Document:

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                                                                   EXHIBIT 10.14

[LOGO]
Synplicity

                             DISTRIBUTOR AGREEMENT

Effective Date:         April 1, 1999
Distributor:            Insight Electronics Inc.
Address:                9980 Huennekens St.
                        San Diego, CA 92121
Attention:              Tim Barber
Telephone:              619-450-8902
Fax:                    619-677-3151
--------------------------------------------------------------------------------

Synplicity, Inc., a California corporation with its principal place of business
at 610 Caribbean Drive, Sunnyvale, CA 94089 USA ("Company") desires to appoint
the party identified above as "Distributor" to market and register sales
opportunities for certain software products. Distributor desires to register
sales opportunities for such Products in accordance with the terms and
conditions contained in this Authorized Distributor Agreement (the "Agreement").

     THIS AGREEMENT CONSISTS OF THIS PAGE, THE ATTACHED "TERMS AND CONDITIONS,"
AND THE FOLLOWING ADDITIONAL EXHIBITS, WHICH ARE INCORPORATED HEREIN IN THEIR
ENTIRETY BY THIS REFERENCE.

     ------- EXHIBIT A: SCHEDULES

     ------- EXHIBIT B: PRODUCT LIST

     ------- EXHIBIT C: SOFTWARE LICENSE AGREEMENT

     ------- EXHIBIT D: SUPPORT AND SERVICES

     ------- EXHIBIT E: QUARTERLY SALES REGISTRATION TARGET FORECAST

     ------- EXHIBIT F: REGISTRATION PROCESS

     ------- EXHIBIT G: DESIGN FORECAST/REGISTRATION REPORTING FORM

DISTRIBUTOR ACKNOWLEDGES THAT IT HAS READ, UNDERSTOOD, AND AGREES TO BE BOUND BY
THE ATTACHED TERMS AND CONDITIONS AND BY ANY EXHIBIT OR OTHER ATTACHMENT
SPECIFICALLY MADE A PART OF THIS AGREEMENT.

AGREED:                                 AGREED:

SYNPLICTY, INC.                         INSIGHT ELECTRONICS, INC.

/s/ Douglas S. Miller                   /s/ Timothy F. Barber
-----------------------------          ----------------------------------
(Signature)                            (Signature)
Douglas S. Miller                      /s/ Timothy F. Barber
-----------------------------          ----------------------------------
(Name)                                 (Name)
Vice President Finance, CFO            Director of Marketing
-----------------------------          ----------------------------------

(Title)                                (Title)
       3/25/99                               4/1/99
-----------------------------          ----------------------------------
(Date)                                 (Date)

                                       1
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            TERMS AND CONDITIONS OF AUTHORIZED DISTRIBUTOR AGREEMENT

The following terms and conditions govern the Agreement between the parties:

1.   Appointment and License.

          (a)  Appointment. Company hereby appoints Distributor as a
nonexclusive Distributor for the Products in the Territory set forth in Schedule
I on Exhibit A. Distributor's sole authority is to market the Products and to
solicit sales opportunities in the form of a "Pre-Sales Registration" (as
defined in Schedule 1 on Exhibit A). Distributor shall not advertise or
otherwise market Company Products or otherwise solicit customers outside of the
Territory.

          (b)  Reserved Rights. Company reserves the right to (i) solicit orders
directly from and sell directly to any customer and all distributors or other
intermediaries within the Territory, and (ii) appoint other distributors or
other distributors on a non-exclusive basis to sell the Products in the
Territory. Company shall pay no compensation to Distributor for orders not based
on a Pre-Sales Registration accepted by Company under Section 2(a).

          (c)  Products. Distributor shall solicit sales opportunities for
Products based upon the products described on the "product List" (Exhibit B).
Company may revise the Product List to add or delete Products upon 30 days prior
written notice to Distributor. Revisions will apply to all Pre-Sales
Registrations accepted by Company after the effective date of the revision.

          (d)  Independent Contractor. The relationship of Company and
Distributor established by this Agreement is that of independent contractors,
and nothing contained in this Agreement shall be construed to (i) give either
party the power to direct or control the day-to-day activities of the other,
(ii) constitute the parties as partners, joint venturers, co-owners or otherwise
as participants in a joint undertaking or (iii) allow Distributor to create or
assume any obligation on behalf of Company for any purpose whatsoever. All
financial and other obligations associated with Distributor's business are the
sole responsibility of Distributor. Distributor's only authority is to market
Products and solicit sales opportunities as described in Section l(a).

2. Pre-Sales Registration; Product Ordering and Purchase

          (a)  Pre-Sales Registration. Distributor shall submit a Pre-Sales
Registration of all sales opportunities to Company at the beginning of
Distributor's sales cycle for the Products. The Pie-Sales Registration must be
made by completing a "Design Forecast/Re--on Reporting Form" (Exhibit (3) in
accordance with the "Registration Process" (Exhibit F). Company shall review the
Design Forecast/Registration Reporting Forms submitted by Distributor and accept
or reject the Pie-Sales Registration at its sole discretion within five business
days of submission. Without limiting the foregoing Company will accept Pre-Sales
Registrations only if Company is not currently active with the sales opportunity
identified on the Pre-Sales Registration. Rejected Pre-Sales Registrations
expire upon rejection and accepted Pre-Sales Registrations expire 90 days after
acceptance by Company.

          (b)  Product Ordering. Company is responsible for delivering any
license authorizations necessary for End User customers to use the Products and
shall quote, receive purchase orders, invoice and collect payments from End User
customers directly.

          (c)  Maintenance Renewal. Company shall be responsible for generating
quotes, receiving purchase orders, invoking and collecting all Maintenance
Renewals from End User customers.

3. Compensation.

          (a)  Commission. Distributor's sole compensation under the terms of
this Agreement will be a commission as set forth in this Section 3.

          (b)  Basis of Commission. Company shall pay commissions to Distributor
based on Qualified Billings only. For purposes of this Agreement, "Qualified
Billings" means billings by Company to End User customers, net of taxes,
governmental levies or fees, and shipping and handling charges, based on
Products sold pursuant to an accepted Pre-Sales Registration and for which the
End User requests delivery by Company within 90 days after Company has accepted
such Pre-Sales Registration No payments will be due to Distributor on any
amounts billed by Company to customers subsequent to 90 days after acceptance of
pre-Sales Registration or for any maintenance renewal fees or other professional
services, even if Company rendered such services in connection with the sale of
the Products. If any products are returned by an End User customer, any credit
given such End User customer shall reduce the Qualified Billings used in future
commission calculations.

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     (c)  Expired Pre-Sales Registrations. In the event an accepted Pre-
Sales Registration does not result in a Qualified Billing by the Company within
90 days of Company's acceptance of that Pre-Sales Registration, Distributor may
update the information and re-submit the Pre-Sales Registration. However, any
re-submissions will be subject to acceptance by the Company, under Section 2(a),
based on the facts and circumstances existing at the time of re-submission.
Prior approval of a previous Pre-Sales Registration for an End User customer
will not obligate the Company to approve any re-submission by the Distributor.

     (d)  Amount of Commission. Company shall pay to Distributor a commission of
[***]% of Qualified Billings collected by Company, except in connection with
Special Programs as discussed in Section 6(c), on which the commission rate on
Qualified Billings resulting directly from such Special Programs will be the
rate agreed to by the parties in writing for that Special Program. Payments due
to Distributor will be made 30 days after each of Company's fiscal quarter end,
based on Qualified Billings collected during the most recent fiscal quarter.
Additionally, Company shall pay [***] dollars ($ [***])per Synplify license
included in each Qualified Billing directly to Distributor's Technical Sales
Engineer responsible for such Qualified Billing. Distributor will also match
such [***] dollar payment to the Technical Sales Engineer.

4. Term and Termination.

     (a)  Term. This Agreement is effective as of the Effective Date and shall
continue in accordance with the "Term" identified on the "Schedules" (Exhibit
A), unless earlier terminated in accordance with this Section 4.

     (b)  Termination by Either Party. Either party may terminate this
Agreement, upon written notice (i) at least 60 days prior to the effective date
of termination; or (ii) if the other party has materially breached any
provisions of this Agreement and has not cured that default within 30 days after
receiving written notice of the default. Company may terminate this Agreement if
Distributor fails to use commercially reasonable efforts to maximize sales
opportunities of the Products.

     (c)  Company Termination For Cause. Company may terminate this Agreement at
any time in the event

that:

          (i)    Distributor fails to perform any other obligation, warranty,
duty or responsibility or is in default with respect to any term or condition
undertaken by Distributor under this Agreement and such failure or default
continues unremedied for a period of 30 days following written notice of such
failure or default;

          (ii)   Distributor is merged, consolidated, sells all or substantially
all of its assets, or implements or suffers any substantial change in management
or control;

          (iii)  Distributor fails to achieve 50% of the mutually agreed sales
registration target for a period of two consecutive quarters at which time
Company may elect to provide Distributor with 60 days notice of its intent to
terminate the Agreement. Company and Distributor will document the agreed sales
registration target for each quarter by filling out and returning to Company the
"Quarterly Sales Registration Target Forecast" (Exhibit E) no later than the
tenth day of the new quarter for which the sales registration target pertains.

