6-K 1 ss93129_6k.htm REPORT OF FOREIGN PRIVATE ISSUER

UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 6-K
REPORT OF FOREIGN PRIVATE ISSUER
PURSUANT TO RULE 13a-16 OR 15d-16 UNDER
THE SECURITIES EXCHANGE ACT OF 1934
Report on Form 6-K dated June 4, 2010
Commission File Number: 1-13546

STMicroelectronics N.V.
(Name of Registrant)
39, Chemin du Champ-des-Filles
1228 Plan-les-Ouates, Geneva, Switzerland
(Address of Principal Executive Offices)

Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F.
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Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1):
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Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7):
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Indicate by check mark whether the registrant by furnishing the information contained in this form is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934.
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If “Yes” is marked, indicate below the file number assigned to the registrant in connection with Rule 12g3-2(b): 82- __________
Enclosure: A presentation prepared by STMicroelectronics with respect to its Field Day at its Field Day held in London, England on June 3, 2010.

    Field Trip 2010
    London, June 3

    Welcome & Introduction

    Tait Sorensen
    Director - Investor Relations

    Field Trip Agenda
    Time Presentation Speaker
    10:00 am Welcome & Introduction T. Sorensen
    10:05 Company Strategy & Vision C. Bozotti
    10:25 ST Business & Operations A. Dutheil
    10:45 Financial Performance & Roadmap C. Ferro
    11:05 Sustainable Technology & Leadership J-M. Chery
    11:25 Q&A Panel C. Bozotti/A. Dutheil/C. Ferro/J-M. Chery
    11:50 BREAK
    12:00pm Multimedia Convergence & ACCI Sector Overview P. Lambinet
    12:20 IMS Overview & Advanced Analog & Smart Power C. Papa
    12:40 ST-Ericsson: Towards Transformation G. Delfassy
    1:00 Q&A Panel C. Bozotti/P. Lambinet/C. Papa /G. Delfassy
    1:30 LUNCH
    2:30 Breakout Sessions
    5:00 - 6:30 Reception

    Field Trip Agenda - Breakout Sessions
    Ballroom
    Ground Floor
    Mirror Room
    Ground Floor
    St. James
    6th Floor
    Clarence
    6th Floor
    Boardroom
    6th Floor
    Kensington
    6th Floor
    2:30 - 3:00 ST-Ericsson Home
    Entertainment Automotive MCUs
    3:00 - 3:30 ST-Ericsson Automotive Americas MEMS
    3:30 - 4:00 ST-Ericsson Home
    Entertainment
    Computer &
    Networking MCUs
    4:00 - 4:30 Computer &
    Networking Automotive Americas MEMS
    4:30 - 5:00 Home
    Entertainment
    Computer &
    Networking Americas Power & Smart
    Power
    5:00 Reception - Ballroom Reception Area

    o Americas: The Land of Opportunity (R. Krysiak)
    o Automotive (P. Grimme)
    o Computer & Networking (GL Bertino)
    o Home Entertainment (P. Lambinet)
    o MCUs (C. Dardanne)
    o MEMS & Adv. Analog (B. Vigna)
    o Power & Smart Power (M. Lo Presti)
    o ST-Ericsson (P. Langlois)

    Forward Looking Statements

    o    Some of the statements contained in these presentations that are not
         historical facts are statements of future expectations and other
         forward-]looking statements (within the meaning of Section 27A of the
         Securities Act of 1933 or Section 21E of the Securities Exchange Act of
         1934, each as amended) that are based on management's current views and
         assumptions, and are conditioned upon and also involve known and unknown
         risks and uncertainties that could cause actual results, performance or
         events to differ materially from those in such statements due to, among
         other factors:

         o    Significant changes in demand in the key application markets and from
              key customers served by our products make it extremely difficult to
              accurately forecast and plan our future business activities. In
              particular, following a period of significant order cancellations, we
              recently experienced a strong surge in customer demand, which has led
              to capacity constraints in certain applications;

         o    our ability to utilize and operate our manufacturing facilities at
              sufficient levels to cover fixed operating costs in periods of reduced
              customer demand, as well as our ability to ramp up production
              efficiently and rapidly to respond to increased customer demand, and
              the financial impact of obsolete or excess inventories if actual
              demand differs from our expectations;

         o    our ability to successfully integrate the acquisitions we pursue, in
              particular the successful integration and operation of the
              ST-Ericsson joint venture;

         o    ST-Ericsson is a new wireless joint venture, representing a
              significant investment and risk for our business. The joint venture is
              currently engaged in restructuring initiatives and further declines in
              the wireless market, as well as the inability of ST-Ericsson to
              complete its ongoing restructuring plans or to successfully compete,
              could result in additional significant impairment and restructuring
              charges;

         o    we currently hold a significant financial investment in Micron
              Technology Inc ("Micron") as a result of the previously announced sale
              to Micron of our equity investment in Numonyx in an all-stock
              transaction. Our shares in Micron are subject to certain resale
              restrictions and, consequently, there is no guaranty as to when we
              will be able to sell them and at what price;

         o    our ability to compete in our industry since a high percentage of our
              costs are fixed and are incurred in currencies other than U.S.
              dollars, especially in light of the volatility in the foreign exchange
              markets and, more particularly, in the U.S. dollar exchange rate as
              compared to the other major currencies we use for our operations;

         o    the outcome of ongoing litigation as well as any new litigation to
              which we may become a defendant;

         o    changes in our overall tax position as a result of changes in tax laws
              or the outcome of tax audits, and our ability to accurately estimate
              tax credits, benefits, deductions and provisions and to realize
              deferred tax assets;

         o    the impact of intellectual property ("IP") claims by our competitors
              or other third parties, and our ability to obtain required licenses on
              reasonable terms and conditions;

         o    our ability to execute our restructuring initiatives in accordance
              with our plans if unforeseen events require adjustments or delays in
              implementation or require new plans;

         o    our ability in an intensively competitive environment to secure
              customer acceptance and to achieve our pricing expectations for high
              volume supplies of new high-products in whose development we have
              been, or are currently, investing;

         o    changes in the political, social or economic environment, including as
              a result of military conflict, social unrest and/or terrorist
              activities, economic turmoil, as well as natural events such as severe
              weather, health risks, epidemics, earthquakes, volcano eruptions or
              other acts of nature in, or affecting, the countries in which we, our
              key customers or our suppliers, operate.

    o    Such forward-looking statements are subject to various risks and
         uncertainties, which may cause actual results and performance of our
         business to differ materially and adversely from the forward-looking
         statements. Certain forward-]looking statements can be identified by the
         use of forward-looking terminology, such as "believes," "expects," "may,"
         "are expected to," ", "should," "would be," "seeks" or "anticipates" or
         similar expressions or the negative thereof or other variations thereof or
         comparable terminology, or by discussions of strategy, plans or intentions.
         Some of these risk factors are set forth and are discussed in more detail
         in "Item 3. Key Information-- Risk Factors" included in our Annual Report
         on Form 20-F for the year ended December 31, 2009, as filed with the SEC
         on March 10, 2010. Should one or more of these risks or uncertainties
         materialize, or should underlying assumptions prove incorrect, actual
         results may vary materially from those described in this release as
         anticipated, believed or expected. We do not intend, and do not assume any
         obligation, to update any industry information or forward-]looking
         statements set forth in this release to reflect subsequent events or
         circumstances.

    Company Strategy & Vision
    Carlo Bozotti
    President and Chief Executive Officer

    ST Business & Operations
    Alain Dutheil
    Chief Operating Officer

    A Year-Ago...The Global Recession
    o Semiconductor bookings dropped rapidly in Q408;
    demand remained weak in first half of 2009
    o Impact on industry's revenue evolution greater than
    initially expected
    o Industry utilization rates reached unprecedented low
    levels; capacity cut to react to lack of demand
    o Inventory levels were substantially reduced
    o Economic impact varied by geography
    o China - started to recover
    o Europe, US and Japan - still difficult conditions
    o Global market bottomed in mid-2009

    Managed Well Through the Downturn...
    o ST exited the recession a stronger and leaner company
    o Increased operating leverage
    o Completed ~$750M of cost savings initiatives in 2009
    o Improved financial strength and stability
    o Over $2.76B in gross cash and marketable securities exiting March 2010
    o Continued progress in advanced technology R&D partnerships
    o Reshaped manufacturing
    o Committed to the ongoing integration of ST-Ericsson
    o Performance of ST's global team
    o Reacted quickly to align manufacturing, costs and working capital to end
    markets
    o Stayed focused on customers

    2009 Semiconductor Industry Revenue
    TAM: -9%
    SAM: -13%
    ST (ex FMG): -10.8%

    Today's Priorities
    o Resuming progress towards long-term financial goals
    o Focused on reaching sustainable levels of sales and net income
    o Organic growth / new product innovation
    o Disciplined portfolio management
    o Leveraging global scale and scope
    o Commitment to shareholder value creation
    o ST-Ericsson
    o Competitive cost structure / completion of announced restructuring programs
    o New portfolio
    o Preparing the company for future, profitable growth

    Current Expectations
    2010 Semiconductor Industry Revenue
    SAM: approximately +20%

    Semiconductor Industry

    Semiconductor Market Growth
    Total Available Market
    ~16% per year ~8% per year
    ~13% ex FY2000
    2008-09
    -9%

    o Demand driven cycle less severe
    o Recession led to 2 years of decline
    o Semis well positioned to grow in future years
    Source: WSTS

    Key Target Areas
    Total Available Market
    Application Product
    Industrial 9%
    Automotive 7%
    Wired 6%
    Wireless 21%
    Data Processing 38%
    Consumer 19%

    Application
    Specific ICs
    39%
    Standard ICs
    6%
    Discrete
    6%
    MCU
    5%
    Other
    Memories
    2%
    Sensors &
    Actuators
    2%
    Non SAM
    40%

    ST: well positioned, diversified, many opportunities

    Source: iSuppli (including memories), WSTS

    Market Mega-Trends
    o Multimedia convergence is accelerating
    o Re-rating of industry growth
    o Semiconductor market is moving East
    o Cost of fabs and process R&D are soaring
    o Foundries are getting a significant share of semi business
    o R&D is shifting across the value chain
    o Industry is consolidating by application
    o Pervasion into new high-growth industries

    Company Overview

    STMicroelectronics
    A Global Semiconductor Company

    Q110 revenue: $2,325M
    By location of order shipment

    13%
    America
    27%
    EMEA
    41%
    Greater
    China &
    South Asia
    19%
    Japan &
    Korea

    o FY09 revenues of $8.51B
    o 15 main manufacturing sites
    o Advanced R&D centers in 10 countries
    o Over 51,000 employees, including
    ST-Ericsson
    o Listed on NYSE Euronext (New York &
    Paris) and Milan stock exchanges

    The Evolution of ST

    2010
    Completed the sale of Numonyx to Micron
    2009
    ST and Ericsson created ST-Ericsson JV
    2008
    Deconsolidation of Flash, acquired NXP Wireless,
    announced the JV with Ericsson Mobile Platforms
    2005
    New CEO
    2000
    Became #1 European semiconductor company
    1999
    Entered world's Top Ten semiconductor suppliers
    1994
    IPO
    O
    1987
    Merger of SGS Microelettronica of Italy and
    Thomson Semiconducteurs of France

    STMicroelectronics Today

    5th largest global semiconductor company - #1 in Europe *
    Focus on multimedia applications, analog and power
    management
    World leading positions in wireless, auto, industrial,
    consumer and computer peripherals end-markets
    Key strategic alliances with global technology leaders
    including: Bosch, Ericsson, HP, IBM, Nokia, Samsung
    Strong  balance  sheet:  cash  & cash equivalents of $2.76B **

    *Source: iSuppli, 2009
    **As at March 27, 2010, including non-current marketable securities and cash
    restricted at JV.

    Reshaping ST's Product Portfolio

    Genesis
    Microchip
    NXP Wireless
    Ericsson Mobile Platforms

    5 years
    R&D grants
    secured
    Manufacturing
    restructuring

    ST-NXP
    synergy plan
    Headcount
    realignment
    ST-Ericsson cost
    realignment
    Micron acquired
    Numonyx

    Q108 Q208 Q308 Q408 Q109 Q209 Q309 Q409 Q110
    50%
    numonyx STEricsson Micron numonyx

    Business Segment Overview

    50/50 JV with Ericsson

    Automotive, Consumer,
    Computer &
    Communication
    Infrastructure ("ACCI")

    Industrial and
    Multisegment Sector
    ("IMS")

    Major Product
    Lines
    Products
    Major Customers

    Home
    Entertainment
    & Displays

    Computer &
    Communication
    Infrastructure

    Automotive
    Products
    Group

    Analog,
    Power and
    MEMS

    Microcontrollers,
    Memories and
    Smartcards

    Diversified Customer Base
    2009 Top 30 OEM and Top EMS Customers

    Communications
    o Huawei
    o Nokia
    o Research in Motion
    o SonyEricsson
    o Samsung

    Consumer
    o ADB
    o Cisco/Scientific Atlanta
    o Garmin
    o LG Electronics
    o Nintendo
    o Pace
    o Panasonic
    o Philips
    o Sagem
    o Sharp
    o Technicolor

    Automotive
    o Bosch
    o Conti
    o Delphi
    o Denso
    o Marelli

    Computer
    o Apple
    o Dell
    o Eastman Kodak
    o HP
    o Seagate
    o Western Digital

    Industrial
    o Delta
    o Gemalto
    o Siemens

    EMS
    o Cal-Comp.
    o Elcoteq
    o Flextronics
    o HonHai Foxconn
    o Jabil
    o Sanmina - SCI

    Note: Alphabetically listed by main application sector

    Top Players in 2009 by Application
    Digital Consumer
    Automotive
    Industrial
    Wireless Communications

    Source: iSuppli, ST

    Manufacturing

    Lighter Asset Model
    Manufacturing Flexibility Through The Market Cycle

    MARKET
    DEMAND

    AVERAGE
    MARKET
    GROWTH

    SUPPLIED THROUGH
    EXTERNAL FLEXIBILITY

    SUPPLIED THROUGH
    INTERNAL CAPACITY

    ST INTERNAL
    CAPACITY

    TIME

    Target Model: 80% internal, 20% outsourced

    ST Manufacturing Evolution

    ST STRATEGY PATH:
    IDM Flexible IDM Lighter Asset

    NUMBER OF FRONT END FABS:
    17 14 9 8

    WAFER PROBING (EWS):
    From Europe to a major WW center in Singapore

    ASSEMBLY - NUMBER OF PLANTS:
    In Mediterranean : 3 2
    In Asia: 3 (1 China) 4 (2 China) Expand Asia

    2005 end 2009

    Manufacturing Locations
    Morocco
    Phoenix
    (final stages of closure)
    (Agrate, Catania 6"& 8")
    Philippines
    China
    (Shenzhen, Longgang)
    Malta
    Malaysia
    Front-end fabs
    Back-end fabs

    Key Initiatives to Increase Capacity - 2010
    Crolles2
    300mm
    Ramp to 3,200 w/week
    32nm R&D capability
    Agrate Singapore
    150mm
    Ramp to 18,000
    w/day
    Longgang
    Shenzhen
    g
    200mm
    Increase capacity in
    BCD technologies and
    MEMS
    Q409 vs. Q410
    Increase in total
    capacity including
    foundry = ~20%
    Foundry
    Electrical Wafer
    Sort
    Increase capacity in
    wafer probing
    Calamba
    Increase capacity in
    back-end fabs

    Conclusion

    2010 Corporate Priorities
    Gain market
    share
    Cost
    reduction /
    capacity
    expansion
    Maximize
    R&D
    innovation
    Value from
    new products
    22
    Maximize Shareholder Value

    Financial Performance & Roadmap
    Carlo Ferro
    Chief Financial Officer

    Agenda
    o Our Financial Results
    o Our Opportunities
    o Our Target Financial Model

    Our Results

    4 Years of Progress Masked by Currency
    o Divested flash memories
    o 3-step merger and 50% JV
    in Wireless
    o Technology alliance
    US$M
    oReduced CapEx / Sales
    o Savings from restructuring
    initiatives: ~$1.1B
    o Front-end fabs reduced
    from 17 to 9
    o Product R&D focus:
    o Advanced Analog
    o New ASSP and ASICs
    o MEMS
    o Smart power solution
    o 32-bit MCUs
    (euro)/$ 1.20 (euro)/$ 1.43
    50% of Operating Loss of ST-Ericsson
    not attributable to ST
    Operating Income excluding restructuring
    and impairment charges, as reported

    Recovered From the Recession in 2009
    US$M
    Revenues
    US$M
    Net Earnings
    NOCF
    Guidance Range:
    +6% to + 12%**
    -]400
    -]200
    0
    200
    0
    500
    1,000
    1,500
    2,000
    Q308 Q408 Q109 Q209 Q309 Q409 Q110 Q210
    (est.)
    Adjusted Earnings Net Operating Cash Flow (ex M&A) Revenue
    5
    *Adjusted Earnings and NOCF (ex M&A) are non-GAAP measures that, the Company believes, provide useful
    information. See appendix for definition.
    **Q210 revenues guidance estimate: sequential growth of between 6% and 12%.

    Our Results
    In US$M, except EPS Q308 Q409 Q110 FY09 FY08
    Net Revenues 2,696 2,583 2,325 8,510 9,842
    Gross Margin 35.6% 37.0% 37.7% 30.9% 36.2%
    Adjusted Operating Profit before
    Restructuring attributable to Parent*(1)
    Adjusted Operating Margin*(1)
    210
    7.8%
    128
    5.7%
    81
    4.0%
    (499)
    -6.8%
    468
    4.8%
    EPS Diluted
    Adjusted EPS Diluted*
    (0.32)
    0.15
    (0.08)
    0.04
    0.06
    0.07
    (1.29)
    (0.72)
    (0.88)
    0.40
    RONA attributable to Parent*(1) 10.5% 7.6% 5.1% -28.3% 5.9%
    Net Operating Cash Flow
    (before M&A)*
    140 221 176 226 647
    Effective Exchange Rate (euro)/$ 1.54 1.43 1.39 1.37 1.49
    6
    *Some of the measures above are non-GAAP measures that, the Company believes, provide useful
    information. See appendix and below for definition and calculation
    methodology.
    (1) Description of adjusted metrics attributable to parents:
    o Adjusted Operating Profit attributable to parent = Reported Operating Profit/Loss before
    restructuring -  1/2 of ST-Ericsson JVS Operating Profit/Loss before restructuring
    o Adjusted Operating Margin attributable to parent = Operating Profit attributable to parent /
    (Reported Revenues -  1/2 of ST-Ericsson JVS Revenues)
    o RONA attributable to parent = Annualized Operating profit attributable to parent / (Reported Net
    Assets -  1/2 of ST-Ericsson JVS Net Assets)

    Net Operating Cash Flow
    US$M
    Net Operating Cash Flow (ex M&A)*
    -4%
    -2%
    0%
    2%
    4%
    6%
    8%
    0
    200
    Q108 Q208 Q308 Q408 Q109 Q209 Q309 Q409 Q110
    -10%
    -8%
    -6%
    -200
    NOCF* NOCF/Sales (%)
    *Net Operating Cash Flow (ex M&A) is a non-GAAP measure that, the Company believes, provides useful
    information. See appendix for definition.

