SST Strengthens Leadership Position as Key Supplier of Firmware Hub Products For Intel-Based Embedded Ecosystem

SST Becomes Leading Supplier of 8- and 16-Mbit Devices for Intel-Based Embedded Architecture Applications
SUNNYVALE, CALIF., JUNE 2008 — SST (Silicon Storage Technology, Inc., NASDAQ: SSTI), a leader in flash memory technology, today announced a strategic plan to continue its long-standing status as a predominant supplier of Firmware Hub (FWH) BIOS memory components for Intel-based technology applications. SST is committed to supporting embedded customers’ needs with both 8- and 16-Mbit FWH devices through 2011 and possibly beyond. These device densities are expected to address the majority of the FWH used in the Intel P6 Architecture, Intel NetBurst Architecture at the 130 nm and 90 nm processes, and the Intel Core MicroArchitecture at the 65 nm process, during that extended timeframe.

SST established itself as a leading independent supplier of FWH memory devices in 2001, less than a year after it became the first Intel licensee to implement the FWH products for Intel’s 800 Series Hub Architecture chipsets in March 2000. Although the industry has moved beyond FWH for traditional consumer PC applications where shorter product life cycles are typical, the FWH architecture continues to flourish for embedded platforms, where five- to seven-year product life cycles are the norm. With its continued support of the FWH architecture for embedded applications, SST will extend its leadership position in FWH BIOS to more than a decade.

“We’ve always been a leader in BIOS as well as a memory device partner for PC platforms. To that end, we are very pleased to be able to extend our Firmware Hub product offering for the next several years,” said Paul Lui, senior vice president, Memory and Special Products Business Unit, SST. “As the leading supplier of 8- and 16-Mbit Firmware Hub memories to the marketplace, we felt compelled to support the industry’s embedded community.”

“Intel will continue to manufacture Intel processors for embedded devices that only boot via the Firmware Hub,” said Joe Jensen, general manager of Intel’s Embedded Computing Group. “This is consistent with our commitment to support our embedded products for a minimum of seven years and we want to ensure the embedded ’ecosystem’ of the long-life availability of Firmware Hub devices from a reliable supplier such as SST.”

The embedded application platforms for FWH include automotive infotainment systems, gaming, medical, industrial control, communications, wireless, print imaging and military/aerospace, to name a few. In a majority of those applications, product development often takes years and the resulting product life times can extend beyond a half-dozen years. Thus, customers in these arenas need to ensure that components incorporated into their embedded designs remain available and in reasonably high volume for years. With SST as the leading supplier of 8- and 16-Mbit FWH memories, today’s announcement is that much more significant for the embedded system design community.
Forward-Looking Statements
Except for the historical information contained herein, this news release contains forward-looking statements regarding memory and non-memory market conditions, SST’s future financial performance, the performance of new products, growth opportunities, SST’s licensing business, SST’s ability to diversify its business, the transition of SST’s products to smaller geometrics, SST’s ability to bring new products to market and shareholder returns, all of which involve risks and uncertainties. These risks may include timely development, acceptance and pricing of new products, the terms, conditions and revenue recognition issues associated with licensees’ royalty payments, the impact of competitive products and pricing, and general economic conditions as they affect SST’s customers, as well as other risks detailed from time to time in the SST’s SEC reports, including the Annual Report on Form 10-K for the year ended December 31, 2007 and Quarterly Report on Form 10-Q for the quarter ended March 31, 2008. These forward-looking statements are not guarantees of future performance and speak only as of the date hereof, and, except as required by law, SST disclaims any obligation to update these forward-looking statements to reflect future events or circumstances.
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