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STMicroelectronics and Audi Co-Operate to Accelerate Automotive Semiconductor Innovation

GENEVA — (Marketwire) — 10/22/12 — Premium car maker Audi and STMicroelectronics (NYSE: STM), a global semiconductor leader serving customers across the spectrum of electronics applications and a committed automotive semiconductor supplier since its birth in 1987, have announced a strategic relationship to drive the pace of automotive innovation by creating advanced semiconductor solutions.

Together, Audi and ST will co-develop semiconductor solutions in three key areas of automotive design: reduction of CO2 emissions, safety and security, infotainment and comfort. The collaboration of the companies aims to drive innovation actively while also securing product quality, guaranteeing supply and reducing time to market.

“We have chosen to work with ST as part of our Progressive Semiconductor Program (-PSCP-), to further proactively strengthen our involvement and demand on innovative -white-box- electronics,” said Ricky Hudi, Chief Executive Engineer Electrics/Electronics at Audi. “ST was a natural choice, as it has a broad technology portfolio, in-house manufacturing capabilities and a proven commitment to automotive.”

“We are delighted to be invited by a company such as Audi, a globally respected and innovative automotive brand, to join forces to deliver exciting new cars for their customers,” said Marco Monti, Executive Vice-President and General Manager, STMicroelectronics Automotive Product Group. “The Progressive Semiconductor Program is a clear demonstration of Audi-s commitment to innovation and recognition from the automotive world that only a true partnership attitude can lead to success. Partnering with customers is one of our key assets and has been for twenty-five years. We are now expanding into working more closely with car-makers, thanks to Audi-s innovative approach to what is the real enabler of innovation in the automotive industry: semiconductors.”

Industry analysts regularly report the increasing value of electronics and semiconductor content in cars. Globally, automotive semiconductor revenues are estimated at over $25 billion according to IHS iSuppli. Semiconductor technology has reached the heart of the car, enabling systems from advanced engine management for optimal performance and reduced emissions, to advanced safety and chassis systems such as anti-lock brakes, stability control and airbags, and comfort systems such as body and climate controls and infotainment.

The road ahead calls for rapid advancement of automotive ICs. Devices such as video processors for advanced driver assistance and navigation systems must deliver increased system on chip integration, using leading-edge manufacturing nodes such as 28nm advanced CMOS. The ultimate destination is full vehicle electrification allowing every load to be controlled electronically; from a simple oil pump to the main electric traction engine.

Recognizing the magnitude of the challenges of these demands, Audi and ST are combining Audi-s OEM applications knowledge with ST-s advanced semiconductor design skills, IP, and manufacturing process capabilities. ST has competencies spanning technologies such as its proprietary BCD Smartpower, advanced CMOS, embedded flash, non-volatile memory, VIPower for motor and LED-lighting control, power discretes (low and high voltage silicon, SiC, GaN), CMOS imaging, and MEMS motion sensors used throughout advanced chassis controls, safety systems and navigation devices. ST has its own fabrication capacity for automotive for all of these technologies.

ST is a global leader in the semiconductor market serving customers across the spectrum of sense and power technologies and multimedia convergence applications. From energy management and savings to trust and data security, from healthcare and wellness to smart consumer devices, in the home, car and office, at work and at play, ST is found everywhere microelectronics make a positive and innovative contribution to people-s life. By getting more from technology to get more from life, ST stands for life.augmented.

In 2011, the Company-s net revenues were $9.73 billion. Further information on ST can be found at .

ST Audi Cooperation:

ST Audi Cooperation_PHOTO:

STMicroelectronics
Michael Markowitz
Director Technical Media Relations
+1 781 591 0354

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