     (d)  Automatic Termination. This Agreement terminates automatically, with
no further act or action of either party, if a receiver is appointed for
Distributor or its property, Distributor makes an assignment for the benefit of
its creditors, any proceedings arc commenced by, for or against Distributor
under any bankruptcy, insolvency, composition or debtors relief law, or
Distributor is liquidated or dissolved.

     (g)  Effect of Termination. Upon any expiration or termination of this
Agreement, Distributor shall cease use of any Marks and return all copies of the
Products and any related written materials. Within 10 days of the effective date
of termination of this Agreement, Distributor will provide Company a Preliminary
Termination Report, in writing, that includes the status of negotiations with
prospective customers and the services Distributor is obligated to provide to
existing customers. In no event will Distributor license, sell or otherwise
transfer Company Products to any third party upon termination. All existing
customers shall revert back to Company for continued support and future sales of
Company Products. Within 20 days of termination of this Agreement, Distributor
agrees to return to Company all Company Products, including all computer media
containing Company's computer programs and printed material related to Company
Products. Neither party will be relieved of any obligations incurred prior to
such termination. The provisions of Section 4(g), 7(c), 8, 9, 10, 1l, 12 and 13
survive.

[***] CERTAIN INFORMATION ON THIS PAGE HAS BEEN OMITTED AND FILED SEPARATELY
WITH THE COMMISSION. CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT TO
THE OMITTED PORTIONS.

                                       3
<PAGE>

5.   Company's Marketing Obligations. Company promptly shall provide to
Distributor marketing and technical information concerning the Products as well
as reasonable quantities of instructional material, advertising literature and
other Product data. Company shall be responsible for closing all sales
opportunities that have been registered with Company by Distributor and accepted
by Company.

6.   Distributor's Marketing Obligations.

          (a)  Efforts. Distributor shall use all commercially reasonable
efforts to maximize sales opportunities for the Products in the Territory.
Distributor is responsible for Product presentations, demonstrations,
registering new sales opportunities and the introduction of these new sales
opportunities to Company. Distributor shall make no representations, warranties
or guarantees with respect to the Products that are inconsistent with those made
by Company in its Software License Agreement.

          (b)  Quarterly Forecasts. No later than the tenth day of each new
Company fiscal quarter, Distributor will provide to Company the "Quarterly Sales
Registration Target Forecast" (Exhibit E) indicating sales registration target
information for the quarter.

          (c)  Special Programs. Within 60 days of execution of this agreement,
and at the beginning of each calendar year while this agreement is in effect,
Distributor will provide the Company with a plan for the calendar year of value
added demand creation activities in which Distributor may engage and that are
intended to create additional demand for the Company's Products ("Special
Programs"). Such Special Programs may include, but not be limited to, Product
bundling offers, Product training program or seminars featuring the Product, As
soon as practical prior to the execution of any Special Program, Distributor
will discuss the full nature, timing and scope of the Special Program with the
Company and negotiate terms on which the Company can choose to participate in
the Special Program. Terms shall include any sharing of costs for the Special
Program and/or the applicable commission rate on which payments will be made to
the Distributor for Qualified Billings that result directly from the Special
Program per Section 3. Upon agreement and acceptance of the terms of the Special
Program, an amendment to this Agreement solely for such Special Program will be
made and signed by both parties, notwithstanding the above, no party will be
obligated to provide or participate in any Special Programs, unless an amendment
to this Agreement for the Special Program has been signed.

7.   Distributor's Use of Marks.

          (a)  License and Use. Distributor shall identify with the Marks any
marketing, advertising or other materials in related advertising, marketing, and
technical material, or on Distributor's Internet site where the Products are
advertised or mentioned. Company hereby grants to Distributor a nonexclusive
license to use the Marks as set forth in the preceding sentence. Distributor
shall not remove or alter any trademark, copyright or other proprietary notices,
legends, symbols or labels on the Products, and shall reproduce all such notices
on any copies of the Products reproduced and distributed under this Agreement.
Use of the Marks must comply with Company's then-current trademark usage
guidelines. If Company determines that Distributor is using the Marks
improperly, then Distributor must remedy the improper use within 10 days of
notification from Company.

          (b)  End User Agreements. Distributor shall notify Company of (i) any
registrations or filings required to obtain intellectual property rights
protection in Company's name for the Products in the Territory or (ii) any
necessary government approvals with respect to this Agreement Distributor shall
assist Company to complete such filings or registrations or to obtain such
government approvals, and shall enter into registered user agreements for the
Marks as Company deems necessary. Company shall pay fees and expenses incurred
in connection with such filings, registrations or approvals.

          (c)  Ownership. Distributor acknowledges that Company is the owner of
the Marks, and shall do nothing inconsistent with Company's ownership of the
Marks. Distributor must acknowledge Company's ownership on any trademark
application and or registration thereto. All use of the marks by Distributor
will inure to the benefit of Company, and nothing in this Agreement grants to
Distributor any right, rifle, or interest in the Marks other than the right to
use the Marks in accordance with this Agreement.

8.   Confidentiality. "Confidential Information" means any information disclosed
by one party to the other pursuant to this Agreement, which is marked
"Confidential," "Proprietary," or in some similar manner. Each party shall treat
as confidential all Confidential Information of the other party, and shall not
use such Confidential Information except to exercise its rights or perform its
obligations under this Agreement and shall not disclose such Confidential
Information to any third party. This paragraph will not apply to any
Confidential Information that is generally known and available, or in the public
domain through no fault of the receiver.

                                       4
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9.   Limited Warranty. Pursuant to the Software License Agreement, Company makes
a limited warranty to End Users with respect to the Products (the "Limited
Warranty"). The Limited Warranty runs directly from Company to End Users
(including Distributor's customers). DISTRIBUTOR SHALL NOT MAKE OR PASS ON TO
ANY PARTY ANY CONDITIONS, WARRANTIES OR REPRESENTATIONS ON BEHALF OF COMPANY
OTHER THAN OR INCONSISTENT WITH THE LIMITED WARRANTY OR THE PROVISIONS OF THIS
SECTION 9. EXCEPT FOR. THE LIMITED WARRANTY REFERENCED ABOVE, COMPANY HEREBY
DISCLAIMS ANY EXPRESS, IMPLIED OR STATUTORY WARRANTIES ON THE PRODUCTS,
INCLUDING WITHOUT LIMITATION ANY IMPLIED WARRANTIES OF MERCHANTABILITY OR
FITNESS FOR. A PARTICULAR. PURPOSE, OR ANY STATUTORY WARRANTY AGAINST
INFRINGEMENT.

10.  Limitation of Liability. Company's sole liability and Distributor's sole
remedy under the Limited Warranty and under this Agreement is limited to payment
of any commissions due to Distributor. Distributor understands and agrees that
in no event will Company be liable for the cost of procurement of substitute
goods or for any special, incidental or consequential damage, whether for breach
of warranty or otherwise. This limitation will apply notwithstanding any failure
of essential purpose of any limited remedy.

11.  Indemnification by Distributor. Distributor shall hold Company harmless
against any claim arising from (i) Distributor or its agents' actions in
registering sales opportunities under this Agreement, (ii) Distributor's failure
to comply with its obligations under Section 9 (Limited Warranty), or (iii)
Distributor's material breach of any of the terms and conditions of this
Agreement (including in the Exhibits). Distributor shall pay any loss, expense,
cost, liability or damage arising out of such claims.

12.  Compliance with Laws. Distributor shall comply with (i) applicable export
laws and regulations of any agency of the U.S. Government, (ii) the United
States Foreign Corrupt Practices Act, and (iii) any other current, applicable
laws, regulations and other legal requirements in its performance under this
Agreement. Distributor shall ensure that any notices required by the U.S.
Government agencies (including those required for procurement purposes under FAR
and DFAR) or other agencies are included with the Products.' Distributor
represents and warrants that, as of the Effective Date, no currency control laws
applicable in the Territory prevent the payment of any amounts due to Company
under this Agreement. Distributor also represents and warrants that, to the best
of Distributor's knowledge, the provisions of this Agreement, and the rights and
obligations of the parties hereunder, are enforceable under the laws of the
jurisdictions within the Territory.

13.  Dispute Resolution and Governing Law.

          (a)  Any dispute arising out of or related to this Agreement shall be
finally settled in accordance with the Rules of Conciliation and Arbitration of
the International Chamber of Commerce. The arbitration shall take place in Santa
Clara County, California, but the parties hereby agree to exclude any right of
application or appeal to the courts in connection with any question of law
arising in the course of the reference or out of the award. Each of the parties
shall appoint one arbitrator and the two so nominated shall, in turn, choose a
third arbitrator. If the arbitrators chosen by the parties cannot agree on the
choice of the third arbitrator within a period of 30 days after their
nomination, then the third arbitrator shall be appointed by the President of the
International Chamber of Commerce.

