FOR IMMEDIATE RELEASE

XILINX ANNOUNCES $100M "ECOSYSTEM" VENTURE FUND
TO FUEL PROGRAMMABLE SYSTEMS INDUSTRY INNOVATION

Investment fund to accelerate development of system-level solutions and propel FPGA adoption across regions and market segments

SAN JOSE, Calif, December 20, 2004 - Xilinx, Inc. (NASDAQ: XLNX), the world's leading supplier of programmable solutions, today announced the launch of a $100M corporate venture fund to fuel industry innovation within the company's growing ecosystem for programmable system design. Xilinx intends to strengthen, broaden and accelerate adoption of its flagship FPGA Virtex and Spartan (field programmable gate array) products for system-level applications by investing in emerging technology companies delivering design solutions for leading edge FPGA-based design. Initially, the venture fund activity will be focused in Europe and the U.S., with an emphasis on high-speed DSP (digital signal processing), embedded processing and high-speed connectivity.

"As the world's most versatile and broadly adopted platform for logic development and implementation, Xilinx Virtex and Spartan FPGAs have cumulatively generated over $4 billion of revenue and have rapidly become the preferred platform for high-performance system design," said Xilinx Chairman, President and CEO Wim Roelandts. "Already, Xilinx and our ecosystem partners lead the industry in delivering robust solutions, ranging from core silicon and packaging technology to vertical application solutions, IP and services. With today's news, we intend to fuel expansion of entrepreneurial activity to quickly bring to market an even broader portfolio for designers of next-generation programmable systems."

The Ecosystem Venture Fund is a key element of the company's strategy to move beyond the $5.1B programmable logic market to capture additional share in the $36B ASIC and ASSP markets (Source: Gartner Dataquest 2007 projection) through internal and external investments in system-level FPGA solutions. Ecosystem Venture Fund proposals are reviewed by Xilinx business development for potential investments ranging from $250K to $5M. Applicants must meet the following criteria:

• Demonstrated commitment to the Xilinx ecosystem from a Xilinx executive sponsor to validate and advocate for the candidate company
• Early customer validation of the proposed technology
• Well-managed companies with sound business fundamentals and good potential for growth and profitability
• Interest and/or engagement by other investors

In addition to investing 15-17 percent of revenues annually in R&D, Xilinx established a $75M Technology Growth Fund in 1999, focused on early stage technology investments in companies such as Accelchip, Hier Design, Nuron and Synplicity (NASDAQ: SYNP). Investments range from $500K to $5M in companies exploring and/or promoting new technology or markets.

"While most corporate funds disengaged from the market at the outset of the downturn in 2001 and 2002, Xilinx has remained steadfast in our commitment to invest in emerging companies to nurture FPGA-based research and development," said Hans Schwarz, Senior Director of Business Development at Xilinx. "To date, we have invested more than $40 million, with above average returns. With the new Ecosystem Venture Fund, we're delighted to broaden the scope of our investment program."

About the Xilinx Ecosystem Venture Fund
To learn more about the Xilinx Ecosystem Venture Fund, visit www.xilinx.com/company/about/ecosystem.htm or contact the Xilinx business development office at tlp@xilinx.com to begin the proposal review process.

# 04136

Editorial contact:

Jennifer Wright VanEvery

Xilinx Public Relations

(408) 879-7727

jennifer.vanevery@xilinx.com