Broadcom's New Enterprise IP Phone Chip Brings Next-Generation Features and Capabilities to Mid-Range IP Phones

New Voice over Internet Protocol (VoIP) Chip Further Enables Cost-Effective Market Transition to IP Phones

BOSTON, Fall 2005 VON Conference & Expo, Sept. 20 /PRNewswire-FirstCall/ -- Broadcom Corporation (NASDAQ: BRCM), a global leader in wired and wireless broadband communications semiconductors, today announced a new enterprise IP phone chip that incorporates voice security, advanced quality of service (QoS) and Gigabit Ethernet (GbE) switching, with an architecture and performance designed for cost-effective mid-range IP phones. The new single-chip Broadcom(R) BCM1104 enterprise IP phone device complements the company's industry leading BCM1103 GbE IP phone chip solution for high-end IP phones that was introduced earlier this year.

"Recognized as the fastest growing enterprise IP phone chip supplier by IDC, Broadcom offers Gigabit Ethernet IP phone chip solutions that have been rapidly adopted by nearly every leading enterprise IP phone manufacturer," said Patrick Sullivan, Vice President and General Manager of Broadcom's VoIP phone products. "Today's announced GbE IP phone chip delivers a market- leading feature set for cost-sensitive mid-range IP phones that don't require the highest level of performance. This new chip further strengthens our IP phone product portfolio, allowing us to offer the widest breadth of IP phone devices for a range of market requirements while continuing to distance us from our nearest competitor."

"Broadcom's comprehensive VoIP chip portfolio has the company well- positioned for continued growth and market share gain," said Norm Bogen, Director of networking at In-Stat. "The addition of a new mid-range VoIP processor to its product line-up demonstrates that the company understands the needs of both the enterprise and small business segments and has solutions and feature sets specific to each of these growing markets."

Product Information

Announced today is the BCM1104 IP phone chip, representing the second silicon device in Broadcom's family of Gigabit Ethernet IP phone chips. The new solution is based on a single RISC CPU with specialized digital signal processing (DSP) enhancements to achieve high levels of system-on-a-chip (SoC) integration with performance optimized specifically for voice processing requirements. The BCM1104 enables manufacturers to build IP phones with essential features that support advanced QoS including best-in-class voice quality, as well as guaranteed voice security, and custom features such as productivity applications and web services.

As part of this high level of integration, the BCM1104 chip incorporates Broadcom BroadSAFE(TM) security technology that enables the secure transmission of voice packets without burdening the device's RISC CPU. This enables the CPU to provide processing cycles for other applications resulting in faster system performance. The BCM1104's hardware security module performs voice encryption and authentication while creating a unique identifier that is embedded in each BCM1104 chip. This makes the BCM1104 and the IP phone in which it resides virtually impossible to decode or hack, since every phone in the network is given a unique identity. These advanced security features allow IT managers to maintain the integrity of corporate voice communications while accounting for all IP phone users in the network.

The BCM1104 also integrates a Gigabit Ethernet (10/100/1000 Mbps) switch and two Fast Ethernet (10/100 Mbps) transceivers, allowing for the development of traditional Fast Ethernet IP phone designs without the additional cost of adding external transceivers. Using external GbE transceivers, manufacturers can easily upgrade their products to GbE IP phone models now or in the future. As networks migrate to Gigabit Ethernet, it will become essential for IP phones to operate at the same speed. This capability is especially critical in office environments where the IP phone resides between the network connection and the PC. and its integrated Ethernet switch (two external ports) supports both voice calls through the phone and data traffic to the PC using one Ethernet connection to each office.

The BCM1104's high-performance RISC processor is optimized to support Broadcom's field-proven PhonexChange(TM) IP telephony software suite. PhonexChange is the software platform used across all of Broadcom's IP phone solutions, allowing existing phone customers to leverage current software development investments, which in turn, minimizes time-to-market and development risks when designing in the BCM1104. The PhonexChange suite supports a wide variety of narrowband and wideband voice coders, including Broadcom's high-fidelity BroadVoice(R) coder, a high quality full-duplex speakerphone algorithm, advanced jitter buffer management and packet loss concealment techniques, conferencing support, and a complete library of standard telephony algorithms required for IP phone designs.

The new chip further integrates a variety of IP phone peripherals, including wideband-capable analog codecs (coder/decoder) with integrated amplifiers, and provides flexible interfaces for external peripherals and memory types. This high level of integration reduces IP phone bill of material (BOM) costs and enables phone vendors to build scalable IP phone solutions using a single architecture.

Pricing and Availability

The BCM1104 is sampling today and is supported by the latest version of PhonexChange, which is also now shipping. The chip is available in a 420-pin PBGA lead-free package and is priced at $15 quantities of 10,000 units.