          (b)  The arbitration shall be conducted in the English language.
Relevant documents in other languages shall be translated into English if the
arbitrators so direct. The law of the State of California, U.S.A., excluding the
Convention on Contracts for the International Sale of Goods and that body of law
known as conflicts of laws, shall be the applicable substantive law. The
applicable procedural law shall be the law of the place of arbitration. The
parties agree that they will, before the hearing of any dispute, make discovery
and disclosure of all materials relevant to the subject matter of such dispute.

          (c)  A written transcript in English of the hearing will be made and
furnished to the parties. Examination of witnesses by the parties and by the
arbitrators will be permitted.

          (d)  The arbitrators will decide in accordance with the terms of this
Agreement and will take into account any appropriate international trade usages
applicable to the transaction. The arbitrators will state the reasons upon which
the award is based.

          (e)  The award of the arbitrators will be final and binding upon the
parties. Judgment upon the award may be entered in any court having
jurisdiction. An application may be made to any such court for judicial
acceptance of the award and an order of enforcement.

14.  Support Requirements. Company and Distributor shall jointly provide support
and other services and Distributor

                                       5
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shall participate in training as set forth in Support and Services (Exhibit D).

15.  Miscellaneous.

          (a)  Entire Agreement If any portion of this Agreement is held to be
unenforceable, the remainder of this Agreement will remain valid. The terms and
conditions of this Agreement (including the Exhibits, which are incorporated
herein by reference) constitute the entire Agreement between the parties and
supersede all previous agreements, whether oral or written, between the parties
with respect to the subject matter hereof. Without limiting the above, all
purchase orders will be governed by the terms and conditions of this Agreement
notwithstanding any preprinted terms and conditions.

          (b)  Title. Company retains title to the Products, and reserves all
rights not explicitly granted.

          (c)  No Waiver and Excusable Delays. A delay or failure by a party in
its exercising its rights and remedies provided for in this Agreement is not and
will not be a waiver of any right. No amendment or waiver of this Agreement will
be binding unless it has been assented to in writing by both parties.
Nonperformance is excused to the extent that it is rendered impossible by
strike, fire, flood, earthquake, governmental acts or orders or restrictions,
failure or suppliers or other circumstances in which the failure to perform is
beyond the control and not caused by the negligence of the nonperforming party.

          (d)  Notices and Assignment. This Agreement may not be assigned by
Distributor, directly or indirectly, without Company's prior written consent.
Subject to the preceding sentence, this Agreement will inure to the benefit of
the parties' successors and assigns. All notices must be either sent registered
or certified mail, return receipt requested, or served personally.

          (e)  English Language. This Agreement is made in the English language,
which language is controlling. Communications and notices must be in the English
language.

                                       6
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                                   EXHIBIT A
                                   SCHEDULES

Schedule 1: Definitions

(a)  "End User" means any third party that obtains a Product solely to fulfill
     its own internal design development needs. Distributor is an End User with
     respect to its internal use of the Product.

(b)  "Marks" means Company's trademarks and other identifying information
     identified in Schedule 2 below.

(c)  "Maintenance" means services, including support and right to receive
     Updates and New Releases provided by Company to customers who have
     purchased the right to receive such services.

(d)  "Maintenance Renewal" means an agreement by Company to provide Maintenance
     after the first year after a customer has purchased a license to the
     Products.

(e)  "New Release" means a new release of the Product released by Company, which
     is identified by the numeral to the left of the first decimal point (e.g. a
     change from version 1.1 to 2.0).

(f)  "Pre-Sales Registration" means information, including but not limited to
     contact information, provide to Company by Distributor regarding a sales
     opportunity for the Products.

(g)  "Product(s)" means Company's software products listed on the Product List
     or its Updates or New Releases.

(h)  "proprietary Rights" means any and all rights with respect to patents,
     copyrights, trade secrets, moral rights, and other similar rights or
     interests in intellectual or industrial property.

(i)  "Qualified Billing" has the meaning set forth in Section 3(b).

(j)  "Software License Agreement" means Company's standard license agreement
     pursuant to which End Users are granted the right to use a Product.
     Company's current Software License Agreement is attached as Exhibit C.

(k)  "Territory" means the area identified in Schedule 3.

(1)  "Update" means a bug fix or minor enhancement to a Product, which is
     identified by the numeral to the right of the first decimal point in the
     Product (e.g., a change from version 1.1 to 1.2).

Schedule 2: Marks

     Synplicity(R)
     Synplify(R)
     Simply Better Synthesis(R)
     HDL Analyst(TM)
     Behavior Extracting Synthesis Technology(TM)
     Embedded Synthesis(TM)
     SCOPE(TM)
     B.E.S.T.(TM)
     Synthesis Constraints Optimization Environment(TM)
     HDL Partitioner(TM)
     HDL Floorplanner(TM)
     The Fast Synthesis Company(TM)
     Direct- Synthesis Technology(TM)
     DST(TM)
     Synplicity's "S" Logo Design as shown:      [LOGO]      [LOGO]

Schedule 3: Territory

          The United States and Canada.

Schedule 4: Term
(a)  Term: The term of this agreement shall be one year from the effective date.

(b)  Renewal Procedure: This agreement may be renewed upon a written request 60
     days in advance of the last day of the term.

                                       7
<PAGE>

                                   EXHIBIT B

                                 PRODUCT LIST

Part Number                        Product Description
-------------------------------------------------------------------------------

PC Node-Locked (Win95, Win98 & WinNT)

SSPN           Simplify - All FPGA vendors

MSPN           Annual maintenance for Simplify - All FPGA vendor

SHPN           HDL Analyst Option to Simplify

MHPN           Annual maintenance for HDL Analyst Option

SSPN-XI        Simplify - Single Vendor (Xilinx Only)

MSPN-XI        Annual maintenance for Simplify - Single Vendor (Xilinx Only)

All-Platforms Floating (Win95, Win98, WinNT, Solaris & HPUX)

SSAF           Simplify - Single Vendor (Xilinx Only) Floating/l/
MSAF           Annual maintenance for Simplify - Single Vendor (Xilinx Only)
               Floating

SSAF           Simplify - All FPGA Vendors Floating/l/
MSAF           Annual maintenance for Simplify Floating

SHAF           HDL Analyst Option to Simplify, Floating/2/
MHAF           Annual maintenance for HDL Analyst Option, Floating

Upgrade Packages

SUPN-XI        Simplify Upgrade to all FPGA vendors from SSPN-XI
MUPN-XI        Annual maintenance for Synplify Upgrade from MSPN-XI

Notes
-----

1.   Batch capability is a standard feature in all Simplify floating licenses
     after release 5.0. Batch is not included in the PC node-locked version.

2.   HDL Analyst floats in conjunction with a Simplify license. When a user runs
     Simplify with HDL Analyst, both licenses (Simplify & HDL Analyst) are
     checked out until the Simplify program is exited.

                                       8
<PAGE>

                                   EXHIBIT C

                     SYNPLICITY SOFTWARE LICENSE AGREEMENT

     This is a legal agreement between the you, the user ("Licensee") and
Synplicity, Inc. ("Synplicity") regarding the software program attached to or
enclosed with this software license agreement (the "Software"). By clicking the
button below marked "Yes", by opening the packaging of the Software, or by
installing or using the Software, Licensee agrees to be bound by the terms of
this Software License Agreement (the "Agreement"). If Licensee is obtaining an
update, then the term "Software" also includes, and the terms and conditions of
this Agreement also apply to, any preexisting software and data provided within
earlier Software releases, to the extent such earlier software and data is
retained by, embodied in or in any way used or accessed by the upgraded Software
provided with this Agreement. If Licensee does not agree to the terms of this
Agreement, then click on the button marked "No" to terminate the download or
install process, and (if you have a copy) return the Software and any
accompanying items to the place from which you obtained them.

License. Synplicity grants to Licensee, a nonexclusive right to use the SOFTWARE
on one computer system or on a networked computer system, using only the number
of nodes for which Licensee has a license and for which Licensee has the
security key(s) or authorization code(s) provided by Synplicity or its agents.
All SOFTWARE must be used within the country for which the systems were licensed
and must be located at a single site (within a one-kilometer radius.)

Copy Restrictions. This SOFTWARE and documentation is protected by United States
copyright laws and international treaty provisions. Unauthorized copying of the
SOFTWARE in whole or in pan is expressly forbidden. Subject to these
restrictions, Licensee may (i) load the SOFTWARE onto one computer to support
authorized use and (ii) make one copy of the SOFTWARE solely for backup
purposes, provided Licensee includes all copyright and trademark notices on the
back-up copy. Licensee may not copy any part of the documentation, nor modify,
adapt, translate into any language, or create derivative works based on the
documentation without the prior written consent of Synplicity.

Ownership of the SOFTWARE. Synplicity retains all right, title, and interest in
the SOFTWARE and documentation (and any copy thereof), and reserves all rights
not expressly granted to Licensee. This License is not a sale of the original
SOFTWARE or of any copy.

