Tessera Responds to Stockholder’s Notice of Intent to Nominate Candidates for Control of the Board

  Tessera Responds to Stockholder’s Notice of Intent to Nominate Candidates
  for Control of the Board

Business Wire

SAN JOSE, Calif. -- December 24, 2012

Tessera Technologies, Inc. (NASDAQ: TSRA) (the “Company” or “we”) today
confirmed receipt from Starboard Value and Opportunity Master Fund Ltd
(“Starboard”) of a notice of Starboard’s intent to nominate seven candidates
to the Board of Directors at the Company’s 2013 Annual Meeting of
Stockholders, which has not yet been scheduled.

“The Nominating Committee and Board of Directors will review the proposed
nominees in the ordinary course of our governance and nominating process,”
said Robert J. Boehlke, chairman of the Board of Directors. “We are always
open to hearing ideas or considering candidates that can help us create value
for our stockholders, and we will carefully review the proposed candidates. We
share our investors’ sense of urgency in getting the most value from our
assets and businesses, which has led us to take strong actions in the past
year, including the initiation of a dividend, significant cost reductions, the
planned divestiture of non-core assets of DigitalOptics Corporation, and the
addition of two new and highly qualified independent Board members.”

The Company noted that, as previously announced, the deadline for nominations
to the Board and other matters for the 2013 Annual Meeting of Stockholders
remains February 15, 2013. The Company also noted that although Starboard has
nominated up to seven candidates, it has not yet announced how many nominees
it will actually seek to elect. Starboard has not sought to meet with senior
management of the Company since its last such meeting, which took place at the
Company’s San Jose headquarters in August 2012.

Safe Harbor Statement

This press release contains forward-looking statements, which are made
pursuant to the safe harbor provisions of the Private Securities Litigation
Reform Act of 1995. Forward-looking statements involve risks and uncertainties
that could cause actual results to differ significantly from those projected,
particularly with respect to Starboard’s notice of its intention to nominate
up to seven candidates at the Company’s 2013 Annual Meeting of Stockholders
and the Company’s review and consideration of such candidates. Material
factors that may cause results to differ from the statements made include the
plans or operations relating to the Company’s businesses; market or industry
conditions; changes in patent laws, regulation or enforcement, or other
factors that might affect the Company’s ability to protect or realize the
value of its intellectual property; the expiration of license agreements and
the cessation of related royalty income; the failure, inability or refusal of
licensees to pay royalties; initiation, delays, setbacks or losses relating to
the Company’s intellectual property or intellectual property litigations, or
invalidation or limitation of key patents; the timing and results, which are
not predictable and may vary in any individual proceeding, of any ICC ruling
or award, including in the Amkor arbitration; fluctuations in operating
results due to the timing of new license agreements and royalties, or due to
legal costs; the risk of a decline in demand for semiconductor and camera
module products; failure by the industry to use technologies covered by the
Company’s patents; the expiration of the Company’s patents; the Company’s
ability to successfully complete and integrate acquisitions of businesses,
including the integration by DigitalOptics Corporation (“DOC”) of its recently
acquired camera module manufacturing facility in Zhuhai, China; the risk of
loss of, or decreases in production orders from, customers of acquired
businesses; financial and regulatory risks associated with the international
nature of the Company’s businesses; failure of the Company’s products to
achieve technological feasibility or profitability; failure to successfully
commercialize the Company’s products; changes in demand for the products of
the Company’s customers; limited opportunities to license technologies and
sell products due to high concentration in the markets for semiconductors and
related products and camera modules; the impact of competing technologies on
the demand for the Company’s technologies and products; failure by DOC to
become a vertically integrated camera module supplier; and the reliance on a
limited number of suppliers for the components used in the manufacture of DOC
products. You are cautioned not to place undue reliance on the forward-looking
statements, which speak only as of the date of this release. The Company's
filings with the Securities and Exchange Commission, including its Annual
Report on Form 10-K for the year ended Dec. 31, 2011, and its Quarterly Report
on Form 10-Q for the quarter ended Sept. 30, 2012, include more information
about factors that could affect the Company's financial results. The Company
assumes no obligation to update information contained in this press release.
Although this release may remain available on the Company's website or
elsewhere, its continued availability does not indicate that the Company is
reaffirming or confirming any of the information contained herein.

About Tessera Technologies, Inc.

Tessera Technologies, Inc. is a holding company with operating subsidiaries in
two segments: Intellectual Property and DigitalOptics. The Intellectual
Property business, comprised of engineering, licensing, account administration
and litigation teams, generates revenue from manufacturers that use its
patented ideas. The DigitalOptics business delivers innovation in imaging and
optics with products and capabilities that enable expanded functionality in
increasingly smaller devices. DigitalOptics’ miniaturized camera module
solutions provide cost-effective, high-quality camera features, including
Micro Electro Mechanical Systems (“MEMS”)-based autofocus, extended depth of
field (“EDoF”), zoom, image enhancement and optical image stabilization.
DigitalOptics also offers customized micro-optic lenses from diffractive and
refractive optical elements to integrated micro-optical subassemblies. For
more information call 1.408.321.6000 or visit www.tessera.com.

Tessera, Tessera, Inc., the Tessera logo, DigitalOptics Corporation, and
Invensas Corporation are trademarks or registered trademarks of affiliated
companies of Tessera Technologies, Inc. in the United States and other
countries. All other company, brand and product names may be trademarks or
registered trademarks of their respective companies.

Additional Information and Where to Find It

Tessera Technologies, Inc. (the “Company”), its directors and certain
executive officers and employees may become participants in the solicitation
of proxies from stockholders in connection with the Company’s 2013 Annual
Meeting of Stockholders (the “Annual Meeting”). The Company plans to file a
proxy statement with the Securities and Exchange Commission (the “SEC”) in
connection with the solicitation of proxies for the Annual Meeting (the “2013
Proxy Statement”).

Robert J. Boehlke, John B. Goodrich, Richard S. Hill, David C. Nagel, Kevin G.
Rivette, Timothy J. Stultz, Anthony J. Tether, and Robert A. Young, all of
whom are members of the Company’s Board of Directors, and C. Richard Neely,
Jr., Executive Vice President and Chief Financial Officer, Bernard J. Cassidy,
Executive Vice President, General Counsel and Secretary and Moriah Shilton,
Senior Director, Investor Relations, may become participants in the Company’s
solicitation. Information regarding the Company’s directors’ and executive
officers’ respective interests in the Company by security holdings or
otherwise is set forth in the Company’s proxy statement relating to the 2012
annual meeting of stockholders. No other participants own in excess of 1% of
the Company’s common stock. Additional information regarding the interests of
such participants will be included in the 2013 Proxy Statement and other
relevant documents to be filed with the SEC in connection with the Annual

Promptly after filing its definitive 2013 Proxy Statement with the SEC, the
Company will mail the definitive 2013 Proxy Statement and a proxy card to each
stockholder entitled to vote at the Annual Meeting. STOCKHOLDERS ARE URGED TO
INFORMATION. Stockholders may obtain, free of charge, copies of the definitive
2013 Proxy Statement and any other documents filed by the Company with the SEC
in connection with the Annual Meeting at the SEC’s website
(http://www.sec.gov), at the Company’s website (http://ir.tessera.com/sec/cfm)
or by writing to the Secretary, Tessera Technologies, Inc., 3025 Orchard
Parkway, San Jose, California 95134.



Tessera Technologies, Inc.
Rick Neely, 408-321-6756
Chief Financial Officer
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