Texas Instruments Collaborates with Nortel Networks to Accelerate Voice over IP Deployments

Under Nortel Networks' global open client strategy both companies plan to work together to increase the marketing adoption and deployment of Session Initiation Protocol (SIP)-based multimedia services in consumer and enterprise markets. Interoperability is of key concern to VoIP service providers, OEMs and silicon manufacturers. The combined efforts of TI and Nortel Networks on interoperability will make it easier for end users to benefit from new communications services, further fueling the growth of the VoIP market.

TI plans to adapt its reference designs for SIP customer premises equipment (CPE) to achieve interoperability with Nortel Networks' Multimedia Communications Portfolio, which includes the Multimedia Communication Server (MCS) 5100 and 5200. TI also plans to integrate the MCS platform into its system test lab to test and pre-validate its Telogy Software(TM) for VoIP with the MCS, shortening design time.

"With interoperability a major concern for CPE vendors today, we welcome this collaboration between TI and Nortel to ensure the deployability of this technology," said Patrick Lo, Chairman and CEO, NETGEAR. "Their commitment to interoperability and standards compliance impacts our own time-to-market and ensures that we can deliver a high-quality experience for the end user as well."

Nortel Networks' Multimedia Communications Portfolio delivers advanced SIP-based multimedia and collaborative applications to both enterprises and service providers. SIP is the next generation IP protocol enabling a new generation of rich media, real-time collaborative devices, applications and services with a view toward consumer communications control, increased productivity and competitiveness.

"Interoperability is crucial to our customers' business, and we are focused on helping service providers uncover new market opportunities by speeding deployment of SIP-based multimedia communications services," said Gordon Quinn, general manager of multimedia communications, Wireline Networks, Nortel Networks. "Ensuring compatibility with TI's Telogy Software will allow service providers to offer a wider range of CPE choices to their customers, create more flexible packaging options and ultimately, expand their business."

TI provides the broadest range of complete voice over packet solutions, which are based on TI's digital signal processing (DSP) technology and award- winning Telogy Software, to over 200 networking equipment manufacturers and designers. TI holds approximately 80 percent of the total VoIP integrated circuit (IC) shipment volume for the IP phone, CPE gateway and infrastructure gateway market segments, according to a November 2003 In-Stat/MDR report.

Texas Instruments Broadband Solutions

For OEMs developing broadband communications solutions, TI's advanced signal processing-based silicon and software platforms deliver the optimal performance, lower power consumption, and system-level integration required to rapidly deploy differentiated next-generation products for cable modems, digital subscriber line (xDSL) modems, integrated access devices (IADs), Voice over Internet Protocol (VoIP) gateways, carrier infrastructure, and home and office wireless networking. See http://www.ti.com/broadband .

About Texas Instruments

Texas Instruments Incorporated provides innovative DSP and analog technologies to meet our customers' real world signal processing requirements. In addition to Semiconductor, the company's businesses include Sensors & Controls, and Educational & Productivity Solutions. TI is headquartered in Dallas, Texas, and has manufacturing, design or sales operations in more than 25 countries.

Texas Instruments is traded on the New York Stock Exchange under the symbol TXN. More information is located on the World Wide Web at http://www.ti.com/ .

Safe Harbor Statement

Statements contained in this press release regarding the development and effectiveness of SIP-enabled products and the market for VoIP devices and other statements of management's beliefs, goals and expectations may be considered "forward-looking statements" as that term is defined in the Private Securities Litigation Reform Act of 1995, and are subject to risks and uncertainties that could cause actual results to differ materially from those expressed or implied by these statements. The following factors and the factors discussed in TI's most recent Form 10-K could cause actual results to differ materially from the statements contained in this press release: actual SIP-enabled product development and testing results as well as actual market demand for VoIP devices. We disclaim any intention or obligation to update any forward-looking statements as a result of developments occurring after the date of this press release.

About Nortel Networks

Nortel Networks is an industry leader and innovator focused on transforming how the world communicates and exchanges information. The Company is supplying its service provider and enterprise customers with communications technology and infrastructure to enable value-added IP data, voice and multimedia services spanning Wireless Networks, Wireline Networks, Enterprise Networks, and Optical Networks. As a global company, Nortel Networks does business in more than 150 countries. More information about Nortel Networks can be found on the Web at http://www.nortelnetworks.com/ or http://www.nortelnetworks.com/media_center .

* Nortel Networks is a trademark of Nortel Networks

CONTACT: Deborah Shemony of Texas Instruments Incorporated,
+1-301-515-6643, or dshemony@ti.com ; or Caroline Rad, +1-972-308-9129, or
crad@golinharris.com , for Texas Instruments Incorporated. Please do not
publish these phone numbers or e-mails.

Web site: http://www.ti.com/
http://www.ti.com/broadband
http://www.nortelnetworks.com/
http://www.nortelnetworks.com/media_center
http://www.supercomm2003.com/sc2004.cfm