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2003 News Releases

"FOR IMMEDIATE RELEASE"

MOSAID Amends Claims Against Infineon

Adds Claim of Infringement of an Eighth Patent

OTTAWA, Ontario, Canada – June 5, 2003 – MOSAID Technologies Incorporated (TSE:MSD) today announced that it has filed an amended answer and counterclaim in the litigation with Infineon Technologies in the Northern District of California.

In its amended answer and counterclaim, MOSAID Technologies added a new patent to its suit, accusing Infineon of infringement of US Patent Number 6,067,272 covering a Delay Locked Loop (DLL) circuit for use in Synchronous DRAM.

In February 2003, MOSAID filed a counter-suit against Infineon in the US District Court for the District of Northern California for infringement of seven of MOSAID’s United States patents. MOSAID claimed that Infineon has infringed and continues to infringe these patents by making and selling semiconductor products, including DRAMs, that utilize MOSAID’s patents. Recently, MOSAID determined that Infineon is also infringing the DLL patent, and it has amended its answer and counterclaim to reflect a total of eight patents at issue.

"We maintain our position that Infineon Technologies is infringing many of MOSAID’s patents and this most recent determination of infringement is an important addition to our case," said George Cwynar, President and Chief Executive Officer of MOSAID. "The delay locked loop patent is a valuable component of our intellectual property portfolio. The memory industry is rapidly adopting DLL techniques as high-speed DDR SDRAM memory becomes mainstream."

The eight patents at issue in this litigation were granted to MOSAID on fundamental Dynamic Random Access Memory (DRAM) circuit inventions, which it pioneered as a semiconductor design company. MOSAID has developed nine generations of DRAM, from 4K to 256M, during its 27-year history. During this time, MOSAID invented a number of circuits that have been widely adopted by the DRAM industry. At the end of the fourth quarter of fiscal 2003, MOSAID’s portfolio contained 500 issued or pending patents.

Since 1999, MOSAID has signed comprehensive patent licensing agreements with nine companies: Fujitsu, NEC, Toshiba, Hitachi, Mitsubishi Electric, OKI Electric, Matsushita, Sony and most recently, Winbond. MOSAID believes that all companies which manufacture mainstream DRAM products, including single and double data rate (DDR) synchronous DRAM, as well as Rambus® DRAM, use its patented circuit technology. MOSAID currently has eleven companies on notice for patent infringement and is in active licensing discussions with several of them at this time.

About MOSAID
MOSAID Technologies Incorporated is an independent semiconductor company operating through three divisions:

  • Semiconductor – a fabless provider of networking chips
  • Intellectual Property – a licensor of intellectual property to semiconductor manufacturers worldwide
  • Systems – the leading supplier of engineering memory test and analysis systems to memory manufacturers, foundries and fabless chip companies.

Founded in 1975, MOSAID is based in Ottawa, Ontario, Canada, with offices in Santa Clara, California; Newcastle upon Tyne, U.K; and Tokyo, Japan. For more information, visit the Company’s web site at www.mosaid.com.

Forward Looking Information
This document may contain forward-looking statements relating to the Company’s operations or to the environment in which the Company operates. Such statements are based on current expectations that are subject to a variety of risks and uncertainties that are difficult to predict and/or beyond MOSAID’s control. Actual results may differ materially from those expressed in any forward-looking statements, due to factors such as customer demand and timing of purchasing decisions, product and business mix, competitive products, pricing pressures as well as general economic and industry conditions. MOSAID assumes no obligation to update these forward-looking statements, or to update the reasons why actual results could differ from those reflected in any forward-looking statements. Additional information identifying risks and uncertainties is contained in other public filings with the Ontario Securities Commission.

For more information, please contact:

Investor Inquiries
Heidi Vincent
Director, Investor Relations & Communications
613-599-9539 x1205
vincent@mosaid.com
Media Inquiries
Sara Haskill
Communications Specialist
613-599-9539 x1228
haskill@mosaid.com






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