Press Release

Nortel Networks Selects Alpha as World-Wide Preferred SupplierWOBURN, Mass.--(BUSINESS WIRE)--August 2, 2000--Alpha (NASDAQ:AHAA) announced today that Nortel Networks Corp., a world leader in optical and wireless Internet equipment has qualified Alpha as a global preferred supplier. This new status makes Alpha's RF ICs and other semiconductor products the first choice for design engineers throughout Nortel's worldwide operations. Nortel's fiber optic networks are experiencing an explosive increase in demand from telephone and cable TV companies.

"Nortel is a significant Alpha customer, and our sales to them are growing rapidly. There has been an increase in design activity in fiber, optical and wireless backbone applications with Nortel. The drive for increased bandwidth in home, office and mobile applications is fueling the up-tick in design wins. Our Preferred Supplier status takes Alpha's relationship with Nortel to the next level and allows Alpha the opportunity to participate earlier in the design cycle for next generation products," stated Christopher Conlin, Alpha's Director of Worldwide Sales and Marketing. "Even more, this selection is a validation of the high quality of Alpha's gallium arsenide (GaAs) and silicon semiconductor technology, engineering and manufacturing systems."

About Alpha - Alpha designs and manufactures a broad range of products for microwave and radio frequency wireless communications applications. The Wireless Semiconductor segment provides gallium arsenide (GaAs) integrated circuits and other semiconductors to the dynamic global market for wireless telephone handsets. The Application Specific Products (ASP) segment provides a broad range of GaAs and silicon devices to satellite, instrumentation, defense and other communications markets. The Ceramic Products segment provides technical ceramic products for wireless telephony infrastructure and other wireless markets. Additional information on us and our products is available at www.alphaind.com.

Safe Harbor Statement - Except for the historical information contained herein, this news release contains forward-looking statements that constitute the Company's current intentions, hopes, beliefs, expectation or predictions of the future which are, therefore, inherently subject to risks and uncertainties. The Company's actual results could differ materially from those anticipated in the Company's forward-looking statements based on various factors, including without limitation: cancellation or deferral of customer orders, dependence on a small number of large customers, difficulties in the timely development and market acceptance of new products, market developments that vary from the current public expectations concerning the growth of wireless communications, difficulties in manufacturing new or existing products in sufficient quantity or quality, increased competitive pressures, decreasing selling prices for the Company's products, or changes in economic conditions. Further information on factors that could affect the Company's performance is included in the Company's periodic reports filed with the SEC, including but not limited to the Company's Form 10-K for the year ended April 2, 2000, and subsequent Forms 10-Q. The Company cautions readers not to place undue reliance upon any such forward-looking statements, which speak only as of the date made. The Company expressly disclaims any obligations or undertaking to release publicly any updates or revisions to any such statements to reflect any change in the Company's expectations or any change in events, conditions or circumstance on which any such statement is based.

CONTACT: Alpha

             Jim Nemiah
             (781) 935-5150 Ext. 4426