EXHIBIT 10.22


                        CONFIDENTIAL TREATMENT REQUESTED
Confidential  treatment has been requested for the contents of Exhibit B to this
Agreement. The omitted portions of Exhibit B have been filed separately with the
Commission.


                      SURGX PRODUCT INTRODUCTION AGREEMENT


         This Agreement is made and entered into this day of September,  1996 by
and between  SURGX  CORPORATION,  a Delaware  Corporation,  with offices at 1100
Auburn Street, Fremont,  California 94538 ("SURGX") and LSI LOGIC CORPORATION, a
Delaware  Corporation,  with  offices  at  1551  McCarthy  Boulevard,  Milpitas,
California  95035  ("LSI  LOGIC").  SURGX and LSI LOGIC may be  individually  or
collectively referred to in this Agreement as a "Party" or the "Parties".

                                    RECITALS

         SURGX is a supplier to the electronics  industry of polymeric  products
which provide electrostatic  discharge ("ESD") control and protection as further
described  on  Exhibit A hereto  ("SURGX  ESD  Products")  which may be used for
electrical devices and packages.

         LSI LOGIC is a manufacturer of integrated circuit semiconductor devices
and packages in which there is a need for ESD control and protection.

         The new SURGX ESD Product may require some  reconfiguration,  redesign,
reformulation,  or a change in the method of  manufacturing or application to an
electrical  device,  to  enable  their  incorporation  into  integrated  circuit
semiconductor devices or packages.

         SURGX desires to have SURGX ESD Products  incorporated  into commercial
LSI Logic  integrated  circuit  semiconductor  devices and  packages as early as
practical.

         SURGX and LSI LOGIC  desire to  establish a  framework  under which the
parties  can  cooperate  through a  multi-phase  program for the study and rapid
incorporation of SURGX ESD Products ad the improved ESD performances provided by
SURGX ESD Products into LSI LOGIC  integrated  circuit devices and packages (the
"Program").  The Program is presently  contemplated by the Parties  includes (a)
feasibility   study  phase  for  setting  the  ESD   performance   specification
requirements  for a particular  device or package and  determining the design of
the device or package  incorporate the SURGX ESD Product,  (b) a prototype phase
for  preparing   prototypes  of  the  design  and  testing  the  prototypes  for
reliability and performance,  (c) a test production phase for the testing of the
design for product  qualification and shipment,  and (d) a commercial production
phase.  Several of these  project  phases may be in progress  simultaneously  or
sequentially for different designs.

         LSI LOGIC is willing to pay SURGX  certain  specified  amounts for each
phase of the  program in order to  accelerate  the early  commercial  use of the
SURGX ESD Products in LSI LOGIC semiconductor devices and packages.

         It is understood that the phase as so contemplated  are tentative,  and
that the decision of the Parties to proceed with any phases  following the first
phases which is the subject of this Agreement depends upon successful completion
of the previous phases and the execution of a formal agreement relating thereto.

               NOW THEREFORE THE PARTIES HERETO AGREE AS FOLLOWS:

1.       CONDUCT OF PRODUCT INTRODUCTION PROGRAM

         1.1  Exhibit B sets for  specific  semiconductor  device or  package in
which LSI  Logic  currently  desires  to  incorporate  SURGX  ESD  Products  for
prototype  testing and  eventual  commercial  production.  Because the SURGX ESD
Products are available in various forms such as tapes, compositions,  laminates,
components,  etc.,  the design of and method of preparing a prototype  device or
package  will vary  depending  on the type of SURGX ESD Product  employed  for a
particular  design  or  to  meet  particular  specifications  for  a  particular
semiconductor device or package.

