MagnaChip Foundry Expands IP Offering

SEOUL, South Korea -- Jan. 22, 2007 -- MagnaChip Semiconductor, Ltd., a leading global designer, developer and manufacturer of image sensor solutions, display driver IC (DDI) solutions, mixed-signal and digital multimedia semiconductors, today, announced that its Semiconductor Manufacturing Services (SMS) business has expanded its IP offering in partnership with three leading IP providers.

The IP providers will provide IP related to MCU technology, IP for audio codec development, and USB2.0 PHY IP.

MagnaChip partners with IP providers, who license IP directly to MagnaChip's customers. As a result, MagnaChip's customers have access to proven IP that otherwise would be costly to develop in-house. MagnaChip, in turn, is able to attract leading customers with this offering and to offer more sophisticated products and services consistent with its specialty foundry strategy.

Mr. Channy Lee, EVP and General Manager of MagnaChip's Specialty Manufacturing Service (SMS) business said, "We will continue to partner with leading IP providers as part of our efforts to secure IP required by our customers. In this way, we will further our mission of providing specialty, value-added technologies to our global customer base."

About MagnaChip Semiconductor

MagnaChip Semiconductor is a leading designer, developer and manufacturer of mixed-signal and digital multimedia semiconductors addressing the convergence of consumer electronics and communications devices. We focus on CMOS image sensors and flat panel display drivers, which are complex, high performance, mixed signal semiconductors that capture images and enable and enhance the features and capabilities of both small and large flat panel displays. MagnaChip also provides wafer foundry services utilizing CMOS high voltage, embedded memory, analog and power process technologies for the manufacture of IC's for customer-owned designs. MagnaChip has world-class manufacturing capabilities and an extensive portfolio of approximately 9,400 registered and pending patents. As a result, MagnaChip is a valued partner in providing leading technology solutions to its customers worldwide. For more information, visit http://www.magnachip.com.