Interactive Wear AG, a management-buyout from Infineon Technologies AG and a leading company in the field of wearable electronics, and austriamicrosystems AG, a leading supplier of high performance analog ICs, will expand their close cooperation, which had already started under Infineon.

Within the scope of a first joint project, Interactive Wear was granted access, as a European pilot customer, to the new multimedia chip AS3525. This product was developed by austriamicrosystems and has recently been introduced to the market. Interactive Wear will employ the powerful single chip music player IC for the MP3, WMA, Ogg Vorbis and AAC audio formats to build a platform for its future wearable embedded systems in the entertainment and body monitoring fields. In return, Interactive Wear will assist austriamicrosystems in the integration of Bluetooth in austriamicrosystems’ MP3 reference design.

Andreas Röpert, Interactive Wear’s CEO, explains, “We are delighted that we were able to intensify our cooperation with austriamicrosystems in such a short time after the successful takeover of the wearable electronics activities from Infineon in June this year, and have already achieved first results. Apart from infotainment, entertainment and communication, our new platform based on the multimedia chip AS3525 opens up a wide variety of additional application areas, such as sports, medicine and security technology.“

Alexander Harrer, Senior Vice President and General Manager of the Communications business unit at austriamicrosystems, adds, “Our cooperation with Interactive Wear is a classic win-win situation. The innovative development team in Wessling gains a technological edge through its early access to our multimedia chips, which are particularly powerful and extremely power-saving at the same time. We, on the other hand, benefit from Interactive Wear’s experience in the field of Bluetooth and expect the exploration of new application areas. The first solutions achieved on this basis will be presented to our customers at the Computer Electronics Show CES, held in Las Vegas from January 5-8, 2006.“

Low-power solutions as a crucial factor for market success

State-of-the-art ICs enabled the development of applications that were considered unthinkable only a short time ago. Now the textile industry, as one of the largest industries relevant to virtually all of us, can offer the benefits of intelligent functions, which are realized, for the first time, by integrating electronics within textiles. This offers very attractive market prospects for such “intelligent textiles“.

"In 2004, the world market for wearable systems reached a volume worth more than 200 million US-Dollars and is likely to expand over 20 % annually", said Mark Shumka, Senior Analyst for Mobile and Wireless at Venture Development Corporation VDC. "Apart from functionality, comfort and fashion, a decisive driving force in this market is low power consumption."

Lowest power consumption is a key benefit of austriamicrosystems solution. The company’s expertise in low power and high accuracy is demonstrated by industry-leading, highly integrated analog ICs for communication, industrial, medical and automotive applications.

Definition “Wearable Electronics“
“Wearable Electronics“ refers to the functional, robust and fit-for-everyday-use implementation of microelectronics systems in innovative textiles or clothing (“Smart Clothes“). Ultra-compact low power chips in innovative packaging, attached to the textile fabrics and interconnected by thin conductors woven into the fabric enable the integration of electronic functions in garments.

Project partners with innovative ideas for the concept of “Wearable Electronics“ are at the starting blocks. A new wave of innovations for the textile industry is about to emerge.

About Interactive Wear
Interactive Wear AG concentrates on the integration of electronic functions, components and systems into textile products. At its disposal is one of the world’s leading platforms for wearable electronics technology. The company has positioned itself as both an electronics specialist for the textile industry and a textile specialist for the electronics industry. As a one-stop shop with a solid claim to market leadership, Interactive Wear covers all developmental and production phases in the “wearable electronics” area - from consulting to custom development projects and all the way to the delivery of complete products that are ready for volume sales. For OEMs and ODMs, Interactive Wear supplies tailored production solutions. Besides fashion trends, the target markets primarily include sportswear and healthwear, safety clothing and protective workwear. Further information is available at www.interactive-wear.com

About austriamicrosystems
austriamicrosystems is a leading designer and manufacturer of high performance analog ICs, combining more than 20 years of analog design capabilities and system know-how with its own state-of-the-art manufacturing and test facilities. austriamicrosystems leverages its expertise in low power and high accuracy to provide industry-leading customized and standard analog products. Operating worldwide with more than 800 employees, austriamicrosystems focuses on the areas of power management, sensors & sensor interfaces, portable audio and car access through its business units Communications, Industry & Medical, Automotive and Full Service Foundry. austriamicrosystems is listed on the SWX Swiss Exchange in Zurich (ticker symbol: AMS).