             The Parties  contemplate that such work would involve putting surge
protection  inside the IC package or on the wafer and that such work would occur
in four (4) phases, (each, a "Phase") as follows:

             (a)   Feasibility   (Phase  I):   Defining   the  ESD   performance
specifications  for SURGTAPE for a particular  device or package and determining
the SURGX ESD Product's  design for the device or package.  Reformulating  SURGX
ESD Products and  demonstrating  that SURGX ESD Products provides ESD protection
on several number of individual lead(s) for the selected device or package.  The
Parties expect this Feasibility Phase to take approximately four (4) months;

             (b) Prototype  (Phase II)(in two subphases):  Based on satisfactory
completion of Phase I. Anticipated  commencement  approximately four months form
the effective date of this Agreement:

                   (i)  Phase  II-a:  Would  involve   preparation  of  SURGTAPE
prototype  for Phase I  formulations  and  designs.  Prototypes  to be build and
tested for reliability and performance.

                   (ii) Phase II-b: Would involve preparation of prototypes with
SURGX  material in liquid form  directly on the  semiconductor  wafer and/or die
using formulation from Phase I.

            (c) Test  Production  (Phase III):  Would  involve low volume
production of SURGTAPE  prototype from Phase II for product  qualifications  and
shipment; and

            (d)  Commercial  Production  (Phase IV):  Would  involve high
volume production of SURGTAPE based on successful completion of Phase III.

         The expected total funding for the project is estimated at $750,000 for
all four  SURGTAPE  Phases (the "Service  Fee").  The Parties  contemplate  that
insofar as they are in agreement to proceed with Phase IV at the time, LSI LOGIC
will provide 5 quarters of a commercial supply requirements forecasting by March
15, 1997, and SURGX will provide a business proposal for a commercial production
by April 15, 1997.  Supply agreement and discount  pricing  strategy  consistent
with Section 2.3 hereof to be negotiated by the Parties with a targeted  signing
date of September 12, 1997.

         The  obligations  of each Party to conduct work with respect to a Phase
of the  Program  is  contingent  upon the prior  agreement  of the  Parties to a
development timetable and appropriate compensation and, in the case of Phase IV,
a  commercial  supply  agreement  between  the  Parties  which  shall  include a
trademark license  permitting LSI LOGIC to use the SURGTAPE and SURGX trademarks
in connection with SURGX ESD Products.

         1.2 The  Parties  hereto  agree  to  devote  sufficient  personnel  and
resources including materials, devices, fabrication equipment, testing equipment
and the like, as the parties agree is appropriate for each  particular  Phase of
each project.
         1.3 The  Parties  agree  to  designate  for each  Phase  at  lease  one
management  person whose duty will be to confer or meet on a bi-weekly  basis to
further  the  progress  of each  Phase  and to  prepare  a  summary  report  for
distribution  to those who are  involved in the  particular  project and need to
know this progress of each Phase. Upon the successful or unsuccessful conclusion
of each Phase the managers  shall jointly  issue a final summary  report on that
particular phase.

         1.4 Prior to the  initiations of each Phase II, III and IV, the Parties
will  negotiate in good faith the  completion  timetable and funding  levels for
each such Phase.  Nothing in this Agreement  shall be construed as an obligation
on the part of either Party hereunder to enter into an agreement with respect to
or otherwise proceed with Phases II, III or IV.

2.       PHASE I DELIVERABLES AND SERVICE FEE; COMMERCIAL DISCOUNT

         2.1 The delivery  obligations and timetable for such performance of the
Parties are set forth in Exhibit C attached  hereto and  incorporated  herein by
reference.  In addition to the  deliverables set forth in Exhibit C, SURGX shall
deliver  to LSI LOGIC  prior to the  completion  of the  Feasibility  Phase such
quantities  of SURGX  polymer  material  dissolved  in solution as LSI LOGIC may
require for coating directly on wafers.

         2.2 In  consideration  for the deliverables and services to be provided
hereunder,  LSI LOGIC  shall pay to SURGX the  amount of  $200,000,  payable  in
accordance with the Milestone set forth in the following table:

<TABLE>
                                                                                                      Payment
                          Milestone                                      Target Date                 Obligation
<S>                                                             <C>                             <C>                           
Execution of Final Agreement                                    October 1, 1996                 $60,000

Completion of SurgTape design for the device of package         November 5, 1996                $60,000

Assembly of a device or package designed for protection of      December 10,1996                $60,000
several leads.

