AN JOSE, Calif., Jan. 9 -- Altera Corporation (Nasdaq: ALTR) announced today that its Cyclone(TM) II and MAX® II devices have been chosen by General Dynamics C4 Systems, a business unit of General Dynamics (NYSE: GD), for multiple applications critical to the U.S. Department of Defense's Joint Tactical Radio System (JTRS) Cluster 5 design. General Dynamics selected Altera® programmable logic devices (PLDs) during the program's September 2005 component selection phase for use in handheld, manpack, and other small form-factor radios specified under the JTRS Cluster 5 program. Altera is a member of the team awarded the U.S. Department of Defense's $295 million System Development and Demonstration contract in July 2004.

Altera's versatile Nios® II processors and the high-performance digital signal processing (DSP) capabilities of its FPGAs are designed to shorten development time, reduce costs, and meet JTRS Cluster 5's stringent power consumption requirements. Using programmable logic will enable General Dynamics to integrate a high degree of functionality into a small physical space, which reduces weight, form factor, and power consumption. In addition, the flexibility of Altera's programmable solutions enables rapid engineering of advanced functions in shorter time than alternatives like DSP processors and application specific integrated circuits (ASICs).

"Working closely with our customer, we have met all program milestones to date and Cluster 5 is well on its way to meeting the performance and functionality requirements -- including the ability to run the networking waveform (Soldier Radio Waveform) -- for missions with fewer network nodes, lower data rates and lower power requirements," said Chris Brady, vice president of assured communications for General Dynamics C4 Systems.

As part of the component selection phase that ended in September, Altera demonstrated that its commercial, off-the-shelf (COTS) Cyclone II and MAX II devices met the technology and low power requirements necessary for JTRS Cluster 5 equipment. The low power consumption of Altera's Cyclone II and MAX II devices will contribute to longer operating times for Cluster 5 radio users in the field. The decision to use COTS devices allows General Dynamics to leverage leading-edge technologies and the economies of scale enjoyed by commercial products.

"The selection of Altera products by the prime contractor for JTRS Cluster 5 confirms Altera's expertise in software-defined radio (SDR) and builds upon the leadership capabilities it has already demonstrated in this emerging market," said Don Faria, senior vice president of Altera's application business groups. "The requirements for JTRS Cluster 5 were an important factor in how we defined our Cyclone II family. Successful wins such as the JTRS Cluster 5 subcontract underscore the reason why Altera places so much emphasis on working closely with our customers as partners in the development of our products."

About JTRS Cluster 5

Cluster 5 of the JTRS program will transform joint service operations by providing communication flexibility and adaptability to fighting forces. By delivering three different device types -- power-efficient manpack, handheld and small-form-factor applications -- the program will meet future warfighting needs for decades to come. As many as 14 applications or form factors could be called for under the contract, each driven by an advanced radio core the size of a credit card.

Currently, joint Military deployments require the services to rely on many makes, models and types of radios, and few of them communicate seamlessly with others. The JTRS program plans to replace the traditional hardware radios currently deployed with devices that can emulate any radio's capabilities by simply changing software. Fielded JTRS radios can be upgraded with new software via the Wireless information network. This ability to insert emerging technology into the JTRS system paves the way for broadening the radios' performance and creating new applications such as sensors for signals intelligence.

About Altera

Altera Corporation is the world's pioneer in system-on-a-programmable-chip (SOPC) solutions. Combining programmable logic technology with software tools, intellectual property and technical services, Altera provides high-value programmable solutions to approximately 14,000 customers worldwide. More information is available at www.altera.com.

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