SiberCore Technologies and TSMC Sign Fabrication Agreement

HSIN-CHU, Taiwan, August 16, 1999- SiberCore Technologies and the Taiwan Semiconductor Manufacturing Company Ltd. (TSMC or the "Company") (TAIEX: 2330, NYSE: TSM) today announced a strategic partnership for wafer fabrication. Under the agreement TSMC will provide foundry services leading to the manufacture of SiberCore's first product, the SiberCAM? Ultra-2M. TSMC's leading edge technology will be used in the fabrication of the Ultra-2M and other products in the SiberCAM product family.

Commenting on the agreement, Steve Kornachuk, Sibercore's Director of Engineering said:"TSMC was our first choice because of its excellent reputation for quality and customer service. From our earliest discussions we were impressed with their process technology, their customer interface and effectiveness of their on-line support. This is our first venture with TSMC, and I am sure that the partnership will lead to more exciting developments in the future."

Speaking on behalf of TSMC, Mr. F.C. Tseng, President describes the agreement with SiberCore as being consistent with TSMC's stated charter to partner with leading edge technology companies in the areas of communications and networking IC's. "TSMC recognizes the importance of applying the latest silicon fabrication technologies to emerging classes of internetworking equipment. The partnership between TSMC and SiberCore, whose search engines address a fundamental bottleneck in high performance routers and switches, represents an exciting and vital contribution towards faster packet transmission on the Internet," he said.

About SiberCore

Founded in 1998, SiberCore Technologies is a fabless semiconductor company developing high-value-added, Application Specific Standard Products (ASSPs) and embedded IP cores for intelligent hardware-based switching and routing platforms. The company's initial products are a family of high-speed, high-capacity, Content Addressable Memories (CAMs) which overcome the performance bottle-neck associated with the Internet's routing address table look-up function. SiberCore is located in Canada's High Technology Capital region, near Ottawa in Kanata, Ontario. For additional information on SiberCore, refer to their web-site; www.sibercore.com.

About TSMC

TSMC is the world's largest dedicated IC foundry and offers a comprehensive set of IC fabrication processes, including processes to manufacture CMOS logic, mixed-mode, volatile and non-volatile memory, and BiCMOS chips. Currently, TSMC operates two six-inch wafer fabs (Fab 1 and 2) and three eight-inch wafer fabs (Fab 3, 4 and 5), all located in Hsin-Chu, Taiwan. In addition, TSMC is delivering wafers from its first U.S. foundry, WaferTech, a joint venture with Altera, Analog Devices and Integrated Silicon Solutions, Inc. The company has broken ground in the new Tainan Park, which will house Fabs 6 and 7, and recently announced its participation in a $1.2 billion joint venture fab with Philips Semiconductor, which is scheduled to open in Singapore in 2000, and the formation of TSMC-Acer. TSMC's corporate headquarters are in Taiwan. More information about TSMC is available through the World Wide Web at http://www.tsmc.com.tw