Delivery of the Summary Report documenting feasibility on the   Four (4) months from            $20,000
lead(s), and the SURGTAPE design for the test IC package.       signature date

</TABLE>


         2.3 In partial  consideration of the Service Fee, SurgX agrees that for
any device or package  incorporating  a SURGX ESD  Product  manufactured  by LSI
LOGIC under Phase IV (should the Parties elect to proceed with Phase IV),  SURGX
will provide that SURGX ESD Product to LSI LOGIC at a discounted  price compared
to the price paid by other  manufacturers  of similar  devices  and/or  packages
where the other manufacturer has not engaged in a product  introduction  program
similar to the program conducted under this Agreement.  SURGX agrees to maintain
an  appropriate  discount  for  LSI  LOGIC  on such  SURGX  ESD  Product  for an
appropriate  period of time to  provide  LSI LOGIC and  economic  benefit  and a
reasonable return on its investment of the Service Fees paid to SURGX.

         2.4 The parties agree that upon  completion of Phase I, they shall meet
and  discuss  in good  faith  the  possibility  of LSI  LOGIC  making  an equity
investment in SURGX.

3.       CONFIDENTIALITY

         3.1 All technical,  business and other  information  exchanged by SURGX
and LSI LOGIC under this Agreement which it is designated  confidential shall be
deemed to be  confidential  and shall  include the terms and  conditions of this
Agreement.  The Party receiving  confidential  information  under this Agreement
shall for the period from the date of this Agreement  until five (5) years after
its termination  make use of such information only for the purpose of fulfilling
its  obligations  under this  Agreement  or under  other  agreements  respecting
further  Phases of the Program and shall protect such  information  by using the
same  degree  of care but no less  than  reasonable  degree  of care to  prevent
unauthorized  use,  dissemination  or  publication  of such  information  as the
receiving  Party  uses to protect  its own  confidential  information  of a like
nature.

         3.2 The  foregoing  obligation  shall not apply to the Party  receiving
confidential information under the Agreement with respect to information that:

                  (a) is shown by contemporaneously produced written evidence to
have been in the receiving  Party's  possession  before receipt thereof from the
disclosing Party;

                  (b) is or  becomes  a matter of public  knowledge  through  no
                  fault of the receiving  Party;  (c) is rightfully  received by
                  the receiving Party from a third Party without duty of
confidentiality;

                   (d) is  disclosed  by the  disclosing  Party to a third Party
without a duty of disclosure on the party of the third Party;

                  (e) is shown by contemporaneously produced written evidence to
have been independently  developed by the receiving Party by personnel having no
knowledge of the information received from the disclosing Party; and

                  (f) is disclosed by the receiving Party after receipt of prior
written approvals from the disclosing Party.

         3.3 Disclosure of any  information  marked  confidential by Party shall
not be precluded by this agreement if such disclosure is required in response to
a valid court order or order of a government  body  provided  that the receiving
Party  promptly  notifies  the other  Party of such order and makes a good faith
effort, but at the expense of the Party originating the confidential information
to obtain a protective order requiring the  confidential  information to be kept
in confidence and used only for the purpose of the court or governmental order.

         3.4 Expect as required by law neither  Party to this  Agreement  shall,
without prior written  consent of the other Party,  make or cause to be made any
press  release  or non  confidential  disclosure  that  directly  or  indirectly
discloses  the  transactions  contemplated  by this  Agreement or discloses  the
identity of the Parties hereto.  Notwithstanding  the foregoing,  approval of an
announcement of the agreement will not be unreasonably withheld.

4.    INTELLECTUAL PROPERTY

         4.1 Any  change in,  improvement  of or  modification  of any SURGX ESD
Product  (including  changes,  improvements or  modifications in the manufacture
thereof or, subject to Section 4.3 use) made pursuant to this Agreement or other
agreements  respecting the Program by either Party or jointly by the Parties and
any invention  made based on or developed from the  Confidential  Information of
SURGX,  shall be the  intellectual  property of SURGX.  LSI LOGIC shall take all
actions  necessary  to vest such  intellectual  property  rights  in  SURGX.  In
addition,  any  method or  process  developed  independently  or  jointly by the
parties  covering the  application of SURGTAPE to a device or substrate shall be
the intellectual property of SURGX.

