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Phoenix Technologies and SanDisk Partner to Optimize Performance and Power of Next-Generation Mobile Computers

MILPITAS, Calif., Feb. 11 /PRNewswire-FirstCall/ -- Phoenix Technologies Ltd. (Nasdaq: PTEC), today announced a partnership with SanDisk Corporation, the world's largest supplier of flash data storage card products, to drive innovation for next-generation mobile computers. The companies will collaborate to optimize Phoenix core system firmware for SanDisk's solid state drives (SSDs) and Vaulter(TM) Disk to enable seamless operation, high performance and reduced power consumption for the rapidly growing mobile computing segment.

MILPITAS, Calif., Feb. 11 /PRNewswire-FirstCall/ — Phoenix Technologies Ltd. (Nasdaq: PTEC), today announced a partnership with SanDisk Corporation, the world's largest supplier of flash data storage card products, to drive innovation for next-generation mobile computers. The companies will collaborate to optimize Phoenix core system firmware for SanDisk's solid state drives (SSDs) and Vaulter(TM) Disk to enable seamless operation, high performance and reduced power consumption for the rapidly growing mobile computing segment.

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Additionally, the companies will collaborate to offer Phoenix HyperSpace(TM) combined with SanDisk's Vaulter Disk to offer a reliable, always-available, power efficient and secure instant-on environment to run purpose-built OEM applications such as multi-media players and Internet browsers, alongside the full power of Windows Vista(TM). Vaulter Disk is a flash-based module that works side-by-side with a PC's hard drive to store and launch the computer's operating system and software applications. This solution protects the OS from HDD mechanical failures and provides enhanced performance over a PC that has only a hard drive.

"The Phoenix-SanDisk partnership paves the way for OEMs to rapidly ship new ultra-light, high-performance notebooks and Mobile Internet Devices (MIDs)," said Woody Hobbs, President and CEO of Phoenix Technologies. "In addition, with the one-two punch of HyperSpace and Vaulter Disk, OEMs can now innovate and create entirely new highly differentiated notebooks that delight the mobile user and improve OEM profitability."

"The combination of these technologies enhances the performance advantages of SSDs over typical hard disk drives (HDDs)," said Rich Heye, Senior Vice President and General Manager for SanDisk's Solid State Drives (SSD) Business Unit. "As a result of the better user experience and improved performance enabled by this collaboration," Heye added, "OEMs are apt to accelerate the market trend of SSD adoption."

Phoenix Hyperspace is a compact and secure application environment on the PC that runs side-by-side with an OS such as Windows Vista. This new environment gives PC users the benefit of having key productivity applications available 'instant-on' in a very predictable fashion, while at the same time being able to run all of their Windows applications at full performance. Phoenix's vision for PC 3.0(TM), which includes ease-of-use, virtualization and mobile data security as key features, is based on the HyperSpace platform.

Vaulter Disk combined with Phoenix HyperSpace technology will deliver unmatched speed while providing instant-on applications that allow users to watch DVDs, surf the Web or access email in seconds after turning on their laptops. This solution has the added benefit of significantly lower battery power consumption and higher reliability and ruggedness than what users are familiar with in the traditional Windows environment.

About Phoenix Technologies

Phoenix Technologies Ltd. (Nasdaq: PTEC) is the global market leader in system firmware that provides the most secure foundation for today's computing environments. The PC industry's top builders and specifiers trust Phoenix to pioneer open standards and deliver innovative solutions that will help them differentiate their systems, reduce time-to-market and increase their revenues. The Company's flagship products, AwardCore, SecureCore, FailSafe and HyperSpace, are revolutionizing the PC user experience by delivering unprecedented security, reliability and ease-of-use. The Company established industry leadership with its original BIOS product in 1983, has 155 technology patents and 139 pending applications, and has shipped in over one billion systems. Phoenix is headquartered in Milpitas, California with offices worldwide. For more information on Phoenix CSS products and Phoenix HyperSpace, visit http://www.phoenix.com

Phoenix, Phoenix Technologies, Phoenix FailSafe, HyperSpace, HyperCore, PC 3.0 and the Phoenix Technologies logo are trademarks and/or registered trademarks of Phoenix Technologies Ltd. All other trademarks are the property of their respective owners.

SanDisk and the SanDisk logo are trademarks of SanDisk Corporation, registered in the United States and other countries. Vaulter is a trademark of SanDisk Corporation.

Safe Harbor

The statements in this release include forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, regarding, but not limited to, the expected benefits to mobile computer OEMs and end-users resulting from Phoenix's collaboration with SanDisk and the potential applications that may be based on the HyperSpace platform. These statements involve risks and uncertainties, including: technical challenges and delays, including code bugs and glitches; unexpected challenges relating to the relationship between Phoenix and SanDisk; our ability to attract and retain key employees; the product offerings of competitors, especially with respect to functionality and time-to-market; price competition; our ability to successfully market and sell core system firmware optimized for SanDisk products and/or the HyperSpace platform to our customers; the ability of our customers to introduce and market products that incorporate and leverage the optimized firmware and/or HyperSpace platform; end-market demand for applications that may be enabled by the HyperSpace platform; and our ability to adequately protect our intellectual property rights. For a further list and description of risks and uncertainties that could cause actual results to differ materially from those contained in the forward looking statements in this release, we refer you to the Company's filings with the Securities and Exchange Commission, including, but not limited to, its annual report on Form 10-K and quarterly reports on Form 10-Q. All forward-looking statements included in this release are based upon assumptions, forecasts and information available to the Company as of the date hereof, and the Company assumes no obligation to update any such forward-looking statements.

Contacts Shauli Chaudhuri Phoenix Technologies +1-408-570-1060 Public_relations@phoenix.com Cedric Vanhaver GlobalFluency/Neale-May for Phoenix Technologies +1-650-433-4154 phoenix@globalfluency.com

SOURCE Phoenix Technologies Ltd.

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