January 22, 1996 in Social Responsibility News

SGS-Thomson to Share Technology with SAMSUNG

.Arrangement focused on core multimedia areas.
.Samsung to get technology for 16-bit DSP and 32-bit microcomputer.
.Technology to be applied to super-fast information systems, multimedia products.
.Samsung to move into new high-growth, future-oriented areas.

(Seoul) - Samsung Electronics Co. (SEC) has concluded a strategic technology licensing agreement with SGS-Thomson Microelectronics N.V., a leading semiconductor maker in France, in order to strengthen Samsung? non-memory business and to develop new, future-oriented areas with high growth potential.

Samsung officials revealed that their strategic arrangement with SGS-Thomson, a leader in microprocessors, is related to core technology for 32-bit microcomputers and 16-bit digital signal processors (DSPs), critical components for super-fast information systems and multimedia products.

The 16-bit DSP technology being received from SGS-Thomson covers the compression and playback of digitized sound and video data in multimedia products. Its features include low power consumption (3.3 volts) and high-speed processing (25 nanoseconds). DSP technology is being applied to an ever-expanding range of areas, to include information systems, consumer electronics, computers and military communications. This know-how will enable Samsung to play an active role in a market that is estimated to be worth US$ 11 billion a year by 1999.

Meanwhile, the 32-bit RISC (Reduced Instruction Set Computer) technology that Samsung will get in this arrangement with SGS-Thomson is related to low power (60 MHz), super high speed and high performance. The know-how also supports simultaneous processing of telecommunications functions with external systems.

Samsung Electronics expects to apply the new technology to set top boxes for Video On Demand and for Global Positioning Systems (GPS). These products are scheduled to be in full production from 1997. The technology will also be important for the company to advance into super-fast information systems of the future.

Last year Samsung Electronics entered into a technology sharing arrangement with Siemens AG concerning smart cards. This latest tie-up with SGS-Thomson is the second for Samsung with a European company.

SGS-Thomson Microelectronics N.V. is a global independent semiconductor company that designs, develops, manufacturers and markets a broad range of semiconductor integrated circuits (ICS) and discrete devices used in a wide variety of microelectronics applications, including telecommunications systems, computer systems, consumer products, automotive products and industrial automation and control systems.

Samsung Electronics Co., Ltd. is the world? leading producer of semiconductor memory products and a US$ 21 billion affiliate of Samsung Group, a US$ 80 billion Korea-based conglomerate (?5 estimations). Among the industry? fastest growing high-quality, multinational IC manufacturers, Samsung manufactures more than 2,500 semiconductor product types across a range of categories. Its total annual semiconductor sales exceeded US$ 8 billion last year.

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