euro adhoc: Joint Ventures/Cooperation/Collaboration / austriamicrosystems completes equity investment in micro motor manufacturer New Scale Technologies

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New Products

17.01.2008

Leading analog IC provider forms strategic business and technical
partnership with privately-held developer and manufacturer of
miniature motion systems

Unterpremstaetten, Austria and Victor, NY USA (January 17, 2008) -
austriamicrosystems (SWX:AMS), a leading worldwide designer and
manufacturer of high performance analog ICs for communications,
industry & medical and automotive applications, and New Scale
Technologies, Inc., a developer and manufacturer of miniature motion
systems, today announced the completion of a Series B preferred
equity transaction. austriamicrosystems has made a $6 million
investment in exchange for a 25% minority share in privately-held New
Scale of Victor, NY.

The investment underscores a strategic partnership for product
development and new business development in which the companies will
integrate austriamicrosystems´ high-performance analog ICs with New
Scale´s patented piezoelectric SQUIGGLE motors to create
"disruptively small" motion systems. The partners are already working
on the integration of New Scale´s tiny SQUIGGLE motors, the world´s
smallest linear motors, with custom motor controller and position
sensor ICs from austriamicrosystems. By reducing the supporting
control electronics to single ICs, the partnership allows New Scale
to create complete motion systems on the same scale as its miniature
motors, currently less than 2 x 2 x 6 mm in size.

"This partnership enables us to produce a new line of disruptively
small motion systems with best-in-class precision and power
efficiency," said David Henderson, CEO and CTO of New Scale. "Tapping
austriamicrosystems´ expertise in power-efficient analog ICs and
precision magnetic sensors, we can provide our customers with
complete `closed loop´ motion solutions that incorporate micro
motors, drive electronics and position sensors in extremely small
modules, ready for integration into OEM products."

As part of their strategic partnership, austriamicrosystems and New
Scale are actively pursuing opportunities in auto focus and optical
zoom modules for mobile phone cameras, actuators for electronic
locks, micro fluidic pumps for medical devices, and active control
systems for automotive components.

"New Scale´s SQUIGGLE motor is a powerful new technology that will
have a disruptive impact on communications, medical and automotive
system product designs requiring small motion systems," commented
John Heugle, CEO of austriamicrosystems. "Our products enable New
Scale to create the next generation of miniature motion modules;
therefore we have decided to actively support New Scale´s market
penetration strategy by entering into a strategic partnership and
becoming a shareholder in New Scale. Our partnership will result in a
complete solution that will accelerate market penetration for New
Scale´s products and open up new applications for our high
performance analog ICs."

About New Scale Technologies New Scale Technologies
(www.newscaletech.com) creates disruptively small motion systems.
Based on its patented SQUIGGLE motor technology, New Scale invents,
manufactures and sells miniature ultrasonic motors and integrated
positioning systems. SQUIGGLE motors are powerful, precise, simple,
and compatible with extreme environments. These miniature motors
enable design engineers to create smaller products including mobile
phone cameras, electronic locks and fasteners, medical devices such
as micro pumps and endoscopes, imaging systems, automotive modules,
lasers, aerospace and defense systems, cryogenic and MRI-compatible
instruments, and micro fuel cells.

About austriamicrosystems austriamicrosystems is a leading designer
and manufacturer of high performance analog ICs, combining more than
25 years of analog design capabilities and system know-how with its
own state-of-the-art manufacturing and test facilities.
austriamicrosystems leverages its expertise in low power and high
accuracy to provide industry-leading customized and standard analog
products. Operating worldwide with more than 1,100 employees,
austriamicrosystems focuses on the areas of power management, sensors
& sensor interfaces, portable audio and car access in its markets
Communications, Industry & Medical and Automotive, complemented by
its Full Service Foundry activities. austriamicrosystems is listed on
the SWX Swiss Exchange in Zurich (ticker: AMS).

end of announcement euro adhoc
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ots Originaltext: austriamicrosystems AG
Im Internet recherchierbar: http://www.presseportal.de

Further inquiry note:

Moritz M. Gmeiner

Director Investor Relations

Tel: +43 3136 500-5970

Fax: +43 3136 500-5420

Email: investor@austriamicrosystems.com

Branche: Technology
ISIN: AT0000920863
WKN: 632638
Börsen: SWX Swiss Exchange / official dealing