June 16, 2008

AMCC and Marvell Team Up to Demonstrate Interoperability of Industry-Leading 10GbE Metro Ethernet Solutions

Applied Micro Circuits Corporation (NASDAQ: AMCC), a global leader in optical transport, embedded Power Architecture(R) processing, and storage solutions, today announced interoperability with Marvell(R) Prestera(R) Ethernet switching solutions. AMCC's 10 Gigabit Metro Ethernet PHY devices combined with Marvell Prestera are designed to provide the industry with a clear roadmap for next-generation Metro Ethernet systems adoption.

The interoperability encompasses AMCC's recently introduced Pemaquid/S19258 Metro-Ethernet Mapper device and Marvell's Prestera 98DX2100 and 98DX4100, powered by Marvell CarrierSpan(TM) technology. The two companies have conducted a series of interoperability tests between the technologies via a hardware platform that demonstrates Metro-Ethernet network applications and OTN Transport capabilities.

The now-sampling Pemaquid/S19258 enables cost-effective carrier Ethernet solutions for the Metro WDM transport network. Combined with Marvell's strong leadership in Metro Ethernet solutions, the combined AMCC/Marvell solution is intended to deliver a high-performance, low-power and multi-protocol Metro-Ethernet solution. The S19258 will be demonstrated live June 16-19, in AMCC's booth #SL1009 at NXTcomm08 in the Las Vegas Convention Center.

Marvell's CarrierSpan technology is designed to ensure line rate service delivery with enhanced packet processors based on new and emerging standards (TR101, Mac-in-Mac, IP-VPN, VPWS, VPLS). In addition, the new technology provides scalable multicast delivery capabilities for IP-based video thereby enabling new revenue streams for carriers offering managed services like business Internet access and secure VPNs.

"Service provider spending on new Metro Ethernet equipment increased 27% in 2007, and interoperability across equipment types is a headache," said Michael Howard, Principal Analyst of Infonetics Research. "The industry needs to assure carriers that technology used in these new systems can successfully interoperate with other systems. The Marvell/AMCC solution is one effort to give carriers that assurance as this market continues to grow in the coming years."

"AMCC's Pemaquid and 10Gb Metro Ethernet PHY products in conjunction with Marvell's CarrierSpan technology delivers leading-edge Metro-Ethernet solutions to our customers," said Dr. Simon Milner, vice President and General Manager, Enterprise Business Unit, Communications and Consumer Business Group at Marvell. "The comprehensive features of the Marvell/AMCC platform illustrate our ability to deliver robust, carrier-grade, flexible and high-performance solutions that will help accelerate the deployment of emerging high-performance, multi-protocol Metro Ethernet solutions as well as the migration to the SFP+ form factor and adoption of 10GbE standards."

The S19258/Pemaquid is a XAUI-to-XFI 10G LAN/WAN/OTN Framer/Mapper/PHY device for 10GbE, 10G Fibre Channel, WIS (OC-192/STM-64) and OTU2 network applications. Targeted for the WAN network and XFP applications, it is also ready for SFP+ based WAN applications as well. For the pure SFP+ LAN world, AMCC's QT2025-1 XAUI-to-XFI PHY device incorporates the electronic dispersion compensation (EDC) and signal conditioning functions needed for the emerging SFP+ small form factor standard. Designed for Ethernet LAN, WAN, and SAN applications, the QT2025-1 supports all current and emerging fiber-optic Ethernet PMDs including 10GBASE-SR/LR/ER and LRM.

"The work between Marvell and AMCC with our market-leading Pemaquid product and Marvell's Prestera Ethernet switch technology powered by CarrierSpan strengthens the leadership AMCC has in the 10 GbE market and validates the success of our S19258 product in the Metro-Ethernet and OTN markets," said Daryn Lau, Senior VP of Corporate Marketing, Strategy and Business Development at AMCC. "By delivering this joint evaluation best-in-class platform we expect to enable our customers to achieve faster time to market in the competitive and demanding Metro-Ethernet space."

The Marvell Prestera family of switching solutions is designed specifically to meet the demands of high-performance networks, and provide the reliability and resiliency necessary for business continuity. In addition, Prestera solutions provide advanced security to protect data, network users, and the network infrastructure, as well as robust quality of service (QoS) for IP applications including voice, video, and mission-critical data services. Having introduced the industry's first Fast Ethernet and Gigabit Ethernet switch controllers, Marvell has continually set a high standard for innovation in switching solutions.

About AMCC

AMCC provides leadership semiconductor solutions to process, transport, and store digital information for the world's wired and wireless networks. As a leading supplier of Power Architecture(R)-based processors, and with world-class expertise in SONET and Ethernet protocol processing and PHY technology and Storage processors and RAID controllers, our products are the foundation of the IP Communications Revolution. AMCC's 3ware(R) SAS and SATA RAID controllers deliver cost-effective, high-performance, high-capacity storage for enterprises and consumers worldwide in applications like disk-to-disk backup, near-line storage, network-attached storage (NAS), video, and high-performance computing. For further information regarding AMCC, please visit our website at http://www.amcc.com.

Forward-Looking Statements

This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements may be identified by words such as expects, anticipates, plans, believes, estimates, will or words of similar meaning. Such forward-looking statements, including statements relating to the products discussed in this press release, are subject to a number of risks and uncertainties, including the risk that the products may not be successfully or timely developed, completed or manufactured or achieve market acceptance, risks relating to general economic conditions, as well as the risks and uncertainties set forth in the Company's Annual Report on Form 10-K, and in the Company's other SEC filings. As a result of these risks and uncertainties, actual results may differ materially from these forward-looking statements. The forward-looking statements contained in this press release are made as of the date hereof and AMCC does not assume any obligation to update any forward-looking statement, whether as a result of new information, future developments or otherwise.

AMCC and 3ware are registered trademarks of APPLIED MICRO CIRCUITS CORPORATION. Power Architecture is a registered trademark licensed by Power.org. All other trademarks are property of their respective owners.