World's Leading Motherboard Manufacturer ASUSTeK Adopts MIPS Architecture for Portable and Digital Multimedia Devices

License Agreement Will Accelerate ASUSTeK’s Entry into New Digital Consumer Markets

Mountain View, CA and Taipei, Taiwan, January 27, 2005 - MIPS Technologies, Inc. (Nasdaq: MIPS) today announced that ASUSTeK Computer Inc., the world’s leading motherboard manufacturer, has licensed the MIPS32® 4KEc™ and 4KEp™ cores, and MIPS® Consumer Audio Platform and software tool kits.  ASMedia Technology, the subsidiary IC design house of ASUSTeK, will utilize the MIPS architecture to develop multimedia SoCs for digital consumer devices.

The collaboration between MIPS and ASUSTeK brings together the abundant resources of the MIPS ecosystem and the world’s largest motherboard maker’s massive PC peripheral capabilities including design, integration and manufacturing.

The high-performance, low-power and small footprint of the MIPS32 4KE™ cores are designed for cost- and power-sensitive applications, such as digital consumer and multimedia. With their large writeback cache memories and user-defined instructions, the 4KEc and 4KEp cores will enable IC designers to optimize the audio/video performance and battery life of portable devices at reduced cost.

The MIPS Consumer Audio Platform, targeting high-performance embedded signal processing, includes multiple software audio codecs and will allow ASUSTeK to accelerate the development cycle of integrated multimedia. This gives designers ample flexibility to configure their SoCs for a range of options such as power, performance or area.

“The industry worldwide recognizes the MIPS architecture as the de facto standard for digital audio/video,” said Jerry Shen, vice president of ASUSTeK Computer. “After careful evaluation, we’ve selected MIPS cores to enable us to expand our leadership position in the notebook and PC arena to accelerate our entry into a variety of multimedia markets, and deliver the feature-rich products our customers demand.”

“We are pleased and excited that ASUSTeK decided to choose MIPS products,” said Amos Lu, regional manager of Greater China at MIPS Technologies. “Leveraging the MIPS architecture, and the software, tools, peripheral IP and development environments already ported to it, ASUSTeK will significantly shorten time-to-market and strengthen its competitive advantage in established and emerging markets. The low-power characteristics of our 4KE family cores help prolong battery life and will give ASUSTeK’s products a significant advantage in the consumer market.”

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 ASUSTeK
ASUSTeK Computer Inc. (TSE:2357), is a leading provider of 3C total solutions. Its product portfolio includes notebooks, motherboards, graphics cards, optical drives, information appliances, desktop PCs, servers, wireless solutions, mobile phones and networking devices. With world-class engineering and offices and subsidiaries located in all corners of the world, ASUSTeK provides innovative solutions to consumers, businesses and OEM/ODM customers. The company is the perennial leader of the motherboard and graphics card industries and a top 10 player globally for notebooks, optical drives, broadband modems and a wide range of other products.

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MIPS, MIPS32, 4KE, 4KEc and 4KEp are trademarks or registered trademarks of MIPS Technologies, Inc. in the United States and other countries. All other trademarks referred to herein are the property of their respective owners.