EINDHOVEN, The Netherlands and HSINCHU, Taiwan, R.O.C., July 9 --

- Accelerates TV set development; dramatically reduces cost of production

NXP Semiconductors and Taiwan Semiconductor Manufacturing Company, Ltd. (NYSE:
TSM) (TWSE: 2330) today announced their cooperation to deliver the
industry’s first single-chip 45nm global LCD TV platform, TV550. With NXP
already delivering the engineering samples to its lead customers, NXP and TSMC
have reached a major milestone in enabling the next generation of mainstream
digital TV sets for TV manufacturers.

Featuring NXP’s PNX85500 processor, built on TSMC’s 45nm Low Power
(LP) process technology, the NXP TV550 digital TV platform is a production-ready
reference design that reduces time-to-market with a major step forward in
functional integration for system cost down. The newly introduced DTV platform
allows TV viewers to enjoy HD digital content and internet access with
unparalleled picture quality. The long-term partnership and collaboration
between NXP and TSMC was the key to this first-to-market achievement, with early
access to silicon test results from TSMC resulting in accurate transistor
characterization using state-of-the art PSP models.

NXP called on TSMC, who had announced the industry’s first 45nm process
technology in 2007, to achieve its time-to-market lead. NXP selected
TSMC’s 45LP process technology for its outstanding performance
characteristics such as multiple Vt to achieve lower power consumption,
excellent current drive capability and one of the industry’s smallest SRAM
cell size of 0.299-micron(2).

Digital switchover and high definition content are the major demands for the TV
industry, said Lou Schreurs, business line TV general manager, NXP
Semiconductors. With TSMC’s valuable experience in advanced CMOS
technologies and NXP’s TV system design expertise, we are able to deliver
these high end features with a reduced bill-of-materials. Our customers are
highly impressed with TV550’s superb picture quality and its capability to
handle the complex global digital standards with a single platform.

The TSMC 45 LP cost-competitive process offers designers up to twice the
density of 65nm with significant low power and up to 40% smaller die size.
Compared with TSMC 40G technology, the 45LP requires less photo masks and is
ideal for products demanding excellent cost performance ratio.

NXP has clearly achieved its leadership with the availability of this
single-chip digital TV SoC. The device is ’right-the-first-time fully
functional silicon that delivered as flip chip packaged samples just eight weeks
after tape out, said John Wei, Senior Director, Advanced Technology Marketing
for TSMC.

About NXP Semiconductors

NXP is a leading semiconductor company founded by Philips more than 50 years
ago. Headquartered in Europe, the company has about 28,000 employees working in
more than 30 countries and posted sales of USD 5.4 billion (including the Mobile
Personal business) in 2008. NXP creates semiconductors, system solutions and
software that deliver better sensory experiences in TVs, set-top boxes,
identification applications, mobile phones, cars and a wide range of other
electronic devices. News from NXP is located at www.nxp.com.

About TSMC

TSMC is the world’s largest dedicated semiconductor foundry, providing
the industry’s leading process technology and the foundry’s largest
portfolio of process-proven libraries, IP, design tools and reference flows. The
Company’s total managed capacity in 2008 exceeded 9 million 8-inch
equivalent wafers, including capacity from two advanced 12-inch - GigaFabs(TM),
four eight-inch fabs, one six-inch fab, as well as TSMC’s wholly owned
subsidiaries, WaferTech and TSMC (China), and its joint venture fab, SSMC. TSMC
is the first foundry to provide 40nm production capabilities. Its corporate
headquarters are in Hsinchu, Taiwan. For more information about TSMC please
visit http://www.tsmc.com.

SOURCE: TSMC

Wendy Matthews, +1-408-382-8030, wmatthews@tsmc.com, Michael Kramer,
+886-3-5636688 ext. 7126216, pdkramer@tsmc.com, both of TSMC; or Terry Chiang,
NXP, +31-40-2725162, terry.chiang@nxp.com