devices
AMD's technology is employed by the world's largest producer of Flash memory devices, Fujitsu AMD Semiconductor Ltd. (FASL). AMD's Flash memory products encompass a broad spectrum of densities and features to support a wide range of markets. AMD's Flash memory customers represent leaders in the automotive, networking, telecommunications, and handheld mobile terminal markets. AMD offers many Flash memory products, such as the award-winning Simultaneous Read-Write (SRW) product family, Super Low Voltage 1.8V Flash memory devices and Burst- and Page-Mode devices. AMD developed the robust Known Good Die (KGD) program and the patented negative gate erase technology, and refined the industry-standard Fine-pitch Ball Grid Array (FBGA).
All AMD's Flash memory devices are guaranteed by AMD for a minimum of one million write cycles per sector and 20 years' data retention, making them the most reliable non-volatile memory devices in the industry.
The U.S. Environmental Protection Agency and the U.S. Department of Energy awarded AMD an ENERGY STAR® Certificate of Recognition for its energy-efficient Flash memory devices. Such devices help manufacturers meet stringent Energy Star specifications for a variety of appliances, equipment and other products. Products with the ENERGY STAR label are designed to use less energy, save money and help protect the environment.
This press release includes forward-looking statements as defined in the private Securities Litigation Reform Act of 1995. Readers are cautioned not to place undue reliance on these forward-looking statements, as they are subject to various risks and uncertainties that may cause actual results to vary significantly. These risks include, but are not limited to, those related to the risk that the joint development project discussed herein will not be undertaken, will be delayed or will not be successfully completed, or will otherwise not result in the timely and successful introduction of a product or products, along with the risks associated with: the effect of global economic conditions in general and conditions in the parties' respective industries and target markets in particular; shifts in supply and demand; market acceptance; the impact of competitive products and pricing, product development, commercialization and technological difficulties; capacity and supply constraints, including dependence on Flash component suppliers; changes in the parties' and their respective customers' inventory levels; timely product and technology development/upgrades and the ability to manage changes in market conditions as needed; market acceptance of new products and continuing product demand; the impact of competitive products and pricing on M-Systems', AMD's and their respective customers' products and markets; development, release and sales of new products by strategic suppliers and customers; and development and growth of anticipated markets for M-Systems', AMD's and their respective customers' products. M-Systems and AMD urge investors to review in detail the risks and uncertainties in the companies' respective filings with the United States Securities Exchange Commission.