AMBERWAVE ANNOUNCES JOINT RESEARCH AGREEMENT WITH PURDUE UNIVERSITY

AmberWave Systems Corporation and Purdue University cooperate to build semiconductor devices on advanced semiconductor materials

SALEM, N.H., March 24, 2006 – AmberWave Systems Corporation, the semiconductor industry's leading developer of intellectual property relating to strained silicon and other advanced material technologies, today announced a cooperative agreement with Purdue University to jointly develop technologies for the integration of semiconductor devices on III-V materials.

Richard Faubert, President and CEO of AmberWave said, "This partnership with Purdue continues AmberWave's tradition of working with leading research universities to advance promising semiconductor research to commercialization. We have been working on III-V material technology for some time and this collaboration with Purdue will significantly enhance that development. We are excited about this new relationship with Purdue and Dr. Ye."

The principal investigator working in this collaboration is Dr. Peide (Peter) Ye of Purdue's School of Electrical and Computer Engineering. Dr. Ye is an expert in III-V MOSFET technology and atomic layer deposition (ALD) and was previously a researcher at Bell Laboratories of Lucent Technologies and Agere Systems. Dr. Ye's background in solving the challenges of new materials development was the compelling reason for AmberWave's selection of Purdue as a partner in this research.

"AmberWave's experience at taking novel ideas from the research lab to the manufacturer was crucial to our decision to cooperate in this effort," said Dr. Ye. "AmberWave not only brings a strong development capability with expertise in deposition and defectivity in mixed-material systems, but also has an effective business development process with an ability to see results through to commercial use."

Purdue University's College of Engineering enrolls more than 6,400 undergraduate students and nearly 2,500 graduate students in 14 technical programs. In its most recent rankings, U.S. News and World Report places Purdue's engineering programs eighth nationally.

About AmberWave Systems
Founded in 1998, AmberWave Systems has become a leader in the research, development and licensing of advanced technologies for semiconductor manufacturing. By funding and guiding university research, AmberWave Systems is bringing new technology developments to fruition through patents and technology licensing. In conjunction with its university research projects, AmberWave Systems conducts its own research, development and limited manufacturing in its semiconductor fabrication facility in Salem, New Hampshire. In addition, AmberWave Systems collaborates with other technology focused companies to further expand and develop its research. For more information about the company, please visit its Web site at www.amberwave.com.