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IBM RELEASES NEW CHIP THAT AIDS MINIATURIZATION

EAST FISHKILL, N.Y.-A new chip technology developed by IBM Corp. could lead to smaller
electronic devices, including cellular phones and personal computers, said the company.

The semiconductor
technology IBM developed will allow complete electronic systems to be built on a single silicon chip by combining
both the logic and memory circuits on one piece of silicon, said IBM. The company said the technology enables
enhanced performance in electronic devices and could lead to smaller devices by reducing the number of chips
inside.

Logic circuits are responsible for processing information, while memory circuits store information. The two
traditionally are provided on separate chips, said IBM. The company said its new technology allows it to pack 24
million circuits on one chip, which is equal to as much as eight times the processing power and up to four times the
memory found on typical personal computer chips.

“Until now, having processing power and data on separate
chips was like having the materials you need to do your job in another office,” said Bijan Davari, IBM fellow and
vice president of development for the IBM Microelectronics Division. “This forces you to keep going next door
to get what you need.

“By placing logic and memory together on a single chip, we’re making sure that the
processor has what it needs close at hand, allowing it to operate more efficiently,” explained Davari.

IBM said
it plans to begin designing custom chips with this capability in April. The company said it plans to make the new
embedded memory available first in the SA-27E custom chip template.

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