March 14, 2001--Sunnyvale, California--Silicon Storage Technology, Inc. (SST), a leader in flash memory technology, is entering into a multifaceted technology licensing and deep submicron foundry agreement with Oki Electric Industry Co. Ltd., a worldwide supplier of semiconductor products.

Under the terms of the agreement, Oki will provide a high-volume, advanced technology foundry service for SST's 0.25-micron flash memory products based on SST's SuperFlash memory technology. Initial wafer production is scheduled to begin in first half of 2002.

Also part of the agreement, SST will provide Oki access to its SuperFlash technology for embedded use in its semiconductor products targeted toward communication applications. SST's SuperFlash technology has the benefit of uniform small sector and low power consumption. Furthermore, the two companies will cooperate on products targeted for Bluetooth applications.

"Our agreement with Oki is another excellent example of the successful adoption of SuperFlash technology for embedded applications due to SuperFlash's superior functionality, scalability and low-cost structure," says Bing Yeh, president and CEO at SST. "SST's products and technology will be incorporated into a variety of system applications at Oki, and we believe that they will be a perfect match for Oki's deep submicron foundry process. The combination of the two companies' technology will result in expanded features and benefits to the end user. We are very pleased to work with our partners such as Oki to further strengthen SuperFlash as the technology-of-choice for embedded applications."

Other deep submicron foundry and technology partners of SST include National Semiconductor, Sanyo, TSMC, and Vanguard International Semiconductor Corp. SST will receive royalty payments from products sold by Oki that incorporate SuperFlash technology.