TEXAS INSTRUMENTS PROJECTS 600% GROWTH IN CABLE MODEM CHIP MARKET SHARE IN 2000.

In less than a year and a half in the cable modem business, Texas Instruments Incorporated (NYSE: TXN) (TI) has garnered 30 percent of the market for data over cable service interface specification (DOCSIS) chips. TI estimates it will deliver three million of the nearly 10 million total units

Gartner Dataquest projects continued high growth in worldwide cable modem shipments during the next five years, with the potential to reach annual shipments of nearly 30 million units by the end of 2004, according to Patti Reali, senior analyst for Dataquest. North America will start to shift away from worldwide standalone cable modem units as the market shifts to integrated broadband access and voice devices, Reali said. Additionally, Dataquest forecasts strong regional growth in Asia Pacific countries, including Japan, Korea and Taiwan, as well as selected Latin American countries.

As the focus of the cable market shifts from high-speed data-only delivery to next-generation digital services such as voice and video, TI is uniquely positioned to realize even greater gains in market presence. TI already is the leader in voice-enabled cable modem technology with DOCSIS 1.1-ready hardware and software, industry-leading Telogy Software products and the world's most popular digital signal processors (DSP). As the market grows, TI is equipped to grow with it.

"Toshiba Corp. also has increased its share in the cable modem market in 2000," said Naotake Kurotsu, general manager of Toshiba's computer network platform division. "We appreciate TI's participation in our cable modem product development and we opted for TI because they share our commitment to deliver the high-performance, high-quality technology that is easily upgradeable as the market and our needs change."

TI recently unveiled its newest voice-enabled cable modem solution. By building upon its industry-leading voice technology, TI has enabled cable operators to provide bundled services across all market segments such as primary line telephony for residential gateways, secondary line telephony for voice enabled cable modems, and multi-line offerings for multi-dwelling units (MDUs).

"TI's DSP and software combination provides the technology required for real-time operations to enable digital voice and video services," said Eric Dewannain, general manager of TI's cable broadband communications business unit. "The market for next-generation services is ready to explode and TI is at the forefront of the technology vendors who will make it happen." ?