SANTA CLARA, California - June 6, 2002 - Alliance Semiconductor Corporation (Nasdaq: ALSC) today announced the expansion of its previously announced 4 million common stock share repurchase program. The program was originally announced in June 1998 in the amount of two million shares, but was later increased to 4 million shares in February 2000. The Board of Directors has approved the repurchase of an additional 5 million shares of common stock.

The repurchase program permits the company to buy its shares from time to time in the open market or in block purchases, at management's discretion, which is in compliance with Rule 10b-18. As of May 31 2002, Alliance has approximately 38.8 million shares outstanding, including the shares repurchased to date under the program.

N.D. Reddy, Chairman, President and CEO of Alliance said, "The board approving the repurchase of an additional 5 million shares of stock demonstrates Alliance's confidence in our business strategy and future outlook. As with any investment undertaken by Alliance, our primary goal is to maximize the value to our shareholders. We believe that Alliance's common stock represents a highly attractive investment opportunity at its current levels, and we hope that this repurchase program further confirms the Board's belief and support of management and the company."

Company Information

Alliance Semiconductor Corporation is a leading worldwide supplier of high performance memory and memory intensive logic products. Alliance's product lines include Static Random Access Memory (SRAM), Dynamic Random Access Memory (DRAM), and embedded memory and logic products. Alliance designs, develops and markets its products to the networking, telecommunication, instrumentation, consumer and computing markets. Alliance develops and manufactures its products through independent manufacturing facilities, using advanced CMOS process technologies with line widths as narrow as 0.13 um.

The Company, through its venture arm Alliance Venture Management, LLC, invests in five venture funds. Alliance Ventures I, LP focuses on investing in networking and communication start-up companies, Alliance Ventures II, LP focuses on investing in internet start-up ventures, Alliance Ventures III, LP, focuses on emerging companies in the networking and communication market areas, Alliance Ventures IV, LP, focuses on semiconductor companies and Alliance Ventures V, LP, focuses on infrastructure companies.

Alliance was founded in 1985. Additional Company information can be found on its home page: www.alsc.com.