    Micron acquired Numonyx Holdings B.V. in consideration for 140M shares of
    Micron common stock, including assumed management's stock plan
    o Deal closed on May 7, 2010
    o In connection with the sale of its 48.6% stake in Numonyx, ST has received:
    o 66.88M shares of Micron common stock
    o They will be dealt as a financial investment
    Numonyx Deal*
    Transaction
    Consideration
    for ST y
    o At May 6, 2010 Micron's share price of $ 8.75, the value of the shares is
    $585.2M
    o A substantial portion of such shares is hedged
    o In connection a payable of $77.8M is due by ST to Francisco Partners
    o future full ownership of the Numonyx M6 facility in Catania, Italy,
    o ST has committed to contribute it to the new photovoltaic joint initiative
    owned 33% by ST; valued 60M (euro)
    o Total consideration, net of the payable, of $580M
    o Eliminated the risk of $225M related to the ST's guarantee to a Numonyx loan,
    which has been repaid in full at closing
    Financial
    i tt ST
    o Opportunity to accelerate the recovery of $250M of restricted cash, due to the
    earlier redemption of the Hynix-Numonyx deposit
    * Based on Micron's trading price of $8.75 per share on May 6, 2010.
    8
    impact to o $800M to over $1B improvement of ST's capital structure
    o ST's estimated gain after tax to be recorded in Q210 P&L: ~$245M

    A Solid Financial Foundation
    (US$ million) Dec. 31, 2008 Dec. 31, 2009 Mar. 27, 2010
    Available Cash 1,640 2,394 2,342
    Restricted Cash 250 476 368
    Marketable Securities, Non-current 242 42 47
    TOTAL 2,132 2,912 2,757
    Total Financial Debt (2,677) (2,492) (2,191)
    Net Financial Position (545) 420 566
    DIVESTITURES
    o $1.1B net proceeds from
    M&A in 2009
    S l fN i M
    2016 CONVERT BOND
    o Dec 2009 / Jan 2010:
    repurchased $316M
    ARS LITIGATION
    o February 2009: won FINRA
    award ordering Credit Suisse to
    o Sale of Numonyx in May pay to ST $406M plus interest
    2010: will increase liquidity
    by an estimate of over
    $500M after lock-up period
    o Sale of Phoenix signed in
    May 2010
    o In Q210 repurchased
    additional $55M
    o 15.3M shares to be
    cancelled
    o Redemption of residual
    $673M likely due in
    February 2011
    o December 2009 collected $75M
    o March 2010: won in US District
    Court: confirms award and
    denies CS motion to vacate
    o CS may still appeal but based
    on the award and the Federal
    Court, ST can expect to collect a
    further $354M including interest

    Dividend Evolution
    Company % Yield**
    MCHP 4.85%
    TSM 4.58%
    Dividend Yield as of
    May 31, 2010:
    MXIM 4.45%
    STM 3.62%
    LLTC 3.16%
    INTC 2.74%
    XLNX 2.49%
    NSM 2.24%
    AMAT 1.91%
    KLAC 1.92%
    TXN 1.89%

    Our Opportunities

    Assets Lighter Strategy
    CapEx to Sales Ratio Depreciation by Wafer
    2009 Base = 100*
    5.3%
    *Based on assumed (euro)/$ rate of about 1.30.
    12

    Manufacturing focused to reduce wafer costs, after return to full loading
    o Currency, cash cost efficiency and roll-over depreciation are expected to
    contribute to about 10% wafer cost reduction from Q110 thru Q410*
    o Further cost reduction after the final phase-out of Phoenix fab, from Q210
    o Assembly cost reductions driven by volume, shift to Asia and Gold-Copper
    conversion
    Continuous Focus on Cost Reduction
    Wafer Cost Index (Base 100 Q110*)
    *Based on assumed (euro)/$ rate of about 1.30.

    Completing the On-Going Restructuring
    Closure of
    Phoenix
    fab by
    Q111
    ~550
    headcount
    reduction
    by mid-
    2010
    ~$280M in
    cost
    savings at
    completion
    vs. Q110
    ~600
    headcount
    reduction
    by end
    2010
    14

    Currency Exposure
    Q110
    Total Costs (COGS+OpEx) By
    Currency (Q110)
    Quarterly Currency Effect: +1% change
    o (plus-minus)$4 to $5 million impact to gross profit
    o (plus-minus)$4 to $5 million impact on operating expenses
    o (plus-minus)$8 to $10 million on operating profit
    (euro)(*)
    46%
    $
    44%
    50%
    60%
    70%
    80%
    90%
    100%
    Hedging: % of Euro exposure currently hedged**
    Unhedged
    15
    *Euro ((euro)) includes currencies such GBP, CHF, MAD Morocco.
    **As of May 31, 2010.
    Other 5% SEK 5%
    % Hedging of
    total (euro) costs
    0%
    10%
    20%
    30%
    40%
    Q3 10 Q4 10 Q1 11 Q2 11
    Hedged before May 3, 2010

    ACCI: Performance & Targets*
    ACCI
    $
    Mid-term
    Teens
    Q410*
    US$M
    High Single
    Digit
    Q110
    5.3%
    *Q410 assumes revenues based on a substantial continuity in market demand trends and an effective
    exchange rate between 1.25 (euro)/$ to 1.30 (euro)/$.
    **Segment operating results exclude, among others, unsaturation charges.
    Operating Margin**
    Revenue
    16

    IMS: Performance & Targets*
    $ Q410
    High Teens
    Q110
    11.3%
    Operating Margin**
    Revenue
    17
    *Q410 assumes revenues based on a substantial continuity in market demand trends and an effective
    exchange rate between 1.25 (euro)/$ to 1.30 (euro)/$.
    **Segment operating results exclude, among others, unsaturation charges.

    Wireless: Performance & Targets*
    Q410
    Mitigate losses
    Q110
    -19.9%
    US$M
    50%
    losses are
    minority
    interest
    Operating Margin***
    Revenue
    ST-Ericsson plans profitability at
    quarterly revenue run rate of (greater or equal) $750
    million, after restructuring is complete
    18
    *Q410 assumes revenues based on substantial continuity in market demand trends and an effective
    exchange rate between 1.25 (euro)/$ to 1.30 (euro)/$.
    ** See appendix - Q308 included 2 months of former NXP business and was before formation of
    ST-Ericsson.
    ***Segment operating results exclude, among others, unsaturation charges.

    Effective Tax Rate
    o Sustainable ETR: 16% (plus-minus) 3/4 3 points
    o Once ST moves to a higher overall
    profit before tax and a more
    ST Operations:
    ~16% ETR
    ST-Ericsson:
    Similar structure
    as ST
    uniform distribution of earnings
    among ST operations and
    ST-Ericsson
    o Tax structure is still a competitive
    advantage
    o Short term ETR
    Mid-Term ETR
    16% (plus-minus) 3/4 3pts
    Short-ST Operations:
    ST-Ericsson:
    o Currently estimate a significantly
    higher ETR and will improve as
    ST-Ericsson recovers from losses
    19
    ~16% ETR Benefit on losses
    at much lower rate
    2010 increase
    in ETR

    Our Target Model

    Financial Model*
    Transitional Model:
    ~ All segments at / above break-even
    Low / mid-single-digit operating margin
    Back to net operating cash flow of 6% to 10% of sales
    Q409 - Q110 Achievements
    Operating margin: 3.5% in Q4 down to 0.5% in Q110 on
    seasonally lower revenues
    Excluding Wireless: operating margin 7.4% in both periods
    Net operating cash flow: 8.6% and 7.6% of sales respectively in
    the two periods
    ST Financial Model
    9% to 12% operating margin x 1.3-1.4 net assets turns
    12% to 18% return on net assets (RONA) target
    Double digit net operating cash flow as % of sales
    21
    *See appendix
    12

    ...Achievable in Short Term
    0.5%
    9%
    12%-18% RONA
    or
    16%-22% RONA
    attributable to ST
    OpEx Leverage
    New Products
    Manufacturing
    Restructuring
    Currency
    Price
    Q110 Prices New Products Manufacturing Currency Restructuring OpEx Leverage Q410
    Operating
    Margin*
    Q110
    Target
    Operating
    Margin*
    22
    * Operating margin before restructuring charges: not a GAAP measure, please see appendix.

    ...by Improvements in All Segments*
    0.5%
    9%
    IMS: from 11% to High Teens*
    ACCI: from 5% to High Single Digit*
    Wireless: substantial reduction of losses*
    12%-18% RONA
    or
    16%-22% RONA
    attributable to ST
    Q110 Prices New Products Manufacturing Currency Restructuring OpEx Leverage Q410
    Operating
    Margin**
    Q110
    Target
    Operating
    Margin**
    23
    *Product segment targets assume substantial continuity in market demand trends and an effective
    exchange rate between 1.25 (euro)/$ to 1.30 (euro)/$.
    **Operating margin before restructuring charges: not a GAAP measure, please see appendix.

    Shareholders Value Proposition
    World-wide
    semiconductor
    leader
    Semiconductor
    industry recovery
    Strong capital
    ST value driven
    Moving towards
    solid profitability
    model
    24
    strategic
    transformations
    Innovative products
    and expanded
    customer base
    structure

    Appendix
    o Net operating cash flow is defined as net cash from operating activities minus net cash used in
    investing activities, excluding payment for
    purchases of and proceeds from the sale of marketable securities (both current and non-current),
    short-term deposits and restricted cash. We believe
    net operating cash flow provides useful information for investors and management because it measures
    our capacity to generate cash from our
    operating and investing activities to sustain our operating activities. Net operating cash flow is not
    a U.S. GAAP measure and does not represent total
    cash flow since it does not include the cash flows generated by or used in financing activities. In
    addition, our definition of net operating cash flow
    may differ from definitions used by other companies.
    o Net financial position: resources (debt), represents the balance between our total financial
    resources and our total financial debt. Our total financial
    resources include cash and cash equivalents current and non current marketable securities short
    equivalents, non-securities, short-term deposits and restricted cash, and our total
    financial debt include bank overdrafts, the current portion of long-term debt and long-term debt, all
    as represented in our consolidated balance sheet.
    We believe our net financial position provides useful information for investors because it gives
    evidence of our global position either in terms of net
    indebtedness or net cash by measuring our capital resources based on cash, cash equivalents and
    marketable securities and the total level of our
    financial indebtedness. Net financial position is not a U.S. GAAP measure.
    o Adjusted Net Earnings is a non-GAAP measure and is used by the Company's management to help enhance
    an understanding of ongoing
    operations and to communicate the impact of the excluded items. Non-GAAP earnings excludes impairment,
    restructuring charges and other related
    closure costs attributable to Parent Company's shareholders, the impact of purchase accounting (such
    as in-process R&D costs and inventory stepup
    charges), other-than-temporary impairment charges on financial assets and impairment related to equity
    investments, net of the relevant tax
    impact.
    o Financial Model: Presented at May 2009 Analyst Day
    o Key Information on Consolidation / Deconsolidation:
    o ST completed the deconsolidation of its Flash Memory Group (FMG) segment and took an equity
    interest in Numonyx on March 30, 2008,
    which is reported under the equity method of valuation with a one quarter lag in reporting.
    o ST-NXP Wireless, a joint venture initially owned 80% by ST, began operations on August 2, 2008 and
    was fully consolidated into ST's
    operating results. On February 1, 2009 and prior to the closing of the merger of ST-NXP Wireless and
    Ericsson Mobile Platforms to create
    ST-Ericsson, ST exercised its option to buy out NXP's 20% ownership stake of ST-NXP Wireless.
    o ST-Ericsson, a joint venture owned 50% by ST, began operations on February 3, 2009 and is
    consolidated into ST's operating results as of
    that date. ST-Ericsson is led by a development and marketing company and is consolidated by ST. A
    separate platform design company
    providing platform designs mostly to the development and marketing company is accounted for by ST
    using the equity method.
    o Wireless Segment: As of February 3, 2009, "Wireless" includes the portion of sales and operating
    results of the 50/50 ST-Ericsson joint venture as
    consolidated in the Company's revenues and operating results, as well as other items affecting
    operating results related to the wireless business.
    o Sales recorded by ST-Ericsson and consolidated by ST are included in Telecom and Distribution
    25

    Pre-Tax Items to Adjusted Earnings*
    RESULT
    NXP Wireless Inventory Step-up
    Genesis in Process R&D
    NXP Wireless in Process R&D
    Impairment & Restructuring Charges
    (attributable to Parent Company's
    shareholders)**
    57
    76
    22 65 20 240
    88
    21
    76
    481
    Other-than-Temporary Impairment
    Numonyx Impairment
    14
    300
    68 139
    203
    138
    480
    OPERATING
    NET EARNINGS
    Estimated Income Tax effect of Adj. (46) (27) (15) (79) (141)
    Adjusted Net Earnings* 134 36 62 (627) 356
    *See appendix.
    **Total impairment & restructuring charges were $96M in Q409 and $33M in Q110.

    Sustainable Technology &
    Leadership
    Jean-Marc Chery
    Chief Technology Officer

    Introduction
    Technology is bringing a competitive advantage to ST in the field of
    multimedia convergence and power applications
    o R&D leadership &
    technology
    segmentation
    o R&D value chain
    breakdown &
    management
    o Technology programs
    status & roadmap
    o Summary
    2

    Technology R&D Leadership Brings:
    o Fast Time to Market
    o First device tape out
    o Device volume and yield ramp up
    o Innovation
    o Performance, power, area scaling
    o Cost of ownership, design simplicity
    o Supply Chain Multi Sourcing
    o Time to market first source
    o Second / alternative source
    3

    CMOS Logic/Analog Characteristics
    Industry first
    Serializer/Deserializer
    for networking in bulk
    silicon (CMOS32 LPH)
    High
    Performance
    Power
    leakage
    Design
    simplicity
    General
    Purpose
    Low-Power
    Cost of Area scaling
    ownership
    4
    Analog /
    Derivatives

    Value Chain Breakdown
    Fundamental
    Research
    Advanced
    Semiconductor
    R&D
    Technology
    Development Manufacturing
    o Screen new
    materials &
    o Innovation in
    integrated device
    o Process qualification
    o Technology to design
    o Fast yield learning
    curve
    processes
    & process
    technology
    o Design platform
    qualification
    o Device performance
    master plan
    o Multi source
    enablement
    Balancing technology operations with
    internal/third party competence centers:
    o Advanced CMOS process through
    International Semiconductor Development
    Alli (ISDA) ith t t
    Accelerates technology innovation and
    leverages multi third party competence
    centers
    o Foundation / advanced R&D through joint
    d i / hi tit t ti Alliance with strong concurrent
    development activities
    o Analog and Derivatives process through
    internal cluster of Agrate and Crolles
    o Distributed design enablement through
    Agrate / Crolles / Greater Noida
    academia research institutes cooperation
    o CEA LETI: a cornerstone
    o Advanced CMOS, both low power and
    general purpose, R&D through ISDA
    o Advanced R&D pre T0
    5

    Value Chain Management: Innovation
    o Process flow
    o Device architecture
    ...creates the difference on device ideal balanced performance vs. applications
    o Leverages best-in-class innovation vs.
    T td d t
    Distributed, Cooperative R&D
    6
    o Targeted products
    o Critical decision factors
    o Technologies
    o Mitigates risk of choice
    o Shares expenses

    Value Chain Management: Operations
    Concurrent ISDA engineering enables best-in-class and lean
    development techniques for:
    o Better silicon proven solution and lower cost
    o Manufacturing synchronization for wafer fab
    Focused ST cluster on advanced CMOS concentrating activities of
    industrialization, derivatives/analog development, design platform
    enables:
    o Fast volume yield learning internal ramp up
    o Multi sourcing enablement
    o Fast learning cycle for time to market
    volume, o Lean capex and opex
    o Technology differentiation
    o Best-in-class technology to design, enablement
    o Efficient design platform
    7

    Technology Leadership...
    o Strengthening core competencies: device
    architecture, process integration, design enablement
    Crolles:
    o Low-power device
    o RF add-on devices
    o Embedded Dram and high performance device
    o CMOS imaging sensor
    o Photo lithography, TSV and 3D
    o Agrate:
    o Smart-Power and analog
    o Embedded Nvm
    o Greater Noida:
    o Design enablement

    ...Enables...
    o Competitive innovation driven by ST's
    proactive approach and credibility
    o Global and networked R&D competence
    centers optimized and managed by ST
    o ST's commitment to a sustainable
    innovation expenses-to-sales ratio
    9

    Status of Key Programs
    Prototyping, production ramp up Q410
    CMOS 40LP Prototyping, production ramp up Q211
    CMOS 32LP Prototyping, production ramp up Q311
    CMOS 32LP Crolles 300 installing capacity
    CMOS 28LP Designing, prototyping Q211
    10

    Yield Learning - D0 Trend
    Tremendous improvement of time to yield generation after generation
    D0 Poisson (def/cm(2))

    U8500 Platform
    Designed on ST leading-edge, LP 45nm -
    a key enabler to achieve the performance
    Technology / Product Intimacy
    Immediately ported to the LP 32nm
    ensuring economical sustainability
    and further performance improvement
    Cortex A9 @ 1.5 GHz
    12

    HKMG gate first ideal for balanced performance,
    power, area scaling, cost and design simplicity
    Performance Power Area Cost CMOS32/28 LP
    0
    50
    100
    Cost Dynamic Power
    Static Power
    Sram Power
    Area
    ISDA
    Competitor 1
    Competitor 2
    13

    CMOS 65RF Prototyping, production ramp up Q310
    Other Key Programs
    CMOS F9 Production ramp up started Q309
    CMOS F10 Prototyping, production ramp up Q310
    BCD8 A Production ramp up started Q309
    BCD8 AS Prototyping, production ramp up Q310
    14

    BCD8 A
    Key description
    o Technology: BCD8A-40V 4 metal
    Cu - 30 Mask
    o Die size: 51mm2
    o Challenges:
    o 1st automotive BCD8 product
    o New HIQUAD110 package
    o Bonding: CU wire 1mil POA 2mils
    15
    POA, passive, UBM (NiPd)

    VLSI Platform R&D Model
    120
    130
    enses
    Exit of Crolles2 alliance
    partners end 2007
    80
    90
    100
    110
    00 = 2007 Technology R&D Expe
    Current model, through
    participation in alliances
    resulting in R&D
    productivity increase
    60
    70
    2007 2010 Index 10
    ST internal technology R&D cost (before grants)
    Former partners participation to Crolles2 Alliance costs
    16

    CMOS Technology Roadmap
    2009 2010 2011 2012
    Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4
    Ready for production
    Ready for prototyping
    CMOS 32LP
    CMOS 28LP
    CMOS 28LP
    CMOS 20LP
    CMOS 20LP
    Low
    Power
    ST
    CMOS 28G
    CMOS 20G
    General
    Purpose
    ISDA

