O2Micro Plans To Appeal Jury Verdict in Patent Trial Against MPS

O2Micro Plans To Appeal Jury Verdict in Patent Trial Against MPS

May 17, 2007

    GEORGE TOWN, Grand Cayman, May 17 /Xinhua-PRNewswire/
-- O2Micro(R) International Limited (Nasdaq: OIIM; SEHK:
0457), a leading supplier of innovative power management,
and security components and systems, announced that it
plans to appeal a jury verdict recently rendered in favor
of defendants Monolithic Power Systems, Inc. (MPS) and
Asustek Computer, Inc., related to one of O2Micro's
inverter controller patents, U.S. patent number 6,396,722
(the '722 patent), in the United States District Court for
the Northern District of California. The jury verdict
indicated a finding that the defendants infringed claims 12
and 14 of the '722 patent under the doctrine of equivalents,
but that claims 1, 2, 9 and 18 were not infringed and that
each of the asserted claims was invalid due to obviousness
and an on-sale bar.

    O2Micro announced that it plans to seek judgment as a
matter of law to overturn the jury verdict, and, if the
verdict were to result in a judgment, plans to appeal the
judgment to the Federal Circuit Court of Appeal.

    O2Micro noted that the other claims of the '722 patent,
including claims 3-8, 10-11, 13, 15-17, and 19, were not at
issue in this case, and no challenge to validity of those
claims has been made in this lawsuit.

    About O2Micro

    Founded in April 1995, O2Micro develops and markets
innovative power management, and security components and
systems for the Computer, Consumer, Industrial, and
Communications markets. Products include Intelligent
Lighting, Battery Management, Power Management,
SmartCardBus(R) and Security products, such as VPN/Firewall
system solutions.

    O2Micro International maintains an extensive portfolio
of intellectual property with 7,223 patent claims granted,
and over 8,000 more pending. The company maintains offices
worldwide. Additional company and product information can
be found on the company website at www.o2micro.com.

    O2Micro, the O2Micro logo, SmartCardBus, and
combinations thereof are registered trademarks of O2Micro.
All other trademarks are the property of their respective
owners.

    Statements made in this release that are not
historical, including statements regarding O2Micro's or
management's intentions, hopes, beliefs, expectations,
representations, projections, plans or predictions of the
future, are forward-looking statements within the meaning
of the Private Securities Litigation Reform Act of 1995.
You can identify these forward-looking statements by
terminology such as "may," "will,"
"expects," "should," "could,"
"plans," "intends,"
"believes," "predicts," or
"continue" or the negative of these terms and
other comparable terminology. These forward-looking
statements include, without limitation, statements
regarding future litigation activities, results and plans.
Such statements involve risks and uncertainties that may
cause actual results to differ materially from those set
forth in these statements. Factors that could cause actual
results to differ materially include risks and
uncertainties such as reduced demand for products of
electronic equipment manufacturers which include O2Micro's
products due to adverse economic conditions in general or
specifically affecting O2Micro's markets, technical
difficulties and delays in the developments process, and
adverse orders, rulings, judgments, verdicts, delays or
adverse administrative proceeding results. You are also
referred to the Form F-1 in connection with the company's
initial public offering in August 2000, Form F-3 filed in
November 2001 and October 2005, and the annual reports on
Form 20-F, which identify important risk factors that could
cause actual results to differ from those contained in the
forward-looking statements. We assume no obligation to
update or revise any forward-looking information, whether
as a result of new information, future events or otherwise.
You are cautioned not to place undue reliance on these
forward-looking statements which apply only as of the date
hereof.


    For your information, please contact: 

     Mitchell Benus
     Director of Investor Relations
     O2Micro
     Tel:   [phone]
     Email: [e-mail]