Press Releases
Intersil Corporation and the Defense Production Act Title III Office Help Domestic SOI Semiconductor Devices Take Off

— Intersil participates in Defense Production Act Title III incentive program
— Ensures development and merchant production capability of SOI wafers

IRVINE, Calif., June 6, 2000 — Intersil (NASDAQ:ISIL), a leading developer of silicon technology for integrated communications applications, today announced its participation in the Defense Production Act Title III Office initiative that encourages domestic manufacturers to invest in improved production capabilities. Intersil will work in conjunction with the Title III Program Office to further develop and market its Silicon-On-Insulator (SOI) technology. The cost-sharing Technology Investment Agreement is valued at $14.3 million, with Intersil’s contribution totaling $7.7 million.

SOI is an advancing semiconductor technology that greatly improves circuit-level electrical resistance to high operating temperatures and space radiation. It reduces power and operating voltage demands and increases switching performance. The technology achieves these benefits through improved isolation of the individual elements that make up a circuit design. Traditionally deployed in space environments, circuits utilizing commercial SOI technology are now emerging as viable options in integrated communications applications across multiple environments. Circuits featuring SOI technology can be found in communications satellites, laptop computers, telecommunications equipment and applications where high speed, low power dissipation, extended operation range and radiation tolerance are critical.

The Title III project was initiated by the DoD for the purpose of ensuring world-class domestic manufacturing capability in the production of SOI wafer technology. The goal of the initiative is to promote evaluation and qualification of domestic SOI wafer technology for an increased number of applications and to drive down costs. This program encourages Intersil to invest in the improved quality and productivity of the SOI wafer manufacturing processes. Intersil will sell wafers to commercial users as well as to the DoD.

"Intersil is pleased to be participating in the Title III program," said James Gill, product marketing manager at Intersil. "Working with the Title III Office will greatly improve Intersil’s SOI wafer capacity for both military and commercial markets. Providing high quality SOI wafers in volume enhances Intersil’s ability to meet the anticipated growth for semiconductor devices in communication markets and greatly improves the company’s standing as a world-class merchant SOI supplier."

Intersil recently acquired wafer thinning and metrology equipment that will enhance the company’s capability to provide both thick and thin SOI wafers to the marketplace. Thick SOI technology is the preferred processing alternative for discrete, analog and mixed signal power applications, while thin SOI technology is preferred as the processing choice for digital applications. The equipment was recently featured at a Title III kick off meeting hosted by Intersil in Palm Bay, Florida on April 12, 2000.

Prospective customers will have an opportunity to examine Intersil’s SOI capabilities during a follow up customer conference to be scheduled in fall 2000. For further information, contact Title III program manager, Mr. Eric Pohlenz via phone: 937-255-3867 or email: eric.pohlenz@wpafb.af.mil, or contact Intersil's marketing manager, Mr. James Gill by calling 321-729-4866 or via email: jgill@intersil.com.

About Intersil
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, mixed-signal and digital 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.

PRISM is a registered trademark of Intersil Corporation

This press release contains information relating to forecasted value to Intersil that is a forward-looking statement as defined in the Private Securities Litigation Reform Act of 1995. Actual value may differ materially from this forward-looking statement as a result of certain risks and uncertainties. These risks and uncertainties include, but are not limited to the changes in government funding, technical unfeasibility in the SOI wafer manufacturing process, and other risks and uncertainties detailed from time to time in Intersil's filings with the Securities Exchange Commission. This forward-looking statement is made only as of the date of this press release and Intersil undertakes no obligation to update or revise the forward-looking statement, whether as a result of new information, future events, or otherwise. Specific risk factors can be found in Intersil's filings with the Securities and Exchange Commission.