The Fabless Semiconductor Association (FSA) announces 44 Percent YoY Worldwide Fabless Revenue Growth in Q2 2004

SAN JOSE, Calif. (September 20, 2004) - The Fabless Semiconductor Association (FSA), the voice of the global fabless business model, announces worldwide public fabless revenue grew 44 percent year-over-year (YoY) in Q2 2004, totaling $8.3 billion.

QUALCOMM's [NASDAQ: QCOM] CDMA Technologies (QCT) division led all public fabless companies in sales in Q2 with $790 million. Broadcom [NASDAQ: BRCM] was second with $641 million, while ATI Technologies [NASDAQ: ATYT] was third with $492 million.

Four Taiwanese fabless companies placed in the top 20 out of 153 public fabless companies worldwide, when ranked by Q2 2004 revenue.

• MediaTek [TSE: 2454] ranked eighth, reporting $283.5 million
• Sunplus Technology [TSE: 2401] ranked 11th, reporting $141.93 million
• NovaTek [TSE: 3034] ranked 12th, reporting $141.88 million
• VIA Technologies [TSE: 2388] ranked 13th, reporting $131.6 million

North American fabless companies represented 76 percent of Q2 2004 total fabless revenue, followed by Taiwan, which contributed 20 percent. Europe and China each represented two percent of worldwide sales.

In addition to Q2 2004 revenue data, the FSA also reports the following research:

• Fabless companies have been involved in 46 mergers and acquisitions (M&As), totaling $2.8 billion.
• To date, seven fabless companies have priced and six companies have filed and are awaiting an initial public offering (IPO).
• Fabless companies reported spending, on average, 14.5 percent on research and development (R&D) in Q2.

More detailed data can be found in the FSA's comprehensive Global Fabless Financial Report, which includes fabless earnings information covering: revenue; net income; geographic comparisons; profit margins; market capitalization; R&D; selling, general and administrative expenses; foundry updates; and IPO and M&A activity. For more information, or to purchase this report, visit www.fsa.org/store.

About the Fabless Semiconductor Association:
The FSA is the voice of the global fabless business model. Incorporated in 1994, the Association positively impacts the growth and return on invested capital of this business model to enhance the environment for innovation. The FSA provides a platform for meaningful global collaboration between fabless companies and their partners; provides members with timely research and resources; and identifies, debates, and discusses business and technical issues. FSA members include fabless companies and their supply chain and service partners and represent more than 21 countries spanning North America, Asia-Pacific, Europe and the Middle East. www.fsa.org