2006 News Releases

"FOR IMMEDIATE RELEASE"

MOSAID Announces Second Quarter Results for Fiscal Year 2007

OTTAWA, Ontario – November 30, 2006 – MOSAID Technologies Incorporated (TSX:MSD) today announced financial results for the second quarter of fiscal 2007, ended October 31, 2006 Revenues for the second quarter of fiscal 2007 were $19.6 million, up 21% from $16.3 million in the second quarter of fiscal 2006. Revenues for the current quarter were higher primarily due to the signing of patent license arrangements with Infineon Technologies AG and Qimonda AG. Net income for the second quarter was $4.7 million or $0.42 per diluted share, up from $4.3 million or $0.37 per diluted share in the second quarter of fiscal 2006. Second quarter net income was reduced by unusual expenses of approximately $1.1 million related to activities of the Special Committee of the Board, including supervision of the proxy contest prior to the Annual General Meeting and oversight of MOSAID's ongoing review of strategic alternatives. For the first six months of fiscal 2007, revenues reached $42.6 million, up 40% from $30.5 million for the comparable period in fiscal 2006. Net income in the first six months of the current fiscal year was $11.4 million or $1.00 per diluted share, a gain of 30% from $8.7 million or $0.75 per diluted share in the first half of fiscal 2006. The Company's cash balance and marketable securities at the end of the second quarter of fiscal 2007 totaled $67.2 million, compared with $68.7 million at the end of the first quarter of fiscal 2007. Working capital at the end of the second quarter was $74.8 million compared with $78.1 million at the end of the first quarter. "The Company recorded strong financial results in the second quarter and first half of fiscal 2007," said George Cwynar, President and Chief Executive Officer, MOSAID. "This quarter we continued to broaden the reach of our patent portfolio by acquiring the right to license certain patents from Caltech, which followed the purchase of 50 patents from Infineon Technologies in the first quarter. We also strengthened the patent licensing business by hiring John Lindgren, a 20-year veteran of Texas Instruments, as MOSAID's Senior Vice President Patent Licensing, General Counsel and Corporate Secretary. Our Semiconductor IP products gained traction with customers, yielding stronger revenues than in the first quarter and the comparable quarter for last year, yet they remain below our expectations." "We are on track to achieving the best financial year in MOSAID's 30 year history, and continue to balance reinvestment in the Company with returns to shareholders," said Richard Boadway, Executive Vice President and Chief Financial Officer, MOSAID. "To date in fiscal 2007, we have paid $5.6 million in dividends and repurchased 3.3% of our shares for $10 million. We have met our earnings guidance, despite incurring over $1 million in unusual expenses related to the proxy contest and review of strategic alternatives. Without the Special Committee expenses our net income would have been $5.4 million or $0.48 per diluted share. MOSAID's management and its investment bankers have vigorously pursued the strategic alternatives review and action program, and the level of activity remains high." Operating Highlights The Intellectual Property Division was very profitable during the fiscal 2007 second quarter, posting revenue of $16.5 million and segment profit of $8.2 million or 50% of segment revenues. During the quarter and year to date, revenues from the licensing of semiconductor intellectual property blocks, while falling short of expectations, more than quadrupled as compared to the same period in fiscal 2006. Results for the Systems Division in the second quarter of fiscal 2007 were lower than the same period last year due to the sale of fewer test systems, offset partially by a higher average selling price. The segment loss for the Systems Division was $717,000 on revenues of $3.1 million for the fiscal 2007 second quarter, compared to a profit of $852,000 on revenues of $5.9 million for the same quarter last year. MOSAID anticipates a recovery in tester sales during the second half of fiscal 2007 but has reduced revenue expectations for the Division for the year. The Company also made three senior management appointments in the last three months. John Lindgren was named Senior Vice President Patent Licensing, General Counsel and Corporate Secretary. Mr. Lindgren joins MOSAID from Texas Instruments (TI) in Dallas, Texas, where he served as Vice President and Assistant General Counsel. In this position, Mr. Lindgren headed a team of 28 lawyers who provided legal counsel to TI's US$3.5 billion Application Specific Products group, which includes the company's global Digital Signal Processor business. In addition, Michael Vladescu, formerly Director, Intellectual Property, was named Vice President, Patents and Joseph Brown, formerly Director, Financial Services and Corporate Controller, was appointed Vice President, Finance. MOSAID Expands Board, Wins Motion to Dismiss Micron's Complaint for Declaratory Judgment, Forms Patent Licensing Partnership with Caltech At the Company's Annual General Meeting on September 22, MOSAID announced that the Board of Directors had been expanded from six to ten members. Carl Schlachte, President and CEO of ARC International, and Emmett Murtha, President and CEO of Fairfield Resources International, bring further intellectual property expertise to the Board, while Gideon King, Executive Vice President of Loeb Partners Corporation, and Eugene Davis, Chairman and CEO of Pirinate Consulting Group, bring additional financial acumen and merger and acquisitions experience. On October 25, the Company announced that the Northern District of California Court, San Jose Division, had issued an order granting MOSAID's motion to dismiss Micron Technology's Complaint for Declaratory Judgment. The Company's ongoing litigation for patent infringement against Micron, ProMOS Technologies Inc. and Powerchip Semiconductor Corporation is currently proceeding in the Eastern District of Texas, Marshall Division. During the quarter, MOSAID continued to broaden the reach of its patent program by obtaining exclusive licensing rights to certain patents from the California Institute of Technology (Caltech) in Pasadena, California. Caltech granted MOSAID an exclusive license, along with sublicensing rights, to a number of Caltech patents relating to technologies used in wireless communications chips and systems, power management chips, and light emitting diodes. At the end