Use Restrictions. This SOFTWARE is licensed to Licensee for internal use only.
Licensee acknowledges that the scope of the licenses granted hereunder do not
permit Licensee (and Licensee shall not allow any third party) to: (i)
decompile, disassemble, reverse engineer or attempt to reconstruct, identify or
discover any source code, underlying ideas, underlying user interface techniques
or algorithms of the SOFTWARE by any means whatever, or disclose any of the
foregoing; (ii) provide, lease, lend, use for timesharing or service bureau
purposes, or otherwise use or allow others to use the SOFTWARE for the benefit
of third parties; (iii) modify, incorporate into or with other software, or
create a derivative work of any pan of the SOFTWARE; (iv) disclose the results
of any benchmarking of the SOFTWARE, or use such results for its own competing
software development activities, without the prior written permission of
Synplicity; or (v) attempt to circumvent any user limits, maximum gate count
limits or other license, timing or use restrictions that are built in to the
Software.

Transfer Restrictions. Licensee shall not sublicense, transfer or assign this
Agreement or any of the rights or licenses granted under this Agreement, except
in the case of a merger or sale of all or substantially all of Licensee's
assets.

Ownership of Design Techniques. "Design" means the representation of an
electronic circuit or device(s), derived or created by Licensee through the use
of the SOFTWARE in its various formats, including, but not limited to,
equations, troth tables, schematic diagrams, textual descriptions, hardware
description languages, and netlists. "Design Techniques" means the Synplicity-
supplied date, circuit and logic elements, libraries, algorithms, search
strategies, rule bases, and technical information incorporated in the SOFTWARE
and employed in the process of creating Designs. Synplicity retains all right,
title and interest in and to Design Techniques incorporated into the SOFTWARE,
including all intellectual property rights embodied therein. Licensee
acknowledges that Synplicity is in the business of licensing SOFTWARE which
incorporates Design Techniques. Licensee agrees that in the event Licensee
voluntarily discloses any design techniques to Synplicity without designating
such as Licensee's Confidential Information, Synplicity shall have the
unrestricted, royalty-free right to incorporate such design techniques into its
software, documentation and other products, and to sublicense third parties to
use such incorporated design techniques.

Protection of Confidential Information. "Confidential Information" means (i) the
SOFTWARE, in object and source code form, and any related technology, idea,
algorithm or information contained therein, including without limitation Design
Techniques, and any trade secrets related to any of the foregoing; (ii) either
party's product plans, Designs, costs, prices and names; non-published financial
information; marketing plans; business opportunities; personnel; research;
development or know-how; (iii) any information' designated by the disclosing
party as confidential in writing or, if disclosed orally, designated as
confidential at the time of disclosure and reduced to writing and designated as
confidential in writing within thirty (30) days; and (iv) the terms and
conditions of this Agreement; provided, however that "Confidential Information"
will not include information that: (a) is or becomes generally known or
available by publication, commercial use or otherwise through no fault of the
receiving party;, (b) is known and has been reduced to tangible form by the
receiving party at the time of disclosure and is not subject to restriction; (c)
is independently developed by the receiving party without use of the disclosing
party's Confidential Information; (d) is lawfully obtained from a third party
who has the right to make such disclosure; and (e) is released for publication
by the disclosing party in writing.

Each party will protect the other's Confidential Information from unauthorized
dissemination and use with the same degree of care that each such party uses to
protect its own like information. Neither party will use the other's
Confidential Information for purposes other

                                       9
<PAGE>

than those necessary to directly further the purposes of this Agreement. Neither
party will disclose to third parties the other's Confidential Information
without the prior written consent of the other party.

Termination. Synplicity may terminate this Agreement in the event of breach or
default by Licensee. Upon termination Licensee will relinquish all rights under
this Agreement, and must cease using the SOFTWARE and return or destroy all
copies (and partial copies) of the SOFTWARE and documentation.

Export. Licensee agrees not to allow the Synplicity SOFTWARE to be sent or used
in any country except in compliance with applicable U.S. laws and regulations.

Limited Warranty and Disclaimer. Synplicity warrants (i) that the SOFTWARE will
perform substantially in accordance with the accompanying documentation for a
period of ninety (90) days from the date of receipt, and (ii) that the SOFTWARE
will be able to accurately process date data (including. but not limited to,
calculating, comparing, and sequencing) from, into and between the twentieth and
twenty-first centuries, provided that it is used in accordance with the product
documentation provided by Synplicity, that all associated products (such as
hardware, software, firmware and the like) used in combination with the SOFTWARE
properly exchange date data with it, and that Licensee is covered under a
services or maintenance agreement with Synplicity regarding the SOFTWARE.
Synplicity's entire liability and Licensee's exclusive remedy for a breach of
the preceding limited warranties shall be, at Synplicity's option, either (a)
return of the license fee, or (b) providing a fix, patch, work-around, or
replacement of the SOFTWARE that does not meet such limited warranty. In either
case, Licensee must return the SOFTWARE to Synplicity with a copy of the
purchase receipt or similar document. Any replacement will be warranted for the
remainder of the original warranty period or 30 days, whichever is longer. Some
states/jurisdictions do not allow limitations on duration of an implied
warranty, so the above limitation may not apply. EXCEPT AS EXPRESSLY SET FORTH
ABOVE, NO OTHER WARRANTIES OR CONDITIONS, EITHER EXPRESS OR IMPLIED, ARE MADE BY
SYNPLICITY WITH RESPECT TO THE SOFTWARE AND THE ACCOMPANYING DOCUMENTATION
(STATUTORY OR OTHERWISE), AND SYNPLICITY EXPRESSLY DISCLAIMS ALL WARRANTIES AND
CONDITIONS NOT EXPRESSLY STATED HEREIN, INCLUDING BUT NOT LIMITED TO THE IMPLIED
WARRANTIES OR CONDITIONS OF MERCHANTABILITY, NONINFRINGEMENT, AND FITNESS FOR A
PARTICULAR PURPOSE. SYNPLICITY DOES NOT WARRANT THAT THE FUNCTIONS CONTAINED IN
THE SOFTWARE WILL MEET LICENSEE'S REQUIREMENTS, BE UNINTERRUPTED OR ERROR FREE,
OR THAT ALL DEFECTS IN THE PROGRAM WILL BE CORRECTED. Licensee assumes the
entire risk as to the results and performance of the SOFTWARE. Some
states/jurisdictions do not allow the exclusion of implied warranties, so the
above exclusion may not apply.

Limitation of Liability. LICENSEE AGREES THAT IN NO EVENT SHALL SYNPLICITY OR
ITS AGENTS BE LIABLE-FOR ANY INDIRECT, SPECIAL, CONSEQUENTIAL OR INCIDENTAL
DAMAGES WHATSOEVER (INCLUDING, WITHOUT LIMITATION, DAMAGES FOR LOSS OF BUSINESS
PROFITS, BUSINESS INTERRUPTIONS, LOSS OF BUSINESS INFORMATION, OR OTHER
PECUNIARY LOSS) ARISING OUT OF THE USE OF OR INABILITY TO USE THESE SYNPLICITY
PRODUCTS, EVEN IF SYNPLICITY HAS BEEN ADVISED OF THE POSSIBILITY OF SUCH
DAMAGES. In no event will Synplicity be liable to Licensee for damages in an
amount greater than the fees paid for the use of the SOFTWARE. Some
states/jurisdictions do not allow the limitation or exclusion of incidental or
consequential damages, so the above limitations or exclusions may not apply.

Intellectual Property Right Infringement. In the event that a claim alleging
infringement of an intellectual property right arises concerning the SOFTWARE
(including but not limited to patent, trade secret, copyright or trademark
rights), Synplicity in its sole discretion may elect to defend or settle such
claim. Synplicity in the event of such a claim may also in its sole discretion
elect to terminate this Agreement and all rights to use the SOFTWARE, and
require the return or destruction of the SOFTWARE, with a refund of the fees
paid for use of the SOFTWARE less a reasonable allowance for use and shipping.

Miscellaneous. If Licensee is a corporation, partnership or similar entity, then
the license to the Software that is granted under this Agreement is expressly
conditioned upon acceptance by a person who is authorized to sign for and bind
the entity. This Agreement is the entire agreement between Licensee and
Synplicity with respect to the license to the SOFTWARE, and supersede any
previous oral or written communications, or documents (including. if you are
obtaining an update, any agreement that may have been included with the initial
version of the Software). This Agreement is governed by the laws of the State of
California, USA. This Agreement will not be governed by the U.N. Convention on
Contracts for the International Sale of Goods. If any provision of this
Agreement is found to be invalid or unenforceable, it will be enforced to the
extent permissible and the remainder of this Agreement will remain in full force
and effect Failure to prosecute a party's rights with respect to a default
hereunder will not constitute a waiver of the right to enforce rights with
respect to the same or any other breach.

Government Users. Use, reproduction, release, modification, or disclosure of
this commercial computer software, or of any related documentation of any kind,
is restricted in accordance with FAR 12.212 and DFARS 227.7202, and further
restricted by this License Agreement Synplicity, Inc., 610 Caribbean Drive,
Sunnyvale, CA 94089, U.S.A.

                                       10
<PAGE>

                                   EXHIBIT D

                             SUPPORT AND SERVICES

All support and services in this Agreement are provided pursuant to the Terms
and Conditions of the Authorized Distributor Agreement, to which this is
attached and into which it is incorporated by reference.

1.   Support Obligations of Distributor. Distributor will provide initial
     presentation, installation assistance, and first level pre-sales technical
     assistance.

