San Jose, Calif. - July 16, 2007 - Tessera Technologies, Inc. (Nasdaq: TSRA), a leading provider of miniaturization technologies, and Alps Electric Co, Ltd., a global developer and manufacturer of electronic devices and components, today jointly announced a new license agreement enabling Alps Electric to mass produce and sell wafer-level optics based on Tessera's recently introduced OptiML™ wafer level camera (WLC) technology. These wafer-level optics, referred to as Tessera's OptiML™ WaferStack™ technology, make it possible for thousands of lenses to be built at the same time. Tessera's approach is designed to enable smaller size, lower cost cameras for integration in camera phones and other high volume electronics.

OptiML™ WaferStack™ technology is a critical component of Tessera's wafer level camera solution. As a result of this agreement, image sensor manufacturers, camera module manufacturers and others can purchase singulated lens stacks produced in high volume from Alps Electric. Tessera's SHELLCASE® wafer level image sensor packaging technology can be combined with Tessera's OptiML™ WaferStack™ technology to form the key elements of a wafer level camera. OptiML™ WaferStack™ lenses are expected to be available in the second half of 2008. Tessera's SHELLCASE® packaging technology is currently in mass production.

"Tessera's vision is to accelerate the future of consumer electronics with what we believe represents a revolutionary approach to developing cameras," said Michael Bereziuk, Executive Vice President, Product Division, Tessera. "Alps Electric - a technology innovator for nearly 60 years - shares this vision. Our agreement with Alps reflects our commitment to enable the supply chain required to support our technologies. We are delighted to work with a global manufacturing leader to bring this highly innovative solution to volume production."

"Tessera's wafer-level approach to building cameras is innovative," said Motohiro Shimaoka, Director and General Manager, Communication Devices Division, Alps Electric. "We are pleased to work with Tessera to help realize a wafer-level approach to camera assembly. Our passion is to create products, with a focus on manufacturing. We call this core value Monozukuri, and we look forward to applying our optics expertise in bringing OptiML™ WaferStack™ technology to market."

About OptiML™ WaferStack™ Technology

OptiML™ WaferStack™ technology is one of the key components of Tessera's WLC solution. Tessera's approach simplifies assembly and results in significant cost savings for the optical component of the camera module. With minimal investment, adopters can integrate OptiML™ WaferStacks optics into their camera modules. Using Tessera's OptiML™ WaferStack™ technology, multiple lens wafers are aligned and bonded at the wafer, panel or sheet level. The need for costly manual focusing is removed due to the accuracy of the WaferStack™ process. The bonded lens wafers are then diced into individual lens modules, and each lens module is mounted on top of a packaged image sensor.

Licensing

Tessera's OptiML™ technology family includes a broad range of technologies, including wafer level packaging, wafer level lenses and advanced focus and optical zoom, achieved with no moving parts. Tessera is licensing its OptiML™ technologies separately and/or as a suite of integrated solutions.

About Alps Electric Co, Ltd

Alps Electric is a leading global manufacturer of electronic devices, supplying over 40,000 different components to about 2,000 companies all over the world. You won't often see our products, but they play vital roles in many products you use everyday. Alps Electric creates new values that satisfy stakeholders and are friendly to the earth. www.alps.com.

About Tessera Technologies, Inc.

Tessera is a leading provider of miniaturization technologies for the electronics industry. Tessera provides a broad range of advanced packaging, interconnect, and consumer optics solutions which are widely adopted in high-growth markets including consumer, computing, communications, medical and defense electronics. Tessera's customers include the world's top semiconductor companies such as Intel, Samsung, Texas Instruments, Toshiba, Micron and Infineon. The company's stock is traded on the Nasdaq National Market under the symbol TSRA. Tessera is headquartered in San Jose, California. www.tessera.com.

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. Material factors that may cause results to differ from the statements made include delays, setbacks or losses relating to our intellectual property or intellectual property litigations, or any invalidation or limitation of our key patents; fluctuations in our operating results due to the timing of new license agreements and royalties, or due to legal costs; changes in patent laws, regulation or enforcement, or other factors that might affect our ability to protect our intellectual property; the risk of a decline in demand for semiconductor products; failure by the industry to adopt our technologies; competing technologies; the future expiration of our patents; the future expiration of our license agreements and the cessation of related royalty income; the failure or refusal of licensees to pay royalties; failure to achieve the growth prospects and synergies expected from acquisition transactions; and delays and challenges associated with integrating acquired companies with our existing businesses. You are cautioned not to place undue reliance on the forward-looking statements, which speak only as of the date of this release. Tessera's filings with the Securities and Exchange Commission, including its Annual Report on Form 10-K for the year ended December 31, 2006, and its Quarterly Report on Form 10-Q filed for the quarter ended March 31, 2007 include more information about factors that could affect the company's financial results.

Note: Tessera, the Tessera logo and SHELLCASE are registered trademarks and OptiML™ (also known as OptiìL™) are trademarks of Tessera. All other company, brand and product names may be trademarks or registered trademarks of their respective companies.

CONTACT: Tessera
Joyce Smaragdis, +1-408-952-4317
jsmaragdis@tessera.com
OR
Alps Electric
Rie Ando, +81-3-5499-8001
rie.ando@jp.alps.com