UEC Set-Top Gets Conexant Modem

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UEC Technologies Ltd., a manufacturer based in South Africa, said it will
integrate Conexant Systems Inc.'s 'CN9414' internal cable modem with its new
advanced digital-cable set-top box.

UEC said the box, dubbed the 'DCD760i,' will be marketed to cable operators
in Australia and New Zealand later this year and will come equipped with OpenTV
Corp.'s set-top software platform.

UEC's set-top also houses a standard Ethernet connection, allowing users to
share the broadband connection with PCs -- an arrangement NTL Inc. is currently
using in the United Kingdom.

On Monday, in an all-too-familiar refrain in the technology sector, Conexant
said it would lay off 450 employees -- representing about 6 percent of its work
force -- over the next 30 days. When combined with work-force reductions in
March, those layoffs will have resulted in a 25 percent decrease in Conexant's

Conexant will also shutter its development of advanced CMOS (complementary
metal oxide semiconductor) process technology beyond the company's existing
0.13-micron capability. CMOS is an integrated circuit technique designed to
lower electricity consumption.

Instead, Conexant will shift to a fully fabless CMOS business model and
concentrate on silicon-germanium-process technology, which is typically used for
mobile and optical-networking applications.

Those combined actions are expected to shave Conexant's annual operating
expenses by about $375 million, the company said.

Conexant added that it expects third-quarter revenues of approximately $200
million, down from previous guidance of $206 million.