2.   Support Obligations of Company. Company will provide second-level pre-sales
     support and all post-sales support through its Corporate Applications
     Group.

3.   Upgrades. Company shall provide End User customers with Updates and New
     Releases as Company deems appropriate

4.   Training. Distributor will coordinate technical and sales training on
     Company Products and services at least twice during the term of this
     Agreement. The location of such training shall be determined by
     Distributor. The allocated amount of training time will be reasonable and
     appropriate in Company's judgment, all such training will be in English,
     and Distributor will bear all travel and living expenses for such personnel
     sent by Company for training. Periodic training to maintain or increase
     technical competence on Company Products may be provided from time to time
     by Company. Distributor's personnel will attend this periodic training, as
     reasonably requested by Company, and Distributor shall bear all related
     travel and living expenses.

                                       11
<PAGE>

                                   EXHIBIT E

Synplicity, Inc.
610 Caribbean Drive
Sunnyvale, CA 94089
Phone: 408/548-6000
Fax: 408/5480050

                 QUARTERLY SALES REGISTRATION TARGET FORECAST

Complete and return this form to Synplicity headquarters by the tenth day of the
current quarter.

Distributor:   ____________________________________

For Quarter:  [_] Jan-March    [_] Apr-June    [_] July-Sept    [_] Oct-Dec

Year:       ______________

Territory:  ______________

Sales Registration target for Quarter: ______________

Agreed:                       Agreed:

Distributor                   Synplicity

__________________            __________________
Name                          Name

__________________            __________________
Signature                     Signature

__________________            __________________
Date                          Date

                                       12
<PAGE>

                                   EXHIBIT F

                             REGISTRATION PROCESS

(i)  Registrations shall be managed by designated Company employee, Sandra
     Larrabee.

(ii) All Registrations shall be submitted to Company through the designated e-
     mail account: sandra@synplicity.com, by fax at: 408-548-0051, or via
                   -----------------------
     Company's distribution web page: www.synplicity.com/insight
                                      --------------------------

                                       1
<PAGE>

                                   EXHIBIT G
                                   ---------

                  DESIGN FORECAST/REGISTRATION REPORTING FORM
                  -------------------------------------------

<TABLE>
      <S>                       <C>                                                           <C>
      MANUFACTURER                                                                            REGISTRATION NUMBER
=============================== [__] Product Liability Concern                                ===================
    SYNPLICITY                       (check if applicable)
===============================                                                               ===================
 Date Submitted: ______________                                                               Date Approved:
                                                                                              ====================
 Accepted By:    ______________   Date:_______________                                        Expires:
                                                                                              ====================
 Rejected By:    ______________   Date:_______________                                        Renewal Date:
                                                                                              ====================
   Reason:       _________________________________________________________________________________________________

------------------------------------------------------------------------------------------------------------------
         DISTRIBUTOR                  LOCATION                                                  TRACKING NUMBER
     ===============================                                                          ===================

     ===============================                                                          ===================

       Technical Sales Engineer:                Phone:                                             Pgr:

                    Salesperson:                Phone:                                             Pgr:

----------------------------------------------------------------------------------------------------------------------------------

----------------------------------------------------------------------------------------------------------------------------------
   CUSTOMER INFORMATION                                       DISTRIBUTOR    -----------------------------
   --------------------                                                      -----------------------------
                                                              ACCOUNT NUMBER
 Company:
 Address:                                                                                             Manufacturer
    City:                      State:             Country:           Zip:                             Account Number
                                                                                              =============================
 Manufacturer Salesperson:                              Phone:
 Manufacturer FAE:                                      Phone:                                =============================

----------------------------------------------------------------------------------------------------------------------------------

----------------------------------------------------------------------------------------------------------------------------------
     PROJECT INFORMATION
     -------------------
                                                              Status:                               Prototype Date:
           Project Name:                                      Units:                               Production Date:
             Board Name:                                      Quantity                           Expected or Actual
            Description:
        Project Engineer                      Phone:                                             Ext:
              Additional                      Phone:                                             Ext:
               Engineer:                      Phone:                                             Ext:
     Purchasing Contact:

    ----------------------------------------------------------------------------------------------------------------
      PART NUMBER FOR REGISTRATION
      ----------------------------

                                                                                Joint Visit Date:___________________
                     *R=REgisterable A=Associated
    ----------------------------------------------------------------------------------------------------------------
                                                                                    Value/1st Yr      Registration
      Part Number    R    A   Description              A.S.P.          Qty/Sys           Prod             level
    ----------------------------------------------------------------------------------------------------------------
                    [_]  [_]
    ----------------------------------------------------------------------------------------------------------------
                    [_]  [_]
    ----------------------------------------------------------------------------------------------------------------
                    [_]  [_]
    ----------------------------------------------------------------------------------------------------------------
                    [_]  [_]
    ----------------------------------------------------------------------------------------------------------------

                 Competition:
       Comments/Action Items:

      DEVELOPMENT SYSTEM/METRIC
    ----------------------------------------------------------------------------------------------------------------
      Part Number             Description              Price               Qty            Value          Commnets
    ----------------------------------------------------------------------------------------------------------------
    ----------------------------------------------------------------------------------------------------------------

                                                                           ---------------------------
                                                                              1st Yr Production
                                                                           ---------------------------
                                                                Total Value
                                                                           ---------------------------
 -------------------------------------------------------------------------------------------------------------------

----------------------------------------------------------------------------------------------------------------------------------
        Win Date                                          Bonus Earned                                                 Debit
    ===============        ==============================================================================       ==================
                             Design                             Production
    ===============        ==============================================================================       ==================
</TABLE>
<PAGE>

                                  ADDENDUM 3
                                  ----------
                                       TO
                                       --
                             DISTRIBUTOR AGREEMENT
                             ---------------------

            BETWEEN SYNPLICITY, INC. AND INSIGHT ELECTRONICS, INC.
            -------------------------------------------------------

     This Addendum No. 3 to the Distributor Agreement dated April 1, 1999 is
made by and between Synplicity, Inc., having its principal place of business at
935 Stewart Drive, Sunnyvale, California 94086 and Insight Electronics, having
its principal place of business at 15370 Barranca Parkway, Irvine, California
92618.

 .  Section 3 (e), Amount of Commission, shall be deleted in its entirety and
replaced with the following:

     Company shall pay to Distributor a commission of [***]% of Certify
     Qualified Billings collected by Company and [***]% of Synplify and HDL
     Analyst Qualified Billings collected by Company, except in connection with
     Special Programs as discussed in Section 6 (c) on which the commission rate
     on Qualified billings resulting directly form such Special Programs will be
     the rate agreed to by the parties in writing for that Special Program.
     Additionally, Company shall pay to Distributor a commission of [***]% of
     Synplify Pro and Amplify Qualified Billings collected by Company provided
     the account design team or site is not an existing Synplify customer.

     Payments due to Distributor will be made 30 days after Company has received
     payment, based on Qualified billings collected. Additionally, Company shall
     pay [***] dollars ($[***]) per Synplify license and [***] dollars ($[***])
     for each Certify, Amplify and Synplify Pro license included in each
     Qualified Billing directly to Distributor's Technical Sales Engineer
     responsible for such Qualified Billing. Distributor will also match such
     [***] dollar payment for each Synplify license and [***] dollar payment for
     each Certify, Amplify and Synplify Pro license to the Technical Sales
     Engineer.

 .  Exhibit A, Schedule 2: Marks, shall be deleted in its entirety and replaced
with the following:

   Schedule 2: Marks
     Synplicity's "S" Logo as shown:          [Synplicity Logo]
     Synplicity(R)
     Synplify(R)
     Simply Better Synthesis(R)
     HDL Analyst(TM)
     B.E.S.T.(TM)
     Behavior Extracting Synthesis Technology(TM)
     SCOPE(TM)
     Synthesis Constraints Optimization Environment(TM)
     Direct Synthesis Technology(TM)
     DST(TM)
     Certify(TM)
     Amplify(TM)
     Partition-Driven Synthesis(TM)

 .  Exhibit B, Product List, shall be deleted in its entirety and replaced with
the following:

[***]     CERTAIN INFORMATION ON THIS PAGE HAS BEEN OMITTED AND FILED SEPARATELY
WITH THE COMMISSION. CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT TO
THE OMITTED PORTIONS.
<PAGE>

                                   EXHIBIT B

                                 PRODUCT LIST

<TABLE>
<CAPTION>
-----------------------------------------------------------------------------------------------------------
Part Number                               Description
<S>           <C>
Certify

SCAF          Certify, Floating on all Computer Platforms

MCAF          Annual Maintenance for Certify

Synplify

SSPN-XI       Synplify, PC Node-Locked, Vendor Xilinx Only

MSPN-XI       Annual Maintenance, Synplify, PC Node-Locked, Vendor Xilinx Only

SSPN          Synplify, PC Node-Locked

MSPN          Annual Maintenance, Synplify, PC Node-Locked

SSAF-XI       Synplify, Floating, Vendor Xilinx Only

MSAF-XI       Annual Maintenance for Synplify, Floating, Vendor Xilinx Only

SSAF          Synplify, Floating

MSAF          Annual Maintenance, Synplify, Floating

HDL Analyst

SHPN          HDL Analyst Option, PC Node-Locked

MHPN          Annual Maintenance, HDL Analyst, PC Node-Locked

SHAF          HDL Analyst Option, Floating (floats with Synplify)

MHAF          Annual Maintenance, HDL Analyst, Floating (floats with Synplify)

Synplify & HDL Analyst, Upgrade Packages

SUPN          Upgrade from single-vendor PC-locked Synplify to support all FPGA vendors (PC-Locked license)

XSAF          Synplify (All-vendors) upgrade to floating from PC Node-Locked

SUAF          Synplify (Single vendor) upgrade to support all FPGA vendors (floating)

XSPN          Synplify (Single vendor) upgrade to support Single Vendor (floating)

XHAF          HDL Analyst, Upgrade to Floating from PC Node-Locked

Synplify Pro

SPAF          Synplify Pro Floating (All Vendors)

SPAF-XI       Synplify Pro Floating Single Vendor

SPPN          Synplify Pro for PC (All Vendors)

SPPN-XI       Synplify Pro for PC (Single Vendor) REQUIRES SAPN-XI

MPAF          Synplify Pro Floating (All Vendors), Annual Maint.

