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Leading analog IC provider forms strategic business and technical partnership with privately-held developer and manufacturer of miniature motion systems

Partnership with ams enables New Scale to produce complete closed-loop motion systems that incorporate micro motors, drive electronics and position sensors in extremely small modules, ready for integration into OEM products.

Unterpremstätten, Austria and Victor, NY – January 17, 2008 – ams (SWX: AMS), a leading worldwide designer and manufacturer of high performance analog ICs for communications, industry, medical and automotive applications, and New Scale Technologies, Inc., a developer and manufacturer of miniature motion systems, today announced the completion of a Series B preferred equity transaction. ams made a $6 million investment in exchange for a 25% minority share in privately-held New Scale of Victor, NY.

The investment underscores a strategic partnership for product development and new business development in which the companies will integrate ams’ high-performance analog ICs with New Scale’s patented piezoelectric SQUIGGLE motors to create “disruptively small” motion systems. The partners are already working on the integration of New Scale’s tiny SQUIGGLE motors — the world’s smallest linear motors — with custom motor controller and position sensor ICs from ams. By reducing the supporting control electronics to single ICs, the partnership allows New Scale to create complete motion systems on the same scale as its miniature motors, currently less than 2 x 2 x 6 mm in size.

“This partnership enables us to produce a new line of disruptively small motion systems with best-in-class precision and power efficiency,” said David Henderson, CEO and CTO of New Scale. “Tapping ams expertise in power-efficient analog ICs and precision magnetic sensors, we can provide our customers with complete ‘closed loop’ motion solutions that incorporate micro motors, drive electronics and position sensors in extremely small modules, ready for integration into OEM products.”

As part of their strategic partnership, ams and New Scale are actively pursuing opportunities in auto focus and optical zoom modules for mobile phone cameras, actuators for electronic locks, micro fluidic systems for medical devices, and active control systems for automotive components.

“New Scale’s SQUIGGLE motor is a powerful new technology that will have a disruptive impact on communications, medical and automotive system product designs requiring small motion systems,” commented John Heugle, CEO of ams. “Our products enable New Scale to create the next generation of miniature motion modules; therefore we have decided to actively support New Scale’s market penetration strategy by entering into a strategic partnership and becoming a shareholder in New Scale. Our partnership will result in a complete solution that will accelerate market penetration for New Scale’s products and open up new applications for our high performance analog ICs.”

About ams

ams is a leading designer and manufacturer of high performance analog ICs, combining more than 25 years of analog design capabilities and system know-how with its own state-of-the-art manufacturing and test facilities. ams leverages its expertise in low power and high accuracy to provide industry-leading customized and standard analog products. Operating worldwide with more than 1,000 employees, ams focuses on the areas of power management, sensors & sensor interfaces, portable audio and car access in its markets Communications, Industry & Medical and Automotive, complemented by its Full Service Foundry activities. ams is listed on the SWX Swiss Exchange in Zurich (ticker symbol: AMS).

About New Scale Technologies

New Scale Technologies develops small, precise and smart motion systems for critical adjustments of optics in imaging devices and many other micro positioning applications. Our simple and elegant solutions deliver best-in-class performance in consumer imaging, biometric authentication, surveillance, medical devices, scientific instruments, haptic systems and many other markets. We design and manufacture custom products and license our technology to manufacturers worldwide. Our customers benefit from complete motion solutions that are tailored to their unique requirements and easily integrated into their next-generation instruments.

SQUIGGLE is a registered trademark, and New Scale Pathway and UTAF are trademarks of New Scale Technologies, Inc.

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