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Intersil Announces New PRISM ARM® MAC PlatformsFor Wireless LAN Applications

Introduces new "Access Point-on-a-chip" that reduces cost through higher integration

IRVINE, CA, October 16, 2000 — Intersil Corporation (NASDAQ: ISIL), the world’s leading developer of silicon technology for Wireless Local Area Networks (WLANs), announced today that it will offer new ARM-based (NASDAQ: ARMHY) Medium Access Controller (MAC) platforms to support IEEE 802.11b-based 2.4GHz and 802.11a 5GHz standards. The first MAC chip to support both standards, Intersil’s ISL3856, will begin shipping this quarter.

Intersil is the leader in complete, high-volume production solutions for 2.4GHz , 11 megabit-per-second WLAN systems and intends to further expand and strengthen its portfolio of solutions. "Volume-driven cost reductions, continuing performance improvements and a significant advantage in terms of range will make 2.4GHz WLAN solutions compelling for most applications, " said Larry Ciaccia, vice president and general manager for PRISM Wireless Products at Intersil. "We believe the many products we’ve already seen are just the tip of the iceberg, with many exciting new 2.4GHz WLAN products ready for rollout from our industry-leading customers in the next year. "

Intersil’s development of ARM-based MAC platforms is part of an aggressive product roadmap aimed at driving future generations of wireless networking products. ARM-based MACs are highly programmable, with capability of supporting 802.11-based systems in both 2.4GHz and 5GHz bands. Intersil plans to introduce new generations of PRISM® chip sets in the 2.4GHz band, as well as developing 5GHz, 54 megabits-per-second solutions for emerging markets.

The ISL3856 represents the debut of Intersil’s 5GHz 802.11a offerings, which will include complete chipsets, firmware, software, and radio reference designs.

This newest MAC chip is based on the popular ARM9 core and is optimized for use in Access Points, which are basically wireless hubs or gateways that give users a wireless link to the network and Internet. The new MAC can be used in 802.11b applications and will support mandatory data rates for 802.11a applications. It is the industry’s first "Access Point-on-a-chip, " implementing both the 802.11 MAC protocol and the MAC bridging function. The ISL3856 includes an onboard Ethernet interface that supports both 10 and 100 Mbps data rates. It also supports 128-bit encryption, which offers the highest level of security for transmitted data.

Packaging, Availability and Pricing
The ISL3856 will begin shipping this quarter. The product will be available in tray or tape-and-reel Ball Grid Array (BGA) packages, priced at $19.20 in 10K quantities; volume pricing is available upon request. A complete data sheet is available for this product. For more information, visit Intersil’s homepage at www.intersil.com/prism.

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, the 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 chips are used in WLAN systems from industry-leading companies including Alcatel, Cisco, Nokia, Siemens, Compaq, 3Com, Dell, Nortel, Samsung, SpectraLink, Symbol Technologies and Zoom.

About Intersil
Irvine, California-based Intersil uses its semiconductor expertise to enable highly integrated voice, data and video communications. Intersil's integrated communications portfolio includes PRISM® Wireless Local Area Network (WLAN) chip sets that enable mobile connectivity products for the home and office; analog and mixed-signal integrated circuits for broadband access to wireless and wired Wide Area Networks (WANs); and power management products that enable 24x7 reliability in network servers, next generation PCs and information appliances. 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 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"). 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.

For a detailed discussion of these and other cautionary statements, please refer to Intersil's filings with the SEC including its most recent Annual Report on Form 10-K and Quarterly Report on Form 10-Q, its Registration Statement on Form S-1, as amended, and the amendment to Registration Statement on Form S-4 recently filed by Intersil.

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PRISM is a registered trademark of Intersil Corporation.

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

ARM is a registered trademark of ARM Ltd.

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