MPAF-XI       Synplify Pro Floating Single Vendor, Annual Maint.

MPPN          Synplify Pro for PC (All Vendors), Annual Maint.

MPPN-XI       Synplify Pro for PC (Single Vendor), Annual Maint. REQUIRES MAPN-XI

Amplify Physical Optimizer (Requires Synplify Pro)

SAAF-XI       Amplify Physical Optimizer, Floating, Xilinx Only

SAPN-XI       Amplify Physical Optimizer for PC, Xilinx Only

MAAF-XI       Amplify Physical Optimizer, Floating, Xilinx Only, Annual Maint.

MAPN-XI       Amplify Physical Optimizer for PC, Xilinx Only, Annual Maint.
-----------------------------------------------------------------------------------------------------------
</TABLE>
<PAGE>

Except as amended herewith, all other paragraphs of the Synplicity, Inc.
Distributor Agreement shall continue in full force and effect. In the event of
any conflict between the Distributor Agreement and this Addendum 3, the
provisions of this Addendum 3 shall prevail.

The parties hereto have executed this Addendum with an effective date of July 1,
2000.

SYNPLICITY, INC.                      INSIGHT ELECTRONICS

___________________________           ________________________________
Signature                             Signature

Douglas S. Miller
---------------------------           ________________________________
Printed Name                          Printed Name

Vice President Finance, CFO
---------------------------           ________________________________
Title                                 Title

___________________________           ________________________________
Date                                  Date<PAGE>

                                                                   Exhibit 10.15

                                   SUBLEASE
                                   --------

     THIS SUBLEASE (this "Sublease") is dated for reference purposes as of
August 25, 1999, and is made by and between Proxim, Inc., a Delaware corporation
("Sublessor"), and Synplicity, Inc., a California corporation ("Sublessee").
Sublessor and Sublessee hereby agree as follows:

     1.  Recitals:  This Sublease is made with reference to the fact that
         --------
CarrAmerica Realty Corporation, as landlord ("Master Lessor"), and Applied
Materials, Inc., as tenant ("Lessor"), entered into that certain Lease, dated as
of September 9, 1997 (the "Master Lease"), with respect to seven buildings and
other improvements commonly known as the Oakmead West Building Project located
in Sunnyvale, California (the "Project").  A copy of the Master Lease is
attached hereto as Exhibit A.  Lessor, as sublandlord and Sublessor, as
                   ---------
subtenant, entered into that certain Sublease dated as of March 30, 1999 (the
"Lease"), with respect to two of the buildings located in the Project located at
510 DeGuigne Drive and 935 Stewart Drive (the "Premises").  A copy of the Lease
is attached hereto as Exhibit B.
                      ---------

     2.  Premises:  Sublessor hereby subleases to Sublessee, and Sublessee
         --------
hereby subleases from Sublessor, a portion of the Premises consisting of a
portion of the building located at 935 Stewart Drive (the "Building") as shown
on Exhibit C attached hereto, which the parties stipulate contains 34,202
   ---------
rentable square feet (the "Subleased Premises"), on the terms set forth herein.
In connection with its use of the Subleased Premises, Sublessee shall also have
the non-exclusive right to use, together with the other occupants of the
Building, the lobby, hallways, restrooms, stairways, elevators and other common
areas from time to time designated by Sublessor for the common use of the
occupants of the Building (the "Common Areas").  Such use shall be subject to
such reasonable rules and regulations as Sublessor may establish from time to
time.

     3.  Term:
         ----

          A.  Term.  The term (the "Term") of this Sublease shall be for the
              ----
period commencing on October 1, 1999 (the "Commencement Date") and ending on
September 30, 2002 (the "Expiration Date"), unless this Sublease is sooner
terminated pursuant to its terms or the Lease is sooner terminated pursuant to
its terms.  The Commencement Date shall be delayed by one (1) day for each day
the consent of Master Lessor and Lessor to the Sublessee Improvements
(substantially as described in the plans submitted by CAS Architects to Lessor)
is delayed after August 30, 1999; provided, however, that in the event Master
Lessor or Lessor reasonably request additional information to evaluate the
Sublessee Improvements, Sublessee shall supply such requested information within
a reasonable period, and there shall be no further delay in the Commencement
Date as a result of Sublessee's delay beyond such reasonable period.

          B.  Early Possession.  Sublessor shall permit Sublessee to enter the
              ----------------
Subleased Premises upon execution of this Sublease and receipt of consent hereto
by Lessor and Master Lessor solely for the purposes of constructing the
Sublessee Improvements (as defined in Section 11 below) in the Subleased
Premises and installing therein its fixtures, furniture and cabling.  Such early
entry (i) shall be subject to all of the provisions of this Sublease, except for
the obligation to pay Base Rent, Operating Costs Share Rent and Tax Share Rent
(as defined below); and (ii) shall not advance the Expiration Date of this
Sublease.  Sublessee shall not commence any improvements or alterations in the
Subleased Premises until it has received all required governmental permits and
the prior written consent of Master Lessor, Lessor and Sublessor (which consent
of Sublessor shall not be unreasonably withheld or delayed).  Any such
alterations shall be performed in compliance with all laws and with the
provisions of Section 11 hereof.
<PAGE>

          C.  Sublessor Direct Lease with Master Lessor.  The parties hereby
              -----------------------------------------
acknowledge that Sublessor has entered into or plans to enter into a direct
lease with Master Lessor for the Premises to commence upon the termination of
the Lease (the "Direct Lease").  Notwithstanding anything to the contrary
herein, in the event that (i) the Lease terminates during the Term of this
Sublease, (ii) Sublessee is not then in default hereunder (beyond any applicable
notice and cure periods) and (iii) the Direct Lease has been executed and
commences upon such termination, this Sublease shall not terminate, but shall
continue on as a sublease under the Direct Lease; provided, however, that the
terms of this Sublease (other than Base Rent and the Security Deposit) shall be
adjusted based on the differences between the Lease and the Direct Lease to
provide a pass-through to Sublessee of the provisions of the Direct Lease to the
same extent the provisions of the Lease are passed-through to Sublessee
hereunder; provided, however, that the provisions of Sections 32-36 of the
Lease, as incorporated herein, shall continue to be binding upon the parties
hereto.  In the event the Direct Lease commences during the term of this
Sublease (other than upon expiration of the Lease during the Extension Term),
Sublessor shall gave Sublessee prompt written notice thereof.  Sublessor shall
at any time, promptly upon request by Sublessee, provide Sublessee with a copy
of the executed Direct Lease.  Notwithstanding anything to the contrary herein,
Sublessor shall have no liability to Sublessee in the event Sublessor fails to
execute the Direct Lease or, subject to Section 24 hereof, the Direct Lease
fails to commence for any reason.  In addition, and notwithstanding anything to
the contrary herein, if (a) the Direct Lease comes into effect during the term
of this Sublease as provided in this paragraph, and (b) any provision of the
Direct Lease that would be binding on Sublessee differs from the provision as
set forth in the draft of the Direct Lease attached as Exhibit D hereto in a
                                                       ---------
manner that would materially adversely affect Sublessee's rights hereunder and
(c) Sublessor does not agree within ten (10) days of Sublessee's request thereof
to amend this Sublease such that such provision will not have such material
adverse effect, then Sublessee shall have the right to terminate this Sublease
by giving Sublessor written notice thereof within thirty (30) days after the
later of the commencement of the Direct Lease and Sublessor's delivery of a copy
of the executed Direct Lease to Sublessee, which notice shall be effective one
hundred twenty (120) days following delivery of such notice.

