NATIONAL SEMICONDUCTOR GEODE™ TECHNOLOGY ENABLES IBM'S NEWEST THIN-CLIENT SOLUTION

IBM Selects National's Geode GXlv Processor for Network Station Series 2200

September 8, 1999 - Further expanding its presence in the enterprise computing market, National Semiconductor® Corporation (NYSE:NSM) today announced IBM has selected National’s integrated server-based computing solution for its new thin client, the Network Station Series 2200. National’s solution incorporates its low-power Geode™ GXlv processor, companion I/O, audio codec, voltage controller and several of its other peripheral and analog chips.

National joins IBM in Orlando this week as platinum sponsors of the Citrix iForum, the industry’s only conference focusing solely on server-based computing for enterprise business. National will demo the new IBM Network Station Series 2200 in its iForum booth, located at the Walt Disney World Dolphin hotel.

National’s highly integrated thin-client solutions are providing faster time-to-market for key customers like IBM, offering feature sets tailored to these customers’ individual needs. At the heart of National’s integrated solutions is its Geode GXlv chip. The processor, which integrates on-chip graphics, audio, memory control and PCI interface, delivers powerful, easy-to-use multimedia technology that is ideal for the thin-client environment. National’s Geode family has become the processor of choice for Windows-based terminals and other thin-client applications - a market that is growing rapidly within many large corporations.

“Partnering with companies like IBM helps National continue to establish its position as the semiconductor industry’s leading enabler of thin-client technology,” said Mike Polacek, vice president of National’s Information Appliance division. “IBM’s complete computing solutions, together with National’s IC and board-level technology, enable extremely powerful, cost-effective thin clients.”

Designed for efficient information access, thin clients require on-board computing power focused on the user experience such as display and communications, while relying on the server to host, control and compute data. With convenient IS management, improved security and fewer hardware concerns, this server-centric solution offers an attractive reduction in total-cost-of-ownership for organizations of all types - from business enterprises to educational institutions.

About National Semiconductor
National Semiconductor provides system-on-a-chip solutions for the information age. Combining real-world analog and state-of the-art digital technology, the company's chips lead many sectors of the personal computer, communications, and consumer markets. With headquarters in Santa Clara, California, National reported sales of $2 billion for its last fiscal year and currently has about 11,000 employees worldwide. Additional company and product information is available on the World Wide Web at www.national.com.