         4.2 Any  change in,  improvement  of or  modification  of any LSI LOGIC
semiconductor   device  or   package   (including   changes,   improvements   or
modifications  in the  manufacture  thereof or, subject to Section 4.3 use) made
pursuant to this Agreement or other agreements  respecting the Program by either
Party or jointly by the Parties  and any  invention  made based on or  developed
from  the  Confidential  Information  of LSI  LOGIC  shall  be the  intellectual
property of LSI LOGIC and SURGX shall have the right to a nonexclusive  license,
including the right to sublicense as necessary under and subject to Section 4.3,
from  LSI  LOGIC to use each  method  or  process  which  forms a part  thereof,
provided that such method or process is necessary to enable the  commercial  use
of the SURGX ESD Product.

         4.3 In addition to the work to be performed under this Agreement, which
is  intended to  demonstrate  the  feasibility  of using  SURGTAPE in  packaging
integrated  circuit  devices  to  protect  them from ESD  damage,  most of which
activities will be the responsibility of SURGX, the parties agree that LSI LOGIC
may further  investigate the potential use of the SURGX polymer  composition for
application  directly  on/or  as part of the  integrated  circuit  wafer/die  or
wafer/die  structure.  LSI LOGIC will bear the  primary  responsibility  for the
activities to develop the die application.  SURGX will provide the SURGX polymer
in  appropriate  liquid  form  for  the on  wafer/die  application  and  provide
consulting  services  to LSI  LOGIC  in the  application  and  use of the  SURGX
material.  Follow on activities and  cooperative  efforts will be decided at the
conclusion  of  the  feasibility  stage.   Assuming  that  the  results  of  the
feasibility  stage show that the SURGX  material  has value in the on  wafer/die
application in protecting  integrated  circuit devices from ESD events, and that
the parties wish to continue forward with an agreement, the parties agree to:

         SURGX will own all intellectual  property rights to SURGTAPE technology
and LSI LOGIC will be granted a paid up royalty free license under  intellectual
property of SURGX to use the SURGTAPE purchased from SURGX and its affiliates or
parents in integrated  circuit  packages  built by and for LSI LOGIC for sale by
LSI LOGIC.

         LSI LOGIC will own the intellectual property rights to the use of SURGX
material in processes and to the resulting structure where the SURGX material is
applied  directly to and as a part of the integral  structure  of an  integrated
circuit wafer/die which on wafer/die applications processes are developed by LSI
LOGIC.  LSI LOGIC shall have a paid up royalty free license  under  intellectual
property  of SURGX to use itself  SURGX  material  purchased  from SURGX and its
affiliates or parents in such processes and structure.

         SURGX will own exclusive marketing rights to sell the SURGX material in
the liquid form for use in said on  wafer/die  applications  and  processes  for
application of the SURGX material directly to an integrated  circuit  wafer/die,
and LSI LOGIC agrees to license the intellectual  property of LSI LOGIC to SURGX
on reasonable terms to enable SURGX to market such SURGX material for such uses,
provided,  however, that LSI LOGIC shall have the option at its sole election to
retain exclusive use for itself in large scale ASIC devices.

         4.4 The above Paragraphs 4.1, 4.2 and 4.3 notwithstanding all metrology
developed by the Parties in connection  with the  performance  of this Agreement
shall be the intellectual  property of SURGX.  SURGX shall grant and hereby does
grant, to LSI LOGIC (and to LSI LOGIC'S packaging  contractors  solely for their
use in  producing  ESD  Measuring  Equipment  for LSI  LOGIC)  a  non-exclusive,
worldwide,  perpetual irrevocable, fully paid-up right and license to use, make,
have  made,  modify,  have  modified,  and  develop  ESD  Measurement  Equipment
products, including derivative products from SURGX's intellectual property under
this  Article,  for LSI  LOGIC's  own  internal  use  and  for use by LSI  LOGIC
packaging  contractors in carrying out their work solely for LSI LOGIC, provided
that nothing in this  Paragraph 4.4 shall be construed as a license to LSI LOGIC
to sell,  lease,  or otherwise  dispose of ESD Measurement  Equipment  products,
including derivative products, to its customers.

