Dialog Semiconductor and TSMC Collaborate on Industry-Leading BCD Process for Power Management ICs

Dialog raises level of power management integration to address needs of future portable devices such as smartphones, ebooks, netbooks

KIRCHHEIM/TECK, Germany and HSINCHU, Taiwan, R.O.C., February 23, 2010 - Dialog Semiconductor plc (FWB: DLG), a leading provider of highly
integrated innovative power management semiconductor solutions, today
announced that the company is working closely with foundry partner Taiwan
Semiconductor Manufacturing Company (TWSE: 2330, NYSE: TSM) on a
bipolar-CMOS-DMOS (BCD) technology specifically tailored to high-performance
power management ICs for portable devices.

The 0.25-micron high-voltage process node enables higher voltage
functionality to be integrated efficiently into single chip power management
ICs, increasing cost efficiencies and expanding the addressable market for
Dialog solutions.

The ability to integrate higher voltage and more efficient components is
an important feature of Dialog's next generation PMICs, and enables the
creation of smaller form factor devices with reduced power consumption. A
broad range of proprietary IP blocks, based on TSMC's 0.25um BCD process
nodes, have already been developed for incorporation into Dialog's next
generation PMICs, with the first devices already available. The designs
deliver the industry's leading power management performance for portable
devices.

"Close collaboration of our innovative technology with foundry partners
is key to Dialog's strategic business model, which accelerates the
development of the highest level of power management integration in the
industry," said Dr Jalal Bagherli, CEO of Dialog Semiconductor. "Through our
ongoing and longstanding collaboration with TSMC, we are able to provide our
customers with validated low-power technologies to manage their power
management needs and meet aggressive time-to-market goals."

"TSMC consistently delivers cutting edge technology platforms that
include integrated design collaterals," said Jason Chen, Vice President of
Worldwide Sales and Marketing at TSMC. "Dialog is one of the technology
leaders, bringing the best power management experiences possible to portable
users through extended battery lifetime in portable devices. We are proud to
be a strategic supplier to them."

    Dialog contact:

    Birgit Hummel, Dialog Semiconductor, Neue Strasse 95,D-73230
    Kirchheim/Teck-Nabern, Germany.

    Tel:     +49-7021-805-412      e-mail:   birgit.hummel@diasemi.com
    Fax:     +49-7021-805-200      Web:      www.dialog-semiconductor.com

    Rob Ashwell, Publitek Limited, 18 Brock Street, Bath,
    BA1 2LW, United Kingdom

    Tel:     +44-(0)-1225-470000    e-mail:   rob.ashwell@publitek.com

    TSMC contact:

    J.H.Tzeng, Deputy Director PR Department

    Tel:     + 886-3-5055028       Fax:      +886-3-5670121
    email:   jhtzeng@tsmc.com

    Michael Kramer, Senior Administrator, PR Department

    Tel:     +886-3-5636688        Fax:      +886-3-5670121
             ext. 712-6216
    email:   cychung@tsmc.com

About Dialog

Dialog Semiconductor creates energy-efficient, highly integrated,
mixed-signal circuits optimised for personal mobile, lighting & display and
automotive applications. The company provides flexible and dynamic support,
world-class innovation and the assurance of dealing with an established
business partner.

With its unique focus and expertise in system power management, Dialog
brings decades of experience to the rapid development of integrated circuits
for power management, audio, display processing and motor control. Dialog's
processor companion chips are essential for enhancing both the performance of
hand-held products and the consumers' multimedia experience. With world-class
manufacturing partners, Dialog operates a fabless business model.

Dialog Semiconductor plc is headquartered near Stuttgart with a global
sales, R&D and marketing organisation. In 2009, it had approximately $218
million in revenue and was one of the fastest growing European public
semiconductor companies. It currently has approximately 340 employees. The
company is listed on the Frankfurt (FWB: DLG) stock exchange.

About TSMC

TSMC is the world's largest dedicated semiconductor foundry, providing
the industry's leading process technology and the foundry's largest portfolio
of process-proven libraries, IPs, design tools and reference flows. The
Company's managed capacity in 2009 totaled 9.96 million (8-inch equivalent)
wafers, including capacity from two advanced 12-inch GIGAFABs(TM), four
eight-inch fabs, one six-inch fab, as well as TSMC's wholly owned
subsidiaries, WaferTech and TSMC China, and its joint venture fab, SSMC. TSMC
is the first foundry to provide 40nm production capabilities. Its corporate
headquarters are in Hsinchu, Taiwan. For more information about TSMC please
visit www.tsmc.com.

Birgit Hummel, Dialog Semiconductor, +49-7021-805-412, fax, +49-7021-805-200, birgit.hummel at diasemi.com; or Rob Ashwell, Publitek Limited for Dialog Semiconductor, +44-(0)-1225-470000, rob.ashwell at publitek.com; J.H.Tzeng, Deputy Director PR Department, + 886-3-5055028, fax, +886-3-5670121, jhtzeng at tsmc.com, or Michael Kramer, Senior Administrator, PR Department, +886-3-5636688 ext. 712-6216, fax, +886-3-5670121, cychung at tsmc.com, both of TSMC