Device software optimization requires that a manufacturer deploy an optimized development methodology that enables its developers to more efficiently produce better software. To be effective, both the methodology and the results must be optimized. For example, if a manufacturer can produce a high performance, high quality device but takes so long developing it that competitors are able to get to market much earlier and at a much lower cost, then that product will not be successful. Similarly, if a manufacturer can quickly and inexpensively get to market but the resulting device is slow and unreliable, then that product will not be successful. Effective device software optimization must improve both the quality of the software that goes into the device and the efficiency with which it is developed.

From a technology perspective, device software optimization incorporates the development tools and embedded real-time operating systems (RTOS) that have been categorized under the ?embedded software? umbrella. Device software optimization goes beyond the traditional use of ?embedded software? by also encapsulating the benefits of a strategic approach to optimizing device software and its development. In particular:

* Device software optimization recognizes that the goal of an embedded software development solution is to optimize the quality of a device, the time and cost required to develop it, and the cost of manufacturing it. The tools and RTOS used to develop a device directly impact its ultimate profitability.

* Device software optimization encompasses the methodology that a manufacturer uses to optimize its device software development across projects, products and product lines.

Device software optimization was the purpose for which Green Hills Software was founded in 1982 and has been the company's focus ever since. Green Hills Software's first product, the Green Hills Optimizing Compiler, brought the benefits of optimized high-level language development to embedded software developers?enabling them to more quickly develop higher performance, more reliable applications. Today, Green Hills Optimizing Compilers are still proving that they generate the industry's most optimized code

Green Hills Software embraces device software optimization for two reasons:

* Device software optimization is an excellent description of the benefits of Green Hills Software's solutions

* By using the same terminology as other DSO vendors, Green Hills Software is eliminating any market confusion that may result from different suppliers using different lingo. We believe that the DSO/embedded software market is better served by discussions of technology and solutions than by debates about market definition.