Microchip Technology Files Patent Infringement Suit Against ZiLOG, Inc.

CHANDLER, Ariz., Aug. 12, 2005

— Microchip Technology Inc. (NASDAQ: MCHP) of Chandler, Ariz., today filed a complaint for patent infringement against ZiLOG, Inc. (NASDAQ: ZILG) of San Jose, Calif. The suit, filed in the U.S. District Court for the District of Arizona, alleges that ZiLOG’s 8-pin Z8 Encore! XP® 4K series of microcontrollers infringes three Microchip patents covering 8-pin microcontrollers and seeks preliminary and permanent injunctive relief and damages.

“Microchip introduced the first of its now industry-leading 8-pin PIC® microcontroller products in 1996,” said Steve Sanghi, Microchip’s President and CEO. “The technology breakthroughs that have enabled Microchip to achieve its position of leadership in 8-pin microcontroller products are protected by a strong patent portfolio. We are resolved to enforce those patents against infringers, to protect our investments in research and development and the interests of our employees and shareholders. Microchip has alleged that ZiLOG infringes U.S. Patent Nos. 5,847,450; 6,483,183 and 6,696,316.”

About Microchip Technology

Microchip Technology Inc. (NASDAQ: MCHP) is a leading provider of microcontroller and analog semiconductors, providing low-risk product development, lower total system cost and faster time to market for thousands of diverse customer applications worldwide. Headquartered in Chandler, Arizona, Microchip offers outstanding technical support along with dependable delivery and quality. For more information, visit the Microchip website at www.microchip.com.

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Note: The Microchip name and logo, and PIC are registered trademarks of Microchip Technology Inc. in the USA and other countries. All other trademarks mentioned herein are the property of their respective companies.

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