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Microtune's New RF Silicon and Systems Products Enable In-Car Digital Entertainment and Wireless Connectivity for Global Automakers

    PLANO, Texas--Sept. 16, 2002--

Microtune Brings the Latest RF and Bluetooth Technologies, Including the Company's Silicon Products, to the Automotive Electronics Market

    Reinforcing its commitment to deliver advanced radio frequency (RF) solutions for automakers, Microtune(R), Inc. today unveiled three products targeted to the emerging in-car entertainment and personal telematics markets. The products -- the MT1110 broadband amplifier chip, the MT7402 in-car digital TV tuner and MT0755A Bluetooth(TM) OneChip -- provide cost-optimized core components that enable global car manufacturers to deliver digital video and multimedia, mobile Internet access and hands-free communications to mainstream drivers and passengers.
    The silicon and subsystems products are currently being deployed in automotive applications, and Microtune plans to showcase them in customer solutions in its booth (Number 1342) during the upcoming Convergence Trade Show, October 21-23, at the COBO Conference Center in Detroit.
    "Consistent with our strategy, Microtune's goal is to grow our automotive business by supplying a multi-product portfolio of innovative RF silicon and systems solutions," said Douglas J. Bartek, Chairman and CEO of Microtune. "By leveraging our broadband and Bluetooth technologies with our extensive automotive systems experience, we are positioned to develop new products qualified to meet the specific performance requirements of the in-vehicle environment. At the same time, we enable automakers to deploy leading-edge, market-proven RF technologies that accelerate the introduction of advanced communications and entertainment electronics into their cars."
    As companions to Microtune's world-class AM/FM, analog car TV, multimedia and telematics tuners, Microtune's three automotive products provide the complementary RF components required to deliver data, video and voice to the vehicle via RF or wireless networks.

    MT7402 Digital TV Tuner for In-Car TV Entertainment

    The new MT7402 MicroModule is a complete DVB-T TV subsystem enabling in-car TV and multimedia applications. Designed for high-end, multiple-tuner configurations, the MT7402 is targeted for worldwide automakers that require a digital or hybrid analog/digital solution.
    The MT7402 incorporates the tuner, the SAW filter and Microtune's MT1230 intermediate frequency variable-gain amplifier in a production-ready, pre-tested solution. Optimized for excellent sensitivity and superior adjacent channel and multipath suppression, the MT7402 offers robust performance, producing clean sound, pictures and data with minimal noise and interference. Packaged in a compact, highly integrated module, the MT7402 offers maximum design flexibility. It permits direct interface to the digital demodulator, such as Microtune's MT8872 DVB-T demodulator. At the same time, the device features the lower profile, expanded temperature range and ruggedized electronics required for the automotive environment.

    MT1110 Broadband Amplifier

    The MT1110 RF Broadband Amplifier is a high-performance, low-power integrated circuit (IC) that improves the quality of RF signals delivered to in-vehicle navigation or entertainment systems. Functioning as a complement to Microtune's automotive TV tuners, the MT1110 boosts and conditions the RF signal, compensating for the reduced strength of signals received from in-glass antennas or from splitters used in multiple-tuner configurations.
    Fabricated in silicon germanium, the MT1110 is engineered to deliver an extended temperature range (-40 to +85 degrees Celsius), outstanding large signal performance, very low noise figure, excellent linearity, extremely low distortion and 5-volt operation. It enables clearer pictures with better audio quality for an optimized price/performance solution. Originally developed for stringent broadband video applications, the MT1110 has undergone the extensive reliability testing and qualification required for mobile TV applications.