     4.  Rent:
         ----

          A.  Base Rent.  Sublessee shall pay to Sublessor as base rent for the
              ---------
Subleased Premises for each month during the Term the following amounts ("Base
Rent"):  (i) during the first twelve (12) months of the Term, Eighty-Three
Thousand Seven Hundred Ninety-Four Dollars and 90/100 ($83,794.90) per month;
(ii) during the thirteenth (13th) through the twenty-fourth (24th) months of the
Term, Eighty-Five Thousand Five Hundred Five Dollars ($85,505.00) per month; and
(iii) during the twenty-fifth (25th) through the thirty-sixth (36th) months of
the Term, Eighty-Seven Thousand Two Hundred Fifteen Dollars and 10/100
($87,215.10) per month.  Base Rent and Additional Rent, as defined in Section 4C
below, shall be paid on or before the first (1st) day of each month.  Base Rent
and Additional Rent for any period during the Term hereof which is for less than
one (1) month of the Term shall be a pro rata portion of the monthly
installment.  Base Rent and Additional Rent shall be payable without notice or
demand and without any deduction, offset, or abatement, in lawful money of the
United States of America.  Base Rent and Additional Rent shall be paid  directly
to Sublessor at 510 DeGuigne Drive, Sunnyvale, California 94086; Attention:
Chief Financial Officer, or such other address as may be designated in writing
by Sublessor by mail or by personal delivery.

          B.  Building Operating Expenses.  In addition to Base Rent, Sublessee
              ---------------------------
shall pay to Sublessor 53.62% (Sublessee's pro rata share) of all costs,
expenses and disbursements of any kind paid or incurred by Sublessor in
connection with the operation, management, maintenance, insurance, repair and
other related activities in connection with the Common Areas, the exterior of
the Building, the building systems, and the Building generally (excluding any
costs or expenses related exclusively to other leasable premises in the
Building) (the "Building Operating Expenses").  Sublessor shall have the right
to include in the Building Operating Expenses the Property Tax Bills (as defined
in the Lease) related to the Building.

                                      -2-
<PAGE>

Notwithstanding the foregoing, in no event shall any costs paid by Sublessee as
Operating Costs Share Rent or Tax Share Rent be included in Building Operating
Expenses. Sublessee shall pay Sublessor such amounts within thirty (30) days of
delivery of an invoice therefor by Sublessor.

          C.  Additional Rent.  In addition to Base Rent and the Building
              ---------------
Operating Expenses, Sublessee shall pay to Sublessor its pro rata share of all
other amounts payable by Sublessor under the Lease, including, without
limitation, Operating Costs Share Rent and Tax Share Rent, as defined in Section
2A of the Lease.  All monies other than Base Rent required to be paid by
Sublessee under this Sublease, including the Building Operating Expenses,
Operating Costs Share Rent and Tax Share Rent shall be deemed additional rent
("Additional Rent").  Base Rent and Additional Rent hereinafter collectively
shall be referred to as "Rent".

          D.  Payment of First Month's Rent.  Upon execution hereof by
              -----------------------------
Sublessee, Sublessee shall pay to Sublessor the sum of Ninety-Five Thousand
Seven Hundred Sixty-Five Dollars and 60/100 ($95,765.60), which shall constitute
Base Rent and payment of the estimate of Operating Costs Share Rent and Tax
Share Rent for the first month of the Term.

     5.  Security Deposit: Sublessor and Sublessee acknowledge that Sublessee
         ----------------
has paid to Sublessor a deposit in the amount of Eighty-Three Thousand Seven
Hundred Ninety-Four and 90/100 Dollars ($83,794.90) (the "Lock-Up Deposit")
which would have been non-refundable to Sublessor if Sublessor and Sublessee had
failed to execute this Sublease.  Upon execution hereof, Sublessee shall deposit
an additional amount of One Hundred Seven Thousand Seven Hundred Thirty-Six and
30/100 Dollars ($107,736.30), in cash, so that Sublessor shall hold a total
amount of One Hundred Ninety-One Thousand Five Hundred Thirty-One Dollars and
20/100 ($191,531.20) (the "Security Deposit"), in cash, as security for the
performance by Sublessee of the terms and conditions of this Sublease.  If
Sublessee fails to pay Rent or other charges due hereunder or otherwise defaults
with respect to any provision of this Sublease, then Sublessor may draw upon,
use, apply or retain all or any portion of the Security Deposit for the payment
of any Rent or other charge in default, for the payment of any other sum which
Sublessor has become obligated to pay by reason of Sublessee's default, or to
compensate Sublessor for any loss or damage which Sublessor has suffered
thereby.  If Sublessor so uses or applies all or any portion of the Security
Deposit, then Sublessee, within three (3) days after delivery of demand
therefor, shall deposit cash with Sublessor in the amount required to restore
the Security Deposit to the full amount stated above.  Upon the expiration of
this Sublease, if Sublessee is not in default beyond applicable cure periods,
Sublessor shall return to Sublessee so much of the Security Deposit as has not
been applied by Sublessor pursuant to this paragraph, or which is not otherwise
required to cure Sublessee's defaults.

     6.  Repairs:  Sublessor shall deliver the Subleased Premises to Sublessee
         -------
with the roof water-tight and the mechanical (including, without limitation, the
heating, ventilating and air conditioning system), electrical and plumbing
systems and roll-up doors in good condition and proper working order.  If,
during the first ninety (90) days of the Term, the Subleased Premises is not in
the condition required by the preceding sentence, Sublessee shall so notify
Sublessor, and the repair shall be made at no cost to Sublessee.  The parties
acknowledge and agree that, except as set forth in the preceding sentence,
Sublessee is subleasing the Subleased Premises on an "as is" basis, and that
Sublessor has made no representations or warranties with respect to the
condition of the Subleased Premises.  Sublessor shall have no obligation
whatsoever to make or pay the cost of any alterations, improvements or repairs
to the Subleased Premises, including, without limitation, any improvement or
repair required to comply with any law, regulation, building code or ordinance
(including the Americans with Disabilities Act of 1990), excluding, however, any
violation of the foregoing that occurred prior to and which continues to exist
on the date that Sublessee enters the Subleased Premises for the purpose of
constructing the Sublessee Improvements (for which Sublessee shall not be
responsible).  Sublessor shall not be responsible for performance of any repairs
required to be performed by

                                      -3-
<PAGE>

Master Lessor or Lessor under the terms of the Master Lease or the Lease, but
Sublessor shall be obligated to comply with its obligations with respect to
contacting Lessor as set forth in Section 18.A. below. Sublessor shall cooperate
with Sublessee to provide Sublessee with the benefit of any warranties or
service contracts that Sublessor holds applicable to systems that Sublessee is
responsible for maintaining. Sublessor shall have the right, at Sublessee's
cost, and upon ten (10) days' prior notice to Sublessor, to perform any
reasonable or necessary repairs or maintenance required of Sublessee under this
Sublessee.

     7.  Indemnity:
         ---------

          A.  Sublessee's Indemnity.  Except to the extent caused by the
              ---------------------
negligence or willful misconduct of Sublessor, its agents, employees,
contractors or invitees, Sublessee shall indemnify, defend with counsel
reasonably acceptable to Sublessor, protect and hold Sublessor harmless from and
against any and all claims, liabilities, losses, damages, costs and expenses
(including reasonable attorneys' and experts' fees), to the extent due to: (a)
the use, occupancy or condition of the Subleased Premises by Sublessee; (b) the
negligence or willful misconduct of Sublessee or its employees, contractors,
agents or invitees; or (c) a breach of Sublessee's obligations under this
Sublease or the provisions of the Lease or the Master Lease to the extent
incorporated into the Sublease.  Sublessee's indemnification of Sublessor shall
survive termination of this Sublease.

          B.  Sublessor's Indemnity. Except to the extent caused by the
              ---------------------
negligence or willful misconduct of Sublessee, its agents, employees,
contractors or invitees, Sublessor shall indemnify, defend with counsel
reasonably acceptable to Sublessee, protect and hold Sublessee harmless from and
against any and all claims, liabilities, losses, damages, costs and expenses
(including reasonable attorneys' and experts' fees), to the extent due to:  (i)
a breach of Sublessor's obligations under this Sublease; or (ii) a breach of
Sublessor's obligations under the Lease and the Master Lease to the extent those
obligations are not the obligations of Sublessee under this Sublease and were
not due to a breach by another subtenant; or (iii) the negligence or willful
misconduct of Sublessor, its agents, employees, contractors or invitees.
Sublessor's indemnification of Sublessee shall survive termination of this
Sublease.

     8.  Assignment and Subletting.  Sublessee may not assign this Sublease,
         -------------------------
sublet the Subleased Premises, transfer any interest of Sublessee therein or
permit the use of the Subleased Premises by another party without the prior
written consent of Sublessor (which consent of Sublessor shall not be
unreasonably withheld or delayed), Lessor and Master Lessor and in accordance
with the provisions of Section 18 of the Lease, as incorporated herein.
Notwithstanding the foregoing, if no default on the part of Sublessee has
occurred and is continuing beyond applicable notice and cure periods, Sublessee
may assign this Sublease or sublet any portion of the Sublease Premises to any
Corporate Affiliate (as defined in Section 18F of the Lease), without first
obtaining Sublessor's prior written consent, if Sublessee notifies Sublessor at
least ten (10) business days prior to the proposed transaction.  Any right of
recapture provided to "Sublandlord" under the Lease notwithstanding, if, as a
result of any proposed subleasing by Sublessee, Sublessor exercises any
recapture right thereunder, Sublessee shall have the right, within five (5) days
after receipt of Sublessor's notice of exercise, to rescind its request for
consent to the subleasing, in which case this Sublease shall continue in full
force and effect.

