Press Release

SMedia and HI Enter into Alliance for
3D Graphics Technology and Marketing

HI CORPORATION (Headquarter: Meguro-ku, Tokyo; president and CEO: Kazuo Kawabata hereinafter "HI") announces today that SMedia Technology Corp. (Headquarter: Hsinchu City, Taiwan; CEO: Mr. H.Y. Lin hereinafter "SMedia") has agreed to mutually optimize the 3D Graphics technology and promote its products as comprehensive solution to mobile device manufacturers.

This integration of technology will allow SMedia to optimize its Glamo® products, the power-saving complete 3D hardware accelerators with rich functionality supporting OpenGL® ES and M3G (JSR184), for HI's MascotCapsule®, the most-used 3D rendering engine across the world and promote them as total solution packaged with sample Java games.

The solution will enable mobile device manufactures to expect efficient development of the high-performance 3D mobile game environment and also to provide content providers with 3D graphics platform with optimized combination of accelerator and 3D rendering engine.

SMedia has a plenty of experience with the mobile device manufacturers in Taiwan and China. The partnership will greatly contribute to expanding and revitalizing the market for 3D contents especially in Asia.