PMC-Sierra Broadens MIPS-Based CPU Offering with Newest 32-Bit Synthesizeable Core Families from MIPS Technologies

SANTA CLARA and MOUNTAIN VIEW, Calif., September 9, 2004 - PMC-Sierra, Inc. (NASDAQ: PMCS) and MIPS Technologies, Inc. (NASDAQ: MIPS) announced today that PMC-Sierra has deepened its investment in the industry-standard MIPS® architecture to include the MIPS32® 24K™ core family and the 4KEm™ core, the industry's highest performing line of 32-bit synthesizable processor cores available for cost-sensitive embedded applications. PMC-Sierra, a leading provider of 64-bit MIPS-Based™ microprocessor technology, will utilize its proven system expertise to deliver 32-bit MIPS-Based products targeting high-growth embedded markets such as lower-end printers, communications, storage and digital video.

"By adding 32-bit, synthesizeable cores to our extensive MIPS-Based microprocessor portfolio, we will be able to provide our customers with a comprehensive line of high-performance, low power products for very low-end, cost-sensitive applications up to very high-end networking and storage equipment," said John Monson, vice president of marketing for the Microprocessor Products Division at PMC-Sierra.

"A close partner and long-time licensee, PMC-Sierra is widely recognized as one of the leading providers of 64-bit solutions based upon the MIPS architecture," said Jack Browne, vice president of worldwide sales at MIPS Technologies. "With these latest licensing agreements, PMC-Sierra will leverage their MIPS-Based system design expertise to deliver a compelling line of 32-bit products in markets requiring high performance at sensitive cost points. We are pleased with our growing relationship with PMC-Sierra and look forward to supporting their efforts to become the leader in embedded electronics."

About the MIPS32 24K Family
The 24K core family, which includes the 24Kc™, 24Kc Pro, 24Kf™ and 24Kf Pro versions, offers performance up to 625 MHz in a 0.13 micron process, the highest frequency available in 32-bit synthesizable cores for embedded markets, while minimizing design time and reducing product costs. Tailored SOC design methodologies, an Open Core Protocol (OCP) interconnect structure, standard libraries and on-chip memories from industry-leading companies help speed time-to-market, an important advantage for a processor core suited to embedded consumer applications such as digital and interactive TVs, set-top boxes and DVD players.

About MIPS Technologies
MIPS Technologies, Inc. is a leading provider of industry-standard processor architectures and cores for digital consumer and business applications. The company drives the broadest architectural alliance that is delivering 32- and 64-bit embedded RISC solutions. The company licenses its intellectual property to semiconductor companies, ASIC developers and system OEMs. MIPS Technologies and its licensees offer the widest range of robust, scalable processors in standard, custom, semi-custom and application-specific products. The company is based in Mountain View, Calif., and can be reached at +1 (650) 567-5000 or www.mips.com.

About PMC-Sierra's Portfolio of MIPS-based Microprocessors
PMC-Sierra is a leading provider of highly integrated and stand alone 64-bit MIPS-based dual- and single-core microprocessors, which provide the highest levels of processing performance, peripheral I/O integration, and low power critical for networking, storage, industrial control, color laser printers and high-end consumer applications. For more information on the RM5200™, RM7000™, RM7900™ and RM9000™ families including comprehensive data sheets and evaluation boards, visit www.pmc-sierra.com/processors.

About PMC-Sierra
PMC-Sierra™ is a leading provider of high speed broadband communications and storage semiconductors and MIPS-based™ microprocessors for Enterprise, Access, Metro Optical Transport, Storage Area Networking and Wireless network equipment. The company offers worldwide technical and sales support, including a network of offices throughout North America, Europe and Asia. The company is publicly traded on the NASDAQ Stock Market under the PMCS symbol and is included in the S&P 500 Index. For more information, visit www.pmc-sierra.com.