    CMOS45...28 LP/G Manufacturing Source
    Technology / Source First TTM Second Alternative
    CMOS 45LP No
    CMOS 40LP
    CMOS 40G No No
    CMOS 32LP No
    CMOS 28LP
    CMOS 28G No
    Crolles 300
    One of multi-foundries source
    Another one of multi-foundries source
    18

    Derivatives/Analog Technology
    2009 2010 2011 2012
    Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4
    CMOS 65RF+Passive+Energy Mgt
    nal
    Ready for production
    Ready for prototyping
    CMOS 55RF
    CMOS 40RF
    CMOS 28RF
    BCD6 S Offline - 50/100/190V
    BCD8SH - 60/100V
    BCD8SP- 8/18/40V
    BCD9
    ST
    Analog
    Mixed Sig
    Analog
    BCD
    CMOS F10 -90 nm
    CMOS M10+-80nm
    CMOS M55
    Embedded
    Flash
    19

    Derivatives/Analog Manufacturing Source
    Technology / Source First TTM Second
    HCMOS9A Crolles 200 Foundry *
    CMOS65/ 55RF Crolles 300 Foundry *
    CMOS55
    eFlash
    Crolles 300 Foundry *
    CMOSF10 Rousset 8 Foundry *
    BCD8 Agrate 8 Catania M5
    * One out of multi-foundries sources
    20

    The Future is Bright...
    Devices architecture (FDSOI, FinFET 3D)
    Gate FDSOI=2D FinFET=3D
    Photolithography (multiple patterning, extreme UV)
    21

    3D/Heterogeneous integration: a competitive advantage on the solution cost
    at same device performance, power leakage and area scaling
    Solution cost is driven by process and design complexity
    ...as Innovation Drives Breakthroughs...
    -
    o Communication bandwidth
    rapidly increasing from few Gb/s
    to 100Gb/s
    o Copper wire technology not able
    o Optical
    connections
    already present in
    servers/routers
    rack to rack
    Photonics on Silicon
    22
    to sustain such data rates
    o Photonics on silicon technology
    allows die to die and within die
    optical communication
    CMOS
    wafer
    transistors metal interconnects
    F
    C
    Modulator

    ...and Aligns ST with Key Trends
    Derivatives / Mixed Signal Analog trends:
    o Integration on single chip of digital analog and RF add on devices
    o Flash cell architecture, driving area scaling
    Power / Analog trends:
    o Some increase in Logic content but decrease of die area with
    160nm/130nm technology nodes
    o New modules architecture and materials
    for better power / analog features

    ST's Technology & Leadership: Summary
    o Enables differentiated / competitive product positioning through:
    o Device integration and device add-on for derivatives / analog
    o Design enablement
    o Specific process modules for best device performance
    o Fast yield learning cycle time techniques
    o Cooperative model allowing leveraged capture of technology innovation and
    risk mitigation:
    o Leverages: Full multi sourcing supply chain efficiency
    o ST's results and commitment:
    o Demonstrating competitive advantage at 40nm; strengthening it again at 28nm, then
    offering most advanced platforms for derivatives/analog as well
    o Moving to 20nm and beyond, with increasing complexity and facing the industry's most
    challenging major architecture, process, and equipment disruptions
    o Continuing to invest in deep knowledge of process, design enablement, manufacturing and
    their interactions
    Undisputed Leader in Multimedia Convergence and Power Applications
    24

    Multimedia Convergence &
    ACCI Sector Overview
    Philippe Lambinet
    General Manager, Home Entertainment & Displays Group

    ACCI Focus Applications
    Automotive
    Computer &
    Communication
    Infrastructure
    Home
    Entertainment
    & Displays
    Leveraging Technology R&D / Multimedia Convergence

    ACCI Revenues
    ST Q110 Sales: $2,325M
    ACCI Q110 Sales: $909M
    39%
    35%
    25%
    1%
    34%
    29%
    37%
    ACCI IMS Wireless* Others
    * See appendix
    ** Includes Imaging business
    Automotive (APG)
    Computer and Communication Infrastructure (CCI)
    Home Entertainment & Displays (HED)**
    3

    ST Driving Multimedia Convergence
    State-of-the-Art
    CPU
    Audio/Video
    Encode/Decode
    3D GFx
    Networking
    Car TV
    Multimedia Key Enablers
    oLeading positions in all
    convergence markets
    oLow-power process
    roadmap
    oBroad system know-how
    Key Drivers
    oServices
    oUser interface
    oLow-power
    Smartphone
    Netbooks
    4

    Automotive

    Automotive Market Growth Factors
    More Cars, More Electronics
    CAGR 2009-2016:
    Cars: 6.2%
    Electronics: 8.5%
    250 Silicon: 10.2%
    270
    283
    298
    311 319 325 333
    20000
    25000
    30000
    35000
    arket (M$)
    ASIC-ASSP
    MCU
    Power
    Sensors
    Electronic ignition
    Electronic gearbox
    Air conditioning
    Antilock brakes
    Navigation
    Adaptive cruise ctrl
    Airbags
    Stability control
    Night vision
    Telematics
    Bluetooth
    Start/stop
    Pedestrian detection
    Lane change
    Driver assist maps
    Car 2 car
    Internet
    Brake-by-wire
    Steer-by-0
    5000
    10000
    15000
    2009 2010 2011 2012 2013 2014 2015 2016
    Silicon Ma
    Standard
    Others
    Silicon/Car ($)
    1975 1985 1995 2005 2015
    Central locking
    Car radio
    Seat heating
    Automatic mirror
    Xenon light
    Hybrids
    LED lighting
    Steer by wire
    Electric vehicles
    25M cars 32M cars 36M cars 64M cars 86M cars

    ST: #3 in Global Automotive IC's
    ASIC-ASSP, MCU, MPU, VIPower, RF, Vision Sensors, DSP
    Products
    Power Train
    Engine Transmission
    Door Modules,
    Anti-theft
    Lighting,
    Wipers
    Body
    Electronics
    HVAC,
    Cluster
    Chassis-Safety
    Braking
    Steering
    Airbag
    Infotainment
    Car
    Infotainment
    PND
    Telematics
    GPS
    Customers Applications Segments

    Trends and Accomplishments in Automotive
    Trend:
    Innovation driven by social responsibility
    o Emissions, safety, connectivity
    Trend: Large emerging markets with
    different needs and
    requirements
    ST Strategy:
    Innovate with the leaders ST Strategy:
    Fast time to market at
    different feature and
    cost points
    Accomplishments:
    o 32-bit MCU awarded by North
    American OEM for a new
    global transmission platform
    o Chosen as a supplier of a next
    generation powertrain MCU platform
    with 55nm embedded flash for a major Tier 1
    o Chosen to provide a full IC portfolio for Asia
    airbag platform of major European Tier 1
    Accomplishments:
    8
    o 1st worldwide Li-Ion battery manager IC in a
    mass production plug-in hybrid vehicle
    o Selected to develop a new radar baseband IC
    for adaptive cruise control for a US Tier 1
    o MCU award by the fastest growing Chinese
    carmaker for all powertrain
    o Steady #1 in China, doubling revenue in auto
    electronics every year from 2006 to 2011
    o Gained 100% share of car radio tuner for two
    major Japanese Tier 1s for China

    Computer & Communication
    Infrastructure

    Leader in Digital and Analog ASIC
    CARTRIDGE HDD PRINTER NETWORK
    Motor
    Controller
    Digital
    ASIC
    BS RF &
    Active
    Print
    Heads
    & Head
    Drivers
    BCD
    & SOC
    HCMOS
    Cables
    Drivers
    MFLD BICMOS
    TOP 1 TOP 2 TOP 3 TOP 3
    10

    Market Trends and Strategy in ASIC
    o Cloud computing will fuel the next wave, generating increasing demand for
    (green) infrastructure and transforming all applications in cloud conscious clients
    o ASIC continues to be an effective win-win model for CCI customers and ST
    continues to be committed to it
    Cloud Computing Web Connected Internet Traffic Green Systems
    o The strategy: expanded product offering and flexible business model
    o Key achievements
    o Significant design wins in the areas of communication infrastructure and printers in digital
    o Launch of the first 32nm bulk platform for networking applications
    o Expansion of the SPEAr family with the launch of the 1300 series

    CCI Growth Drivers
    BiCmos ASIC
    for AOC and RF
    PrintHeads for
    InkJet Printers
    Digital ASIC for
    Networking
    Printer SOC and
    SPEAr eMPU
    12

    Home Entertainment & Displays

    Consumer Electronic Trends
    o Analog switch-off
    o Increasing demand for Pay TV and FTA satellite
    o New connected services 150
    200
    250
    Mu STB Market Evolution
    o Content aggregation - broadcast & IP
    o Services across all consumer devices
    o Exciting entertainment experience
    o 3D stereoscopic TV
    o GUI technologies - 3D graphics, MEMS...
    o LED BLU
    o 0
    50
    100
    250
    300
    DTV Market Evolution
    Mu
    Environmental factors
    o Power consumption
    o Green production
    0
    50
    100
    150
    200
    Source: iSuppli, IMS
    1

    Our Application-Platform Evolution
    Gen. 1 Gen. 2 Gen. 3 Gen. 4
    Fully open
    connected
    New services
    New UI
    Best
    performance
    HD H.264
    market
    platform
    internet TV
    enabler / cost ratio Client / Server
    STi7100
    STi7103/FLI106xx
    STi7105
    STi7104/FLI326xxH
    STi7108
    FLI7510
    7109, 5202 7111, 7141, 7200
    5211, 5206, ...
    71xx, 52xx
    STi7xxx
    FLi7xxx
    MPEG2 1000 DMIPS CPU Dual CPU & L2 cache Multi-core SMP CPU
    Mass production Mass production In design
    Production: 2007 a(3) Production: 2009 a(3) Production: 2010 a(3) Production: 2011 a(3)
    Samples now
    >5000DMIPS
    Introduction of:
    Dual 1080p60 decode
    HD encode
    Display Port, MOCA 2
    >2000 DMIPS
    Introduction of :
    1080p60 decode
    3D GL-ES2.0
    MOCA 1.x
    Introduction of :
    AVS HD
    DDR2
    e-SA

    HED H1 2010 Highlights
    o Gen. 2 based STB massively deploying
    o Mass production started in June 2009
    o 55nm process with >10 products families
    o > 50 customers in production now
    o > 50% of ST total STB shipments from 2010
    o Gen. 3 getting ready for ramp up in 2010
    o Gen. 3 introduced at CES 2010
    o Freeman/FLI7510 solution for DTV designed in at multiple partners
    o >20 partners enabled with STi7108 platform
    o Develop new category of STB & mediacenter
    o Develop new software for new services
    o RIA, GUI, gaming, mediaserver, ...
    16

    Conclusion

    Multimedia
    convergence
    o Power
    management
    o (less than or equal)45nm CMOS
    o BCD, BiCMOS
    o Microfluidics
    o Analog/RF
    P fl Broad/Deep
    ACCI Key Strengths
    Powerful
    Technologies
    Product
    Portfolio
    Consolidate
    Leading
    Positions
    o ASICs
    o Platforms
    o Innovative
    products
    o Excellent service
    / support
    Flexible
    Business
    Models
    Serving
    Market
    Leaders
    18

    ACCI Strategy
    DTV
    Networking
    32-bit MCUs
    for Auto
    o Expand market share
    o Leverage key strengths
    o Capture larger share of new markets / new product
    generations
    o Diversify / grow customer base
    Selected
    capacity
    expansion
    Multimedia
    convergence
    SPEAr
    platform
    Automotive
    industry
    recovery
    o Participate in market recovery
    o ACCI still significantly below pre-crisis level
    o Favorable market trends in targeted segments
    o Solid financial position is a competitive advantage
    o Increased focus of R&D effort
    o Shared platform
    o Innovative ASICs business models
    o Collaborate with key customers, partners and research
    institutions
    o Optimize manufacturing
    Increase man fact ring efficiencies
    Key drivers to grow sales
    and profitability
    19
    o manufacturing o Align capacity with demand
    o Accelerate development / move to new processes
    o Improve profitability towards high single digit
    operating margin by the end of 2010 and in the
    teens in the mid-term

    IMS Overview &
    Advanced Analog & Smart Power
    Carmelo Papa
    General Manager, Industrial & Multisegment Sector

    IMS at a Glance
    2009 IMS key facts
    TAM = $42B
    Billing = $2.66B
    Market Share = 6.3%
    Innovation Results:
    o 5 new products per day
    o ~20% of sales with products less than 2 years old
    Schaumburg
    Boston Prague
    Catania
    Taipei
    Tokyo
    Seoul
    Shanghai
    Noida
    World Wide Competence Centers
    o 2 new system solutions (boards) per week
    Technical Resources:
    (designers, application engineers, technical marketing)
    ANALOG & MEMS
    45%
    DIGITAL
    35%
    2
    p
    Singapore
    Technical support located near customers
    in all sales regions
    POWER DISCRETE
    20%

    IMS Results & TAM Evolution
    OEM
    EMS
    By Customer Type
    2015
    (US$B)
    CAGR
    (2010 ~2015)
    Digital 19 5.8%
    A l & MEMS 32 6 4%
    Distribution
    Industrial
    Consumer
    Computer
    Automotive
    Telecom
    By Market Segment
    Analog 6.4%
    Power Discrete 20 5.7%
    Total IMS 71 6.0%
    Power
    2015 TAM Split
    Greater
    China &
    South
    Asia
    EMEA
    Japan &
    Korea
    America
    By Region
    Digital
    Analog &
    MEMS
    Discrete
    Source: WSTS, STMicroelectronics

    IMS Billing Split & Evolution
    36%
    38%
    40%
    42%
    44% IMS Sales weight
    2009 Sales Split
    22%
    24%
    26%
    28%
    30%
    32%
    34%
    Q1'06 Q2 Q3 Q4 Q1'07 Q2 Q3 Q4 Q1'08 Q2 Q3 Q4 Q1'09 Q2 Q3 Q4
    Power Analog & MEMS Digital
    4

    IMS: Analog
    *R ki f t t t lSTA l IC l
    Analog Ranking 2009
    Analog ICs* # 2
    Key product family Key target applications
    Power management ICs Power supply, solar, lighting
    Mixed signal ICs Mobiles, peripherals, portable medical
    Ranking refers to total ST Analog ICs sales
    o Ability to integrate analog and power in a single chip or in a single package in
    power conversion and power management applications
    Competitive Advantages:
    Battery management ICs Mobiles, PDAs, e-Books
    LED driver ICs Street lighting, building, panel arrays
    o System know-how enabling the design of dedicated ICs for complex applications
    and a variety of reference designs for medium and small customers
    o Ability to deliver system solutions including sensors, analog ICs,
    microcontrollers and power discrete
    o The world's largest and most cost effective 6" front-end fab in Singapore
    5
    Source: iSuppli, ST

    IMS: MEMS
    Key product family Key target applications
    2 or 3-axis
    Accelerometers
    PDAs, mobiles, toys, notebooks,
    multimedia devices
    MEMS* Ranking 2009
    All Segments # 1
    (except Automotive)
    o Integration in a single package of MEMS, data converters and RF transceivers for
    t t k
    *MEMS accelerometers & gyroscopes
    Competitive Advantages:
    Gyroscopes Games, camcorders, camera
    stabilization, GPS
    Microphones Games, mobile phones, laptops
    smart sensor networks
    o Proprietary innovative silicon and packaging technologies for miniaturization
    and ultra-low-power fitting medical and portable applications
    o First in the world to adopt an advanced 8" inch wafer fab (Agrate)
    6
    Source: iSuppli, ST

    IMS: Power Discrete
    Key product family Key target applications
    HV Power MOSFETs Power supply, lighting, solar
    Rectifiers Power management
    Power Discrete Ranking 2009
    Power MOSFET (High Voltage) # 1
    Protection & IPAD # 1
    o The widest range of power technologies and packages from low to very high
    voltage (MOSFET, IGBT, Bipolar, IPAD, Rectifiers) offering the highest efficiency in
    ACS switches Home appliances
    Protections & IPAD Mobiles, USB/HDMI
    interfaces, wired data transfer
    Competitive Advantages :
    Thyristors # 1
    Rectifiers & power diodes # 3
    the most demanding applications
    o Expertise in composite materials (SiC, GaN) for high frequency and very high
    temperature applications (electric cars, photovoltaic converters, wind generators)
    o Extremely competitive manufacturing machine (Singapore, Longgang, Shenzhen)
    7
    Source: iSuppli, ST

    IMS: Digital
    Key product family Key target applications
    RFID & RF EEPROMs Access control, tracking systems
    Microcontrollers Low-power medical and portable
    i
    Digital Ranking 2009
    EEPROM, EPROM # 1
    Smart Card # 3
    o Common technology and high-performance core (ARM(R) Cortex(TM)) platforms for
    smartcards and microcontrollers
    o Ultra-low-power technology suitable for battery operated and medical applications
    equipment
    32-bit smartcard ICs Mobile phones, data security
    Competitive Advantages:
    p gy y p pp
    o Complete hardware and software solutions for secure applications (STB, banking,
    access control, NFC)
    o Special set of peripherals for connectivity (RF, ethernet), human machine interface
    (touch sensing) and real time control (motor control timers)
    8
    Source: iSuppli, ST

    IMS: Key Strengths
    o Analog drivers
    o High voltage power MOSFET
    o Rectifiers
    Consolidated
    IMS Key Areas
    Lighting
    Switch mode
    power supply
    Motor
    control
    o Smart power ICs
    o Power transistors
    o Microcontrollers
    o Analog ASSP ICs
    o Microcontrollers
    o Power transistors
    9
    Secure Mobile
    transaction
    o IPAD
    o MEMS and sensors
    o Audio amplifiers oSmartcards

    Expanding into New Focus Areas
    10
    Source: iSuppli, Semicast

    Innovation is Still IMS Key Driver

    System Innovation

    Complete reference designs
    (Hardware & Software) for
    medium and small accounts
    Our System Approach
    o More than 550 reference
    designs available to
    support our worldwide
    design-in activity
    13
    o Innovative new product definition
    thanks to feedback from customer
    system know-how

    System Innovation in Energy
    o Hybrid Electric Traction
    o Motor drivers
    o Power conversion
    o Battery-cell management
    o Fast battery charger
    o Photovoltaic panel converters
    o SmartGrid
    14
    o Smart energy metering
    o Smart appliance plug
    o Power-line modem

    System Innovation in Automation
    o Home automation through
    advanced wired (200 Mbit/s)
    and wireless connectivity
    o Application Specific Integrated
    Modules (ASIMs) for robotics
    and industrial automation
    o Sensor networks for building
    automation
    ASIM
    Embedded motor drive
    module, remotely
    controlled by ethernet
    15
    o Low-power energy harvesting
    and storage
    Flexible rechargeable battery

    System Innovation in Healthcare
    o Remote patient monitoring
    o Blood pressure
    Portable distributed diagnostics
    and remote monitoring
    Flexible lens for
    eye pressure
    monitoring Electro
    o Heart beat cardiogram
    o Electrocardiograph
    o Eye pressure sensor
    o Movement reconstruction
    o Rehabilitation
    Insulin
    nano pump
    Temperature
    sensor
    Pressure
    sensor
    16
    o Fitness
    o Patient treatment (i.e.
    insulin pump)
    Movement
    recognition
    Step counter

