Microsoft Corp (MSFT)

HSINCHU, Taiwan -- Microsoft Corp. and MediaTek
Inc., a leading fabless semiconductor company for wireless communications and
digital multimedia solutions, today announced a strategic partnership to
provide a multimedia-rich smart phone solution primarily aimed at emerging
markets. As a result of this deal, consumers will be able to buy a wide range
of feature-rich Windows phones with the best cost-performance ratio in the
market.

While smartphones have long been gaining traction in developed countries,
a number of analysts predict that the best years of growth are still to come
from emerging markets. With its long-standing cooperation with handset makers
and market experience, MediaTek expects this partnership with Microsoft to
drive smartphone penetration in the targeted markets.

Built on the Windows Phone 6 platform, these multimedia-rich smartphones
will have full touch capabilities and offer advanced communication features
including email and Internet access.

"There is a huge thirst for smartphones in emerging markets. For many
people, the phone rather than the PC is the main entry point to the Internet,
resulting in a high demand for rich communication devices. In order to meet
this demand, we have teamed up with MediaTek to facilitate the provision of
affordable smartphones," said Daren Mancini, General Manager for OEM Mobile,
Microsoft.

"MediaTek is enabling handset manufacturers to optimize their product
offerings to address a larger audience with competitive pricing on our
smartphone solutions," said JiChang Hsu, Executive Vice President of MediaTek.
"Together with Microsoft and our partner network, we look forward to providing
wireless communication solutions that help people enjoy richer mobile and
multimedia lives. We believe our products and services will continue to meet
people's future needs for entertainment, communication, and information."

About MediaTek

MediaTek Inc. is a leading fabless semiconductor company for wireless
communications and digital multimedia solutions. The company is a market
leader and pioneer in cutting-edge SOC system solutions for wireless
communications, high-definition TV, optical storage, DVD and Blu-ray products.
Founded in 1997 and listed on Taiwan Stock Exchange under the code "2454",
MediaTek is headquartered in Taiwan and has sales and research subsidiaries in
Mainland China, Singapore, India, U.S., Japan, Korea, Denmark and England. For
more information, please visit MediaTek's website at http://www.mediatek.com .

    Contact:

     Sharon Lo
     Tel: +886-3-567-0766
     pr@mediatek.com

SOURCE MediaTek Inc.