Agoura Hills, CA, April 9, 2001 – Internet Machines Corporation, a fabless semiconductor company offering a complete family of highly integrated, protocol-independent communications integrated circuits (ICs), announced today that it has been named to LocalBusiness.com’s “50 to Watch” list for the second quarter of 2001. The lists, compiled by reporters in 24 major U.S. markets, provide in-depth information about 1,150 companies reshaping the economy. Internet Machines was also included in the “50 to Watch” in the first quarter of 2001. LocalBusiness.com compiles "50 to Watch" lists every quarter based on criteria such as significant venture capital funding, major technological innovation, economic challenges and uncertain markets.

Earlier this month, Internet Machines announced its strategy for a new generation of highly integrated, protocol-independent network processors and switch fabrics for developers of optical core routers and switches, metro core and aggregation systems, and storage area network systems. In addition, the company announced the shipment of its first customer deliverable, a software development kit (SDK) for its network processor.

Chris Hoogenboom, Internet Machines’ president, CEO and founder, commented, "We’re very pleased to be listed for two consecutive quarters. Inclusion in the ‘50 to Watch’ illustrates our bright future as we deliver products for the OC-192 and OC-768 networking markets, which are still showing strong growth.”

About Internet Machines
Internet Machines is a fabless semiconductor company that offers the IMpower™ family of highly integrated communications ICs for OC-192c and 10 Gbps optical, metro area network and Internet infrastructure equipment. The protocol independent IMpower family consists of the NPE10 network processing engine, the TMC10 traffic management co-processor, the SE200 switch element, and the Development Workbench software development kit. This powerful array of wire-speed, fully programmable semiconductors and software simplifies development and greatly shortens the system vendor's time to market. The ICs work together or individually to deliver a highly flexible, interoperable, and field upgradeable solution. The company is headquartered in Agoura Hills in Southern California, with design centers located in San Diego and Irvine, and sales offices in San Jose, California, and Boston, Massachusetts.

For more information, contact:

Kathy Tebben
818.575.2175
[email protected]