Press Release

Apache Achieves Record Breaking Q2 Sales

Mountain View, Calif. – July 18, 2005 – Apache Design Solutions, the technology leader in physical power integrity solutions for system-on-chip (SoC) designs, today announced that the company has achieved another record breaking quarter, while remaining cash-flow positive. Q2 sales included the company’s first multi-million dollar per year, multi-year deal from a major semiconductor company (see related release “ATI Technologies Inc, Signs a Multi-Million Dollar, Multi-Year Deal with Apache Design Solutions,” dated June 10, 2005).

Contribution to the record quarter came from renewals and expansions within the existing customer base, as well as from new customers including Apache’s first Korean customer. Seven of the top 10 semiconductor companies worldwide have now adopted the

RedHawk dynamic power signoff solution. In addition, Apache introduced and sold the first licenses of PsiWinder in Q2; PsiWinder is a new timing sign-off solution that concurrently analyzes the impact of both power and crosstalk noise on clock trees and critical paths.

“The increasing adoption of Apache’s multiple products by our customers demonstrates the need for a complete foundry-certified, silicon-correlated dynamic power integrity solution,” stated Keith Mueller, vice president of worldwide sales for Apache. “RedHawk leads the dynamic power market with the experience of more than 140 production tapeouts, TSMC Reference Flow 6.0 sign-off, and continuous sales growth over the last two years.”

About RedHawk

RedHawk is a full-chip vectorless dynamic physical power integrity solution for SoC power closure sign-off of 130nm, 90nm, and 65nm designs. Certified in TSMC’s 5.0 and 6.0 Reference Flow and correlated with silicon measurements and SPICE, RedHawk addresses dynamic power issues such as simultaneous switching output (SSO) for core, memory, clock, and I/O, as well as the effects of on-chip inductance, package RLC , and decoupling capacitance.

RedHawk enables designers to identify dynamic “hot spots,” examine the impact on timing, accurately pinpoint the cause of dynamic voltage drop, and automatically repair the source of supply noise. With RedHawk’s integrated transistor-level characterization and unsurpassed capacity, designers can effectively reach power closure sign-off for high performance SoCs, including those utilizing advanced low-power design techniques such as leakage current control, power gating, multiple voltage domains, and multiple threshold transistors.

About Apache Design Solutions

Apache is an EDA software supplier of innovative next-generation silicon integrity platforms for low-power, high-performance system-on-a-chip (SoC) designs. By considering all sources of noise that impacts the design, such as power, signal, package / system IO, substrate, and temperature, Apache’s silicon signoff platform enables designers of leading networking, wireless, communication, consumer, and semiconductor companies to detect, fix, and prevent design weaknesses that can result in reduced yield or failed silicon. Apache’s vendor neutral platform enables designers to adopt any industry’s standard physical design flow and is certified by TSMC’s 5.0 and 6.0 Reference Flow (NYSE: TSM). Apache has direct sales and support offices worldwide with over 40 customers, including 7 of the top 10 semiconductor companies.

Apache Design Solutions, NSPICE, RedHawk, PsiWinder, and Vectorless Dynamic are trademarks of Apache Design Solutions, Inc.

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