WINBOND BUYS STAKE IN NEXFLASH

SANTA CLARA, CA. – Feburary 1, 2001
NexFlash Technologies, Inc. today announced that Winbond International Corporation, an investment arm of Winbond Electronics Corporation (Winbond) will acquire a minority stake in NexFlash at fully diluted share count for an all cash transaction totaling $33 million. Approximately 45% of the proceeds will go directly to NexFlash, with the remainder going to existing preferred shareholders.

NexFlash, a Flash memory company with a strong intellectual property portfolio, was established in 1998 by Integrated Silicon Solution, Inc. (NASDAQ: ISSI). Winbond is a Taiwan based semiconductor company with annual revenues of approximately $1.5 billion.

"Partnering with Winbond will enable NexFlash to pool the resources to develop very advanced process technologies and products," said Mo Bandali, president of NexFlash. "In addition, the cash infusion will finance our growth as we go forward."

About NexFlash
NexFlash Technologies, Inc. (www.nexflash.com) designs and markets specialty Flash memories and develops and licenses embedded Flash intellectual property (IP). The Company holds numerous patents on its technology and products that are ideal for applications requiring high-density non-volatile storage with low power consumption. NexFlash is a privately held company formed by ISSI in 1998.

About Winbond
Winbond Electronics (www.winbond.com.tw) was established in 1987 in the Hsinchu Science-based Industrial Park, Taiwan. The company currently has a total of about 4,600 employees. Winbond’s main product lines include consumer and speech ICs, data communication ICs, memories, and microcontrollers as well as foundry services.

Safe Harbor Statement
Certain statements in this press release, including those related to NexFlash’s future growth, NexFlash’s intellectual property portfolio, and NexFlash’s access to very advanced process technologies are statements that are subject to risks and uncertainties that could cause actual results to differ from current expectations. These risks and uncertainties include risks related to changes in industry conditions, NexFlash’s ability to defend its patent portfolio, the success of joint process development, available wafer supply, possible political or economic instability in Taiwan, or other factors.