    Technology Innovation

    Emerging Applications Require Smart Integration:
    Moore's Law and More than Moore
    Sensors, Biochips
    Actuators
    HV
    Analog/RF Passives Power
    "More than Moore": Diversification
    zation
    CMOS: CPU, Memory, Logic
    130nm
    90nm
    65nm
    45nm
    32nm
    SiP
    SSooCC
    re's Law ": Miniaturi
    18
    Baseline C
    22nm
    ...
    V
    Beyond CMOS: Quantum
    Computing, Molecular
    Electronics Spintronics

    ST Enabling Technologies: "More than Moore"
    o MEMS & smart o Flexible ICs
    sensors
    o Harvesting & thin film
    batteries
    o Advanced BCD,
    BCD-SOI
    o New materials: SiC &
    GaN
    o Ultra-low-power
    technologies
    19
    o Advanced packaging &
    system-in-package
    o 3D heterogeneous
    integration / TSV
    o Microfluidics

    Product Innovation

    Smart Meters
    Smart Meter IC
    MICROCONTROLLER
    ETHERNET
    PORT
    INPUT
    DSP COPROCESSOR OUTPUT
    DATA CONVERTER
    Smart Meter IC
    System on Chip
    POWER SUPPLY PROTECTIONS DISCRETE
    COMPONENTS
    SOFTWARE
    TIMERS ENCRYPTION EMBEDDED
    Data Security
    ACCELERATOR
    ENGINE
    VOLT
    AMPLIFIERS REG. MEMORIES
    ANALOG MODEM
    FRONTEND
    21
    More than 40M smart meters with ST's power-line
    modem connectivity already installed in the field
    Source: ABI Research, ST
    Target Applications:
    o Electricity meters
    o Water meters
    o Gas meters
    Smart electricity meters TAM 2009: 76M units
    CAGR 2010-2013: ~18%

    Micro Inverter Modules
    o Maximizing energy output (MPPT)
    o Energy monitoring (daily, monthly, yearly, etc.)
    o Diagnostic and anti-theft & anti-tearing protection
    o Reducing operation cost due to modularity
    Cool Bypass Switch
    Micro Inverter
    MPPT
    Max Power Point Tracker
    DC/DC
    Remote
    Monitoring &
    PV Panel Control
    Converter
    DC/AC
    Inverter MOSFET
    SiC
    PLM
    Power Line Modem
    Monitoring &
    Diagnostics
    (Energy Level Faults etc )
    Electronics on panel value from $1.50 to $15
    PV d ti th
    PLM
    Target applications:
    o Level, Faults, etc.) energy production growth
    o 2010 a(3) about 7 GW
    (~35 million single photovoltaic panels)
    o 2020 a(3) about GW
    22
    Source: European Photovoltaic Industry Association, ST

    LED Lighting Driver ICs
    Driving LEDs using AC-DC solutions
    ... more light with
    Luminous efficacy
    LED >100 lm/W
    Driving LEDs using DC-DC solutions
    g
    less energy
    TL 70 lm/W
    CFL applications:
    LED Array Drivers
    50 lm/W
    Target o Display & signs
    o General illumination
    o Backlight LED TAM 2009: 63B units
    Filament 15 lm/W
    o Signal lighting
    Source: iSuppli
    CAGR 2010-2013: 30%

    Motherboard Power Management ICs
    o Enabling next generation motherboard
    power management solutions
    Multi Segment ICs Motherboard Dedicated ICs
    CPU power management
    controllers
    High density DC-DC
    controllers
    High efficiency switching
    regulators
    Single and multi phase DCDC
    controllers Multi output controllers
    Multi output regulators
    LED backlight drivers
    Low power consumption
    switching regulators
    Server
    24
    TAM 2009: $2.6B
    CAGR 2010-2013: ~12% Source: iSuppli
    Target applications:
    o Desktop
    o Laptop
    o Server
    Laptop Desktop

    MEMS Gyroscopes
    Driving direction Sensing direction
    No Angular rate
    (Pitch axis)
    Angular rate
    (Pitch axis)
    Target applications:
    S t h
    25
    Source: iSuppli
    TAM 2009: ~$526M
    CAGR 2010-2013: ~13%
    o Smart phones
    o Robotics
    o Navigation
    o Cameras
    o Gaming

    Microcontroller "STM32W"
    ... embedding radio
    frequency function
    o IEEE 802.15.4 open flexible reconfigurable platform
    Low power microcontroller
    product family, ...
    Target Applications:
    o Smart meters
    o Home & building automation
    26
    System-on-Chip solution
    Microcontroller, radio and firmware
    o Wireless sensor networks
    o Healthcare
    o Consumer
    o Remote control
    o Home automation 32-Bit MCU* TAM 2009: $3.8B
    Source: WSTS CAGR 2010-2012: >10%
    *Includes Automotive

    Flexible Eye Lens for Glaucoma
    7 5 age
    Population and aging increase
    Flexible Lens IC for wireless sensor
    for Continuous eye pressure monitor
    o Contact lens (30m thickness)
    27
    Therapeutic sales for
    ophthalmology disorders exceeded
    $12B in 2009
    Over 7.5 million suffer from agerelated
    macular degeneration
    o Pressure sensor
    o Continuous remote monitoring
    o Very low-power RF data transfer
    Source: World Health Organization
    Target applications:
    o Remote patient monitoring

    3D Ultrasound Scanner ICs
    o Miniaturization and low-power ICs allow
    electronics migration from centralized
    computer to ultrasound beamer
    Old System New System
    Solution Integrating:
    o Power management IC array
    o Microcontroller
    3D Image 2D Image
    28
    o Analog front-end and data converter
    Source: Semicast
    TAM 2010: 83M units
    CAGR 2010-2013: 11%
    Target application:
    o Echographs with color and 3D
    Integration

    o Focus on high-margin segments (energy, automation, healthcare)
    o System approach to deliver complete solutions to the market
    o Boost high-performance, high-margin analog products leveraging on our
    IMS Strategy
    strong position in MEMS and power management
    o Pervade the market with microcontrollers and secure access products
    based on ARM core leveraging on:
    o Ultra-low-power technologies for portable and healthcare applications
    o Complete set of analog peripherals including wireless connectivity
    o Maintain our leadership in power discrete supporting:
    o High-volume and cash-generating products
    o New high-margin products utilizing new materials (SiC and GaN)
    o Improve profitability towards high teens operating margin by the end of 2010 and above
    20% in the mid-term

    TOWARDS TRANSFORMATION
    Gilles Delfassy, President & CEO

    2009: FORMATION
    2010: TRANSITION & TRANSFORMATION

    FIRST QUARTER SUMMARY
    o Net sales $606 million
    o Adjusted operating loss $114 million
    Net sales
    Adj. oper. loss
    o Net cash $120 million
    o Restructuring plans on track
    o ~((50% savings of $230 million plan
    o $115 million plan savings from H2
    2010
    Q1
    2009 2010
    Q1
    Q2
    Q3 Q4
    3
    o R&D efficiency program
    o Integration of IT systems
    2009 (Pro-forma):
    Net sales: $2.7B
    Adj. operating loss: $440M
    June 3, 2010

    2010 PRIORITIES
    Competitive cost structure
    New portfolio
    Pursue profitable growth
    4
    u sue p o tab e g o t
    Focus on priorities and fast transition
    June 3, 2010

    TRANSFORMING THE COMPANY
    E & f h o High-value entry
    o Smartphones
    o Connected devices
    o Application engine
    o Modem
    o Connectivity
    o Diversified customer portfolio
    o Open/complete platforms
    o Entry feature phones
    o Modem only
    o Three big customers
    o Custom solutions
    5
    p p p
    o Europe and Asia o Global
    June 3, 2010

    MOBILE PLATFORMS AT THE HEART OF CONVERGENCE
    6
    Manage the complexity is crucial
    June 3, 2010

    DELIVERING COMPLETE PLATFORMS IS KEY
    Connectivity
    GPS, Bluetooth, HDMI
    WiFi, USB, FM
    Multimedia
    3D graphics, HD video,
    audio, imaging
    Power management
    and RF
    Modem
    2G, EDGE, WCDMA,
    TD-SCDMA, HSPA+, LTE
    Processors
    Multi core architectures,
    5000DMIPS
    low-power consumption
    Software
    Open OS web browsing
    7
    OS, Requirements on wireless semiconductor players are evolving accordingly
    June 3, 2010

    ENABLING A CONNECTED WORLD
    Thin
    Modems
    Platforms
    LTE / HSPA+ Mobility
    Best combined UL/DL
    performance
    Data in every region
    M720
    LTE/HSPA
    M340
    HSDPA
    M570
    HSPA+
    M700
    LTE
    DRIVING MOBILE BROADBAND
    EVERYWHERE
    Mobile Broadband and M2M Devices
    UMTS/ 2G/EDGE
    HSPA
    LTE TD-]SCDMA
    Entry
    Application
    Processor with
    Integrated
    Modem
    Platforms
    High-performance
    Smartphone platforms
    U8500
    2(multiply)1GHz
    HSPA+
    U68XX
    5209
    EDGE
    M6718
    TD-HSPA
    U67XX
    U6715
    U5500
    2(multiply)600MHz
    HSPA+
    TD
    THE BEST SMARTPHONE PLATFORMS
    FOR ALL TIERS
    High-end and mid range smart devices
    8
    y
    Platforms Internet and Multimedia
    enabled solutions
    Single-chip 2G & EDGE
    HSDPA
    U33x
    HSPA/HSDPA
    WCDMA
    T72XX
    TD-HSDPA
    HSDPA
    E4908
    EDGE
    G4850/52
    GSM/GPRS
    E4910
    EDGE
    T6718
    ADDING VALUE TD-HSPA
    TO AFFORDABLE DEVICES
    High value entry devices
    June 3, 2010

    PLATFORM PORTFOLIO
    Thin
    Modems
    Platforms
    In Production Announced
    LTE / HSPA+ Mobility
    Best combined UL/DL
    performance
    Data in every region
    M720
    LTE/HSPA+
    M340
    HSDPA
    5209
    EDGE
    M570
    HSPA+
    M700
    LTE
    M6718
    TD-HSPA
    UMTS/ 2G/EDGE
    HSPA
    LTE TD-]SCDMA
    Entry
    Platforms
    Application
    Processor with
    Integrated
    Modem
    Platforms
    Internet and Multimedia
    enabled solutions
    High-performance
    Smartphone platforms
    U8500
    HSPA+
    U68XX
    HSDPA
    U67XX
    WCDMA
    U6715
    HSDPA
    U5500
    HSPA+
    TD
    9
    Connectivity and
    Enhancements
    CW1200 Complete Platforms
    WLAN
    CG2900
    BGF
    AV5230
    Audio PTE
    AV8100
    HD TVout
    Single-chip 2G & EDGE
    U33x
    HSPA/HSDPA
    T72XX
    TD-HSDPA
    E4908
    EDGE
    G4850/52
    GSM/GPRS
    E4910
    EDGE
    T6718
    TD-HSPA
    June 3, 2010

    ADDING VALUE TO AFFORDABLE DEVICES
    More features at low cost
    High-value entry devices
    Enhanced connectivity and multimedia
    Integration to single-chip
    Best-in-class power consumption
    Smart multimedia for all
    Linux/Android(TM) support
    WQVGA screens, touch-screen and H.264 video
    HSDPA for fast content sharing
    10
    Single-chip ultra low
    cost
    Dual SIM/Dual standby
    USB charging
    Single-chip Quad-band
    EDGE
    Low power , MM touchscreen
    QVGA & 3Mpixel camera
    G485X E49XX
    Affordable
    Linux/Android
    HSDPA
    WQVGA & 5Mpixel
    camera
    U6715
    TD-HSPA
    Quad-band EDGE
    WQVGA & 5Mpixel camera
    T6718
    June 3, 2010

    HIGH VALUE ENTRY GAINING MOMENTUM
    U6715
    o Ramping with four new customers in Asia
    - multiple models
    o Interest from operators across the globe
    E49xx
    o Two top customers for EDGE & GPRS versions
    11 June 3, 2010
    Affordable
    Linux/Android
    HSDPA
    WQVGA & 5Mpixel
    camera
    U6715
    Single-chip Quad-band
    EDGE
    Low power , MM touchscreen

    CONNECTIVITY INTEGRATED INTO COMPLETE
    PLATFORM SOLUTIONS
    o Selected by two additional U8500 customers
    o Further momentum coming from Asia
    12 June 3, 2010
    BT/FM/GPS
    First 45nm Combo
    Leading footprint size
    CG2900
    802.11a/b/g/n
    ( 50mm2 BOM
    Integrated FEM, SMPS
    CW1200
    HDMI/CVBS combo
    Full HD 1080p
    7.1 audio surround
    AV8100 AV5230
    102 dB SNR
    Integrated headset AMP
    Playback Time Extender

    THE BEST SMARTPHONE PLATFORMS FOR ALL TIERS
    U8500: Top performance at low power
    High and mid-end smart devices
    Dual-core processors >1GHz
    HD-multimedia 1080p
    Full web-browsing experience
    Mobile broadband with HSPA+
    Powerful 3D graphics - OpenGL ES 2.0
    Touch displays, dual screen
    Complete solutions with Open OS
    13
    Dual-core SMP Cortex A9
    HSPA+
    1080p HD & advanced 3D
    Dual-screen support
    U8500
    TD-HSPA
    HSPA+
    LTE
    Thin modems
    Affordable Linux/Android
    HSDPA
    WQVGA & 5Mpixel camera
    U6715
    Dual-core SMP Cortex A9
    HSPA+
    720p HD
    Advanced 3D
    U5500
    June 3, 2010

    U8500

    THE MOST ADVANCED SMARTPHONE PLATFORM
    U8500
    o Selected by two additional customers
    o Four customers overall since launch
    o Supporting various OS
    o Symbian and Linux, incl .Android
    15 June 3, 2010

    DRIVING MOBILE BROADBAND EVERYWHERE
    Connected devices and embedded mobility
    Advanced modems
    HSPA+ mobile broadband for all devices
    LTE, the next evolution for high-speed data
    TD-HSPA broadband modems for China
    Optimized modems for numerous applications
    Modem technology from GSM to LTE
    Supporting devices from smartphones and netbooks to
    consumer electronics and M2M
    16
    LTE /HSPA+
    Proven hand over
    100 Mbps
    HSPA+ 21 Mbps
    Simultaneous full speed
    UL/DL
    Best in class thermal heat
    Dual mode
    TD-HSPA & quad band
    EDGE
    M720 M570 M6718
    June 3, 2010

    DRIVING MOBILE BROADBAND EVERYWHERE
    M570 - M720
    Multiple design wins for our advanced modem
    solutions
    17
    HSPA+ 21 Mbps
    Simultaneous full speed UL/DL
    Best in class thermal heat
    M570
    LTE /HSPA+
    Proven hand over
    100 Mbps
    M720
    June 3, 2010

    ADDRESSING MODEM EVOLUTION
    Challenges
    Increasing air
    interfaces
    Then Now
    TD
    LTE
    HSPA+
    New ST-Ericsson
    lti d d
    o Software-defined radio access
    o LTE 100Mbps, HSPA+ 42Mbps
    o Target >2X power
    improvement
    o Scalable for cost
    Power management
    needs
    2G
    2G/3G
    EDGE multi-mode modem
    architecture
    Increasing adoption
    BT of connectivity
    FM
    BT
    GPS
    WIFI
    o Co-existence built-in
    o Combos & platform
    integration
    Increasing
    adoption of
    connectivity
    18
    o Building on existing LTE
    solution
    o Single SW and HW platform
    o Drastic reduction of testing
    Size & cost
    June 3, 2010

    2010 PRIORITIES
    o Competitive cost structure
    o New portfolio
    o Prepare the company for future,
    profitable growth
    19
    Focus on priorities and fast transition
    June 3, 2010

    Region Americas:
    The Land of Opportunity
    Robert Krysiak
    General Manager, Americas Region

    Americas 2009 TAM: $35B
    Military/Space
    Automotive
    4%
    Top 10 Americas OEM
    2009 Spending
    Top 10 OEMs:
    ~62% of TAM
    Computer
    Platforms
    36%
    Consumer
    7%
    Industrial
    7%
    Medical
    4%
    10%
    2
    Source: iSuppli
    Computer
    Peripherals
    Wireless 6%
    15%

    Americas Forecast
    o Consumer CAGR ~ 16%
    driven by:
    o Game consoles
    o LCD TV
    A t ti CAGR 12%
    o Americas TAM
    o 2009-2014 CAGR ~ 7%
    o Automotive ~ 20,000
    30,000
    40,000
    50,000
    60,000 TAM Revenues Forecast
    1.0
    1.2
    1.4
    1.6
    1.8
    2.0
    2.2
    Application Growth Forecast
    US$M
    3
    Source: iSuppli
    0
    10,000
    2009 2010 2011 2012 2013 2014
    0.8
    2009 2010 2011 2012 2013 2014
    Automotive Consumer Data Processing
    Industrial Wired Wireless

    Americas Ecosystem Strength
    Design Houses
    Venture Capital
    Startups
    ederal Stimulus
    Universities
    OEMs
    Regulatory
    4

    North America Economic Environment
    US Trade Deficit
    o Deficit growth is validating the evidence of recovery from the worst global
    recession since World War II
    o US exports grew faster than imports in 2010 despite a stronger $ vs. (euro) driven by
    industrial supply, farm products, semiconductors and strong expansion in China
    US Imports
    o Impacted by lower crude oil prices
    US Unemployment
    o Rose to 9.9% in April from 9.7% in March
    ST Americas end-of-quarter BiBA:
    doubled from Q1 2009 to Q1 2010
    5

    ST Americas: Revenues Trend
    o ST Americas is growing the Domestic market while leveraging the
    "Design Influence" to expand offshore growth
    o Bridging Americas with China and A/P on common strategic plans
    o 1Q10 affected by seasonality
    Americas Domestic Revenues =
    US$M 13% of ST
    "Design
    Influence"
    1Q09 2Q09 3Q09 4Q09 1Q10
    Domestic WW
    Influence
    6

    Americas
    Computer Peripherals & Communications
    Infrastructure

    Communications
    Communications Infrastructure
    $100M
    Leading Americas
    i ti
    ST well positioned
    L di A i
    Smart Phones
    ST Americas:
    2012 potential new
    business target
    $120M
    communications
    players:
    Cisco, HP, Google,
    Microsoft,
    Facebook, etc.
    Mobile data traffic
    to increase 39X
    from 2009 to 2014*
    to outperform the
    market utilizing
    32nm ASIC IP
    portfolio & SPEAr
    platform
    ST Americas won 3
    major 32nm ASICs
    in Q1 2010
    Leading Americas
    smart phone
    players:
    RIM, Apple,
    Motorola &
    HP/Palm
    Apple & RIM
    account for >50%
    of cell phone
    manufacturer's
    operating profit
    ST Americas
    mainly provides
    MEMS solutions
    and Imaging
    products
    ST Americas
    ramping innovative
    gyroscopes in Q1
    2010
    Source: Cisco
    8

