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Monday, 08/23/2004 5:10:39 PM

Monday, August 23, 2004 5:10:39 PM

Post# of 93819
SigmaTel Introduces D-Major Audio Controller for Low-Cost MP3 Players

AUSTIN, Texas--(BUSINESS WIRE)--Aug. 23, 2004--SigmaTel, Inc. (Nasdaq:SGTL) today unveiled the STMP3502 MP3 audio decoder designed specifically for low-cost MP3 player solutions with FM capability. This newest addition to the D-Major(TM) STMP35xx family is being introduced as a proactive step to target potential Chinese and Far East customers that specialize in the cost-sensitive MP3 player market space. As the MP3 player market continues to grow, much of the current and future volumes will come from devices sold at the lower end of the retail cost scale.


The STMP3502 offers an extensive feature set including support for MP3 and WMA decode, FM tuner support, USB 2.0 full speed interface, LCD/LED interface, and voice record capability. In addition, the STMP3502, as with all devices in the STMP35xx family, support SLC and MLC NAND flash and USB mass storage class. Players using the STMP3502 can expect to have 20 to 25 hours of battery life on a single AA battery.

"As the MP3 player market begins to mature, low-cost solutions are beginning to have an impact on total worldwide market volumes," says Danny Mulligan, vice president and general manager of the portable audio SoC group at SigmaTel. "This latest offering expands our already extensive support into this low-cost segment and positions SigmaTel to maintain or possibly increase market share."

"An additional benefit that this new product delivers to our customers is the superior development support that SigmaTel offers," says Mulligan. "With industry-leading software expertise, we offer the most comprehensive software development environment available for the MP3 player market. Our software development kit allows customers the flexibility to differentiate their products through custom user interfaces and enables the development of multiple platforms with the same tools."

The STMP3502 is now available for new designs. For more information on D-Major audio and the STMP35xx product family, as well as development kit information and sales support, please visit www.sigmatel.com.

About D-Major:

D-Major(TM) audio decoder solutions from SigmaTel provide high quality audio playback for portable digital audio devices such as MP3-style players. As a battery-optimized System-on-Chip design, D-Major products offer a high level of integration and quality at a lower system cost, making portable audio devices more attractive to a larger audience.

About SigmaTel:

SigmaTel, Inc. a fabless semiconductor company headquartered in Austin, Texas, designs, develops, and markets proprietary, analog intensive, mixed-signal ICs for a variety of products in the consumer electronics and computing markets, including portable compressed audio players, such as MP3 players, notebook and desktop PCs, DVD players, digital televisions, and set-top boxes. SigmaTel provides complete, system-level solutions that include highly-integrated ICs, customizable firmware and software, software development tools, reference designs, and applications support. The Company's focus is on providing system-level solutions that enable customers to rapidly introduce and offer electronic products that are small, light-weight, power-efficient, reliable, and cost-effective. SigmaTel is ISO 9001:2000 certified and is committed to providing customers with high performance, quality products along with superior customer service.

Cautionary Language:

This press release contains forward-looking statements based on current SigmaTel expectations. The words "expect," "will," "should," "would," "anticipate," "project," "outlook," "believe," "intend," and similar phrases as they relate to SigmaTel or future events are intended to identify such forward-looking statements. These forward-looking statements reflect the current views and assumptions of SigmaTel, but are subject to various risks and uncertainties that could cause actual results to differ materially from expectations. A number of important factors could cause actual results to differ materially from those in the forward-looking statements, and there will be events in the future that SigmaTel is not able to accurately predict or control. For a discussion of factors that could impact SigmaTel's financial results and cause actual results to differ materially from those in the forward-looking statements, please refer to recent SigmaTel filings with the SEC, particularly the 424(b)(4) final prospectuses filed September 19, 2003 and February 19, 2004, the Form 10-Qs that were filed on October 29, 2003, April 20, 2004 and July 20, 2004 and the Form 10-K that was filed on February 17, 2004.

D-Major is a trademark and SigmaTel is a registered trademark of SigmaTel. All other products and brand names as they appear in this release are trademarks or registered trademarks of their respective holders. All specifications may be changed without notic

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