One Million Patients Swallow Zarlink Radio Chip as Part of Given Imaging Video Capsule

OTTAWA, ONTARIO, Jul 07 (MARKET WIRE) --
Zarlink Semiconductor (TSX: ZL) today announced that it has shipped over
one million custom RF (radio frequency) integrated circuits for use in
Given Imaging's PillCam(R) SB video capsules for wireless examination of
the gastrointestinal tract.

Zarlink's ultra-low power RF chip transmits two images per second - more
than 50,000 pictures over an eight-hour period - from the PillCam to an
external data recorder as the vitamin-sized capsule passes naturally
through the patient's small bowel. To-date, Zarlink's RF chips have
transmitted approximately 50 billion images to help physicians visually
examine the entire length of the small bowel to diagnose disorders such
as obscure gastrointestinal bleeding (OGIB), Crohn's disease, celiac
disease, tumors and a range of other small bowel disorders.

"Zarlink is a long-standing partner providing leading-edge wireless
technology and medical regulatory expertise that has helped support the
successful introduction and expansion of our wireless video capsule
platform," said Kevin Rubey, Chief Operations Officer, Given Imaging.
"Our PillCam SB is now in use in more than 70 countries worldwide, and we
are committed to developing new capsule endoscopy products that will
enable earlier detection of disorders, improve patient care and
ultimately save lives."

"The success of Given Imaging's PillCam is evidence of the increasing
demand for ultra low-power radio solutions for wireless medical devices,"
said Steve Swift, Senior Vice President and General Manager of Zarlink's
Medical Products group. "As a leading provider of radio chips for the
wireless healthcare market, Zarlink is well positioned to benefit from
this growing opportunity. We congratulate Given Imaging for achieving the
milestone of one million capsules shipped, and look forward to an ongoing
partnership focused on innovative new wireless products to improve
patient care and lower healthcare costs."

The PillCam SB video capsule measures 11 mm x 26 mm and weighs less than
four grams. It contains an imaging device, light source and Zarlink's RF
transmitter chip. The video capsules require no sedation and allow the
patient to carry on with normal daily activities. Prior to PillCam
capsule endoscopy, exploratory surgery was the only available method for
visualizing the entire small intestine.

A high-resolution photo of Zarlink's RF transmitter chip is available at
http://www.zarlink.com/zarlink/hs/5946.htm.

About Zarlink Semiconductor

For over 30 years, Zarlink Semiconductor has delivered semiconductor
solutions that drive the capabilities of voice, enterprise, broadband and
wireless communications. The Company's success is built on its technology
strengths including voice and data networks, optoelectronics and ultra
low-power communications. For more information, visit www.zarlink.com.

Shareholders and other individuals wishing to receive, free of charge,
copies of the reports filed with the U.S. Securities and Exchange
Commission and Regulatory Authorities, should visit the Company's web
site at www.zarlink.com or contact Investor Relations.

Certain statements in this press release constitute forward-looking
statements within the meaning of the Private Securities Litigation Reform
Act of 1995. Such forward-looking statements involve known and unknown
risks, uncertainties, and other factors which may cause the actual
results, performance or achievements of the Company to be materially
different from any future results, performance, or achievements expressed
or implied by such forward-looking statements. Such risks, uncertainties
and assumptions include, among others, the following: our dependence on
the successful development and market introduction of new products; our
ability to integrate any business, technologies, product lines or
services that we have or will acquire; our dependence on revenue
generation from our legacy products in order to fund development of our
new products; current market conditions, including the lack of liquidity
in the markets and economic slowdown, may increase our operating costs or
reduce our revenue, thereby negatively impacting our operating results;
our ability to operate profitably and generate positive cash flows in the
future; the impact of the current economic crisis on our suppliers and
customers and our ability to transfer parts to other suppliers; our
dependence on our foundry suppliers and third-party subcontractors; order
cancellations and deferrals by our customers; our substantial
indebtedness could adversely affect our financial position; the cost and
accounting implications of compliance with new accounting standards; and
other factors referenced in our Annual Report on Form 20-F. Investors are
encouraged to consider the risks detailed in this filing.

Zarlink and the Zarlink Semiconductor logo are trademarks of Zarlink
Semiconductor Inc.

Contacts:
Zarlink Semiconductor
Ed Goffin
Media Relations and Investor Relations
613-270-7112
edward.goffin@zarlink.com

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