Mentor Graphics to Extend Cooperation with STMicroelectronics for Advanced Chip-Development Design Solutions

WILSONVILLE, Oregon, USA and GENEVA, Switzerland, March 16, 2010—Mentor Graphics Corp. (NASDAQ: MENT), a leader in electronic design automation, and STMicroelectronics (NYSE: STM,) one of the world’s leading semiconductor suppliers, today announced a broad-scoped collaboration to develop advanced design solutions at the 32-nm technology node and down to 20-nm node.

The three-year joint-development project, named DeCADE, seeks to build on advanced design solutions for SoC (System On Chip) development for Digital and Analog design, including system-level approaches, design methodologies, place and route strategies, optical correction for advanced manufacturing, modeling, electrical characterization and parasitic extraction. ST will significantly contribute to the development of these new SoC design tools, which will give ST a head start in its ability to deliver customer-focused semiconductor chips and platforms.

DeCADE will provide design solutions for core CMOS technologies as well as for value-added and application-specific derivative technologies that are developed from the core CMOS process. These projects can make a fundamental difference in chip capability and performance, as well as in system-solution cost; among the value-added derivative technologies being considered by the DeCADE projects include RF (Radio Frequency) and wireless technologies, as well as 3D Packaging and chip stacking technologies. As a recognized pioneer in these technologies, ST’s participation will assure the strength of the design solutions’ foundation and ensure that its next-generation tools contribute to its maintaining product and technology leadership."This joint development effort will provide ST with tools to develop state-of-the-art Systems-on-Chips (SoCs) at 32-nm and below for ST's customers, taking full advantage of the strong Silicon Process, Device Modeling and Design know-how present on the Crolles Site," said Philippe Magarshack, STMicroelectronics General Manager of Central CAD & Design Solutions. "This ST-Mentor Graphics joint effort further reinforces the Crolles cooperative R&D cluster, which already gathers partners that develop and enable low-power SoCs and value-added application-specific technologies and is a great example of a project developed within the framework of the Nano2012 program." (1)

“As a leading provider of semiconductor-based solutions, ST is an excellent partner with whom to explore and develop the design methodologies that the market will need over the next decade," said Gregory K. Hinckley, President of Mentor Graphics. “We look forward to this collaboration as a further extension of Mentor Graphics efforts with our long term customer ST.”

Note (1)

Nano2012 is a strategic R&D program, led by ST, which gathers research institutes and industrial partners and is supported by French national, regional and local authorities. The program aims to create one of the world's most advanced R&D clusters for the development of new generations of semiconductor technology platforms at the nano-electronic level, where the dimensions of the structures used to build the silicon chips are in the order of tens of nanometers (billionths of a meter).

About Mentor Graphics

Mentor Graphics Corporation (NASDAQ: MENT) is a world leader in electronic hardware and software design solutions, providing products, consulting services and award-winning support for the world’s most successful electronics and semiconductor companies. Established in 1981, the company reported revenues over the last 12 months of about $800 million and employs approximately 4,425 people worldwide. Corporate headquarters are located at 8005 S.W. Boeckman Road, Wilsonville, Oregon 97070-7777. World Wide Web site: www.mentor.com/.

About STMicroelectronics

STMicroelectronics is a global leader serving customers across the spectrum of electronics applications with innovative semiconductor solutions. ST aims to be the undisputed leader in multimedia convergence and power applications leveraging its vast array of technologies, design expertise and combination of intellectual property portfolio, strategic partnerships and manufacturing strength. In 2009, the Company’s net revenues were $8.51 billion. Further information on ST can be found at www.st.com.