5.       TERM AND TERMINATION

         5.1 This  Agreement  shall  remain in force  until the later of (i) two
years from the date hereof or (ii) the  completion  of Phase I,  unless  earlier
terminated pursuant to this Section 5.

         5.2 This Agreement may be terminated without cause by either Party upon
30 days  written  notice.  If  terminated  by SURGX  without  cause  under  this
paragraph,  SURGX  shall not be  entitled  to any  further  payment  under  this
Agreement of the Program.  If terminated  by LSI LOGIC under this  paragraph LSI
LOGIC  shall  pay to SURGX  50% of all  unpaid  payments  scheduled  under  this
Agreement.

         5.3 This  Agreement  may be  terminated  by either Party for cause upon
breach of this Agreement by the other Party after 60 days written notice of such
breach and  failure of the Party in breach to remedy the breach  within  said 60
days.

         5.4 Upon  completion or  termination  of this Agreement with or without
cause, no amounts paid by LSI LOGIC to SURGX shall be refunded by SURGX.

6.    GENERAL TERMS

         6.1 This Agreement  shall be governed in all aspects by the laws of the
state  of  California  except  for  any law in  California  which  requires  the
application of the law of another state.

         6.2 SURGX represents and warrants that the SURGX ESD Products  supplied
by SURGX  will meet the  specifications  agreed to for such  products.  However,
SURGX  makes no  representation  or  warranty  or  guarantee  that any SURGX ESD
Product will perform in any particular LSI LOGIC device or package as desired by
LSI  LOGIC.  It is the  responsibility  of LSI  LOGIC to test such  devices  and
packages to insure that same perform in accordance with LSI LOGIC specifications
or the product  specifications of the customer purchasing such device or package
from LSI LOGIC. In the event of a product  liability claim on any  semiconductor
device or package sold by LSI LOGIC,  LSI LOGIC shall hold SURGX  harmless  with
respect to such claim. SURGX shall indemnify and hold harmless LSI LOGIC and its
majority owned subsidiaries from any claim, demand, assertion, or liability, and
the defense thereof , based on the infringement or alleged infringement by SURGX
ESD Products of the intellectual  property rights of any third party. Except for
the  foregoing,  neither  party  shall be liable  to the other for any  special,
indirect, incidental, or consequential damages, losses, loss of profits, loss of
data or use thereof,  or interruption  of business,  whether based on alleged of
warranty, of contract, tort or other legal theory.

         6.3 This contact shall be considered  personal  between the Parties and
shall not be assignable or transferable to any other Party except any company or
entity  controlling,  controlled  by, or under the common  control  with a Party
hereto (an  "Affiliate"),  without the prior written consent of the other Party.
The prohibition against assignment provided by this paragraph shall not apply if
this Agreement is being  transferred to another entity as part of a sale, merger
or transfer of the entire business of the Party to which this Agreement relates.

         6.4 Neither SURGX nor LSI LOGIC are agents of the other. This Agreement
does not  establish  any joint  venture,  partnership,  or agency  relationship.
Neither   Party  has  the  right  or   authority   to  create  any   obligation,
representation  or  responsibility  express  or  implied  on behalf of the other
Party. The Parties hereto are independent contractors.

         6.5 This  Agreement  is non  exclusive  in nature  and it is  expressly
understood  that either Party may enter into the same or similar  agreement with
other  entities  for the same or  similar  reasons  for same or  similar  goals,
provided that the confidentiality of this Agreement is maintained.

         6.6 If any  provision of this  Agreement is held invalid,  illegal,  or
unenforceable,  the  validity,  legality,  or  enforceability  of the  remaining
provisions of this Agreement shall not be affected or impaired.

         6.7 Except for the prior confidentiality agreement dated July 22, 1996,
this Agreement and the Exhibits hereto  constitute the entire agreement  between
the Parties with respect to the subject  matter  hereto and shall not be amended
or modified without written agreements signed by both Parties.

