OTTAWA, CANADA (NYSE: ZL) today introduced its second-generation Le79114 Voice Control Processor (VCP II). This latest product supports 64 simultaneous call control channels and meets the needs of multiservice access infrastructure equipment manufacturers by enhancing call processing and critical line-testing (LineCare(TM)) capabilities. The Le79114 also supports all functionality of the widely deployed first-generation Le79112 VCP.

LineCare, Zarlink's carrier-grade line diagnostic software, runs on the voice control processor and is the industry's most extensive line test and self-test software package, exceeding the GR844 standard. Telecommunication carriers make use of LineCare to remotely monitor networked subscriber lines more cost-effectively by eliminating the need of expensive test-head equipment.

"The Le79114 improves call processing within the communications network," said Shahin Sadeghi, segment marketing manager at Zarlink. "Today's digital networks bring together voice, video and data, challenging the industry to improve the quality of service for each offering while reducing the solution cost and increasing density. The Le79114, in conjunction with the Zarlink VE790 SLIC-SLAC family, allows service providers to test and provision telephony lines at low cost, yet maintain carrier-grade quality."

Incumbent and new communications carriers worldwide are overhauling existing networks or deploying new equipment to accommodate an increasing consumer demand for voice, video and Internet services.

"The ability to remotely monitor, test and fix telecom infrastructure issues is a critical need for the expanding and changing communications network," said Mr.Xu Ming, Product General Manager, Network Division, ZTE Corporation, a global tier one telecom provider. "Zarlink's LineCare and voice processing solutions help us to provide the highest possible level of support for our customers as we deploy our products, while significantly reducing our time-to-market."

The Le79114 Voice Control Processor II (VCP II) with LineCare supports 64 simultaneously active voice channels and implements critical real-time call control with signaling and monitoring functions. As a standalone product, manufacturers can divide and optimize low level call control and monitoring that have strict real-time requirements from DSP-intensive processing elsewhere in the system. The VCP II is a fully software-programmable line interface supporting multiple country applications as well as all AC, DC, signaling parameters and data.

Availability and Additional Information

The Le79114 device is available in a 128-pin TQFP package and is now in production. For more information on Zarlink's Legerity product line, please visit www.legerity.com.

About Zarlink Semiconductor

For over 30 years, Zarlink Semiconductor has delivered semiconductor solutions that drive the capabilities of voice, enterprise, broadband and wireless communications. The Company's success is built on its technology strengths including voice and data networks, optoelectronics and ultra low-power communications. For more information, visit www.zarlink.com.

Shareholders and other individuals wishing to receive, free of charge, copies of the reports filed with the U.S. Securities and Exchange Commission and Regulatory Authorities, should visit the Company's web site at www.zarlink.com or contact Investor Relations.

Certain statements in this press release constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements involve known and unknown risks, uncertainties, and other factors which may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance, or achievements expressed or implied by such forward-looking statements. Such risks, uncertainties and assumptions include, among others, the following: our dependence on the successful development and market introduction of new products; our dependence on revenue generation from our legacy products in order to fund development of our new products; our ability to successfully integrate Legerity and any businesses acquired in the future; any potential undisclosed liabilities associated with the Legerity acquisition; our ability to operate profitably and generate positive cash flows in the future; our dependence on our foundry suppliers and third-party subcontractors; order cancellations and deferrals by our customers; and other factors referenced in our Annual Report on Form 20-F. Investors are encouraged to consider the risks detailed in this filing.

Zarlink and the Zarlink Semiconductor logo are trademarks of Zarlink Semiconductor Inc.

Contacts: Zarlink Semiconductor Inc. Ed Goffin Media Relations 613-270-7112 edward.goffin@zarlink.com Mike McGinn Investor Relations 613-270-7210 mike.mcginn@zarlink.com

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