Magma to Distribute TSMC Libraries for Advanced System-on-Chip Design

CUPERTINO, Calif., December 18, 2002 – Magma® Design Automation, Inc. (Nasdaq: LAVA), a provider of chip design solutions, said today that it will distribute advanced technology libraries developed by Taiwan Semiconductor Manufacturing Company (TSMC). The distribution agreement allows Magma to offer TSMC’s 0.13-micron and Nexsys(SM) 90-nanometer libraries to both companies’ mutual customers, integrated with Magma’s design automation software. With this combination, designers will be able to fully exploit Blast Fusion’s optimization capabilities to deliver better quality of results (QOR) and accelerate the design cycle, for smaller, faster chips with greater functionality.

Magma and TSMC worked closely together to validate the libraries in Magma’s design environment, from RTL to tape-out-quality GDSII. This demonstrates that Magma software supports TSMC’s manufacturing rules for 90-nanometer technology, such as complex antenna rules, via farm rules and metal rules for nine layers of metal routing.

“TSMC’s goal for our Library Alliance is to team up with the industry’s best to provide high-quality libraries,” said Genda Hu, vice president of marketing at TSMC. “Additional value that Magma brings to the design community through this partnership with TSMC is that they can now integrate these process-tuned libraries directly to their proven EDA tools, to improve faster time to volume.”

“With the advent of nanometer technology, designers need a solution that integrates library design with physical design and design for manufacturing,” said Nitin Deo, vice president of business development for Magma. “With the FixedTiming® methodology, integrated architecture and a complete IC implementation solution, Magma’s system leverages TSMC’s silicon-tuned libraries to enable users to achieve better quality of results and a faster path from RTL to silicon.”

Tuned to Magma Flow

The integration of Magma’s design flow with TSMC’s libraries resulted in some optimization of the TSMC libraries. Using feedback from Magma’s library analysis tools, TSMC was able to optimize cell drive strengths and tweak the physical and electrical parameters of the cells, resulting in an expanded range of capabilities for design closure.

Pricing and Availability

The TSMC 0.13-micron and Nexsys(SM) 90-nanometer libraries are available now from Magma. The libraries are available at no charge but require a fee-based support contract from Magma. Those interested in obtaining the TSMC libraries should contact Magma’s sales representatives or e-mail info@magma-da.com.

About Magma Design Automation

Magma software is used to design fast, multimillion-gate integrated circuits, providing the “Fastest Path from RTL to Silicon”™ to enable chip designers to reduce the time required to produce complex ICs. Magma's products for prototyping, synthesis, and place & route provide a single executable for RTL-to-GDSII chip design. The company's Blast Fusion™, Blast Fusion APX™, Blast Plan™, Blast Noise® and Blast RTL™ products utilize Magma's proprietary FixedTiming® methodology and single data model architecture to reduce the timing-closure iterations often required between the logic and physical processes in conventional IC design flows.

Magma maintains headquarters in Cupertino, Calif., as well as sales and support facilities in Silicon Valley, Los Angeles, Orange County and San Diego, Calif.; Boston, Mass.; Durham, N.C.; Austin and Dallas, Texas; Newcastle, Wash.; and in Canada, China, Germany, Israel, Japan, Korea, The Netherlands, Taiwan and the United Kingdom. The company's stock trades on Nasdaq under the ticker symbol LAVA. Visit Magma Design Automation on the Web at www.magma-da.com.

Magma, Blast Noise and FixedTiming are registered trademarks, and Blast Fusion, Blast Fusion APX and Blast Plan are trademarks of Magma Design Automation. All other product and company names are trademarks and registered trademarks of their respective companies.

FORWARD-LOOKING STATEMENTS: Except for the historical information contained herein, the matters set forth in this press release, including statements that Magma will distribute TSMC libraries and as a result will enable designers to deliver better QOR and accelerate the design cycle, and statements about the features and benefits of Magma’s system, are forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially including, but not limited to, Magma’s products’ and TSMC’s libraries’ ability to produce the desired results and Magma’s and TSMC’s ability to keep pace with rapidly changing technology. Further discussion of these and other potential risk factors may be found in Magma's Form 10-Q/A for the quarter ended September 30, 2002 and filed with the Securities and Exchange Commission (“SEC”) on November 15, 2002, and from time to time in Magma’s SEC reports. These forward-looking statements speak only as of the date hereof. Magma disclaims any obligation to update these forward-looking statements.