Lucent Technologies Selects Lattice System Chips for Next Generation Multiservice Edge Switch- Turnkey Solution Based On 2.5Gbps SONET SERDES Products -HILLSBORO, OR - August 30, 2004 - Lattice Semiconductor Corporation (NASDAQ: LSCC) today announced that Lucent Technologies has selected its ORSO82G5 and ORSO42G5 field programmable system chips (FPSC), as well as the ispGDX2™ generic digital crosspoint switch, for use in Lucent's next generation CBX 3500™ Multiservice Edge Switch. The CBX 3500™ switch has been specifically created to allow service providers to offer more profitable Frame Relay, Asynchronous Transfer Mode (ATM) and private line services, and to have the ability to deploy new Ethernet and IP/MPLS services. The Lattice devices are used within the system interconnect scheme for board-to-board communications. The signal integrity characteristics and the embedded SONET digital logic in the 2.7 Gbits/s SERDES devices allow Lucent to drive high bandwidth signals over long distances throughout the entire system. Additionally, the highly integrated ORSO system chips provided native SONET capability without the need for additional soft cores or external PLLs. "The Lattice FPSCs pioneered the approach of putting ASIC embedded cores and FPGA gates on the same silicon die," said Stan Kopec, Lattice vice president of corporate marketing. "In contrast to ASICs with embedded FPGA gates, FPSCs have a broad range of uses. The embedded cores hold industry-standard intellectual property, including bus interface, high-speed line interface and high-speed transceiver cores. When these embedded cores are combined with programmable gates, they can be used by customers in a variety of advanced system designs, such as Lucent's CBX 3500™ multiservice edge switch." About the ORS082G5/ORS042G5 Field Programmable System Chips Both the ORSO82G5 and ORSO42G5 provide a SERDES-based high-speed interface for inter-device communication on a board or across a backplane. The devices also support SONET data scrambling and descrambling, streamlined SONET framing, transport overhead handling, cell insertion and extraction, and idle cell insertion/deletion, plus programmable logic to terminate the network into proprietary systems. All SONET functionality is hidden from the user and no prior networking knowledge is required. About the ispGDX2 Generic Digital Crosspoint Switch About Lucent Technologies About Lattice Semiconductor Lattice products are sold worldwide through an extensive network of independent sales representatives and distributors, primarily to OEM customers in the fields of communications, computing, computer peripherals, instrumentation, industrial controls and military systems. Company headquarters are located at 5555 NE Moore Court, Hillsboro, Oregon 97124-6421, USA; telephone 503-268-8000, fax 503-268-8037. For more information about Lattice Semiconductor Corporation, visit http://www.latticesemi.com. Statements in this news release looking forward in time are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Investors are cautioned that forward-looking statements involve risks and uncertainties including market acceptance and demand for our new products, our dependencies on our silicon wafer suppliers, the impact of competitive products and pricing, technological and product development risks and other risk factors detailed in the Company's Securities and Exchange Commission filings. Actual results may differ materially from forward-looking statements. # # #
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