MIPS Technologies welcomes Alchemy Semiconductor as Independent MIPS® licensee focused on internet edge processing solutions

MOUNTAIN VIEW, Calif. - May 2, 2000 - MIPS Technologies, Inc. (NASDAQ: MIPS) today welcomed Alchemy Semiconductor, Inc. as a newly independent member of the MIPS® architecture community. Previously, Alchemy, with seed funding from Cadence Design Systems, and MIPS Technologies had announced a strategic relationship that called for Alchemy to license MIPS Technologies' MIPS32[tm] 32-bit processor architecture. Alchemy announced on Monday, May 1st, that it has officially emerged as an independent company with over 15 million dollars in funding and is set to announce its first product at the Embedded Processor Forum in San Jose, California, June 12-16, 2000.

"We expect Alchemy's new MIPS-based Internet Edge Processors to enhance and complement the position of the MIPS® processor architecture in both wired and wireless networking," stated John Bourgoin, president and CEO of MIPS Technologies, Inc. "One of the strengths of the MIPS architecture is the large number of design teams contributing their expertise to the world's leading integrated processor architecture. Alchemy's design team includes several prominent microprocessor architects with proven records in high performance, low power design. We are very pleased to see Alchemy emerge as an independent force in the high performance, low-power microprocessor design arena."

"Alchemy has put together a superb team and we believe that customers for MIPS-based solutions will find Alchemy's product offerings very attractive," said Brian Knowles, vice president of marketing at MIPS Technologies. "I am particularly excited about the power-performance attributes that Alchemy's products will bring to wireless 3G Internet applications which will allow the MIPS architecture to expand into this market."

About Alchemy Semiconductor

Founded in Austin, Texas, in 1999, Alchemy Semiconductor is a fabless semiconductor company that designs, develops and markets high performance, yet very low power systems-on-a-chip (SOCs) for the Internet Edge Device market. The company's founding team includes several of the most prominent embedded microprocessor architects and developers in the world, allowing for a combination of proven design execution and MIPS performance technology to achieve high performance, low power dissipation and system integration in its Internet Edge Processor[tm]. Alchemy's headquarters are at 7800 Shoal Creek Blvd., Suite 222W, Austin, Texas 78757; or go to www.alchemysemi.com.

About MIPS Technologies, Inc.

MIPS Technologies, Inc. is one of the world's primary architects of embedded 32- and 64-bit RISC processors. The company drives the broadest architectural alliance that is delivering 32- and 64-bit embedded RISC solutions. The company licenses its intellectual property to semiconductor companies, ASIC developers, and system OEMs. MIPS Technologies, Inc. and its licensees offer the widest range of robust, scalable processors in standard, custom, semi-custom and application-specific products.

Licensees currently include: Alchemy Semiconductor, Inc.; ATI Technologies, Inc.; Broadcom Corporation; Centillium Communications, Inc.; Chartered Semiconductor Manufacturing; CommQuest (IBM); ESS Technology, Inc.; Excess Bandwidth; General Instrument Corporation; Integrated Device Technology, Inc. (IDT); Lara Networks, Inc.; LSI Logic Corporation; Macronix; Metalink Ltd.; NEC Corporation; NKK Corporation; Philips Semiconductors; Quantum Effect Devices, Inc. (QED); QuickLogic Corporation, Sandcraft, Inc.; SiByte, Inc.; Sony Corporation; Synova; Texas Instruments Incorporated; Toshiba Corporation; and Taiwan Semiconductor Manufacturing Company. Numerous companies utilize MIPS-based[tm] intellectual property. MIPS Technologies, Inc. is based in Mountain View, California, and can be reached at 650-567-5000 or http://www.mips.com.

MIPS is a registered trademark and MIPS-based and MIPS32 are trademarks of MIPS Technologies, Inc. All other trademarks are the property of their respective companies. All press materials are available on the World Wide Web via: http://www.mips.com.