    SPEAr - New Flexible ARM Cortex Platform
    Structured
    ASIC
    2 x ARMv7
    SPEAr1600
    Industrial
    Automation
    Telecom
    Networking
    D ki
    VoIP/Videoconference
    Security
    MID
    SPEAr1320
    SPEAr1310
    SPEAr1300
    SPEAr1340
    $50M
    ST Americas
    targeting key
    players
    IP Processing
    VoIP
    Smart Meters
    High-end
    Docking
    Thinclient
    Net-PC
    SPEAr2A9
    SPEAr1330
    ST Americas:
    2012 potential new
    business target
    Residential
    Gateways
    Access Points
    9

    Computer Peripherals
    Leading Americas
    Shifting from
    disposable to
    permanent print
    ST is leading
    ST expanding in
    Digital & Analog
    ASICs Secure
    Printers
    +integrated WiFi
    $150M
    Printer Players:
    HP, Lexmark,
    Kodak
    heads and from
    wired to wireless
    connectivity
    semiconductor
    supplier offering
    complete solutions
    ASICs, Micros, Touch
    Sense, WLAN &
    Power
    Data Storage Samsung
    Electronics
    9%
    Western
    Digital
    Top 5 HDD OEMs - Q110*
    ST Americas:
    2012 potential new
    business target
    Leading Americas
    HDD Players:
    Western Digital,
    Seagate
    2010 market to grow
    19% driven by
    increased data
    demand - video,
    mobile & cloud
    storage*
    ST provides Digital
    ASICs and custom
    power products to
    the market leaders
    Source: iSuppli
    Toshiba/
    Fujitsu
    11%
    Hitachi
    Seagate 18%
    31%
    31%
    10

    Americas:
    Consumer

    Consumer Convergence
    o Mobile Internet Devices (MID); Smartbooks,
    Tablets, Netbooks...transforming the way
    consumers work/play
    o In 5 years MIDs will dominate the semiconductor TAM
    in the new PC/Consumer market
    o Apple, PC OEMs, Microsoft, Google, and their
    ODMs will be the dominate players in the MID
    market
    Video Peripherals Power Security Custom
    ST Selected Products
    3D Graphics
    Codecs
    MEMS
    Display Port
    Touch/proximity
    sensing
    System Power
    TPM
    Brand Protection
    Encryption engine
    Near Field Power
    Security
    Peripherals
    LED/OLED Drivers
    AC/DC controllers
    Advanced ARM
    processors
    Image Quality
    12

    STi7108: Best-in-Class H.264 SoC for STB
    o 2000 DMIPS host performance
    o Integrated 3D Graphics GPU
    o Enhanced Video
    Set Top Box
    ST ki
    o 1080p60
    o Full motion HD 3DTV
    1st ST product with ARM Cortex-A9 due in H2 2010
    $110M
    Combining
    traditional STB
    services with
    Internet
    Expanding the
    Consumer
    experience with
    stereoscopic
    vision
    ST product
    roadmap tuned
    for new features
    and services
    working on
    current/next
    generation set
    top box
    platforms with
    top US OEMs
    ST Americas:
    2012 potential new
    business target
    13

    MEMS
    Pervasion of
    i
    Motion sensor
    k t Integration of
    MEMS d t
    ST Americas
    hi i l
    MEMS
    $200M
    MEMS in
    consumer devices
    continues to
    significantly
    increase
    market CAGR
    (2009-13) of 15%
    and 19% for
    accelerometers &
    gyros, respectively
    MEMS, data
    converters & RF
    transceivers is
    competitive
    advantage
    shipping large
    volumes of
    accelerometers &
    ramping gyroscopes
    in Q1 2010
    ST Americas:
    2012 potential new
    business target

    Americas:
    Automotive

    Auto Communications
    #1 in
    #1 in
    Satellite
    Radio
    Strategic
    supplier of
    GPS to
    Garmin
    Innovation in
    auto
    communications
    market is lead
    by the Americas
    Consumer
    Power
    Amplifiers
    GPS
    device
    connection

    Auto Safety
    Advanced
    battery
    charging
    Silicon partner
    for Mobileye
    Partner with
    Navteq for ADAS
    Innovation in
    auto safety
    market is
    lead by the
    Americas
    Unique
    data
    Energy
    efficienc
    GaN
    partnership
    for advanced
    power
    solutions
    solution to
    LG
    mapping
    utilization
    efficiency
    with
    PEV/HEV
    17

    Automotive Market
    US autos are Advanced Build on our
    t iti
    ST Americas
    i i k t
    Automotive
    $140M
    BCD
    VIPower
    MPU
    32BIT MCU
    leaders in silicon
    content and
    vehicle
    production
    concepts utilizing
    GPS, car-to-car
    and grid
    communications
    strong positions
    via partnerships
    and offer a full
    range of system
    components.
    gaining market
    share in MCUs and
    achieved major
    powertrain MCU win
    at a US OEM
    Growth by Technology Family
    ST Americas:
    2012 potential new
    business target
    2009 2010 2011 2012 2013 2014 2015

    Americas:
    Industrial & Medical

    LED Lighting
    Great potential
    9.5W LED replaces
    i d t
    ST is #1
    li t t Major design wins
    LED Lighting
    $45M
    200
    250
    300
    in general
    illumination
    with 2009 to
    2012
    CAGR>90%
    80W incandescent:
    market price ($35,
    payback time (1yr &
    15 year bulb life
    supplier at top 5
    lighting
    worldwide
    manufactures
    in US region
    generating
    potential billing
    growth with
    CAGR)300%
    LED Driver Market
    ST Americas:
    2012 potential new
    business target
    0
    50
    100
    150
    2009 2010 2011 2012
    General Illumination Rest of Mass Market
    Source: iSuppli

    SmartGrid:
    Stimulus and Innovation Driving Growth
    L t th i B d
    ST: top 5 supplier
    t t t
    SmartGrid
    $90M
    ~$3.4B in stimulus
    funding will drive
    >20% growth*
    Largest growth
    opportunity in
    ZigBee/PLC/WiFi
    nodes
    ST is a Board
    member of ZigBee
    and HomePlug
    Alliances
    to US smart meter
    OEMs & 1st
    supplier of
    sensing
    technology
    Network Security
    & Encryption
    ST Americas:
    2012 potential new
    business target
    J2293
    Smart Meter
    PHEV
    Charging Source: ABI

    Smart Meter Solutions & Deployment
    Country (Utility) Customers (deployment)
    Italy (Enel) - ST7538/40 PLM-based meters 27M (complete)
    US (SCE, Duke, SDG&E, AEP, PG&E, FPL, etc) 40M (2015), 70M total
    China 200M (2015)
    M i (IUSA) STM32/STPM01b d 3 5M (2009) 4M (2010) 20M t t l
    SPEAr
    STM32
    StarGrid PLC
    Mexico - STPM01-based 3.5M 2009), 2010), total
    Spain (Endesa, Iberdrola) - ST7570/90-based 22M (2015)
    Brazil (ELO) - Echelon PLM-based 60M (2021)
    France (ERDF) - ST7570-based 35M (2015)
    Model BOM ($) Features
    Low End 5 Manual read
    Mid R 10 AMR (1 )
    STM8S
    Power Management
    Metering
    STM32W ZigBee
    Display
    Current Sensing
    Voltage Sensing
    STPMxx
    SPEAr /
    Range 1-way)
    High End >15 AMI / IP Interactive
    Energy Management Power Line
    Modems
    ST75xx
    StarGrid SoC
    PRIME
    Real Time Clock
    + Temp Sensor
    STPMxx STM32
    or
    STM8
    ZigBee
    STM32W
    Power Management
    VIPerXX / LXXXX
    22

    Healthcare: e-Health/Remote Monitoring
    Consumer home New markets:
    di
    Engaged with top
    i l t bl
    Healthcare
    $130M
    health & remote
    patient monitoring
    driven by insurance
    reimbursements
    cardiac
    monitoring, drug
    delivery &
    portable
    ultrasound
    Major MCU design
    wins in Home
    Health Care
    implantable
    device OEM &
    diabetes
    management
    leaders
    Bluetooth
    DUN
    GPRS
    Internet
    Care
    Server
    Band-aid or
    T-Shirt
    ST Americas:
    2012 potential new
    business target
    Internet
    ADSL
    User IP Box Doctor/User PC
    Off-body
    sensors
    Bluetooth
    Bluetooth
    SPP
    23

    Embedded MCU
    Broad portfolio
    of processor
    cores
    EnergyLite (TM)
    MCUs
    State-of-the-art
    process
    technologies
    Wireless and
    RF
    Key growth segments: energy management, healthcare & consumer
    STm32/8/Spear $275M
    MCU (US$M)
    p ST Americas:
    2012 potential new
    business target
    ST
    doubling
    MCU
    share
    24

    Brand Protection Solutions:
    Counterfeiting, a Growing Financial Loss
    Secure
    Microcontrollers
    Secure O/S
    Development
    State-of-the-art
    process
    technologies
    Key
    Management
    Key growth segments: Computer Peripherals, Accessories and Medical
    $100M
    ST Americas:
    2012 potential new
    business target
    25

    Sense & Power Strategy Outlook
    High
    Voltage
    Switches
    Power
    Management
    SoC for
    Battery Packs
    Connectivity
    Innovative Audio
    Amplifiers with
    embedded
    CODEC
    Application
    Specific Data
    Converters
    Growth across multiple segments: Computer, Consumer, Communication & Healthcare
    $60M
    ST Americas:
    2012 potential new
    business target
    26

    Americas:
    Distribution

    Customer Reach
    o North American Distribution network: 90% of the market
    o 3 global distributors
    o Merchant Distributors: 15,000 customers
    o Catalog Distributors: 60,000 customers
    o ST is #2 broad-line supplier in NA
    ST Sales Growth vs. Market
    Distribution
    broad o Sales Growth
    o #6 ranking in Q110
    o +80% growth of sales to Distributors over 2009
    o Profitability
    o Systematic price increases accelerating margin growth
    o New Product Design in
    o #1 in Sales and Design in of ARM 32bit
    o 70% Growth in Power MOS
    o +100% Growth in High Reliability/Space
    2009 2010 2011
    ST Market
    ST Market
    New
    Markets
    Alternative
    energy Lighting
    Asset
    tracking &
    navigation
    Medical >$50M in
    2010
    o New Market Penetration
    Source: Lively Report, Shared Market Data
    28

    Key Takeaways
    o Increasing Demand Creation
    o Reshaping the team, adding more local design
    o Defining new products for the local market
    o New Products
    o New generation of MCU's
    o Advanced digital and analog ASIC's
    o New generation of MEMS
    o Connected platforms (WiFi, MoCA, PLM) like 7108M and SPEAr
    o Brand protection secure micros
    o New Markets and Applications
    o Smart energy
    o Cloud computing
    o Healthcare
    o Internet-based devices
    o Gadgets & gaming

    Automotive Products Group
    Paul Grimme
    General Manager, Automotive Products Group (APG)

    Automotive Inside ST
    ST Q1 2010 sales
    100% = US$2.325B
    14%
    12%
    12%
    8%
    35%
    19%
    2
    * Sales recorded by ST-Ericsson and consolidated by ST are included in Communications and Distribution
    Automotive Computer
    Consumer Industrial & Other
    Communications* Distribution*

    ST: #3 in Global Automotive IC's
    ASIC-ASSP, MCU, MPU, VIPower, RF, Vision Sensors, DSP
    Products
    Power Train
    Engine Transmission
    Door Modules,
    Anti-theft
    Lighting,
    Wipers
    Body
    Electronics
    HVAC,
    Cluster
    Chassis-Safety
    Braking
    Steering
    Airbag
    Infotainment
    Car
    Infotainment
    PND
    Telematics
    GPS
    Customers Applications Segments

    Automotive Competitive Environment
    o Inside its specific perimeter, APG
    became WW leader in 2009
    Rank Company
    1 Infineon
    2 Freescale
    3 ST
    Rank Company
    1 ST
    2 Freescale
    Restricting to 3 Infineon
    Ranking
    General Stability
    4 NEC
    5 Renesas
    4 Renesas
    5 NEC
    power +
    analog +
    digital
    Competition
    o Common enablers for leadership
    Technology
    + Products
    BCD, VIPower
    ASIC portfolio
    MCU roadmap
    Infotainment
    Strategy Innovation
    Partnerships
    4
    o Broad range offer
    o Quality and relationships
    o ST is recognized as having a
    strong, wide range network of
    Tier-1 customer

    Car Market: After the Crisis
    WW Data
    o 2009 consumption was strongly
    incentivized by the world's
    governments
    4.3%
    5.7%
    -4.2%
    -13.0%
    9%
    7%
    4.7%
    55
    60
    65
    70
    75
    80
    Excluding China,
    production dropped 20%
    o Production fluctuation was much
    bigger than that of sales
    o Positive signals now seen
    o Very positive Q1 pace in NAFTA
    and Asia
    o Platform developments restarted
    50
    2005 2006 2007 2008 2009 2010 2011 2012 2013
    5
    o Developing countries are
    growing faster than EU and
    developed Asia
    Source: Global Insight

    Automotive Market Growth Factors
    More Cars, More Electronics
    CAGR 2009-2016:
    Cars: 6.2%
    Electronics: 8.5%
    250 Silicon: 10.2%
    270
    283
    298
    311 319 325 333
    20000
    25000
    30000
    35000
    arket (M$)

    ASIC-ASSP
    MCU
    Power
    Sensors
    Electronic ignition
    Electronic gearbox
    Air conditioning
    Antilock brakes
    Navigation
    Adaptive cruise ctrl
    Airbags
    Stability control
    Night vision
    Telematics
    Bluetooth
    Start/stop
    Pedestrian detection
    Lane change
    Driver assist maps
    Car 2 car
    Internet
    Brake-by-wire
    Steer-by-0
    5000
    10000
    15000
    2009 2010 2011 2012 2013 2014 2015 2016
    Silicon Ma
    Standard
    Others
    Silicon/Car ($)
    1975 1985 1995 2005 2015
    Central locking
    Car radio
    Seat heating
    Automatic mirror
    Xenon light
    Hybrids
    LED lighting
    Steer by wire
    Electric vehicles
    25M cars 32M cars 36M cars 64M cars 86M cars
    Source: Strategy Analytics

    2010-2015 - Macro-trends in Automotive
    Innovation fueled
    by social
    A Global, Cost-
    Driven Market
    responsibility
    Saving energy, saving lives
    New automotive concept, fast
    moving markets for cars &
    electronics
    Innovate
    Car electrification
    The safe and connected car
    Simplify, Speed
    up
    The Small Car
    The Low Cost Car
    A Global Supply Chain
    7
    Future winners shall be leaders of both processes
    Join innovation eco-systems, Manage new market dynamics and standards

    2010-2015 - Macro-trends in Automotive
    Innovation fueled
    by social
    responsibility
    Saving energy, saving lives
    Innovate
    Car electrification
    The safe and connected car
    8
    Leveraging partnerships with the industry leaders
    Co-development as a model matching technology with know how

    Strategy
    o Build on our strong positions via partnerships
    o Complete a full range of system components
    Electric Power
    Steering
    Electric oil,
    water, fuel
    pumps
    Electric
    Parking
    Brake
    Green Car
    Innovation Fueled by Social Responsibility
    ST Response: Technologies
    p g y p
    o Technology portfolio as first enabler
    o Market position: ASIC, vision processing, GPS
    o Tech portfolio: MCU, power, camera, RF,
    sensors
    o Partnerships: global leaders (Tier 1 and OEM)
    o Key Actions
    o Partnership with key IP companies
    Smart battery
    charging
    Engine
    start-stop
    C tdC
    Pedestrian Detection
    Safe Car
    o Electrification / safety joint programs
    o Government funded projects
    Connected Car
    9

    Innovation Fueled by Social Responsibility
    ST Response: A Test Case
    Application: stability
    control for Japan
    o Target is to allow an
    optimized ESC for all car
    ST strategy: win with
    innovation
    o Silicon technology: BCD8,
    0.18um, copper metalization
    Result: a first silicon
    success
    o Joint development team
    p with customer
    segments
    o Super-integrated IC with
    power (>5W) + logic
    (>100Kgates)
    o Tough requirements on
    performance, price, timing
    pp
    o Package: HiQuad110(TM),
    copper wires, life guaranteed
    @175(degree)AEC
    o Re-use of consolidated,
    successful architectures
    o First silicon fully
    functional, able to run
    winter test in Q110
    o Over $100M lifetime value

    2010-2015 - Macro-trends in Automotive
    A Global, costdriven
    market
    New automotive concept,
    fast moving markets for
    cars and electronics
    Simplify, speed up
    The small car
    The low-cost car
    A global supply chain
    11
    Adapting to the "new" world of Automotive
    Different support needs, cost positions, geographies

    A Global, Cost-Driven Market
    ST Response: Ease Of Use For Cost, Time to Market
    o Strategy
    o Engineer the portfolio to decrease
    system cost/complexity
    o ST advantages and actions
    Integration
    Systems-inpackage
    Systems-on-chip
    sense + power
    o Strong partnership with market leaders
    o Unique and strong ASIC history
    o Action: local development in geographies
    where growth is occurring
    o Strategy
    o Support market newcomers with standard
    low time to
    Full Solutions
    Systems on Target to grow
    WW leadership in
    airbag and small
    MCU engine control
    power
    peripherals
    solutions to allow fast and low-risk time-tomarket
    o ST advantages and actions
    o Unique ASSP portfolio covering all segments
    o System understanding of basic applications
    o Action: engineering and starter kits
    Full IC kit
    HW + SW
    support
    Target to grow
    leadership in
    BRIC engine
    control

    A Global, Cost-Driven Market
    ST Response: A Test Case
    Year 2005: start of
    new partnership
    o Target: engine control for
    Chi 4 li d
    Year 2007: new
    system ready
    o Production begins
    Year 2009: reached 60%
    of internal market share
    o ECU is present on
    China 4-cylinder car successful Chinese vehicles
    o Fully Chinese system
    development team
    o Requests to ST: support,
    speed, value
    o ST provided all
    semiconductors, plus SW /
    HW support
    o Joint technical team coworked
    for two years
    o Solution proved to be
    competitive in other regions
    2 14
    31
    58
    65
    Revenues (M$)
    2007 2008 2009 2010 2011
    13

    APG - Main Growth Drivers & Expectations
    o Above market growth
    o Smart Power technologies will
    continue to be a main driver
    Growth by Technology Family
    MPU
    32BIT MCU
    o Digital products add growth
    o MCU
    o MPU (ADAS,
    Infotainment)
    o New market enablers are now
    being added to APG traditional
    portfolio
    2009 2010 2011 2012 2013 2014 2015
    o In the future, further leverage
    in new technologies is planned
    o PMOS, IGBT
    o Sensors
    14

