ChipStart Creates New Economics for the Semiconductor Intellectual Property Market

New Sales and Marketing Channel Creates Economic Benefits for Buyers and Sellers

Palo Alto, CA., -December 3, 2008 –  ChipStart, a semiconductor intellectual property distribution company, announced today the start of operations as a sales and marketing channel aimed at providing new economies for the Semiconductor Intellectual Property (SIP) market. The formation of this new channel will include representation for Dolphin Technology, Analog Bits, Widesail Technologies, Sonics Inc., and TeamEDA.

As the use of merchant market SIP continues to become a more popular choice for developing semiconductor devices, the need is also rising for more consistent delivery and support of the SIP to the semiconductor companies. With now industry standard engagement model, this has been difficult to achieve market wide because many SIP vendors employ ad hoc methods of sales and marketing.

Chip makers then often are forced to treat each engagement as new business model, even though the SIP is being used on the same device. As a result, gross inefficiencies force the chip makers to incur significant additional infrastructure costs to mange these contracts. In these economics times, varying relationships becomes very difficult while being asked to streamline operations management. Issues such as quantifying the value delivered for their IP acquisitions in turn place pressure on vendors to make steep business concessions.

The announcement today introduces a new, neutral party that enables a more consistent engagement model to develop market-wide for the customers so that the value of the SIP they use can be more readily measured and valued. “The premise we have launched the company on, is delivering a win-win engagement for both SIP vendors and their customers”, says Howard Pakosh, President and CEO of ChipStart. “Since many of the SIP providers are relatively small, we can offer affordable sales representation and marketing services, that enables them to reach more customers and scale very economically. For the customer, we offer consistent presentation and commencing of the SIP so that can move towards streamlined management and gain clear pictures of the value the engagements bring.”

ChipStart disclosed that it has agreement in place to represent:

• Dolphin Technology
• Analog Bits
• WideSail Technologies
• TeamEDA  and
• Sonics, Inc.

“ChipStart’s knowledge and experience in our target markets will help us to gain the penetration we are looking for.  The synergy between our two companies is amazing, and we see a long term, highly successful business relationship” says Guy Haas, President, TeamEDA, Inc.

Echoing similar sentiments is Gord Harling, President and CEO of WideSail Technologies, “WideSail’s error correction products require an experienced salesforce with the technical know-how to develop customer relationships. ChipStart provides both this and the international presence we need to grow our business, we are pleased to be associated with this dynamic group of professionals.”

ChipStart also announced office locations throughout North America and Europe

About ChipStart

ChipStart is a semiconductor intellectual property solution company based in Palo Alto, California. ChipStart provides sales and marketing support engagement solutions for companies that commerce third party semiconductor intellectual property. For more information, see www.chip-start.com