FOR MORE INFORMATION:

Laurie Falconer
Centillium Communications, Inc.
(510) 771-3647
[email protected]
   

XPEED NETWORKS SELECTS CENTILLIUM COMMUNICATIONS AS PRIMARY SUPPLIER OF FULL RATE AND G.LITE ADSL MODEM CHIPSETS

Centillium's CPE Portfolio Enables Xpeed to Design and Build Worldwide Product Offerings

FREMONT, Calif., June 21, 2000 - Centillium Communications, Inc. (Nasdaq: CTLM), innovator of broadband communications technology, and Xpeed Networks, Inc., a leading supplier of Digital Subscriber Line (DSL) Access Devices, announced today that Xpeed Networks has chosen Centillium as its primary supplier of Asymmetric DSL (ADSL) chipsets for Universal Serial Bus (USB), Ethernet, and other products. This major strategic partnership will accelerate the mass-market distribution of highly cost-effective Customer Premises Equipment (CPE) for worldwide markets.

Xpeed will introduce innovative new DSL access devices based on Centillium's Flite Optimizer˙ and CopperFlite˙ chipset solutions. These products will include a pocketsize USB-powered modem that, even at the maximum level of full-rate bandwidth, eliminates the need for an external modem power supply. Xpeed is currently designing other products based on Centillium ADSL chipsets.

Centillium's CPE products also support the requirements of the Japanese ADSL market, making it the only proven and deployed solution that supports both Japan and the rest of world on a single platform. By integrating Annex C support, Centillium provides Xpeed with flexibility, enabling them to design a modem solution for global markets.

"In the growing field of DSL chipset suppliers, Centillium really stands out as the innovator that is making broadband communications a mass-market reality," said Richard D'sa, vice president of marketing and sales for Xpeed Networks. "Centillium's philosophy of developing high-performance and cutting-edge technology aligns with our own strategy, and we look forward to working closely with Centillium to develop exciting new CPE solutions for both incumbent and competitive local exchange carriers."

"We are extremely pleased to announce this major design win and strategic partnership with Xpeed," said Dori Braun, director of marketing for CPE, Centillium Communications. "Xpeed has been very successful in penetrating not only U.S. local exchange carriers, but also DSL markets in the Pacific Rim. Centillium's Annex C technology provides Xpeed with an ideal solution for developing a single hardware device that will operate across multiple international markets."

Centillium's Flite Optimizer and CopperFlite Solutions
Each of the Flite Optimizer and CopperFlite Utopia chipsets with companion 5 volt only Line Driver deliver a complete multi-mode ADSL modem with just three chips, significantly reducing the form factor, power-usage, component count, and costs normally associated with broadband access devices. With no external microcontroller, memory or Voltage Control Crystal Oscillator (VCXO) requirements, both CPE chipset solutions allow manufacturers to design and build CPE with fewer components. This results in higher assembly yields and reduces Bill of Material (BOM) costs by approximately 25 percent compared with existing routers.

The highly flexible and programmable platform makes it easy for DSL systems manufacturers to design CPE for both mass-consumer and business markets. Centillium's CPE chipsets dramatically reduce hardware engineering and software development efforts by including a suite of reference designs, system code, and software for turnkey designs.

Both products integrate USB and PC-centric Peripheral Component Interconnect (PCI) interfaces, Mini-PCI, and CardBus interface. In addition, these solutions support full-rate, G.lite Turbo and G.lite industry standards, including ITU G.992.1 (G.dmt), ITU G.992.2 (G.lite), and ANSI T1.413 Issue 2. The products also support voice-over-Pulse Code Modulation (PCM), which provides uncompressed channelized toll-quality voice services.

About Xpeed Networks
Xpeed Networks Inc. is a privately held company specialized in developing affordable DSL access devices for the broadband market. Xpeed's PCI, USB and Ethernet adapters ensure subscriber satisfaction through ease-of-use, robustness and interoperability. Xpeed markets its ADSL, Integrated Services Digital Network Digital Subscriber Line (IDSL), and Symmetrical Digital Subscriber Line (SDSL) products internationally through strategic partnerships with Regional Bell Operating Companies (RBOCs), Competitive Local Exchange Carriers (CLECs), Internet Service Providers (ISPs), and Original Equipment Manufacturers (OEMs). Xpeed is headquartered in the heart of Silicon Valley at 99 West Tasman Drive, Suite 110, San Jose, CA 95134. For additional information see www.xpeed.com or call toll free 888-973-3307.

About Centillium Communications
Centillium Communications, Inc. is combining technical innovation and customer commitment to make broadband communications a market reality. Centillium consistently delivers value to its customers by providing broadband networking systems for applications across all market segments. The company designs and markets communications chipset solutions for central office equipment, digital loop carrier (DLC) line cards, and customer premise equipment for Digital Subscriber Line (DSL), Voice over Packet (VoP) and Premise Networking. The Centillium Communications headquarters are located at 47211 Lakeview Blvd., Fremont, CA 94538. Additional information is available at www.centillium.com.

Forward Looking Statements
Except for historical information contained in this press release, the foregoing contains forward-looking statements that involve risks and uncertainties. Actual results may differ materially from those indicated by such forward-looking statements based on a variety of risks and uncertainties, including the risks and uncertainties relating to actual quantities and timing of any orders received under the contract and the successful development and market acceptance of Centillium's new products. The company assumes no obligation to update these forward-looking statements to reflect events or circumstances after the date hereof. Information about potential factors that could affect Centillium's financial results is included in Centillium's Annual Report on Form 10-K and most recent Quarterly Report on Form 10-Q, available for viewing on the Securities and Exchange Commission's website at www.sec.gov.

Centillium Communications and the Centillium logo are trademarks of Centillium Communications.

Copyright 2003 Centillium Communications, Inc. All rights reserved. All other products or service names mentioned herein are the property of their respective owners.

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