Hsinchu Science Park, Taiwan, R.O.C., December 1st, 2006 - Sunplus Technology Co., Ltd. (TAIEX: 2401, LSE: SUPD) today announced the brand new Sunplus group with two new subsidiaries Sunplus Innovation Technology Inc. ("Sunplus IT") and Sunplus mMobile Inc. ("Sunplus mMobile"). Sunplus IT was spun-off from Sunplus' Controller & Peripheral BU and Sunplus mMobile was spun-off from Personal Entertainment BU and Advanced BU of Sunplus. Sunplus, the parent company, will keep working on the Home Entertainment IC solutions such as LCD TV, VCD/DVD, DVR, DVB. Meanwhile, the core intellectual properties also stay in Sunplus and will be licensed to affiliates to maximize its value.

At the 2nd extraordinary shareholders' meeting on October 13th, 2006, Sunplus' shareholders approved to spin off the Controller & Peripheral BU, Personal Entertainment BU, and Advanced BU into Sunplus IT and Sunplus mMobile, which both are 100% owned by Sunplus. The brand new Sunplus Group including the parent Sunplus Technology, Sunplus IT, Sunplus Mobile and Orise Technology Co., Ltd, the original Sunplus' TFT LCD IC business spun-off on March 31st 2006, will cover the IC solutions from personal to home entertainment, and consumer to communication applications.

Sunplus Innovation Technology Inc., spun-off from Sunplus' Controller & Peripheral BU, is Sunplus 100% owned subsidiary with capital NT$220,000,000. Mr. Chou-Chye Huang, the chairman & CEO of Sunplus, is the chairman of Sunplus IT while Mr. Chih-Hao Kung, the former general manager of C&P BU is assigned to be the president of Sunplus IT. There are about 100 employees in Sunplus IT and they will keep investing in the R&D of controller & PC peripheral area including mouse/keyboard MCU, optical mouse sensor/SoC, printer/MFP IC, SATA bridge IC, and home appliance MCU.

Sunplus mMobile Inc., spun-off from Personal Entertainment BU and Advanced BU of Sunplus, is Sunplus 100% owned subsidiary with capital NT$1,200,000,000. Mr. Chou-Chye Huang, the chairman & CEO of Sunplus, is the chairman of Sunplus mMobile while Mr. Yarn-Chen Chen, the former CTO and general manager of Personal Entertainment BU and Advanced BU of Sunplus, is assigned to be the president of Sunplus mMobile. There are about 500 employees in Sunplus mMobile and they are expertise in personal multimedia handheld and communication field .Sunplus mMobile will be working on IC solutions for personal muliti-media handheld devices such as PMP, DSC, DC, personal game, MP3/MP4, 3G mobile, and other handheld communication applications.

The company identifications system for Sunplus IT and Sunplus mMobile also launched today. The CI for Sunplus Innovation  represent its spirit of non-stop innovation by emphasizing the letter "i" with bright red color and rising star. The CI of Sunplus mMobile  stands for the perfect integration of multimedia and mobile applications while the mild green color represents the new start-up bursting with energetic and caring about people. The CI of Sunplus mMobile also shows it will keep going beyond the peak to deliver the best IC solutions for personal entertainment devices.

"Due to the expansion of business scope, Sunplus re-organized from the functional business units system into product business unit system at the end of last year and spun-off the LCD IC business into Orise Technology" said Mr. Chou-Chye Huang, the chairman of Sunplus. "We have already got advantages and benefits from these changes; therefore, we believe that the further spin-off can make all companies to be more focused on its core business and more efficient for business operation. Moreover, the brand new Sunplus Group, with the resources of the parent company and the expertise of all subsidiaries, can provide the total solutions for our customer while it will also help to extend the Sunplus group business and realize our enterprise vision "Technology for Easy Living". "

About Sunplus Innovation Technology
Sunplus Innovation Technology Inc. was spun-off from the Controller & Peripheral BU of Sunplus Technology (TSE:2401; LSE: SUPD) on December 1st, 2006. Inheriting the superior enterprise culture from its parent company, Sunplus Innovation Technology keeps investing in the R&D of controller and PC peripheral IC solutions including mouse/keyboard MCU, optical mouse sensor/SoC, printer/MFP IC, SATA bridge IC, and home appliance MCU. Sunplus Innovation Technology is devoted to create a comfortable, convenient, and pleasant life for consumers by offering customers best products. For more information, please visit our website: www.SunplusIT.com

About Sunplus mMobile
Sunplus mMobile Inc. was spun-off from the Personal Entertainment BU and Advanced BU of Sunplus Technology (TSE:2401; LSE:SUPD) on December 1st, 2006. Inheriting the superior enterprise culture from its parent company, Sunplus mMoblie keeps investing in the R&D of personal multimedia handheld devices IC solutions for PMP, DSC, DC, personal game, MP3/MP4, 3G mobile, and other handheld communication applications. We strive to deliver a colorful digi-life by offering our customer high quality and best cost-performance IC solutions. For more information, please visit our website: www.SunplusmM.com