SST Completes Acquisition of G-Plus Purchase of Wireless IC Company Expected to Accelerate Growth of Embedded SuperFlash in Wireless Communications Applications SUNNYVALE, Calif., Nov. 10 /PRNewswire-FirstCall/ -- SST (Silicon Storage Technology, Inc., Nasdaq: SSTI), a leader in flash memory technology, today announced it completed its acquisition of substantially all of the assets of privately held G-Plus, Inc. on November 5, 2004. G-Plus is a Santa Monica, California-based fabless semiconductor manufacturer specializing in the design of radio frequency integrated circuits for wireless multimedia and broadband networking system applications. The acquisition of G-Plus was paid in a combination of cash and, approximately 3 million shares of, SST common stock. The acquisition is valued at approximately $26.7 million and is expected to qualify as a tax-free transaction. SST Communications Corporation, a newly created wholly-owned subsidiary of SST, will operate the business of G-Plus. About SuperFlash Technology SST's SuperFlash technology is a NOR type, split-gate cell architecture which uses a reliable thick-oxide process with fewer manufacturing steps resulting in a low-cost, nonvolatile memory solution with excellent data retention and higher reliability. The split-gate NOR SuperFlash architecture facilitates a simple and flexible design suitable for high performance, high reliability, small or medium sector size, in- or off-system programming and a variety of densities, all in a single CMOS-compatible technology. About Silicon Storage Technology, Inc. Headquartered in Sunnyvale, California, SST designs, manufactures and markets a diversified range of nonvolatile memory solutions, based on proprietary, patented SuperFlash technology, for high volume applications in the digital consumer, networking, wireless communications and Internet computing markets. SST's product families include various densities of high functionality flash memory components, flash mass storage products and flash microcontrollers. SST also offers its SuperFlash technology for embedded applications through its world-class manufacturing partners and technology licensees including 1st Silicon (Malaysia) Sdn. Bhd., Grace Semiconductor Manufacturing Corporation (Grace), IBM, Motorola, Inc., National Semiconductor Corporation, NEC Corporation, Oki Electric Industry Co. Ltd., Samsung Electronics Co. Ltd., SANYO Electric Co., Ltd., Seiko Epson Corp., Shanghai Hua Hong NEC Electronics Co., Ltd., Taiwan Semiconductor Manufacturing Co. Ltd. (TSMC), Toshiba Corporation, Vanguard International Semiconductor Corporation and Winbond Electronics Corp. TSMC offers embedded SuperFlash under its trademark Emb-FLASH. Further information on SST can be found on the company's Web site at http://www.sst.com/. Forward-Looking Statements Except for the historical information contained herein, this news release contains forward-looking statements regarding the acquisition of G-Plus, Inc., flash memory market conditions, SST's future financial performance, the performance of new SST products and SST's ability to bring new products to market, that involve risks and uncertainties. These risks may include the integration of G-Plus with SST, the retention of the G-Plus employees, the timely development, acceptance and pricing of new products by SST following the acquisition, the terms and conditions associated with licensees' royalty payments, the impact of competitive products and pricing, and general economic conditions as they affect SST's customers, as well as other risks detailed from time to time in SST's SEC reports, including the Annual Report on Form 10-K for the year ended December 31, 2003, as amended and on Form 10-Q for the quarters ended March 31, and June 30, 2004. For more information about SST and SST's comprehensive list of product offerings, please call 1-888/SST-CHIP. Information can also be requested via email to or through SST's Web site at http://www.sst.com/. SST's head office is located at 1171 Sonora Court, Sunnyvale, Calif.; telephone: 408/735-9110; fax: 408/735-9036. NOTE: The SST logo and SuperFlash are registered trademarks of Silicon Storage Technology, Inc. Emb-FLASH is a trademark of TSMC. All other trademarks or registered trademarks are the property of their respective holders. CONTACT: Sohrab Kianian, Sr. Director, Technology Licensing & Business Development of Silicon Storage Technology, Inc., +1-408-735-9110, or ; or Steve Gabriel of Porter Novelli, +1-408-369-1500, ext. 627, or , for Silicon Storage Technology. DATASOURCE: Silicon Storage Technology, Inc. CONTACT: Sohrab Kianian, Sr. Director, Technology Licensing & Business Development of Silicon Storage Technology, Inc., +1-408-735-9110, or ; or Steve Gabriel of Porter Novelli, +1-408-369-1500, ext. 627, or , for Silicon Storage Technology Web site: http://www.sst.com/

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