of the second quarter, MOSAID's portfolio grew to 687 patents issued or pending, up from 654 at the end of the first quarter. Approximately 40% of MOSAID's issued or pending patents relate to memory technology and 60% to other technology areas. MOSAID currently has 15 companies on notice for patent infringement and is currently in discussions with several of these companies. Guidance Guidance for the Company's revenues in the third quarter of fiscal 2007 is $19 million to $20 million and for net earnings is $3.5 million to $4.0 million. Guidance for fiscal 2007 is lowered slightly, as a result of lower than expected Semiconductor IP and Systems Division revenues. Revenues for fiscal 2007 are now forecast to range between $80 million and $85 million, down from the previous guidance of $83 million to $85 million. Net earnings are expected to range from $18 million to $20 million, down from earlier guidance of $21 million to $23 million, as a result of the lower revenues and the now anticipated pre-tax costs of the strategic alternatives initiative of approximately $2.3 million. MOSAID anticipates that approximately 80% of fiscal 2007 revenues will be generated by the Intellectual Property Division. Conference Call and Webcast Management will hold a conference call and webcast on Thursday, November 30, 2006 at 5:00 p.m. (EST). Participants wishing to access the conference call should dial 1-800-814-4941. The conference call will also be webcast live at www.mosaid.com and www.newswire.ca, and subsequently archived on MOSAID’s web site. A rebroadcast of the conference call will be available until midnight on Thursday, December 7, 2006. To access the rebroadcast, please dial 1-877-289-8525 and enter the passcode 21209267#. About MOSAID MOSAID Technologies Incorporated makes semiconductors better through the development and licensing of intellectual property and the supply of memory test and analysis systems. MOSAID counts many of the world's largest semiconductor companies among its customers. Founded in 1975, MOSAID is based in Ottawa, Ontario, with offices in Santa Clara, California; Newcastle upon Tyne, U.K; and Tokyo, Japan. For more information, visit www.mosaid.com. Forward Looking Information This document and certain other public documents incorporated by reference in this document, contain forward-looking statements to the extent they relate to MOSAID or its management, including those identified by the expressions "anticipate," "believe," "foresee," "estimate," "expect," "intend," "could," "may,", "plan," "will," "would" and similar expressions. Similarly, statements in this document that describe MOSAID's business strategy, outlook, objectives, plans, intentions or goals also are forward-looking statements. These forward-looking statements are not historical facts, but rather reflect MOSAID's current expectations regarding future events. These forward-looking statements are subject to a number of risks and uncertainties that could cause actual results, performance or achievements to differ materially from those in such forward-looking statements. Assumptions made in preparing forward-looking statements and financial guidance include, but are not limited to, the following: MOSAID's continued expansion of its patent portfolio and of its opportunities for future patent licensing revenue as a result of MOSAID's acquisition of patents from third parties and from development of new inventions; DRAM manufacturers continuing to infringe MOSAID's patents; the timing and amount of MOSAID's litigation expenses; MOSAID's ability to sign new patent licensees; the value proposition associated with MOSAID's products relative to its competition in the market; the timing and amount of MOSAID's Research & Development expenses; the timing of MOSAID's new product introductions; MOSAID's ability to develop, manufacture, and market innovative products in a rapidly changing technological environment; and MOSAID's ability to maintain and enhance existing customer relationships. Factors that could cause actual results to differ materially from expected results include, but are not limited to, the following: declines or unexpected variations in market growth rates for MOSAID's products; the extent of embedded DRAM proliferation in the System-on-a-Chip markets; variability in customer deployment schedules from quarter to quarter; shifts in the mix of MOSAID products sold; unfavorable legal rulings in MOSAID's patent litigations; economic, social, and political conditions in the countries in which MOSAID, its customers, suppliers, or patent licensees operate, including security risks, health conditions, possible disruptions in transportation networks and fluctuations in foreign currency exchange rates; non-payment or delays in payment by customers/licensees; failure to maintain and enforce MOSAID's existing patent portfolio, or failure to obtain valuable patents as a result of research and development activities, or failure to acquire valuable patents from third parties; MOSAID's ability to recruit and retain skilled personnel; change in MOSAID's financial position; obsolescence of products or inappropriate targeting to markets that fail to materialize; inability to transition to new technologies to meet customer demand; variations in average sales cycles; key component supply restrictions and/or cost increases; critical industry transitions; consolidation of MOSAID's customers and/or licensees; natural events, such as severe weather and earthquakes in the locations in which MOSAID, its customers, suppliers, or patent licensees operate; and changes in the tax rate applicable to MOSAID as the result of changes in the tax law in the jurisdictions in which profits are determined to be earned and taxed, the outcome of tax audits and the ability to realize deferred tax assets. MOSAID assumes no obligation to update or revise any forward-looking statements. Additional information identifying risks and uncertainties affecting MOSAID's business and other factors that could cause MOSAID's financial results to fluctuate are contained in MOSAID's Annual Information Form, under the section entitled "Risk Factors," and in MOSAID's other public filings available online at www.sedar.com.

For more information, please contact:

Investor Inquiries Michael Salter Director, Corporate Communications 613-599-9539 x1205 salter@mosaid.com

Media Inquiries Colleen McGuire Communications Specialist 613-599-9539 x1228 mcguire@mosaid.com

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CONSOLIDATED BALANCE SHEETS
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