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As a result of this settlement, the U.S. District Court for the Western District of Texas has granted the companies joint motion to dismiss all claims and counterclaims between the companies.

While neither company accepts or admits fault, the settlement generally provides that Cirrus Logic has been given an equity position in SigmaTel, and SigmaTel has been given a royalty bearing license, including payment of an initial cash royalty, to use U.S. Patent No. 4,851,841. No other terms and conditions of the settlement agreement were disclosed.

About Cirrus Logic

Cirrus Logic is a premier supplier of high-performance analog and DSP chip solutions for Internet entertainment electronics. Building on its global market share leadership in audio integrated circuits and its rich mixed-signal patent portfolio, the company targets high-volume audio, storage and communications applications. Cirrus Logic sells its products under the Crystal®, Maverick(tm) and 3Ci(tm) brands as well as its own name. Founded in 1984 in Silicon Valley, Cirrus Logic operates from headquarters in Austin, Texas and major sites located in Fremont, Calif. and Broomfield, Colo. as well as offices in Europe, Japan and Asia. More information about Cirrus Logic is available at www.cirrus.com.

Contact:

     Cirrus Logic Inc., Austin
     Stan Victor, 512/912-3643
     svictor@crystal.cirrus.com