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EZchip Scheduled to Release Second Quarter 2009 Results on August 3, 2009; CEO Comments on Recent Market Report

July 13, 2009

YOKNEAM, Israel, July 13 /PRNewswire-FirstCall/ — EZchip Semiconductor
Ltd. (NASDAQ: EZCH) (formerly LanOptics Ltd.), a provider of network
processors, today announced that it will be releasing its second quarter 2009
financial results on Monday, August 3, 2009, before US markets open.

Conference Call

The Company will be hosting a conference call later that same day at
10:00am ET (7:00am PT; 3:00pm UK Time; 5:00pm Israel Time). On the call,
management will review and discuss the results, and will be available to
answer investor questions.

The conference will be broadcast live from a link at
http://www.ezchip.com. To participate, please access the website at least 10
minutes before the conference call commences. To participate through dial-in,
please call one of the following teleconferencing numbers. Please begin
placing your calls at least 15 minutes before the conference call commences.
If you are unable to connect using the toll-free numbers, please try the
international dial-in number.

US Dial-in Number: 1-888-281-1167 UK Dial-in Number: 0-800-917-9141

International Dial-in Number (Israel): +972-3-918-0644 Israel Dial-in
Number: 03-918-0644

A replay of the call will be available the day after the call under the
investor relations section of the website.

Comment on Recent Market Report

Eli Fruchter, CEO of EZchip, commented on a recent report implying that
Juniper Networks will use in-house ASICs in new line cards:

“As we have always said, in-house designs at our tier-1 customers are our
biggest competition. Our chips are incorporated in customers’ strategic
products, and we expect that they will want to maintain in-house chip
development to provide options for alternative solutions. The analyst report
suggests that Juniper will be announcing new line cards fairly soon, using
in-house solution for these line cards. This is obviously disappointing, but
as noted we do not expect that our customers will cease in-house ASIC
designs. Occasionally, it is possible that some customers will develop new
generation products using in-house solutions, and in later generations they
may return to use EZchip’s NPUs.”

“On the subject of Juniper, I want to provide an update to our first
quarter 2009 release, which spoke of an expected drop in sales to Juniper in
the second quarter of 2009. I am pleased that shipments of our NP-2 to
Juniper returned to previous levels in June 2009, and are forecast to grow
further in the second half of the year.”

“We believe that customers who purchase our network processors enjoy
significant time-to-market and performance advantages, which will become even
more pronounced with the introduction of 80-Gigabit and then 200-Gigabit line
cards. We are currently seeing successful designs of 40-Gigabit line-cards
with four NP-2/3 chips per card already in production and 80-Gigabit
line-cards with eight NP-3 chips per card are expected to hit the market
soon. Next generation line cards will advance from 40G and 80G line cards to
200G line cards. We believe that with NP-4 we are well ahead of in-house ASIC
designs for these 200-Gigabit line cards, and that customers who select our
NP-4 will be ahead of the market. NP-4 will offer a higher level of
integration, better power consumption and lower cost. Although current
in-house designs may compete with the NP-3, we do not believe that they can
compete with the NP-4. Our NP-4 will sample towards the end of the year and
has already been selected by several tier-1 vendors.”

“Overall, our market position is continuously strengthening, existing
design wins are moving to production and new designs are being won. We
believe that the use of network processors will continue to grow and win
market share, and they will eventually be used strategically by all system
vendors. Up until a few years ago, system vendors exclusively used in-house
developed chips for their routers, but today merchant network processors are
widely used by these vendors. We believe that this trend will continue and as
long as we continue to maintain our two-year technology lead we will further
our market penetration.”

About EZchip

EZchip is a fabless semiconductor company that provides Ethernet network
processors for networking equipment. EZchip provides its customers with
solutions that scale from 1-Gigabit to 100-Gigabits per second with a common
architecture and software across all products. EZchip’s network processors
provide the flexibility and integration that enable triple-play data, voice
and video services in systems that make up the new Carrier Ethernet networks.
Flexibility and integration make EZchip’s solutions ideal for building
systems for a wide range of applications in telecom networks, enterprise
backbones and data centers. For more information on our company, visit the
web site at http://www.ezchip.com.

This press release contains forward-looking statements within the meaning
of Section 27A of the Securities Act of 1933, as amended, and Section 21E of
the Securities Exchange Act of 1934, as amended. Forward-looking statements
are statements that are not historical facts and may include financial
projections and estimates and their underlying assumptions, statements
regarding plans, objectives and expectations with respect to future
operations, products and services, and statements regarding future
performance. These statements are only predictions based on EZchip’s current
expectations and projections about future events. There are important factors
that could cause EZchip’s actual results, level of activity, performance or
achievements to differ materially from the results, level of activity,
performance or achievements expressed or implied by the forward-looking
statements. Those factors include, but are not limited to, the impact of
general economic conditions, competitive products, product demand and market
acceptance risks, customer order cancellations, reliance on key strategic
alliances, fluctuations in operating results, delays in development of
highly-complex products and other factors indicated in EZchip’s filings with
the Securities and Exchange Commission (SEC). For more details, refer to
EZchip’s SEC filings and the amendments thereto, including its Annual Report
on Form 20-F filed on March 30, 2009 and its Current Reports on Form 6-K.
EZchip undertakes no obligation to update forward-looking statements to
reflect subsequent occurring events or circumstances, or to changes in our
expectations, except as may be required by law.

    Contact:

    Ehud Helft / Fiona Darmon
    CCGK Investor Relations
    info@gkir.com
    Tel: (US) +1-646-797-2868 / +1-646-201-9246

SOURCE EZchip Semiconductor Ltd


Source: newswire



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