Exhibit 99.1

Intersil and Proxim Reach Settlement on Patent Litigation;
Companies Sign Patent Cross-License and Product Supply Agreements

    MILPITAS, CA--(BUSINESS WIRE)--March 17, 2003--Intersil
Corporation (Nasdaq:ISIL), a world leader in the design and
manufacture of high performance analog and wireless networking
solutions, announced today that it has reached a settlement with
Proxim Corporation (Nasdaq:PROX) and that all pending litigation
between the two companies has been settled under mutually agreeable
terms. As part of the confidential agreement, Proxim will receive a
one-time payment in the amount of $6 million and will purchase
Intersil's wireless LAN products by way of a product supply
engagement.
    "We're pleased that we have resolved any pending litigation with
Proxim and we look forward to strengthening our relationship with them
through a mutually beneficial agreement," said Intersil president and
CEO Rich Beyer. "This product supply agreement represents a new
engagement with a wireless LAN equipment provider for enterprise and
consumer markets, and will enable us to build on our position as the
world's leading WLAN chip set supplier. We believe that this agreement
will help both companies benefit from the expected growth and
expansion of the wireless LAN market well into the future."
    Intersil and Proxim have agreed to dismiss all claims against each
other and their customers, including lawsuits before the International
Trade Commission and Delaware and Massachusetts Federal Courts. The
two companies have also entered into a patent cross-license agreement
covering all of Intersil wireless LAN products and Proxim's wireless
networking products. The agreement also covers Intersil's customers'
products that use PRISM(R) WLAN chips.
    While this settlement was agreed to subsequent to Intersil's
fiscal year end and fourth quarter earnings release, it is appropriate
to account for it in the fourth quarter 2002, based on accounting
rules governing this type of subsequent event. Therefore, the costs
associated with the settlement will be included in Intersil's 2002
financial results as reported in the company's 10K to be filed later
this month.

    About Intersil

    Intersil Corporation is a global semiconductor leader in the
design and manufacture of high performance analog and wireless
networking solutions. Intersil's product portfolios address four fast
growing markets - flat panel displays, optical storage (CD and DVD
recordable), power management and wireless networking. Intersil brings
added customer value in providing complete silicon, software and
reference design solutions to new products that enhance the computing
experience for people wherever they live, work or travel. For more
information about Intersil or to find out how to become a member of
our winning team, visit the company's web site and career page at:
http://www.intersil.com

    This press release contains forward-looking statements as defined
in Section 27A of the Securities Act of 1933 and Section 21E of the
Securities Exchange Act of 1934. Such forward-looking statements are
based upon Intersil Corporation's ("Intersil") management's current
expectations, estimates, beliefs, assumptions, and projections about
Intersil's business and industry. Words such as "anticipates,"
"expects," "intends," "plans," "predicts," "believes," "seeks,"
"estimates," "may," "will," "should," "would," "potential,"
"continue," and variations of these words (or negatives of these
words) or similar expressions, are intended to identify
forward-looking statements. In addition, any statements that refer to
expectations, projections, or other characterizations of future events
or circumstances, including any underlying assumptions, are
forward-looking statements. These forward-looking statements are not
guarantees of future performance and are subject to certain risks,
uncertainties, and assumptions that are difficult to predict.
Therefore, our actual results could differ materially and adversely
from those expressed in any forward-looking statements as a result of
various risk factors. Important risk factors that may cause such
material differences for Intersil's WLAN product group include, but
are not limited to: the slowdown in the technology sector generally
and the semiconductor industry specifically; our ability to
successfully deploy our up integration strategy; the rate at which
consumers adopt small handheld Internet appliances and portable
computing devices in enterprises and in homes; the rate at which
consumers purchase small handheld Internet appliances, portable
computing devices, and notebook computers with embedded wireless; the
rate at which our present and future customers and end-users adopt
Intersil's wireless access technologies; the timing, rescheduling or
cancellation of significant customer orders; the ability of our
customers to manage inventory; the loss of a key customer; the
qualification, availability and pricing of competing products and
technologies and the resulting effects on sales and pricing of our
products; silicon wafer pricing and the availability and quality of
our foundry capacity and raw materials; availability, pricing, and
quality of third party foundry and assembly and test capacity and raw
materials; fluctuations in the manufacturing yields of our third party
foundries and assembly and test facilities, and other problems or
delays in the fabrication, assembly, testing or delivery of our
products; the risks of producing products with new suppliers and at
new fabrication and assembly and test facilities; problems or delays
that we may face in shifting our products to smaller geometry process
technologies; the effectiveness of Intersil's expense and product cost
control and reduction efforts; the risks inherent in acquisitions,
including the acquisition of Elantec Semiconductor, Inc. (including
integration issues; costs and unanticipated expenditures; changing
relationships with customers, suppliers, and strategic partners;
potential contractual, employment, and intellectual property issues;
or that the anticipated benefits of the acquisition are not realized);
intellectual property disputes, customer indemnification claims, and
other litigation risks; Intersil's ability to develop, market, and
transition to volume production new products and technologies in a
timely manner; the quality of Intersil's products and any repair or
replacement costs; the risks and uncertainties associated with
Intersil's global operations, particularly in light of the war on
terrorism; the effects of natural disasters, international conflicts
and other events beyond our control; the level of orders received and
the ability to fill those orders in a given fiscal quarter; and other
factors. Intersil's Annual Report on Form 10-K, subsequent Quarterly
Reports on Form 10-Q, recent Current Reports on Form 8-K, and other
Intersil filings with the U.S. Securities and Exchange Commission
("SEC") (which you may obtain for free at the SEC's web site at
http://www.sec.gov) discuss some of the important risk factors that
may affect our business, results of operations, and financial
condition. These forward-looking statements are made only as of the
date of this communication and Intersil undertakes no obligation to
update or revise these forward-looking statements.

    PRISM is a registered trademark of Intersil Americas Inc.

    CONTACT: Intersil Corporation, Palm Bay, Fla.
             Investor Relations:
             Meghan Dalton, 321/729-5738
             E-mail: mdalton@intersil.com
             or
             Public Relations:
             Brent Dietz, 321/729-5973
             E-mail: bdietz@intersil.com