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Intersil and Philips Components Partner to Develop IEEE 802.11b Wireless Networking Solutions

— PRISM ®technology powers Philips new IEEE 802.11b wireless products

IRVINE, CA, February 12, 2001 — Intersil Corporation (NASDAQ: ISIL), the world’s leading provider of silicon technology for Wireless Local Area Networks (WLANs), announced that Philips Components (NYSE: PHG), a division of Royal Philips Electronics of the Netherlands, is using Intersil’s PRISM chipset in their new wireless networking modules. Philips Components recently unveiled an IEEE 802.11b-compliant Net Display Module, the industry’s first in-panel, system-board integrated touch-screen liquid crystal display (LCD) that standardizes the enabling architecture of Internet appliances. In addition, the company also demonstrated working prototypes of an 802.11b enabled Access Point and mini-PCI Card during the Consumer Electronics Show in Las Vegas.


IRVINE, CA, February 12, 2001 — Intersil Corporation (NASDAQ: ISIL), the world’s leading provider of silicon technology for Wireless Local Area Networks (WLANs), announced that Philips Components (NYSE: PHG), a division of Royal Philips Electronics of the Netherlands, is using Intersil’s PRISM chipset in their new wireless networking modules. Philips Components recently unveiled an IEEE 802.11b-compliant Net Display Module, the industry’s first in-panel, system-board integrated touch-screen liquid crystal display (LCD) that standardizes the enabling architecture of Internet appliances. In addition, the company also demonstrated working prototypes of an 802.11b enabled Access Point and mini-PCI Card during the Consumer Electronics Show in Las Vegas.

The PRISM reference design integrates all electronic components needed to support a wireless LAN on a single board that measures approximately 2 x 2-3/8 inches. At the heart of the design is Intersil’s PRISM WLAN chip set, the most highly integrated silicon solution on the market today. It delivers wireless Ethernet networking with compliance to the IEEE’s 802.11b global standard. Optimized for high data rate (11 Mbps) performance, PRISM-based systems are feature-rich and provide fast, reliable performance in all types of networking environments. Advanced design and process technologies reduce power consumption, design complexity and total system cost.

"Intersil and Philips Components recently partnered to develop the next generation of innovative solutions for IEEE 802.11b enabled devices," said Larry Ciaccia, vice president and general manager of PRISM Wireless Products at Intersil. This new partnership couples Intersil’s WLAN solutions, a recognized leader of IEEE 802.11b-based systems, with Philips Components’ expertise in developing solutions for enabling mobile connectivity.

"Our partnership with Intersil further reflects our commitment to investing in the core digital technologies that enable wireless connectivity and convergence," noted Philips Components Connectivity Group General Manager Engelbert van Pelt. "Specifically, by collaborating with leading silicon companies, such as Intersil, we can deliver the industry’s most comprehensive set of building blocks that allow OEMs to bring 802.11-b wireless technology/products to market — quickly and efficiently."

Intersil’s new PRISM 2.5 chip set solution, includes four integrated circuits, software and firmware. It has the world’s first single-chip integrated Baseband Processor/Medium Access Controller and is optimized for smaller form factors to give systems manufacturers a highly integrated, full-featured solution for designing 802.11b-compliant wireless networking modules into small, handheld computing devices such as laptop PCs, Personal Digital Assistants and next generation "Web tablet" Internet appliance devices.

Adoption of PRISM WLAN Technology
Since introducing the PRISM WLAN chip set in 1996, over fifty companies have incorporated PRISM chips in more than 100 product designs. In a May 2000 report, Cahners In-Stat Group called Intersil "the dominant force in the WLAN chip set marketplace with their PRISM chipsets holding the majority of market share." PRISM technology is designed to comply with the IEEE’s 802.11b global standard, and Intersil is a founding sponsor of the Wireless Ethernet Compatibility Alliance (WECA), whose Wi-Fi™ brand is a mark of compatibility for 802.11b-based systems. PRISM/work™ and PRISM/home™ products are used in WLAN systems from industry-leading companies including Alcatel, Cisco, Compaq, 3Com, Dell, D-Link, Linksys, Nokia, Nortel, Samsung, Scientific-Atlanta, Siemens, SOHOware, Sony, SpectraLink, Symbol and Zoom.

About Philips Components
Philips Components, headquartered in Sunnyvale, California is a world leader in supplying integrated digital electronic solutions in the areas of display, storage, connectivity and power management to global customers in the consumer electronics, EDP, telecommunications and automotive industries. Philips Components posted 1999 annual revenue of EUR 5.3 billion, and employs more than 40,000 people in 39 countries around the world. More information about Philips Components is available at www.components.philips.com

About Intersil
Intersil is a leading supplier of semiconductors, reference designs and software for wireless access and communications analog markets. Intersil applies analog, mixed-signal and radio frequency (RF) expertise to products that enable wireless access to broadband media; provide reliable power management for PCs, files servers and portable information appliances; and convert analog and digital signals in cellular and Internet infrastructure. For more information about Intersil, visit the company's Internet homepage at www.intersil.com.

This press release contains information relating to certain projections and business trends concerning the WLAN market that are forward looking statements as defined in the Private Securities Litigation Reform Act of 1995. Such forward-looking statements are based upon management’s current expectations, estimates, beliefs, assumptions, and projections about our business and industry. Words such as "anticipates," "expects," "intends," "plans," "believes," "seeks," "estimates," "may," "will" and variations of these words or similar expressions are intended to identify forward looking statements. In addition, any statements that refer to expectations, projections or other characterizations of future events or circumstances, including any underlying assumptions, are forward looking statements. Furthermore, any forward-looking statements and projections made by others in this press release are not adopted by Intersil Holding Corporation ("Intersil") and Intersil is not responsible for the forward-looking statements and projections of others. These forward-looking statements are not guarantees of future performance and are subject to certain risks, uncertainties and assumptions that are difficult to predict. Therefore, our actual results could differ materially and adversely from those expressed in any forward-looking statements as a result of various risk factors. Important risk factors that may cause such material differences for Intersil in connection with WLAN market include, but are not limited to, the rate at which consumers adopt small handheld Internet appliances, the rate at which our present and future customers and end-users adopt Intersil’s wireless technologies and products; the timing, rescheduling or cancellation of significant customer orders; the loss of a key customer; the qualification, availability and pricing of competing products and technologies and the resulting effects on sales and pricing of our products; silicon wafer pricing and the availability of foundry and assembly capacity and raw materials; intellectual property disputes; as well as other risk factors detailed from time to time in Intersil’s filings with the U.S. Securities & Exchange Commission ("SEC") which you may obtain for free at the SEC’s website www.sec.gov. These forward-looking statements are made only as of the date of this press release and Intersil undertakes no obligation to update or revise these forward-looking statements.

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PRISM is a registered trademark of Intersil Americas Inc.

PRISM/work and PRISM/home are trademarks of Intersil Americas Inc.

Wi-Fi is a trademark of the Wireless Ethernet Compatibility Alliance.

All other trademarks mentioned are the property of their respective owners.

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