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Jazz Semiconductor’s Optimized SiGe Technology Targeted at Replacing GaAs Components in Growing Millimeter Wave and Cell Phone Markets

August 18, 2009

NEWPORT BEACH, California, August 18 /PRNewswire-FirstCall/ –

– Expanding Millimeter Wave and FEM Markets Estimated to Grow From $400M
in 2009 to Over $750M in 2012, a CAGR of Over 23%

Jazz Semiconductor, Inc., a Tower Group Company (NASDAQ: TSEM, TASE:
TSEM), today announced it is targeted at replacing GaAs components in high
growth markets such as millimeter wave and front-end components of cellular
phones with its enhanced SiGe BiCMOS process, IP and design enablement
offerings. SiGe provides significant integration and cost advantage over
GaAs, enabling products in the emerging markets of automotive collision
avoidance, phased-array radar, and HDTV wireless distribution as well as
established markets such as optical network and cellular phone front-end
components.

Jazz is working with more than half of the top 10 IC providers in several
of these market segments on SiGe solutions. According to data from Strategy
Analytics, the combined millimeter wave and FEM market is estimated to grow
from $400 million in 2009 to over $750 million in 2012, a CAGR of over 23%,
outpacing most other sectors in the semiconductor industry.

The company’s process technology includes a SiGe transistor with
demonstrated performance of up to 200GHz as well as noise and power
performance that is competitive with GaAs while offering as much as 40% lower
die cost. Also included are CMOS options to enable mixed-signal and digital
functions on the same chip further reducing cost of the complete system.

To facilitate the transition from GaAs to SiGe-based designs, Jazz
partnered with Agilent to provide a SiGe design kit in ADS (Advanced Design
System), a leading design platform for GaAs-based products, speeding
time-to-market for customers targeting applications up to and beyond 60 to
77GHz.

As stated in Agilent’s press release on June 2, 2009, “Our collaboration
with Jazz is in response to the strong market demand from our mutual
customers for a fast and efficient RFIC design flow,” said Avery Chung,
foundry program manager of Agilent’s EEs of EDA division. “With these new
SiGe PDKs in ADS 2009, customers will be able to design high-performance ICs
operating up to 60GHz and higher. They can use the breadth of capability ADS
provides, including design for manufacturing toolsets and Momentum, the
industry-leading 3-D planar EM simulator.”

An example of a successful transition from GaAs to SiGe is the recently
announced collaboration between Jazz and UCSD to develop a 2-antenna
quad-beam 11-15 GHz phased array receiver that enables high-performance
phased arrays for satellite communications by integrating many functions on
the same silicon chip and replacing 8 GaAs ICs, drastically lowering the cost
of phased array assembly. First time success was achieved using Jazz’s
0.18-micron SiGe BiCMOS process and its own proprietary models, kit and
DIRECT MPW (Multi-project Wafer) program.

“We continue to see migration of GaAs products into SiGe as an exciting
growth opportunity for our technology. This transition is largely complete in
optical front-end components but just beginning in cellular phone front-ends
and millimeter-wave applications,” said Dr. Marco Racanelli, Senior Vice
President and GM of RF/HPA and Aerospace and Defense Business Groups. “We
will continue to invest in high performance processes as well as design
enablement infrastructure to speed time-to-market for our customers in these
emerging applications.”

About Tower Semiconductor, Ltd. and Jazz Semiconductor, Inc.

Tower Semiconductor Ltd. (NASDAQ: TSEM, TASE: TSEM) is a global specialty
foundry leader and its fully owned subsidiary Jazz Semiconductor, a Tower
Group Company is a leader in Analog-Intensive Mixed-Signal (AIMS) foundry
solutions. Tower and Jazz manufacture integrated circuits with geometries
ranging from 1.0 to 0.13-micron and provide industry leading design
enablement tools to allow complex designs to be achieved quickly and more
accurately. Tower and Jazz offer a broad range of process technologies
including Digital, Mixed-Signal and RFCMOS, HV CMOS, BCD, Non-Volatile Memory
(NVM), Embedded NVM, MEMS, and CMOS Image Sensors. To provide world-class
customer service, Tower and Jazz maintain two manufacturing facilities in
Israel and one in the U.S. with additional manufacturing capacity available
in China through partnerships with ASMC and HHNEC. For more information,
please visit http://www.towersemi.com and http://www.jazzsemi.com.

Safe Harbor Regarding Forward-Looking Statements

This press release includes forward-looking statements, which are subject
to risks and uncertainties. Actual results may vary from those projected or
implied by such forward-looking statements. A complete discussion of risks
and uncertainties that may affect the accuracy of forward-looking statements
included in this press release or which may otherwise affect Tower’s and
Jazz’s business is included under the heading “Risk Factors” in Tower’s most
recent filings on Forms 20-F, F-3, F-4 and 6-K, as were filed with the
Securities and Exchange Commission (the “SEC”) and the Israel Securities
Authority and Jazz’s most recent filings on Forms 10-K and 10-Q, as were
filed with the SEC. Tower and Jazz do not intend to update, and expressly
disclaim any obligation to update, the information contained in this release.

    Jazz Company Contact:
    Melinda Jarrell
    +1-949-435-8181
    melinda.jarrell@tower-usa.com

    Tower Investor Relations Contact:
    Noit Levi
    +972-4-604-7066
    noitle@towersemi.com

    Jazz Media Contact:
    Lauri Julian
    +1-949-715-3049
    lauri.julian@jazzsemi.com

SOURCE Tower Semiconductor Ltd


Source: newswire



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