         6.8 In witness whereof the Parties have had this Agreement  executed by
their  respective  authorized  officers  on the  date  written  below  with  the
Agreement  being  effective  the  date  appearing  on the  first  page  of  this
Agreement,  with the intent that the Parties by legally and  equitably  bound by
its terms.

LSI LOGIC CORPORATION                       SURGX CORPORATION

By:      /s/      James Hively                       By:      /s/ Karen Shrier

Title: Vice President                       Title: V.P. Operation

Date: September 30, 1996                    Date: September 30, 1996
     ----------------------                      -------------------


                                    EXHIBIT A

                               SURGX ESD PRODUCTS

     A.1 The term "SURGTAPE"  shall mean a tape product that carries a SURGX
         material in a cured or solid form so that the tape  product can be used
         to provide ESD or electrical overstress (EOS) protection for integrated
         circuits. SURGTAPE incorporates a SURGX material that can be positioned
         between signal lines and the ground  line(s).  The SURGX material has a
         high impedance and low leakage during normal circuit operation.  During
         an EOS or an ESD event,  the material  transitions  to a low  impedance
         state  that  shunts the  offending  charge to  ground.  The  pin-to-pin
         capacitance added by the material is typically less than one picofarad.
         The mechanical  flexibility and the electrical  characteristics  of the
         material  allow for a wide  variety of  packaging  concepts,  including
         arrays in which a common  ground is used with  multiple  signal  lines.
         SURGTAPE can be placed,  both inside the IC package and outsides the IC
         package, as well as, on or in the printed circuit boards.  SURGTAPE can
         also be used in discrete  devices such as connector  arrays and surface
         mount components.

    A.2 The term  "SURGX  material"  shall mean a liquid  product  having a
         component  or  composition  proprietary  to SURGX  that can be  applied
         directly to a wafer or die to form a cured or solid line layer  thereon
         to provide ESD or EOS  protection for  integrated  circuits.  The SURGX
         material can be applied directly to a wafer or die in liquid form, then
         formed into a cured or solid line, layer or other configuration between
         signal  lines and ground  line(s) to provide  properties  and  function
         similar to those set forth in A.1 above.


<PAGE>


                                    EXHIBIT B

             [PACKAGES AND DEVICES FOR INCORPORATION OF ESD PRODUCT]


Confidential  treatment  has been  requested  for the  entire  contents  of this
Exhibit B which contents have been filed separately with the Commission.


<PAGE>


                                    EXHIBIT C

                         DELIVERY OBLIGATIONS/TIMETABLE

                    Exhibit C - LSI LOGIC PHASE I FEASIBILITY


<TABLE>

<S>    <C>                                                          <C>           <C>         <C>
ID     Task Name                                                    Duration      Start       Finish

1      PHASE I FEASIBILITY                                          18w           10/1/96     2/3/97
2        Define Team                                                2d            10/1/96     10/2/96
3        Define Product  Performance Specificaton                   4.6w          10/1/96     10/31/96
4        Select pkgs & die                                          1.7w          10/1/96     10/11/96
5        Complete SurgTape Designs for the selected device or       5.2w          10/1/96     11/5/96
           package
6        Reformulate SurgX to meet V (trigger) &   Vclam            17.8w         10/1/96     1/31/97
7          Formulation I modification/optimation                    12.2w         10/1/96     12/24/96
8          Formulation II Development                               11w           10/14/96    12/27/96
9          Select optimum formulations                              1w            12/30/96    1/3/97
10         Continue to Optimize Formulations                        4w            1/6/97      1/31/97
11       Implement SurgX on/in IC Package                           16.2w         10/14/96    2/3/97
12         Assemble a package with SurgTape designed to protect     9.2w          10/14/96    12/16/97
             single ic
13         Deliver SurgX for Wafer Coating                          14.2w         10/28/96    2/3/97
14       Look Ahead Reliability Testing for Environmental           16w           10/14/96    1/31/97
15       Ongoing Characterization, QC Testing and QC Equipment      16w           10/1/96     1/20/97
           Design
16       Feasibility Summary Report                                 1.2w          1/27/97     2/3/97
17       Phase I Complete                                             0w          2/ 3/97     2/3/97


</TABLE>