To assist IP phone manufacturers in bringing IP phone products to market more quickly, Broadcom has developed BCM9110x IP phone reference design platforms. These platforms include a complete GbE IP phone reference design board that allows developers to utilize all of the features of the BCM1104. The reference board includes a housing that features a large graphics display and comes with Broadcom's PhonexChange firmware and example application code.

Broadcom's Leadership Position in Voice IP Silicon Solutions

Broadcom's IP phone chips are the most advanced solutions in the industry, offering a range of both high-end, mid-range, and basic voice and data capabilities. These chips, combined with industry leading physical layer (PHY) technology, proven security and best-in-class voice quality, are enabling manufacturers to deliver economical solutions for migrating businesses to complete IP telephony systems.

Broadcom's VoIP solutions are shipping in volume production today to leading manufacturers worldwide for deployment in enterprise IP phones, residential terminal adapters, voice-enabled cable and DSL residential gateways worldwide and Wi-Fi(R) phones. According to IDC's "Worldwide VoIP Semiconductor 2004 Vendor Market Shares" report, Broadcom captured 38 percent of the IP phone chip market and was the only company that gained market share in 2004.

About Broadcom

Broadcom Corporation is a global leader in wired and wireless broadband communications semiconductors. Our products enable the convergence of high- speed data, high definition video, voice and audio at home, in the office and on the go. Broadcom provides manufacturers of computing and networking equipment, digital entertainment and broadband access products, and mobile devices with the industry's broadest portfolio of state-of-the-art system-on- a-chip and software solutions. These solutions support our core mission: Connecting everything(R).

Broadcom is one of the world's largest fabless semiconductor companies, with annual revenue of more than $2 billion. The company is headquartered in Irvine, Calif., with offices and research facilities in North America, Asia and Europe. Broadcom may be contacted at 1-949-450-8700 or at

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995:

All statements included or incorporated by reference in this release, other than statements or characterizations of historical fact, are forward- looking statements. These forward-looking statements are based on our current expectations, estimates and projections about our industry and business, management's beliefs, and certain assumptions made by us, all of which are subject to change. Forward-looking statements can often be identified by words such as "anticipates," "expects," "intends," "plans," "predicts," "believes," "seeks," "estimates," "may," "will," "should," "would," "could," "potential," "continue," "ongoing," similar expressions, and variations or negatives of these words. These forward-looking statements are not guarantees of future results and are subject to risks, uncertainties and assumptions that could cause our actual results to differ materially and adversely from those expressed in any forward-looking statement.

Important factors that may cause such a difference for Broadcom in connection with VoIP products such as the BCM1104 include, but are not limited to, general economic and political conditions and specific conditions in the markets we address, including the volatility in the technology sector and semiconductor industry, trends in the broadband communications markets in various geographic regions, and possible disruption in commercial activities related to terrorist activity or armed conflict in the United States and other locations; the rate at which our present and future customers and end-users adopt Broadcom's technologies and products in the markets for VoIP networking applications; delays in the adoption and acceptance of industry standards in those markets; our ability to scale our operations in response to changes in demand for our existing products and services or demand for new products requested by our customers; intellectual property disputes and customer indemnification claims and other types of litigation risk; our ability to specify, develop or acquire, complete, introduce, market and transition to volume production new products and technologies in a cost-effective and timely manner; the timing, rescheduling or cancellation of significant customer orders and our ability, as well as the ability of our customers, to manage inventory; the gain or loss of a key customer, design win or order; the availability and pricing of third party semiconductor foundry and assembly capacity and raw materials; our ability to timely and accurately predict market requirements and evolving industry standards and to identify opportunities in new markets; the quality of our products and any remediation costs; competitive pressures and other factors such as the qualification, availability and pricing of competing products and technologies and the resulting effects on sales and pricing of our products; our ability to retain, recruit and hire key executives, technical personnel and other employees in the positions and numbers, with the experience and capabilities, and at the compensation levels needed to implement our business and product plans; problems or delays that we may face in shifting our products to smaller geometry process technologies and in achieving higher levels of design integration; the timing of customer-industry qualification and certification of our products and the risks of non-qualification or non-certification; changes in our product or customer mix; the volume of our product sales and pricing concessions on volume sales; fluctuations in the manufacturing yields of our third party semiconductor foundries and other problems or delays in the fabrication, assembly, testing or delivery of our products; the risks of producing products with new suppliers and at new fabrication and assembly facilities; the effectiveness of our expense and product cost control and reduction efforts; the risks and uncertainties associated with our international operations, particularly in light of recent events; the effects of natural disasters, public health emergencies, international conflicts and other events beyond our control; the level of orders received that can be shipped in a fiscal quarter; and other factors.

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