Cypress's SVTC Enables Cavendish Kinetics to Develop and Characterize Embedded Non-Volatile Memory Technology for Standard CMOS Processes

Innovative Data Storage Technology to Dramatically Enhance Non-Volatile Memory

SAN JOSE, Calif.--July 12, 2006--Silicon Valley Technology Center (SVTC), a business unit of Cypress Semiconductor Corp. (NYSE:CY), today announced that Cavendish Kinetics, a fabless semiconductor IP company, is using SVTC's technology development services to commercialize its Nanomech(TM) embedded non-volatile memory technology for incorporation into standard CMOS processes. By using SVTC's state-of-the-art fab and extensive process library to develop and characterize its technology, Cavendish is avoiding the significant capital investment associated with qualifying advanced data storage technologies.

"SVTC's ability to deliver a cost-effective, manufacturing-capable R&D fab environment is essential to ensuring we meet the milestones and achieve the time-to-market objectives for our Nanomech-based embedded flash technology," said Paul Billig, vice president of marketing for Cavendish Kinetics. "With SVTC, we are also able to ensure the confidentiality and integrity of our intellectual property -- a non-negotiable requirement."

Cavendish Kinetic's Nanomech technology is an innovation in data storage that dramatically enhances non-volatile memory. The technology is capable of simple incorporation into the metal system (BEOL) of standard CMOS and other processes, using standard equipment and materials and offers semiconductor companies and foundries a significantly lower power, higher speed alternative to embedded Flash and EEPROM.

"We are excited to be working with Cavendish Kinetics to facilitate the rapid commercialization of its advanced non-volatile memory technology," said Bert Bruggeman, SVTC's managing director. "SVTC is committed to ensuring that Cavendish realizes a significant R&D cost saving as they migrate their technology from prototype to manufacturability."

Cypress's SVTC enables third-party engineering groups to take products from proof-of-concept to manufacturing through a state-of-the-art toolset in a 16,000 square-foot clean room in Silicon Valley. Customers are also able to tap more than 20 years of process development expertise. SVTC offers best practices in fab process engineering, statistical process control, quality management, failure analysis, and design for manufacturing methodologies as part of its development toolbox.

About Cavendish Kinetics

Cavendish Kinetics is a fabless semiconductor IP company developing embedded Non-Volatile Memory technology for standard CMOS processes. Its Nanomech(TM) technology is a novel embedded flash solution, residing in the metal interconnect system, yielding no impact to existing IP, scaling to 45nm and below, operating above 200 degrees Centigrade in a radiation harsh environment, and porting easily to different process technologies. Nanomech programs at high-speed and at native voltage requiring no high voltage overhead. It has ultra low-power write/erase and no leakage current. The base technology has been silicon proven and it has demonstrated 20M-cycle endurance. For more information please visit http://www.cavendish-kinetics.com or email info@cavendish-kinetics.com.

About Silicon Valley Technology Center

Silicon Valley Technology Center (SVTC) is located on the Cypress Semiconductor Corp. campus in the heart of Silicon Valley. SVTC is a business unit of Cypress Semiconductor Corp. offering start-up's and established companies the opportunity to develop and characterize their novel silicon-based technologies cost effectively in a shared R&D environment using a full suite of silicon services to enable time-to-market delivery of the customers advanced chip designs and silicon IP. SVTC offers its customers access to a state-of-the-art semiconductor toolset in a manufacturing-like fab environment. Direct open-access protocols allow the customers' engineering talent hands-on process development using equipment as advanced as the ITRS's 65nm roadmap. Visit SVTC at www.svtc.com.

About Cypress

Cypress solutions perform: consumer, computation, data communications, automotive, industrial, and solar. Leveraging proprietary silicon processes, Cypress's product portfolio includes a broad selection of wired and wireless USB devices, CMOS image sensors, timing solutions, specialty memories, high-bandwidth synchronous and micropower memory products, optical solutions and reconfigurable mixed-signal arrays. Cypress trades on the NYSE under the ticker symbol CY. Visit us at www.cypress.com.