Silicom Ltd. (SILCF)

[midastouch017]

Silicom Announces Another Security-Appliance Design-Win at a Top Networking and Communications Company

Tuesday May 30, 6:20 am ET

KFAR SAVA, Israel--(BUSINESS WIRE)--May 30, 2006--Silicom Ltd. (NASDAQ & TASE: SILC) today announced that it has achieved a new design win with a top-tier North-American based, networking and communications equipment company. The company will be using Silicom's ROHS (Reduction Of Hazardous Substances) compliant, multi-port server adapters in its security appliances. Silicom's products will be replacing those of a major competitor, which this particular company was previously installing in its security appliances. Initial orders have already been received and partial shipments against these purchase orders have already been made.

This design win follows a rigorous year-long evaluation process in which the customer scrutinized every aspect of Silicom's ROHS compliant multi-port server adapters before approving them for use in its appliances.

"Beyond the potential represented by this design win for the client's security appliances, our initial entry into a company with over $10 billion in annual revenues, creates future opportunities for us and makes it easier to market and sell our products for use in additional types of equipment from this customer," said Mr. Shaike Orbach, President and CEO of Silicom. "Also, as we have seen with many of the 35 design wins that we have accumulated over the past two years, we believe this one will lead to a steady flow of sales, as well as further diversify our dependence on any one customer and their particular purchase cycles."

"We are particularly proud that our solution won over that of our leading competitor, and we see this as a testament to the added-value and superior cost-performance of our adapters," concluded Mr. Orbach.

Silicom Ltd. is an industry-leading provider of high-performance server/appliances networking solutions. The Company's flagship products include a variety of multi-port Gigabit Ethernet, copper and fiber-optic, server adapters and innovative BYPASS adapters designed to increase throughput and availability of server-based systems, security appliances and other mission-critical gateway applications. Silicom also offers a broad range of its traditional PC Cards, PCI cards and USB products. For more information, please visit: www.silicom.co.il.

http://biz.yahoo.com/bw/060530/20060530005403.html?.v=1

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