HSINCHU, Taiwan, December 15, 2003 -- UMC (NYSE: UMC; TSE: 2303), - a world leading semiconductor foundry, today announced a breakthrough Electromagnetic Design Methodology (EMDM) for RFCMOS designs that uses a combination of electromagnetic (EM) analysis tools working in conjunction with each other to reduce simulation cycle times from hours to just minutes. UMC’s new methodology, effectively eliminates what has traditionally been a tremendous time and resource intensive commitment for RF designers. The methodology was also created to greatly reduce overall development cycle times and costs for customers designing RFCMOS ICs.

S. C. Chien, division director of Central Research and Development at UMC, commented, “UMC is constantly seeking ways to better enhance the services available to our customers. With our innovative EMDM, the learning curve for 3D EM simulation tools has totally been eliminated. The inductor simulation process can now be thoroughly completed in as little as 20 minutes with a few clicks of a computer mouse, allowing UMC RF customers to realize a significant advantage over their competitors not using UMC's EMDM.”

The EMDM allows engineers to easily and accurately create any RF structure, such as spiral inductors, in their design without going through several wafer splits and the painful tasks of measurement, data fitting and modeling. UMC has already demonstrated the effectiveness of its EMDM with the successful creation of a “Virtual Inductor Library.”

About UMC's Virtual Inductor Library and the EMDM
For general inductor designs, the Virtual Inductor Library works by utilizing both real silicon measurement data and 3D EM simulation data to extract RF SPICE models with higher accuracy. This unique technology file can be positively represented within Si process parameters. Based on this calibrated technology file, designers can implement their ideas, and then obtain the S-parameter for circuit simulation.

The creation of the Virtual Inductor Library using the EMDM is just an example of the methodology's many capabilities. The EMDM will also be well suited for signal-integrity analysis such as cross-talk and parasitic RC analysis within the IC. Other RF elements that will benefit from the simulation tools and methodology include transformers, transmission Line, and even the effects of the chip packaging on the design, all calculated with very-high accuracy.

Customers interested in the EMDM or Virtual Inductor Library should contact their customer service representative directly.

Note Concerning Forward-Looking Statements
Some of the statements in the foregoing announcement are forward looking within the meaning of the U.S. Federal Securities laws, including statements about future outsourcing, wafer capacity, technologies, business relationships and market conditions. Investors are cautioned that actual events and results could differ materially from these statements as a result of a variety of factors, including conditions in the overall semiconductor market and economy; acceptance and demand for products; and technological and development risks.

UMC (NYSE: UMC, TSE: 2303) is a leading global semiconductor foundry that manufactures advanced process ICs for applications spanning every major sector of the semiconductor industry. UMC delivers cutting-edge foundry technologies that enable sophisticated system-on-chip (SOC) designs, including 90nm copper, 0.13um copper, embedded DRAM, and mixed signal/RFCMOS. UMC is also a leader in 300mm manufacturing; Fab 12A in Taiwan is currently in volume production for a variety of customer products, while Singapore-based UMCi is now in pilot production. UMC employs over 8,500 people worldwide and has offices in Taiwan, Japan, Singapore, Europe, and the United States. UMC can be found on the web at http://www.umc.com.