Inventing the future

Product category: Communications ICs (Wired)
News Release from: Cypress Semiconductor
Edited by the Electronicstalk Editorial Team on 13 July 2001

Cypress gets into bed with Lucent

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Cypress Semiconductor has signed a Strategic Alliance Agreement with Lucent Technologies to strengthen the relationship between the two companies

Under the terms of the agreement, Cypress and Lucent will share critical technology, capacity and projected pricing information early in the design cycle. They will also establish a personnel exchange programme to facilitate inter-company learning. The groundbreaking arrangement - believed to be the first of its kind between a major communications systems company and a semiconductor supplier - gives Cypress access to information about key Lucent technologies, system architectures and product development roadmaps in advance of actual design cycles.

Cypress will use the information to align its product plans and overall corporate strategy with Lucent's and to provide Lucent with superior customer service and responsiveness.

For its part, Lucent receives Most Favoured Customer status from Cypress, along with multiyear wafer capacity guarantees and a commitment by Cypress to document progress toward continuous quality and customer service improvement and cycle- and lead-time reduction.

The agreement also underscores Cypress's intent to provide web-based access to technical and business information and to the use of compatible tools to facilitate e-business and e-commerce.

"This alliance underscores Cypress's arrival as a true data communications company with a broad range of solutions across networking linecards, and it also takes an already productive, long-term relationship between Cypress and Lucent to a new level", said Cypress president and CEO TJ Rodgers.

"Cypress gains the ability to launch communications solutions for Lucent generations ahead of actual product design cycles.

We will also be able to absorb system-level expertise from one of the world's pre-eminent electronics OEMs".

Under the arrangement, Cypress agreed to provide preproduction samples and "risk builds" on request, to assure that Lucent consistently evaluates Cypress's most technologically advanced solutions.

In allocated markets, Cypress agreed to provide supply commensurate with the new strategic relationship.

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Inventing the future