    MT0755A Bluetooth Audio/Data OneChip

    The MT0755A OneChip is a single-package system-on-chip solution, certified to Bluetooth1.1, for wireless voice and data communications. Based on advanced technology developed for 2.4 GHz cordless phones, mobile phones and wireless headsets, this new product is engineered to provide enhancements for automotive hands-free, cable-free applications.
    The MT0755A integrates the Bluetooth radio and baseband into one small package and is engineered to offer system-on-chip capabilities unmatched by other solutions. The baseband features an onboard processor, embedded flash memory, analog-to-digital converters, G711 audio codec, dual UART/SPI ports and a wide variety of general-purpose I/O pins. As a key advantage, the MT0755A's level of integration reduces the total bill of materials (BOM) cost for automotive suppliers in implementing a Bluetooth solution, while ensuring robust end products with better ergonomics and aesthetics.
    The embedded flash memory can be loaded with Microtune's Bluetooth-certified software and the automotive hands-free profile for direct audio connection from car microphone to mobile phone via the onboard codec and wireless Bluetooth link. Using built-in UART/SPI connections, Microtune's solution enables the transmission of GPS information and telematics data between the car and a variety of devices.

    Pricing and Availability

    The MT7402 DVB-T MicroModule and MT1110 Broadband Amplifier are available today and are priced at $15.50 and $2.00, respectively, in quantities of 10,000. The Bluetooth MT0755A will be sampling in Q4 with production planned for Q1, 2003, and it is priced at $7.50 in quantities of 100,000. Pricing is also negotiable based on volume, feature sets and customization requirements.

    About Microtune

    Microtune, Inc. is a leading silicon and systems company that designs, manufactures and markets radio frequency (RF)-based solutions for the global broadband communications, automotive electronics and wireless connectivity markets. Inventors of the MicroTuner(TM) single-chip broadband tuner, the Company offers a portfolio of advanced tuner, amplifier, transceiver and wireless products that enable the delivery of information and entertainment across new classes of consumer electronics devices. The Company currently holds 15 U.S. patents for its technology, with more than 50 applications pending approval that span its RF and wireless products, containing almost 2000 supporting claims. Founded in 1996, Microtune is headquartered in Plano, Texas, with key design, manufacturing and sales centers located around the world. The Web site is www.microtune.com.
    Microtune is traded on the NASDAQ Stock Exchange under the symbol TUNE.

    About Microtune's Automotive Business Unit

    Microtune's Automotive Electronics Business Unit provides the strategic RF components and subsystems required to deliver audio, video and data to drivers and passengers via RF and wireless systems, enabling the new class of in-vehicle entertainment, information, telematics, and wireless communications. With a portfolio of tuners, amplifiers, Bluetooth and 802.11 chips, DVB-T demodulators and MPEG decoders, Microtune permits customers to implement leading-edge technologies into existing and new car platforms. With a proven track record of success in the automotive and airline industries, Microtune's solutions support advanced mobile consumer electronics applications, including premium radio, in-car video and multimedia, navigation and route guidance, remote diagnostics, keyless entry, emergency assistance, hands-free telephony and mobile Internet access.

    Microtune Forward Looking Statement

    This press release contains forward-looking statements, including those discussing the outcome and merits of the lawsuits, that are subject to risks and uncertainties that could cause such statements to differ materially from actual future events or results. Such forward-looking statements are generally accompanied by words such as "plan," "estimate," "expect," "believe," "could," "would," "anticipate," "may," or other words that convey uncertainty of future events or outcomes. These forward-looking statements and other statements made elsewhere in this release are made in reliance on the Private Securities Litigation Reform Act of 1995. Factors which could cause actual results to differ include the Company's ability to successfully prosecute, defend and win the lawsuits and the ability of the Company to recover the actual costs of the litigation, any of which may cause the Company's financial results to fluctuate. Readers are referred to the reports and documents filed by Microtune with the Securities and Exchange Commission from time to time, including its Form 10-K for the year ended December 31, 2001, Form 10Q for each quarter and Form S-3 filed on August 17, 2001, as amended.

Editor's Note: Microtune is a registered trademark and MicroTuner, MicroStreamer and VideoCaster are trademarks of Microtune, Inc.