    Automotive electronics will be a continuing growth market, driven by
    vehicle demand and content per vehicle
    Closing Comments
    o The market crisis in 2009 did not change the fundamentals,
    however it accelerated existing trends
    o Innovation and ease of use solutions will be critical components of
    growth for automotive electronics
    o The global su g pply chain is being re-shaped by shifting tastes and
    geographic locations of consumers
    o ST is among the few companies having all assets in place to turn
    this changing period into one of decisive growth
    15

    Digital and Analog ASICs
    Gian Luca Bertino
    General Manager,
    Computer and Communication Infrastructure Product Group (CCI)

    Leader in Digital and Analog ASIC
    CARTRIDGE HDD PRINTER NETWORK
    Motor
    Controller
    Digital
    ASIC
    BS RF &
    Active
    Print
    Heads
    & Head
    Drivers
    BCD
    & SOC
    HCMOS
    Cables
    Drivers
    MFLD BICMOS
    TOP 1 TOP 2 TOP 3 TOP 3
    2

    Market Trends and Strategy in ASIC
    o Cloud computing will fuel the next wave, generating increasing demand for
    (green) infrastructure and transforming all applications in cloud conscious clients
    o ASIC continues to be an effective win win model for CCI customers and ST
    Cloud Computing Web Connected Internet Traffic Green Systems
    win-continues to be committed to it
    o The strategy: expanded product offering and flexible business model

    CCI Performance Through the Crisis
    80
    100
    120
    100
    200
    60
    Q407 Q409
    Revenues (relative to Q407)
    0
    Q407 Q409
    Operating Profit (rel to Q407)
    100
    105
    110
    60
    80
    Q407 Q409
    HDD Revenues (rel to Q407)
    95
    100
    Q407 Q409
    Other Revenues (rel to Q407)

    Leading by Technology Acceleration
    System-On-Chip
    40%
    60%
    80%
    100%
    32nm
    40nm
    55nm
    65nm
    60%
    70%
    80%
    90%
    100%
    BCD8 18
    0%
    20%
    2007 2008 2009 2010 2011
    90nm
    110nm
    >=130nm
    0%
    10%
    20%
    30%
    40%
    50%
    2007 2008 2009 2010 2011
    .18u
    BCD6 .35u
    BCD5 .50u
    5

    CCI Growth Drivers
    BiCmos ASIC
    for AOC and RF
    PrintHeads for
    InkJet Printers
    Digital ASIC for
    Networking
    Printer SOC and
    SPEAr eMPU
    6

    BiCmos ASICs for Networking
    o Leveraging best-in-class
    BiCmos technologies from
    ST technology portfolio
    140
    o BiCmos7RF: State-of- the- art
    performances for both noise
    and linearity
    o BiCmos9MW: 100G Ethernet
    Optical Link successfully
    demonstrated
    o Consolidating ST presence
    80
    100
    120
    in RF COTs for application
    in wireless base-stations
    o Growing in the area of active
    cables
    60
    Q407 Q409
    Revenues (Rel to Q407)
    7

    PrintHeads for InkJet Printers
    140
    160 o Expanding ST leadership
    in thermal printheads
    o Best-in-class microfluidic
    80
    100
    120
    Best in technology
    o Strategic partnerships
    with multiple customers
    o Revenue growth very
    material in 2009
    60
    Q407 Q409
    Revenues (Rel to Q407)
    o Investing in Piezo
    technology to address
    new markets
    8

    Digital ASIC for Networking
    100 o Enterprise market slower
    than consumer to go back
    to pre-crisis
    70
    80
    90
    o Anticipating strong growth
    from 2010 onwards,
    fueled by multiple wins in
    65nm reaching production
    o Launching 32LPH, first
    32nm bulk process for
    networking applications
    60
    Q407 Q409
    Revenues (Rel to Q407)
    g pp
    o Launching S12, first
    12.5GBit/sec SerDes in
    32nm bulk process
    9

    STMicroelectronics Announces 32nm Design Platform for Next-Generation System-on-Chip ICs for
    Networking Applications
    Geneva, May 25,2010 - STMicroelectronics (NYSE: STM), a world leader in high-performance
    System-on-Chip (SoC) ICs, today announced full availability of
    a 32-nanometer (nm) technology platform for the design and development of leading-edge
    application-specific integrated circuits (ASICs) for networking
    applications. Central to the new 32nm SoC design platform, which implements ST's 32LPH (Low-Power
    High-performance) process technology, is the industry's
    first Serializer-Deserializer (SerDes) IP available in 32nm 'bulk' silicon.
    Enabling very large ASIC designs, greater than 200mm2, ST's new 32nm 32LPH ASIC design platform
    enables an unprecedented mix of high performance, high
    complexity, low power consumption and reduced silicon real estate per functional block. The platform
    is designed to accelerate the development of next-
    ST's Next Generation Platform

    generation networking ASICs used in high-performance applications such as enterprise switches, routers
    and servers as well as optical cross-connect and
    wireless infrastructure applications.
    "With the introduction of the 32LPH platform, ST is enabling the next generation of equipment for
    communication infrastructure applications, which requires
    highly integrated ASICs that can satisfy the increasing demand in performance, while also meeting
    extremely challenging power consumption and silicon
    integration goals," said Riccardo Ferrari, Group Vice President and General Manager of ST's Networking
    and Storage Division. "We are extremely encouraged
    by the strong interest that customers are demonstrating for this platform, which has already gained
    key design wins."
    ST's SerDes IP, called S12, is a key piece of intellectual property that has already been successfully
    demonstrated in labs at selected key customers. The S12
    IP is vital for the development of ASICs for networking applications and enables chip-to-chip,
    chip-to-module and backplane communications in networking
    equipment designs.
    "ST is the first silicon supplier to bring a full design platform in a 32nm bulk-silicon process
    technology to the communication infrastructure market, including a
    next-generation predictive ASIC top-down design methodology, together with a full set of proven IP,
    such as a SerDes and embedded DRAM, successfully
    developed over many years by ST in previous technology nodes," said Philippe Magarshack, Technology p
    y y y p gy , pp g , gy R&D Group Vice-President, Central CAD & Design
    Solutions GM, STMicroelectronics. "ST's Technology R&D center in Crolles, France, has been
    instrumental in accelerating the completion of the 32LPH platform
    where low-power technology meets the high-performance requirements of networking applications, while
    still enjoying all the cost benefits of high-volume
    manufacturing. In addition, we have partnered with selected EDA vendors to offer networking customers
    the benefits of a predictable ASIC turnaround time,
    including fast virtual physical prototyping, and 32nm-class timing, signal and power integrity
    sign-off."
    The first ASIC prototypes implemented in ST's 32LPH process technology are expected early in 2011 with
    production ramp-up in the second half of 2011.
    Further Technical Information
    ST's 32LPH (Low-Power High-performance) design platform for networking applications supports up to 10
    metallization layers to increase routing efficiency. The
    platform is based on the 32nm High-K Metal Gate process developed within the framework of the ISDA
    alliance, but also incorporates specific IP and devices
    from ST, such as embedded DRAM with 10-Mbit per square millimeter density and Ternary Content Address
    Memory (TCAM).
    10

    Printer SOC and SPEAr
    140
    160 o SPEAr family now expanding
    with the launch of the 1300
    series
    80
    100
    120
    o Enabling flexible ASIC models
    into multiple applications
    o Decreasing cost of ownership
    to customers
    o State-of-the-art SOC
    architecture
    o Anticipating continuous growth
    i f df l db
    60
    Q407 Q409
    Revenues (Rel to Q407)
    moving forward fueled by
    recent wins in printer SOCs
    and increasing revnues from
    the SPEAr family
    11

    SPEAr Enables Multiple Business Models
    Traditional
    ASIC
    Flexible
    ASIC
    Embedded
    Processing
    MCU
    eMPU
    ASIC
    STM32
    STM8
    SPEAr
    SPEAr(TM)
    Flash, SRAM
    SDRAM, DDR
    LEDs,
    KBD,
    LVDS
    Customizable
    Logic Gates
    Memory
    Cards
    Decreasing Cost of Ownership to Customers
    12

    STMicroelectronics Expands its SPEAr(R) Microprocessor Family for High-Performance Applications
    New advanced symmetrical multiprocessor architecture from ST delivers cost efficiency, computing power
    and customizability for multiple embedded applications
    Geneva, May 27,2010 - STMicroelectronics (NYSE: STM), a world leader in system-on-chip technology,
    today revealed the new architecture that will be the backbone for the
    new members of its popular SPEAr(R) (Structured Processor Enhanced Architecture) family of embedded
    microprocessors, targeting high-performance connectivity and
    embedded applications.
    Leveraging its experience of the production-proven SPEAr300 and SPEAr600 lines, the new SPEAr1300
    product line couples powerful dual ARM Cortex-A9 processors with a
    DDR3 memory interface and is manufactured in ST's low-power 55nm HCMOS (high-speed CMOS) process
    technology. The dual ARM Cortex-A9 processors support fully
    symmetrical operation, at speeds up to 600MHz/core for 3000 DMIPS equivalent.
    Expansion of SPEAr Family
    The SPEAr1300 makes use of ST's innovative Network-on-Chip technology for internal peripheral
    interconnect, assuring support for multiple different traffic profiles, while
    maximizing data throughput in the most cost-effective and power-efficient way. Initial sampling has
    already started to early adopters.
    The new architecture offers industry-leading performance in terms of DMIPS/MHz and power
    consumption/DMIPS ratios, in addition to cost efficiency and customizability
    advantages. The availability of integrated DDR3 memory controller and a full set of connectivity
    peripherals like PCIe, SATA, USB and Ethernet, among other features, make the
    SPEAr1300 the ideal choice for high-performance applications including networking, thin client,
    videoconferencing, NAS (Network-Attached Storage), computer peripherals, and
    factory automation.
    "This new architecture for the SPEAr family builds upon the unrivalled low power and multiprocessing
    capabilities of the ARM Cortex-A9 processor core" said Loris Valenti,
    General Manager of ST's Computer Systems SoC Division. "Upcoming SPEAr embedded microprocessors will
    deliver an unprecedented combination of processing
    performance, memory throughput, flexibility and low power for next-generation connectivity
    appliances."
    Key features of the new SPEAr1300 architecture include:
    o Dual ARM Cortex-A9 cores, running at 600MHz for 3000 DMIPS equivalent
    o 64-bit AXI (AMBA3) bus Network-on-Chip technology
    o DRAM and L2 cache with Error Correction Code (ECC)
    o 533MHz 32-bit DDR3 memory controllers with ECC; 16-bit DDR2 also supported
    o Accelerator coherence port
    o Gigabit Ethernet
    o PCIe 2.0 supporting 5 GT/s (Gigatransfers/second)
    o SATA II 3 Gbit/s
    o USB 2.0
    o 256-bit key hardware encryption/decryption
    o 1.3 million gates of configurable logic
    Embedded microprocessors from the new SPEAr1300 product line will be announced over the next few
    months, expanding ST's SPEAr family and providing an extensive choice
    for leading customers.
    Further information on ST's SPEAr family of embedded microprocessor System-on-Chip ICs is available at
    www.st.com/spear
    13

    SPEAr Roadmap
    2A9-1300
    1300k gates
    Dual Cortex-A9
    600(1)MHz
    HD Display, 3x PCIe
    55 HCMOS LP
    SPEAr1300
    General Purpose
    External AMBA bus
    Flexible ASIC
    Off the shelf eMPU
    SPEAr300
    VoiP, Security
    SPEAr600 55nm General Purpose
    External AMBA bus
    2H9-600
    600k gates
    Dual ARM926
    333(1)MHz
    XGA display controller
    90nm HCMOS GP
    SPEAr 1300
    First eMPU with
    SPEAr1310
    Communication
    SPEAr320
    Automation
    SPEAr310
    Communication
    H9-300
    300k gates
    ARM926
    333(1)MHz
    65nm HCMOS LP
    Dual Cortex A9
    available in silicon
    14

    Addressing Multiple Applications
    Bar Code
    Automation
    Thin Client
    Networking
    Instrumentation
    VoIP
    Imaging
    Access Point
    e-book
    Docking Station
    15

    Key Takeaways
    o CCI product group is delivering solid results
    o Revenues in excess of $1B
    o Operating margin in the low double-digit range
    o CCI product strategy centered on traditional ASIC, flexible ASIC and eMPU
    o Strategy to grow in Analog
    o Continue to be a market leader in motor controllers for HDD and printers, and in
    printheads for inkjet printers
    o Now accelerating BiCmos ASICs for both active optical cables and RF interfaces
    o Strategy to grow in Digital
    o Significant design wins in the areas of communication infrastructure and printers
    o Launch of the first 32nm bulk platform for networking applications
    o Expansion of the SPEAr family with the launch of the 1300 series
    o Tactical participation in HDD SOC
    16

    Home Entertainment & Displays
    High on Entertainment - Low on Power
    Philippe Lambinet
    General Manager, Home Entertainment & Displays Group (HED)

    HED Driving Multimedia Convergence
    Set-top boxes
    TVs / Monitors Audio
    Sensors
    2

    Consumer Electronic Trends
    o Analog switch-off
    o Increasing demand for Pay TV and FTA satellite
    o New connected services
    o Content aggregation - broadcast & IP
    o Services across all consumer devices
    o Exciting entertainment experience
    o 3D stereoscopic TV
    o GUI technologies -- 3D graphics, MEMS...
    o LED BLU
    o Environmental factors
    o Power consumption
    o Green production
    3

    STB Market
    o New value-added services in
    EU and USA
    o Broadband & broadcast
    o Monetized with advanced security
    Mu
    Terrestrial
    50
    100
    150
    o Combined with home networking
    o China market is the largest
    market with growth in cable &
    IP
    o Brasil India Satellite
    IP
    0
    2009 2010 2011 2012 2013 2014
    Brasil, India, deploying on SD
    H.264 essentialy starting to
    commoditize
    o MPEG2 commoditization

    DTV Market
    o Larger share of screen size for
    40" and above
    Mu
    50
    100
    150
    200
    o More internet services &
    content targeting connected TV
    o Faster migration rate to digital
    reception
    o Fast technology pace
    LCD
    Plasma
    0
    2009 2010 2011 2012 2013 2014
    gy p
    o 120Hz to 240Hz
    o LED BLU
    o 3DTV
    Source: iSuppli
    DTV Market

    Our Application-Platform Evolution
    Gen. 1 Gen. 2 Gen. 3 Gen. 4
    Fully open
    connected
    New services
    New UI
    Best
    Performance/
    HD H.264
    market
    platform
    internet TV
    enabler cost ratio Client/server
    STi7100
    STi7103/FLI106xx
    STi7105
    STi7104/FLI326xxH
    STi7108
    FLI7510
    7109, 5202 7111, 7141, 7200
    5211, 5206, ...
    71xx, 52xx
    STi7xxx
    FLi7xxx
    MPEG2 1000 DMIPS CPU Dual CPU & L2 cache Multi-core SMP CPU
    Mass production Mass production In design
    Production: 2007 a(3) Production: 2009 a(3) Production: 2010 a(3) Production: 2011 a(3)
    Samples now
    >5000DMIPS
    Introduction of:
    Dual 1080p60 decode
    HD encode
    Display Port, MOCA 2
    >2000 DMIPS
    Introduction of:
    1080p60 decode
    3D GL-ES2.0
    MOCA 1.x
    Introduction of:
    AVS HD
    DDR2
    e-SATA
    6

    HED H1 2010 Highlights
    o G2 based STB massively deploying
    o Mass production started in June 2009
    o 55nm process with >10 products families
    o > 50 customers now in production
    o > 50% of ST total STB shipments from 2010
    o G3 getting ready for ramp up in 2010
    o G3 introduced at CES 2010 in January 2010
    o Freeman/FLI7150 solution for DTV designed in at multiple partners
    o >20 partners enabled with STi7108 platform
    o Develop new category of STB & media center
    o Develop new software for new services
    o RIA, GUI, gaming, mediaserver, ...
    7

    ST Vision
    o Merging broadcast and internet TV
    Client/server
    Open internet
    o Graphics
    o Video/audio quality
    o New
    Services User
    Experience
    Green
    o Low-power
    o Sustainable excellence
    Gaming
    o Remote control
    8

    Why Reduce Power in CE ICs?
    o Governmental regulations
    compliance
    o End customer demand: a
    consumer selection criteria
    o Optimized product cost
    o Bill of material
    o Product reliability
    o ST vision: ST's
    environmental engagement
    to sustainable excellence
    9

    Principles for Sustainable Excellence
    Energy
    Electricity consumption per unit of
    production - normalized values
    100 KHh/production unit
    Target
    Water
    Water consumption per unit of
    production - normalized values
    100 m3/production unit
    Target
    CO(2) emissions
    Absolute values Reduction of waste
    3500 Total
    T t E
    0
    50
    1994
    1995
    1996
    1997
    1998
    1999
    2000
    2001
    2002
    2003
    2004
    2005
    2006
    2007
    2008
    0
    50
    1994
    1995
    1996
    1997
    1998
    1999
    2000
    2001
    2002
    2003
    2004
    2005
    2006
    2007
    2008
    -500
    500
    1500
    2500 1994
    1995
    1996
    1997
    1998
    1999
    2000
    2001
    2002
    2003
    2004
    2005
    2006
    2007
    2008
    Tot. Energy
    PFC
    Sequestration
    Transportation
    Landfill: from 71% in 1994 to 4% in 2008
    10

    Processing Performance Evolution
    5000
    6000
    MIPS
    x14
    1000
    2000
    3000
    4000
    0
    G1 G2 G3 G4
    > 240% performance increase over 3 product generations
    11

    STB Security Requirement Evolution
    2010
    Broadcast TV services Broadcast & broadband multimedia services
    o New value-added services require increasing
    security resilience
    Broadcast
    VOD
    Broadcast
    TV
    Gaming
    (GOD)
    eBanking
    eGovernment
    eHealth
    Application
    Store
    Broadband
    TV, VOD
    ...
    o Rapidly increasing service choices accessible by
    users requires increased security flexibility without
    compromise on robustness

    ST's Strength in CA & Security
    o Long-time partnerships with
    leading security vendors and more
    o Mastering security from end-to-end
    o Security technology developed internally
    allows for faster adaptation as security
    evolves
    o Full support for smartcard and internal CA
    o Late security customization in
    manufacturing flow
    o Delivery flexibility and reduced inventory
    13

    Audio & Image Quality Enhancement
    o Leveraging years of excellence
    o Internet-driven content requires
    extensive video processing to meet
    customer's quality expectations
    o Sound terminal for high quality low
    cost speakers
    14

    ST is Ready for 3DTV
    o Deployable now!
    o Side-by-side support (SbS)
    o Top-and-bottom support (TaB) L
    R
    o  1/2 resolution 1080p
    o Available on all G1 & G2 platforms
    o Ready for the future
    o Frame sequential support added
    o Full HD resolution
    L R
    R
    o Frame rates increasing
    o 60fps on G3 platforms
    o 120fps on G4 platforms

    3D Graphics on G3 and G4
    3D
    polygons High definition
    Video
    texturing
    Procedural
    texturing
    resolution
    Fast redraw
    o Standards-based: OpenGL-ES 2.0 and OpenVG 1.1
    o Optimized for new class of user interfaces
    o Paves the way for gaming services
    16

