SUNNYVALE, Calif. — August 29, 2005 — OmniVision Technologies, Inc. (NASDAQ: OVTI), the world’s leading supplier of CMOS image sensors, today announced that it has signed a long term agreement with Lenovo Group Limited, China’s second largest handset maker, to be the strategic supplier of CMOS camera chips for Lenovo’s cellular phone business in China. Prior to this exclusive agreement, OmniVision has already supplied Lenovo with nearly 2 million CMOS sensors since Q4, 2004; a number that is expected to increase significantly under the new agreement.
China’s camera phone market, currently estimated at 34 million units annually, is growing at a rapid pace. According to market research firm TSR of Japan, by next year, more than 78 million or 56% of the estimated 140 million handsets sold in China will have one or more cameras in them. By 2008, 116 million or more than 70 percent of all cell phones sold in China will be camera phones.
“The market potential in China is huge, so teaming up with a leading handset maker like Lenovo is a major milestone for OmniVision and key to expanding our leadership position in the China market,” said Raymond Wu, Executive Vice President at OmniVision. “We believe that the performance, quality and attractive price point of our image sensors will help Lenovo strengthen its product portfolio and help build market share in the Chinese handset market.”
“OmniVision’s fast time-to-volume delivery of high performance image sensors played a key role in our selection,” Zhijun Liu, Vice President and General Manager of Lenovo Mobile Communication Technology Ltd. commented. “The combination of their strong local presence in China and their overall commitment to quality control and customer service made OmniVision the clear choice for Lenovo.”
Lenovo (HKSE: 992; ADR: LNVGY) is the world’s third-largest personal computing company. Formed by Lenovo Group’s acquisition of IBM’s Personal Computing Division, the company employs 19,000 people worldwide and develops, manufactures, and markets reliable, secure, and easy-to-use technology products. For more information, see www.lenovo.com.
Language Certain statements in this press release are forward-looking statements that are subject to risks and uncertainties. These risks and uncertainties, which could cause the forward-looking statements and OmniVision’s results to differ materially, include, without limitation: the development of the market for CMOS image sensors in the camera phone market in China; OmniVision’s industry position as a CMOS camera chip supplier in China; the rapid changes in technical requirements for camera phone products; competitive risks; as well as other risks detailed from time to time in OmniVision’s Securities and Exchange Commission filings and reports, including, but not limited to, OmniVision’s most recent annual report filed on Form 10-K. OmniVision expressly disclaims any obligation to update information contained in any forward-looking statement whether as a result of new information, future events or otherwise.