SOURCE: Wintegra

July 05, 2005 09:00 ET

Wintegra Reaches Key Profitability Milestone

8 Consecutive Quarters of Strong Growth Culminate in Profitability

AUSTIN, TX -- (MARKET WIRE) -- July 5, 2005 -- Wintegra Inc., the fabless semiconductor company focused on the access infrastructure market, today announced it has reached the milestone of profitability for the quarter ending June 30, 2005. "Wintegra's accomplishment is laudable, particularly in light of the number of startups that have failed during the past few years," noted Linley Gwennap, principal analyst of The Linley Group. "Its WinPath processors have demonstrated advantages over the competition, and focusing on the growing access market was a good decision."

Five years after its inception, Wintegra has nine of the top ten communication manufacturers on its customer list, and WinPath processor sales posting eight consecutive quarters of revenue gains. While many high volume designs will be entering production in the future, profitability was reached with only a fraction of Wintegra customers' designs in full production. Additionally, to ensure continued growth, Wintegra has added staff and developed a comprehensive silicon and software product roadmap. "Even though they launched their company during a silicon downturn, Wintegra has reached critical mass by effectively targeting an underserved part of the market," said Will Strauss of Forward Concepts. "Their devices did more and were more cost effective than their competitors, plus their early partnership with TI gave them instant credibility in this risk-averse communications market." Wintegra's customers list includes familiar names like Ericsson, Fujitsu, Lucent, LGE, Motorola, and Tellabs.

Wintegra's approach to the network processing field is unique in that it offers production-quality software with no royalties or fees -- an early differentiator in the access space. The vast majority of its customers use the supplied data path code as is, taking their products to production with no customer modifications. Wintegra's communication-focused software engineers have released over 50 production-quality protocols for access market designs, and are continuing to provide new software as these markets evolve. "I have always believed that execution is as important as technology in building a product and a company," said Larry Samberg, former CTO of Sonoma Systems, which had early access to Wintegra technology. "Wintegra has shown time and again over the past 4 years that they excel in both of these critical areas."

Wintegra's pairing of advanced silicon plus market-leading, production-quality software has empowered customers to rapidly deploy systems in volume in the DSL, Wireless, Multi-service, Voice-over-IP, and optical access systems. Wintegra is now a major player in all these markets. "Profitability has become the metric of maturity for silicon manufacturers," said Kobi Ben Zvi, President and CEO of Wintegra. "Our breadth of established customers plus unique product mix has set the standard for access processor manufacturers. We're well positioned to continue our success in the access space."

About Wintegra, Inc.

Founded in January 2000, Wintegra is a fabless semiconductor company that enables communications companies to build the next generation of access networks. Its WinPath access packet processor family offers best in class aspects of network processors, communications processors, communications peripherals and ASICs, creating a new approach to protocol handling. Wintegra products have been shipping into production networks since 2002. Its customer list includes almost all of the largest communications companies in the world. For more information, see

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