    Summary
    o ST has an established position in the home
    entertainment market
    o OEM, Ecosystem familiar with ST
    o Proven solutions
    o ST provides complete solutions for a wide
    range of consumer services:
    o STB, DTV and other CE devices
    o Unmatched user experience, services and
    energy-efficiency
    o ST deploys new technologies for home
    entertainment to grow revenue
    o 3D video, 3D graphics, image quality, ...
    o Compelling internet convergence
    o Casual and full gaming ...
    o ST helps build greener products
    17

    Microcontrollers, Memories,
    Secure Solutions
    Claude Dardanne
    General Manager, Microcontrollers, Memories & Secure Solutions Group (MMS)

    MMS at a Glance
    o EEPROM memories
    o #1 Worldwide supplier
    MMS 2009 Business by Activities
    o 31% share Q409*
    o Microcontrollers
    o #8 Worldwide supplier
    o 5.8% share 2009*
    o # 3 Secure MCUs
    2
    o # 8 GP MCUs
    MCU TAM CAGR 2010-14*
    +6.4%
    a(3) Key opportunity for growth
    Source: iSuppli & WSTS

    MCUs Market Drivers
    o General Purpose MCUs
    o Industrial market
    o Energy management: metering...
    o Consumer: user interface
    MCU Worldwide TAM*
    US$B
    interface...
    o Healthcare: glucose meter...
    o Automotive: car body, safety...
    o Secure MCUs
    o Smartcards: SIM...
    o Pay TV
    o Brand protection
    3
    o IT: Trusted platform...
    o Dedicated Automotive MCUs
    (Focus from ST dedicated Automotive Products Group)
    Source: WSTS

    Dynamics a(3) General Purpose MCUs
    o $8B business opportunity in 2011
    o Multi-segments market
    o Steady growth foreseen in the next 5 years
    o Well established and profitable business model
    o Migration to 32bit CPU based on advanced e-NVM technology
    o Customers
    o Tens of thousands of customers worldwide
    o Broad, multi-applications and fragmented business
    o Customer investment in software ensures higher business
    4
    g
    stability and strong commitment to a family of products
    o Complementary to ST's advanced analog portfolio

    Dynamics a(3) Secure MCUs
    o $2B business opportunity in 2011
    o Smartcard applications driven (SIM, Banking, Government, ID,
    Transport)
    o Global shift to digital electronics requires more and more embedded
    security functions
    o Migration to Flash based e-NVM technology embedding advanced
    security features
    o Customers
    o In addition to key Smartcard suppliers, other customers are
    recognizing the value of embedded security functions
    5
    o Strong commitment to a family of products due to software
    investment, better business stability
    o Technology driver for microcontrollers products

    MCUs Shared Platforms

    Shared Platforms Key Features
    o State-of-the-art embedded NVM technologies
    o e-Flash
    o E-EEPROM
    o High-performance CPU cores
    o 8-bit
    o 32-bit
    7
    o System know-how
    o General purpose
    o Security

    State-of-the-Art e-NVM Technology
    2008-09 2010-11 2012-13
    e-Flash 90nm 80nm 55nm
    e-EEPROM 130nm 90nm
    8
    a(3) High speed
    a(3)Ultra low power
    a(3) Advanced Analog functions

    High Performance CPU Platforms
    Computing
    Power
    32-bit ARM Cortex
    5 stages pipeline
    under evaluation
    32-bit
    32-bit
    Light
    32-bit SC000
    Secure-M0
    32-bit SC300
    Secure-M3
    ST33
    32-bit
    Cortex-M3
    STM32
    High-End
    Cortex - M4
    32-bit
    ARM Cortex
    Family
    9
    2008-2009 2010-2011 2012-2013
    8-bit
    Proprietary
    Secure
    STM8

    From Enablers to Markets
    Memories
    General Purpose
    Applications
    Microcontrollers
    General Purpose
    Applications
    Security
    Specific applications
    IP Portfolio
    RF
    Embedded Software
    RF
    EEPROM Memory Array
    Dedicated blocks Dedicated blocks
    Touch RF
    sensing
    Dedicated blocks
    General Purpose &
    Advanced Analog
    Embedded sofware
    Cryptography &
    Secure Peripherals
    10
    Enablers
    Advanced CPU
    (8 & 32-bit Platforms) Pure EEPROM Technology
    e-NVM Technology (Standard and Low Power)

    From Societal Needs to Solutions
    Integrated Controllers
    o Ultra-low-power
    o A/D converter
    Energy
    efficiency
    System & product know-how Needs Solutions
    o Smart metering
    o Appliance control
    o Sensors network
    o Home monitoring
    o Therapy control
    o Drug traceability
    o Pay TV, touch control
    o Brand protection
    o Connectivity
    Secured solutions
    o Trusted processing
    o Tamper resistance
    o Cryptography
    Aging &
    Health care
    Communication/
    Entertainment
    11
    o M2M, NFC & SIM
    o Fare collection
    o e-Passport
    o Real-time monitoring

    MMS Growth Strategy

    ST's Microcontrollers Key Strengths
    o General purpose MCU strengths
    o Leadership position on the 32-bit market based on STM32 (ARM
    Cortex) platform
    o Advanced e-NVM roadmap (ultra-low-power & RF focus)
    o Advanced Analog capabilities
    o Secure MCU strengths
    o Market acceptance of ST23 & ST33 platforms
    o Advanced e-NVM roadmap
    13
    p
    o Advanced security features know-how
    o 20% market share with limited participation to the SIM market

    New MCU Platforms Deployment
    > 5x
    > 10x
    > 3x
    14
    General Purpose MCUs Secure MCUs

    MMS' Growth Strategy
    o General Purpose Microcontrollers
    o Capitalize on solid market acceptance of the STM32 platform
    o Broaden STM32 microcontrollers portfolio to ensure huge pervasion and
    improve market coverage
    o 16-bit market coverage with ARM M0 32-bit light Cortex
    o High end 32-bit market coverage with ARM M4
    o Increase x5...x10 the number of customers using STM32 platform
    o Secure Microcontrollers
    o Expand ST23 & ST33 secure platforms to new applications
    o Trusted computing...
    o Maintain leadership position in advanced security features
    15
    o EEPROM
    o Long-term commitment to stand alone EEPROM products
    o >2B units shipped per year, up to 2Mb density
    o Create a new market standard with dual mode EEPROM (RF + contact)

    MMS Product Highlights

    STM32 for Appliance (Motor) Control
    ADC input
    12-bit ADC
    Main board or
    dash board
    Power
    converter
    o Noise reduction
    o Key features in STM32
    o High-performance CPU
    o Embedded Flash memory
    o ADC, MC timer
    PWM output
    3-ph motor control
    16-bit timer
    Dual 12-bit DAC
    H/W CRC for Flash
    integrity check
    Timer input
    capture
    Inverter
    Motor
    T
    17
    o Control software libraries
    o Cost effective
    o Key Technologies for evolution: Advanced DSP, design optimization

    STM32L for Health Applications
    Key features in STM32
    o High-performance CPU
    o Extended portfolio
    Test Strip
    Chemistry
    o Ultra-low-power STM32L
    Analog
    switches or
    sensor
    Power
    FSMC / SPI management
    SPI
    ADC 12-bit
    2x12-bit
    DAC
    2 x Opamps
    STM32
    256/512K
    FLASH
    SDIO/SPI NVM/E(2)PROM
    USB Connectivity
    RTC 32KHz
    Glucose Meter
    18
    a age e t
    Display
    OLED/TFT
    2/3 x AAA batteries
    Coin cell or
    Supercap in backup

    STM32W for Wireless Sensor Networks
    Rehabilitation,
    balance control
    Healthcare/
    assisted living
    Security
    Sh k ti th ft
    Sport & Wellness
    Sport monitoring
    "In-network" distributed computation
    Consumer control
    Games & remote
    Infrastructural
    monitoring
    Buildings, bridges
    Shock sensor, anti-theft,
    anti-intrusion
    monitoring,
    pedometer,
    fall detection
    Reduced data transmission
    Increased network lifetime
    19
    Industrial
    Vibration & tilt
    remote
    measurement
    Energy
    management
    Smart metering

    STM32 for Smart Electricity Metering
    L
    Battery Display
    N Backup
    Power Line
    MODEM
    ANALOG to
    DIGITAL
    Voltage
    & current
    sensors
    STM32
    Up to 120MHz / 1MB Flash
    Single or Multi
    Phases
    RF Security
    Serial
    o Energy efficiency
    o Global trend to SmartGrid
    o Smart meter as central element
    o Key features in STM32
    o High performance CPU
    o 20
    o Key Technologies for evolution: Power line, RF connectivity, ADC, Tamper resistance
    Future integration steps
    ZigBee &
    Sub GHz
    Module NVM
    (load profiles)
    Low power & Real Time Clock
    o Embedded Flash memory
    o Extended portfolio

    T33F1M for High-end Secure SIM Card
    o Pay with your SIM
    o Visa & Mastercard payment applications
    o Banking security level
    o Travel with your SIM
    o Mifare, Felica, Calypso applications
    o "Over The Air" reloading & management
    21
    o Multimedia on your SIM
    o Integrated webserver
    o Enriched content & applications on the SIM

    ST21NFCA & ST33F1M for NFC solutions
    o Bring contactless capability to a handset
    Reader Payment
    ST21NFCA
    Transport BT pairing
    ST33F1M
    22

    ST33ZP24 SoC for Trusted Platform
    o Leading-edge secure 32-bit CPU
    o State-of-the art 90nm e-EEPROM technology
    o Embedding in-house TPM Firmware
    o Supporting multiple hardware interfaces
    o LPC for PC platforms
    o SPI, I2C for embedded platforms
    S Trusted Platform
    PC
    Mobile Smartphone
    23
    Main
    Processor
    TPM
    Server
    Copier
    Router

    ST23YR for Contactless Solutions
    o ST23YR designed for advanced security and highspeed
    contactless solutions
    o ST23YR80:
    biometric passport transaction ( 3 seconds
    o ST23YR18:
    EMV Paypass DDA transaction ( 300ms
    24
    o ST23ZR08:
    secure transport solution

    AuKey Solution for Brand Protection
    o Turnkey solution based on highly secure operating
    system running on ST23 platform
    o AuKey to authenticate securely:
    o Printer cartridges
    o Game peripherals
    o Docking station
    o Network accessories
    25

    Dual Interface Serial EEPROM
    o Application parameters are accessible
    from the inside (I(2)C) & the outside (RF)
    of electronic equipment
    P i (ISO15693) RF i t f
    M24LR64
    o Passive interface
    I(2)C interface EEPROM RF interface o 32-bit password protection
    Parameters such as settings, traceability, maintenance logs, firmware...
    can be read and updated:
    o Anywhere in the supply chain
    o At no on-board power cost
    26
    p
    o During the entire product lifetime
    (manufacturing, shipping, maintenance ...)
    o Even when the device is turned off or in its shipping box
    Allows extra flexibility for supply chain management

    Conclusion

    Microcontrollers Opportunities
    o General purpose microcontrollers market
    o Very large and well established market
    o Market migration to 32-bit well synchronized with STM32 platform
    introduction
    o Early success of the STM32 ramp-up
    o New business opportunities allow for increased market share
    o Secure microcontrollers
    o Electronics market moving to digital
    o Early success of ST23 & ST33 ramp-up
    28

    MEMS & Advanced Analog
    Benedetto Vigna
    General Manager, MEMS, Sensors and High-Performance Analog Division

    MicroElectroMechanical Systems (MEMS)
    o MEMS take advantage of the electrical and mechanical
    properties of silicon
    o Electronic circuits
    o Mechanical structures
    o Semiconductor manufacturing
    o High volume
    o Small size
    o Low cost
    2

    Key Messages
    o Leadership in MEMS for consumer market
    o Extended customer base
    o Nimble product development
    o Timely investment in state-of-the-art manufacturing
    o In 2009, expanded accelerometer portfolio with
    o Gyroscopes, microphones, compasses
    o Smart sensors: iNEMO(TM)
    ...toward the "One-Stop MEMS Supplier" goal
    o Leverage leading MEMS position and strong competence
    to increase presence in advanced analog
    3

    MEMS Leadership
    ST is # 1 in MEMS for consumer electronics and mobile handset market
    2009 ST revenues = $218M; Market TAM = $1,170M*
    ST leads accelerometer business in all market segments
    Consumer electronics and mobile handsets*
    2009 ST Market Share = 50%
    All markets, including automotive and industrial*
    2009 ST Market Share = 21%
    4
    * Source: iSuppli
    Manufactured > 750M
    accelerometers and gyroscopes

    MEMS Motion Sensors
    9.6% CAGR
    US$M US$M
    6%
    CAGR
    13%
    CAGR
    8%
    CAGR
    25%
    CAGR
    15.3% CAGR
    Accelerometers Gyroscopes
    Source - iSuppli
    Consumer Markets Exceeding Automotive Markets in Units and Revenue
    5

    ST Drives MEMS Avalanche
    o 2005:
    We entered PCs
    o 2006:
    We entered Gaming
    o 2007:
    We entered Phones
    6

    2008:
    We entered Pockets
    ST Continues to Drive MEMS Avalanche
    o 2009:
    We entered Cameras
    o 2010:
    Source: iSuppli reverse analisys of Apple iPAD
    7

    MEMS Enable New Applications
    L ti B dS i
    Point Of Interest
    Optical Image Stabilization
    Location Based Services
    Enhanced User Interface
    & On Line Gaming
    8
    Augmented Reality

    MEMS for Optical Image Stabilization
    x
    Hand tremors cause blurred images
    Translation Rotation z
    z
    Rotation x Rotation y
    Gyroscope senses tremors and the
    micro-actuator compensates
    9
    OIS OFF OIS ON

    MEMS and GPS Enable Location-Based Services
    How much is that shirt? POI POI Filtering
    Augmented Reality*
    No compass With compass Point Of Interest
    Source: www.apple.com (Wikitude)
    10

    MEMS in Automotive Market
    Navigators
    Anti-theft systems
    Crash recording
    Post-crash door unlock system
    Dangerous driving detection
    11
    ... and much more...

    MEMS in Healthcare
    o Sensing
    o Body motion
    o Pressure
    A i i l Insulin
    Flexible Lens for
    Eye Pressure
    Monitoring
    Electro
    Cardiogram
    o Acustic signals
    o Bio signals (ECG, BGCM)
    o Biosensors
    o Drug Delivery
    Movement
    Recognition
    Nano Pump Temperature
    Sensor
    Pressure
    Sensor
    12
    o Pumps
    o Valves
    o Nozzles
    Step Counter

    2009: Not Only Accelerometers......
    13

    Cristallo:
    Ultra-Low-Power and High Performance Accelerometer
    Higher flexibility at lower current
    Advanced power management
    o Wide supply voltage down
    to 1.8V
    o Ultra low current
    High versatility
    o Extended FS range
    (2/4/8/16g)
    o Multiple configurable
    interrupt sources
    Embedded features
    o Programmable FIFO (32
    levels)
    o 3 auxiliary ADC channels
    14
    100X Lower Power

    Gyroscopes: We Are On Time
    Analog Output
    In 2009, we announced more than
    30 Multi-axis Gyroscopes
    2008
    1X
    2009
    2X
    Analog Output
    15
    E Jan 2010
    3X
    Analog and
    Digital Output Gyroscopes market for mobile
    and consumer TAM 2010:
    $246M CAGR 2010-2013: ~20%
    Source: iSuppli
    Application Segments:
    o Enhanced motion user interface
    o Image stabilization
    o Gaming
    o Navigation

    Pressure Sensors as Altimeters
    Absolute, temperature-compensated, ultra-compact
    pressure sensor with digital output
    ... make it small; make it
    accessible
    16
    Pressure sensors market for mobile
    and consumer TAM 2010: $47M
    CAGR 2010-2013: ~27%
    Source: iSuppli
    Application Segments:
    o Blood pressure sensors
    o Navigation system
    o Water level m

    Microphones Enhance User Experience
    Your mobile phone becomes your conference-call solution
    A li ti S t
    oExcellent sound quality
    oSuperior reliability and robustness
    17
    Source: iSuppli
    Microphone market for mobile and
    consumer TAM 2010: $176M
    CAGR 2010-2013: ~24%
    Application Segments:
    o Mobile phone
    o Digital camera/camcorder
    o Laptop PC
    o Gaming

    Compass Shows Heading
    Accelerometer
    A look from the Inside... ...and from the Outside
    Geo-Magnetic Sensor
    +
    Application Segments:
    o Navigation
    o Mobile phone
    o Pictures geo-tagging
    o Location based services
    18

    iNEMOTM : The Smart Sensor
    Smart sensor: combination of sensors, data processing
    and information transmission
    19

    What's Next in iNEMOTM family?
    3x accelerometer (LIS3DH)
    3 di it l
    6 axis integrated modules
    20
    3x accelerometer (LIS331DLH)
    2x P&R or P&Y gyroscope (analog)
    7.5x4.4 mm2

    MEMS are Advanced Analog Products
    o MEMS means Micro Electro Mechanical Systems ... taking advantage
    of the mechanical AND electrical properties of silicon
    o Three key elements:
    o Micron-sized Transducer realized through a specific process
    called Micro-Machining (THELMA)
    o An Advanced Analog Chip with embedded smart functionalities
    o Dedicated package and calibration features
    THELMA @ 1 um ASIC @ 130 nm 3 Axis Gyroscope
    + =
    21

    MEMS are Advanced Analog Products
    Supply Monitor Power Management
    Audio Amplifier
    A typical Analog Signal Chain
    Amplifier
    Analog to
    Digital
    Converter
    Control
    Unit
    Digital to
    Analog
    Converter
    Amplifier
    RF
    Interfaces
    Logic
    Interfaces
    Sensor Actuator
    Gyroscope
    22
    All available in Stand Alone, ASSP and ASIC products

    Analog: an IMS Competitive Advantage
    Key product family Key Target Applications
    High End Analog Front
    End
    Healthcare, Industrial, Portable
    Devices
    Mi ed Signal ICs Mobiles Peripherals Portable Medical
    Analog Ranking 2009
    Analog ICs* # 2
    o Can integrate Analog and Power (chip or package) in Power Conversion and
    Power Management applications
    o System know-how to design dedicated ICs for complex applications
    Competitive Advantages:
    Mixed Mobiles, Peripherals, Low Voltage
    Operational Amplifiers
    Mobiles, PDAs, e-Books
    *Ranking refers to total ST Analog ICs sales
    23
    y g p pp
    o Variety of reference designs for medium and small customers
    o Delivery of System Solutions including Sensors, Analog ICs, Microcontrollers
    and Power Discrete
    o The World's largest and most cost-effective 6" Front End in Singapore
    Source: iSuppli, ST

    Sensors Complement ElectroCardioGraph
    HM222R
    2 Ch l
    Remote monitoring
    and telemetry
    Channel +
    Microcontroller +
    Accelerometer + BTLE
    HM221R
    2 Channel +
    Microcontroller+
    accelerometer
    HM301D
    HMX11D
    HMx11D+Isolation
    HM101D
    1 Channel
    Diagnostic
    ECG/EEG and AED
    + Bedside monitoring
    24
    HM201D
    2 Channel

