IBM and Motorola to Develop New High-Performance Manufacturing Processes
for Next-Generation PowerPC Microprocessors

FISHKILL, N.Y., October 26, 1995 ... IBM and Motorola today announced plans
to collaborate on the development of common semiconductor manufacturing
processes to build future generations of the most advanced PowerPC chips.

Both IBM and Motorola manufacture PowerPC microprocessors designed by the
Somerset Design Center, part of a powerful technology alliance between
Apple, IBM and Motorola. Although the focus of the process development
program will be PowerPC microprocessors, the new high-performance process
technology will be used to build a variety of semiconductor products for
the computer, consumer and communications markets.

"This is an important announcement for current and future PowerPC
customers," said Dr. Michael J. Attardo, general manager of IBM's
Microelectronics Division. "The two companies will work together to
leverage IBM's world-class CMOS process technology to produce superior
manufacturing processes. This will enable even greater synergy between the
Somerset design team and manufacturing, resulting in unsurpassed quality
and performance of next generation PowerPC products."

"This collaboration with IBM is a natural extension of our joint work on
PowerPC microprocessors at the Somerset Design Center, said Tommy George,
president of Motorola's Semiconductor Product Sector. "The resulting
capability will extend Motorola's leadership across many high-performance
market segments and enhance our customers' success."

Subject to final agreement, the two companies will assign a comparable
number of researchers and engineers to the project. The work is expected
to be done at IBM's Advanced Semiconductor Technology Center in East
Fishkill, New York, and will be coordinated with researchers at Motorola's
Advanced Products Research and Development Laboratory in Austin, TX.
 
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