Agere Systems to reorganize into two groups

Aug. 24, 2001--Agere Systems, a provider of communications components, announced it will align its products under two new market-focused groups: Infrastructure Systems and Client Systems.

Agere Systems (NYSE: AGR.A), a provider of communications components, announced it will align its products under two new market-focused groups -- Infrastructure Systems and Client Systems -- that target the network equipment and consumer communications markets respectively.

The Infrastructure Systems group will leverage Agere's dual expertise in optoelectronics components and integrated circuits. The Client Systems group will focus on wireless data, computer communications and storage solutions to address the dynamic end-user applications market.

Infrastructure Systems Group

Agere will consolidate research and development, as well as marketing, for both optoelectronics and integrated circuits devices aimed at communications systems under the Infrastructure group. This will allow the company to design, develop and deliver complete, interoperable solutions to equipment manufacturers for advanced enterprise, access, metropolitan, long-haul and undersea applications.

Agere already provides integrated subsystems such as transponders, which combine lasers, light detectors and high-speed integrated circuits in a module slightly larger than a credit card. This enables communications systems manufacturers to reduce the overall costs of their systems, while improving performance and time to market.

Client Systems Group

The Client Systems group will focus primarily on wireless data and computer communications applications. The group will deliver semiconductor solutions for a variety of end-user applications such as modems, Internet-enabled cellular terminals and hard-disk drives for computers. In addition, the group will offer semiconductor, software, systems and wireless local area network (LAN) solutions through the ORiNOCO product family.

In addition, the company will combine the supply chain management and manufacturing activities of both optoelectronics components and integrated circuits devices under a new Operations group to bring a full-systems perspective to its manufacturing processes. This group will manage manufacturing and the full supply chain across both the Systems groups. Agere's Worldwide Sales group will support customers across the two Systems groups.

About Agere:

Agere Systems is a provider of components for communications applications in optical components and integrated circuits. For more information, visit www.agere.com.

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