    Smart Sensors:
    New High-Growth Opportunities
    Factory Logistics
    Building
    Healthcare
    Sport & Wellness
    g
    Automation
    25

    Sustaining Growth
    26

    Takeaway Messages
    o 2010 will be "Year of the Gyroscope"
    o ST will continue to drive MEMS avalanche and extend
    presence in new markets
    o ST investing heavily in MEMS and Advanced Analog
    products to sustain growth
    o ST well positioned to become undisputed leader in
    Smart Sensors, bridging analog world to digital brain
    o Sensors will enhance presence in the advanced analog
    world
    27

    Power & Smart Power Solutions
    Matteo Lo Presti
    General Manager, IMS System Lab & Technical Marketing

    Key Topics
    o Power management in IMS today
    o Vision and awareness
    o Innovation in technologies and products
    o System innovation

    Power Discrete: Strong Market Position
    Power Discrete Ranking 2009
    Power MOSFET (High Voltage) # 1
    Protection & IPAD # 1
    Thyristors # 1
    Key product family Key target applications
    HV Power MOSFETs Power supply, lighting, solar
    Rectifiers Power management
    ACS s itches Home appliances
    o The widest range of power technologies and packages from low to very high
    voltage (MOSFET, IGBT, Bipolar, IPAD, Rectifiers) offering the highest efficiency in
    Competitive Advantages:
    Rectifiers & power diodes # 3
    switches Protections & IPAD Mobiles, USB/HDMI
    interfaces, wired data transfer
    the most demanding applications
    o Expertise in composite materials (SiC, GaN) for high frequency and very high
    temperature applications (Electric Cars, Photovoltaic Converters, Wind Generators)
    o Extremely competitive manufacturing machine (Singapore, Long Gang, Shenzhen )
    3
    Source: iSuppli, ST

    Power Management ICs: Pillar of IMS
    Key product family Key Target Applications
    Off-line converter ICs Power supply, lighting
    Mixed Signal ICs Mobiles, peripherals, portable
    di l
    Power Management*
    Ranking 2009
    Power Management # 2
    o Innovative System Solution combining Smart Power ICs, Power Discretes and
    Microcontrollers on a single board or in a single package
    Mi d t h l i (di it l i l d l d hi h lt ) t d l
    Competitive Advantages:
    medical
    Battery Management ICs Mobiles, PDAs, e-books
    LED Driver ICs Street lighting, building, panel
    arrays
    4
    o Mixed technologies digital, signal and power, low and high voltage) to develop
    advanced Smart Power ICs
    o System know-how enabling the design of dedicated Smart Power ICs for complex
    applications
    Source: iSuppli, ST
    (*) Power Management includes: Voltage Regulator/Reference, Industrial & Other Analog ASSP, Power RF
    Transistor, Bipolar PT, FET PT, IGBT, Thyristor, Rectifier & Power
    Diodes

    Power Management Today
    Key Areas of Strength
    o High voltage power MOSFETs
    o Ballast driver ICs
    o Ultrafast diodes
    o Application specific ICs
    Consolidated
    IMS Key Areas
    SMPS
    Lighting
    (highfrequency
    ballast)
    Motor
    Control
    o Analog drivers
    o High voltage power MOSFETs
    o Rectifiers
    o VIPers
    o Microcontrollers
    o Driver ICs
    o Power transistors
    o ACS switches
    5
    Mobile
    (including
    battery
    charger)
    Motherboard
    &
    Set-Top-Box
    o IPADs
    o OLED controllers
    o VIPers
    o Multi-output DC-DC converters
    o Voltage regulators

    Post Kyoto
    protocols on
    reducing
    greenhouse
    gas emissions
    Vision and Awareness
    Energy
    demand is
    increasing
    drastically
    Population
    and
    building
    density
    increase g
    Moving forward in Eco Sustainability...
    o Reducing power consumption through system efficiency
    o Reducing oil combustion and pollution through renewable
    energies and hybrid electric vehicles
    f btt d b d lif
    A Global Commitment
    6
    ... for a better day-by-day life
    o Building automation, surveillance & safety
    through sensor networks and remote monitoring
    o Intelligent use of energy through smart systems
    o Home healthcare through portable devices

    Leveraging Smart Power ICs & Power Discretes
    Higher efficiency
    through smart
    power ICs
    Power management ICs, off-line converter ICs, integrated
    PoE ICs, mixed digital/signal/power ICs
    Power
    Transistor 1995
    PowerMESH SuperMESH MDmesh(TM) II
    -20%
    today
    -82% -90%
    2000 2005
    MDmesh(TM) V Cutting power
    losses through
    power discrete
    technology
    Power transistors and rectifiers
    Source: iSuppli
    8

    Innovation in Technologies &
    Products

    Innovation in Technologies &
    Products

    Innovation in Power Technologies
    Ultra-low power 3D heterogeneous Advanced BCD, BCD-SOI
    integration/ TSV
    New materials:
    SiC & GaN
    technologies
    Harvesting and thin
    Innovative wire bonding
    10
    Advanced packaging &
    system-in-package

    Innovation in Power Technologies
    60um wafers for advanced IGBT devices
    Ultra-Thin Wafers
    become flexible
    90V G N RF P
    11
    GaN Power
    Transistors
    Wafers for GaN devices become
    transparent

    Innovation in Power Technologies
    New smart power
    systems
    integrating
    Microcontroller
    + Software
    g g
    ST current and
    future technologies
    Power Section (MDmesh V)
    12
    Application Specific
    Integrated Modules
    Controller (BCD8)

    A Wave of New Products
    IPAD(TM) (Integrated Passive
    & Active Devices) solution

    Ultra-small and energy-saving
    Monolithic active matrix
    OLED display power supply
    New HV power MOSFET family

    intelligent power switch
    13
    Advanced battery chargers
    and gas gauge monitoring

    featuring worldwide best RDSon

    System Innovation

    SmartGrid
    The Heart of Energy Management
    Home automation
    and distributed power
    generation
    Renewable energy
    Factory automation
    15
    SmartGrid: Power conversion and connectivity for an intelligent use of energy
    Building
    Power plant automation

    Power Conversion in SmartGrid
    ST offers complete solutions from low-power
    applications to high-power energy conversion
    Medium-Power
    High-Power
    P ith
    o SiC / GaN transistors
    o HV switches
    o VIPer plus
    o DC-DC modules
    Low-Power
    o Low-power technologies
    o Battery power management
    o Energy harvesting
    o Power switches
    o Power transistors
    o Power management ICs
    o Mixed signal ICs
    16
    Source: Semicast (including Power Energy and Transportation)
    Energy 2013 TAM: $5B
    CAGR 2010-2013: 7%

    Smart Power Solutions
    LED Street Lighting Control
    Energy saving:
    dimming based on available natural light
    Comfort:
    color changing (cool/warm) based on location
    and time of day
    Driver ICs
    Key Products
    Architectural/fashion:
    creating different effects using the same lights
    Lighting control:
    for specific applications like theater, stage lighting
    17
    Source: Semicast
    Power transistors
    Power factor ICs Lighting 2010 TAM: $1B
    CAGR 2010-2015: 9%

    Smart Power Solutions
    Smart Meters
    Gas Meter
    Electronic flow meter
    Energy Meter
    Motor control ICs
    Key Products
    Concentrator
    provides info to the consumer on
    energy and gas usages
    18
    Source: ABI Research
    Power line modems
    Energy meter ICs
    Smart Electricity Meters
    TAM 2009: 76M units
    CAGR 2010-2013: ~18%

    Smart Power Solutions
    Hybrid and Electric Vehicles
    Plug-in battery charger for HEV
    Combine an electric motor and an internal combustion engine
    Reduce air pollution from greenhouse gases
    Operating cost equivalence: 20(cent)US / liter**
    Power transistors
    Key Products
    19
    More than $600 of
    semiconductors
    for every HEV (*)
    Source: (*) Strategic Analytics, (**) US Dept of Energy
    Driver ICs
    32-bit microcontrollers

    Smart Power Solutions
    Photovoltaic
    ST Solution:
    One microinverter
    module per panel
    vae Maximizing energy output (MPPT)
    vae Energy monitoring (daily, monthly, yearly, etc.)
    vae Diagnostic, anti-theft and anti-tearing protection
    vae Reducing operation costs due to modularity
    Remote
    Monitoring &
    PV Panel Control
    Cool bypass switch
    Key Products
    20
    Power transistors
    MPPT
    (Max Power Point Tracker)
    Electronics on panel value from $1.50 to $15
    PV energy production growth
    O(( 2010 a(3) about 7 GW
    (about 35 million single photovoltaic panels)
    O(( 2020 a(3) about 56 GW
    Source: European Photovoltaic Industry Association, ST

    Smart Power Solutions
    Photovoltaic
    Value
    Smart Power System
    MPPT
    Max Power Point Tracker
    DC/DC
    Converter
    DC/AC
    Inverter MOSFET
    SiC
    MPPT
    Max Power Point Tracker Cool Bypass Switch
    Cool Bypass Switch
    Cool Bypass Switch
    Microinverte
    21
    Complexity
    PLM
    Power Line Modem
    System Monitoring
    (Energy Level, Faults, etc.)
    DC/DC
    Converter
    DC/AC
    Inverter
    MPPT
    Max Power Point Tracker
    DC/DC
    Converter Bypass Diode

    Smart Power Solutions
    Home Healthcare
    Insulin
    Flexible Lens for
    Eye Pressure
    Monitoring
    Electro
    Cardiogram
    Portable distributed
    diagnostics
    and remote monitoring
    Battery management
    IC
    Key Products Movement
    Recognition
    Nano Pump Temperature
    Sensor
    Pressure
    Sensor
    22
    Portable Healthcare
    2010 TAM: $1B
    CAGR 2010-2015: 11%
    Source: Semicast
    ICs
    8-bit low-power
    microcontrollers
    IPAD and protection
    Step Counter

    Smart Power Solutions
    Energy Harvesting
    Integrating harvesting
    in smart systems
    Solar
    Electro- Thermal
    chemical Enabling wireless sensors
    for energy autonomy
    Autonomous wireless sensor node
    Harvesting
    Device (PV,
    Piezo, etc) Low Power
    RF
    Transceiver
    Sensors
    Ultra Low
    Power
    Microcontroller
    Energy
    Conversion
    Battery Storage
    Wind
    RF
    Kinetic
    Energy
    23
    The Future is
    Here STMicroelectronics and Micropelt
    demonstrate 'Perpetual Energy'
    thermoharvesting power supply

    A "Virtuous" Circle
    Smart Power ICs Develop Solutions
    System Approach
    Acts as a
    Flywheel
    24
    Product Innovation
    Customer Endorsement

    TRANSFORMING THE PORTFOLIO
    May 2010 1 Date: 2010-05-07 COMPANY CONFIDENTIAL
    Pascal Langlois
    Senior Vice President, Chief Sales and Marketing Officer

    TRANSFORMING THE PORTFOLIO
    E & f h o High-value entry
    o Smartphones
    o Connected devices
    o Application engine
    o Modem
    o Connectivity
    o Diversified customer portfolio
    o Open/complete platforms
    o Entry feature phones
    o Modem only
    o Three big customers
    o Custom solutions
    2
    p p p
    o Europe and Asia o Global

    MARKET TRANSFORMATION
    Thin
    Modems Platforms
    In Production
    HSPA
    EDGE
    TD
    M340
    HSDPA
    5209
    EDGE
    M6718
    TD HSPA
    DRIVING MOBILE BROADBAND
    EVERYWHERE
    Mobile Broadband and M2M Devices
    Entry
    & Feature Internet and Multimedia enabled
    solutions
    Separated Smartphone solutions
    (Application engine + Thin
    modem)
    TD-U67XX
    WCDMA
    U6715
    HSDPA
    THE BEST SMARTPHONE PLATFORMS
    FOR ALL TIERS
    High-end and mid range smart devices
    Platforms Single-chip 2G & EDGE
    U33x
    HSPA/HSDPA
    T72XX
    TD-HSDPA
    Connectivity and
    Enhancements
    STLC4560 Complete Platforms
    WLAN
    GNS7560
    GPS
    STw5200
    Audio
    STw8019
    TVout
    STLC2690
    BT/FM
    65XX
    EDGE
    ADDING VALUE
    TO AFFORDABLE DEVICES
    High value entry devices
    3

    TODAY 2G/EDGE
    UMTS/
    HSPA
    TD-]SCDMA
    Thin
    Modems
    Platforms HSPA
    EDGE
    TD
    M340
    HSDPA
    5209
    M6718
    TD In Production
    Entry
    & Feature Internet and Multimedia
    bl d l i
    Separated Smartphone
    solutions (Application engine
    + Thin modem)
    EDGE
    TD-HSPA
    U67XX
    WCDMA
    U6715
    HSDPA
    Platforms enabled solutions
    Single-chip 2G & EDGE
    U33x
    HSPA/HSDPA
    T72XX
    TD-HSDPA
    Connectivity and
    Enhancements
    STLC4560 Complete Platforms

    TOMORROW
    Thin
    Modems
    Platforms
    In Production Announced
    LTE / HSPA+ Mobility
    Best combined UL/DL
    performance
    Data in every region
    M720
    LTE/HSPA+
    M340
    HSDPA
    5209
    EDGE
    M570
    HSPA+
    M700
    LTE
    M6718
    TD-HSPA
    UMTS/ 2G/EDGE
    HSPA
    LTE TD-]SCDMA
    Entry
    Platforms
    Application
    Processor with
    Integrated
    Modem
    Platforms
    Internet and Multimedia
    enabled solutions
    High-performance
    Smartphone platforms
    U8500
    HSPA+
    U68XX
    HSDPA
    U67XX
    WCDMA
    U6715
    HSDPA
    U5500
    HSPA+
    TD
    5
    Connectivity and
    Enhancements
    CW1200 Complete Platforms
    WLAN
    CG2900
    BGF
    AV5230
    Audio PTE
    AV8100
    HD TVout
    Single-chip 2G & EDGE
    U33x
    HSPA/HSDPA
    T72XX
    TD-HSDPA
    E4908
    EDGE
    G4850/52
    GSM/GPRS
    E4910
    EDGE
    T6718
    TD-HSPA
    June 3, 2010

    A COMPLETE SINGLE CHIP 2G PORTFOLIO
    Single Chip
    ULC+ GSM/GPRS
    MPEG4, MP3, FM record
    Dual SIM / Dual Standby
    Single-Chip EDGE
    WQVGA display, touchscreen
    3MP camera
    MPEG4 H 263 MP3 AAC+
    Single-Chip EDGE-Rx
    QVGA display, 2MPix camera
    MPEG4, H.263, MP3, AAC+
    USB FS
    Single Chip
    ULC GSM/SMS
    MP3 ringtones
    Dual SIM / Dual Standby
    MPEG4, H.263, MP3, G4852 E4910
    Bringing high value features to the entry segment
    G4850 E4908
    6

    CONNECTIVITY AND ENHANCEMENTS
    Bluetooth
    Fully-integrated single-chip Bluetooth
    GPS
    Leading footprint and power
    BT/FM/GPS
    First 45nm Combo
    L di f t i t i
    CG2900
    WLAN
    Outperforms in Bluetooth co-existence
    FM Radio
    Over 1 Billion FM radio shipped
    Video
    Full HD TV out
    Audio
    Extend playtime without reducing quality
    Leading footprint size
    802.11a/b/g/n
    ( 50mm2 BOM
    Integrated FEM, SMPS
    CW1200
    HDMI/CVBS combo
    Full HD 1080p
    7.1 audio surround
    AV8100
    AV5230
    102 dB SNR
    Integrated headset AMP
    Power
    Smart power distribution
    Playback Time Extender
    Integrated into complete platform solutions
    7

    U6715 SMARTPHONE FOR ALL
    HSDPA supporting multiple OS
    Touch screen
    U6715
    5 Mpixel camera
    QVGA or WQVGA Video
    3G talk time up to 7 hours
    standby up to 25 days
    Android ready
    Great user experience at an affordable price
    8

    INNOVATION FOR SMARTPHONES
    Dual core architecture with > 1Ghz
    Over 5000 DMIPs power
    Full HD Camcorder 1080p
    20 megapixel cameras
    High-end 3D graphics subsystem
    Dual core architecture
    HD video 720p
    12 megapixel cameras
    3D hi b t
    o TD variants for the Chinese market
    C ibili d l bili f
    Integrated connectivity
    HSPA+ modem
    Supporting multiple OS
    U8500
    graphics subsystem
    Integrated connectivity
    HSPA+ modem
    U5500
    o Compatibility and scalability for our customers
    o Reference hardware for ARM Mali ecosystem
    o Driving evolution of SMP for Android
    Technology leadership brought to mainstream
    9

    Feature rich TD-HSPA/EDGE platform
    Enabling affordable high-speed internet
    phones
    ADVANCED TD-SCDMA SOLUTIONS
    Thin modem platform with
    TD-HSPA for higher uplink data rates
    65nm process
    5 megapixel camera
    WQVGA display
    Improved overall integration
    T6718 M6718
    Leader in TD-SCDMA in China - 12 Million chipset shipped
    10

    MOBILE BROADBAND WITH HSPA+ AND LTE
    Commercially available chipsets
    HSPA+ technology
    Optimized modem
    solution suitable for USB data devices
    best-in-class thermal performance
    Full data speed downlink of 21Mbps and
    uplink of 5.7Mbps simultaneously
    Modem optimized for easy integration into a
    variety of devices
    M570
    M720
    First to successfully show interoperability between HSPA and LTE
    11

    ADDRESSING MODEM EVOLUTION
    Challenges
    Increasing air
    interfaces
    Then Now
    TD
    LTE
    HSPA+
    New ST-Ericsson
    lti d d
    o Software-defined radio access
    o LTE 100Mbps, HSPA+ 42Mbps
    o Target >2X power
    improvement
    Power o Scalable for cost
    management
    2G
    2G/3G
    EDGE multi-mode modem
    architecture
    Increasing
    adoption of
    connectivity
    BT
    FM
    BT
    GPS
    WIFI
    o Co-existence built-in
    o Combos & platform
    integration
    Increasing
    adoption of
    connectivity
    12
    o Building on existing LTE
    solution
    o Single SW and HW platform
    o Drastic reduction of testing
    needs
    Size & cost
    June 3, 2010

    SUMMARY
    o oppoTrrtaunnsiftoiersming the portfolio to address key market
    Complete portfolio with highly competitive products
    Good feedback from customers on the new portfolio
    13

    DEMOS
    Thin
    Modems
    Platforms M570
    Entry
    Application
    Processor with
    Integrated
    Modem Platforms
    U8500 + Connectivity
    (CG2900 & CW1200)
    y
    Platforms
    14

SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, STMicroelectronics N.V. has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

|  |  | STMicroelectronics N.V. |
Date: June 4, 2010 | By: | /s/ Carlo Ferro |
|  | Name: | Carlo Ferro |
|  | Title: | Executive Vice President and Chief Financial Officer |