     9.  Use:  Sublessee may use the Subleased Premises only for office use and
         ---
software research and development, shipping and customer service and support, in
accordance with the municipal zoning requirements for the City of Sunnyvale and
the terms of the Lease.  Sublessee shall not use, store, transport or dispose of
any Hazardous Substance in or about the Subleased Premises other than normal
quantities of standard office products.  Sublessee shall not violate any of the
terms, provisions, conditions or requirements set forth in the Master Lease and
the Lease.

                                      -4-
<PAGE>

     10.  Delivery and Acceptance:  If Sublessor fails to deliver possession of
          -----------------------
the Subleased Premises to Sublessee on or before the date set forth in Section
3A hereof for any reason, then this Sublease shall not be void or voidable, nor
shall Sublessor be liable to Sublessee for any loss or damage; provided,
however, that in such event, Rent shall abate until Sublessor delivers
possession of the Subleased Premises to Sublessee.  By taking possession of the
Subleased Premises, Sublessee conclusively shall be deemed to have accepted the
Subleased Premises in their as-is, then-existing condition, subject to the
provisions of Section 6 above.  Notwithstanding anything to the contrary
contained in this Sublease, if Sublessor has not delivered the Subleased
Premises to Sublessee in the required condition by November 1, 1999, Sublessee
shall have the right to terminate this Sublease and Sublessor shall return
promptly to Sublessee its payment of the first month's Rent paid by Sublessee
pursuant to Section 4 hereof, together with the Security Deposit (including the
Lock-Up Deposit).

     11.  Improvements:  No alteration or improvements shall be made to the
          ------------
Subleased Premises without in each instance submitting plans and specifications
therefor to Master Lessor, Lessor and Sublessor and obtaining the prior written
consent of Master Lessor, Lessor and Sublessor (which consent of Sublessor shall
not be unreasonably withheld or delayed) and in strict accordance with Section 5
of the Lease, as incorporated herein.  All alterations and improvements shall be
performed by a contractor licensed in the State of California, which contractor
shall be subject to the prior written approval of Sublessor (which consent of
Sublessor shall not be unreasonably withheld or delayed).  Subject to the prior
written approval of Lessor and Master Lessor and subject to Sublessor's review
and approval (which consent of Sublessor shall not be unreasonably withheld or
delayed) of detailed plans and specifications therefor, Sublessor hereby
consents to Sublessee's construction of the improvements (collectively,
"Sublessee Improvements") set forth on the plans attached hereto as Schedule 1
                                                                    ----------
and incorporated by reference herein.

     12.  Release and Waiver of Subrogation:  The release and waiver of
          ---------------------------------
subrogation in Section 9A of the Lease, as incorporated herein, shall be binding
on the parties hereto.  Each party shall give notice to their respective
insurance carriers that such a waiver of subrogation is contained in this
Sublease.

     13.  Insurance:  Sublessee shall obtain and keep in full force and effect,
          ---------
at Sublessee's sole cost and expense, during the Term the insurance required
under Section 9C of the Lease.  Sublessee shall name Master Lessor, Lessor and
Sublessor and their respective building managers, agents, mortgagees and ground
lessors, if any, as additional insureds on Sublessee's liability policy.

     14.  Default:  Sublessee shall be in material default of its obligations
          -------
under this Sublease if any of the following events occur:

          A.  Sublessee fails to pay any Rent when due, when such failure
continues for three (3) days after written notice from Sublessor to Sublessee
that any such sum is due; or

          B.  Sublessee fails to perform any term, covenant or condition of this
Sublease (except those requiring payment of Rent) and fails to cure such breach
within twenty-three (23) days after delivery of a written notice specifying the
nature of the breach; provided, however, that if more than twenty-three (23)
days reasonably are required to remedy the failure, then Sublessee shall not be
in default if Sublessee commences the cure within the twenty-three (23) day
period and thereafter completes the cure within ninety (90) days after the date
of the notice; or

          C.  Sublessee commits any other act or omission which constitutes a
default under the Master Lease (to the extent not inconsistent with, and thereby
superseded by, the Lease) or the Lease, which has not been cured within the
applicable grace period provided in the Master Lease or the Lease as modified,
if at all, by the provisions of this Sublease.

                                      -5-
<PAGE>

     15.  Remedies:  In the event of any default by Sublessee, Sublessor shall
          --------
have all remedies provided pursuant to Section 14 of the Lease and by applicable
law.

     16.  Broker:  Sublessor and Sublessee each represent to the other that they
          ------
have dealt with no real estate brokers, finders, agents or salesmen other than
Donald H. Reimann and Michael Rosendin of Colliers International, representing
Sublessor, and Christine Sahadi and Donnette Clarens of Cornish & Carey
Commercial, representing Sublessee, in connection with this transaction.  Each
party agrees to hold the other party harmless from and against all claims for
brokerage commissions, finder's fees or other compensation made by any other
agent, broker, salesman or finder as a consequence of said party's actions or
dealings with such agent, broker, salesman, or finder.

     17.  Notices:  Unless at least five (5) days' prior written notice is given
          -------
in the manner set forth in this paragraph, the address of each party for all
purposes connected with this Sublease shall be that address set forth below
their signatures at the end of this Sublease.  All notices, demands or
communications in connection with this Sublease shall be (a) personally
delivered; or (b) properly addressed and (i) submitted to an overnight courier
service, charges prepaid, or (ii) deposited in the mail (certified, return
receipt requested, and postage prepaid).  Notices shall be deemed delivered upon
receipt, if personally delivered, one (1) business day after being submitted to
an overnight courier service and three (3) business days after mailing, if
mailed as set forth above. All notices given to Master Lessor and Lessor shall
be effective only when delivered in accordance with the Master Lease or the
Lease, respectively.

     18.  Other Sublease Terms:
          --------------------

          A.  Incorporation By Reference.  Except as set forth below, the terms
              --------------------------
and conditions of this Sublease shall include all of the terms of the Lease,
which terms are incorporated into this Sublease as if fully set forth herein,
except as modified in this section and except that: (i) each reference to the
"Premises" and the "Building" shall be deemed a reference to the "Subleased
Premises" and the "Building" hereunder, respectively; (ii) each reference to
"Landlord", "Sublandlord" and "Subtenant" shall be deemed a reference to "Master
Lessor", "Sublessor" and "Sublessee", respectively, except as otherwise
expressly set forth herein; (iii) with respect to work, services, repairs,
restoration, insurance, indemnities, representations, warranties or the
performance of any other obligation of Master Lessor under the Master Lease or
Lessor under the Lease, the sole obligation of Sublessor shall be to request the
same in writing from Lessor as and when requested to do so by Sublessee, and to
use Sublessor's commercially reasonable efforts (without requiring Sublessor to
spend more than a nominal sum) to cause Lessor to perform or obtain Master
Lessor's performance; (iv) with respect to any obligation of Sublessee to be
performed under this Sublease, wherever the Lease grants to Sublessor a
specified number of days to perform its obligations under the Lease, except as
otherwise provided herein, Sublessee shall have (A) three (3) fewer days to
perform obligations for which the Lease provides a period of less than fifteen
(15) days and (B) seven (7) fewer days to perform obligations for which the
Lease provides a period of fifteen (15) days or more, including, without
limitation, curing any defaults; provided, however, that if the time to perform
is three (3) days or fewer, such period shall not be reduced by more than two
(2) days; (v) with respect to any approval required to be obtained from the
"Landlord" or "Sublandlord" under the Lease, such consent must be obtained from
Master Lessor, Lessor and Sublessor, provided that Sublessor's consent shall not
be unreasonably withheld or delayed, but the approval of Sublessor may be
withheld if Master Lessor's or Lessor's consent is not obtained; (vi) in any
case where the "Landlord" or "Sublandlord" reserves or is granted the right to
manage, supervise, control, repair, alter, regulate the use of, enter or use the
Premises or any areas beneath, above or adjacent thereto, such reservation or
grant of right of entry shall be deemed to be for the benefit of Master Lessor,
Lessor and Sublessor; (vii) in any case in the Lease where "Subtenant" is to
indemnify, release or waive claims against "Landlord" or "Sublandlord", such
indemnity, release or waiver shall be deemed to run from Sublessee to Master
Lessor, Lessor and Sublessor; (viii) in any case in the Lease where "Subtenant"
is to execute and

                                      -6-
<PAGE>

deliver certain documents or notices to "Landlord" or "Sublandlord", such
obligation shall be deemed to run from Sublessee to Master Lessor, Lessor and
Sublessor; (ix) in any case where "Subtenant" is to make any payments to
"Landlord" or "Sublandlord", such payments shall be made to Sublessor; (x)
references to the Sublease, the Commencement Date and Base Rent shall mean the
Sublease, the Commencement Date and Base Rent, respectively, as defined herein;
and (xi) in any case where "Sublandlord" under the Lease is to release or waive
any claims against "Subtenant", such release or waiver shall be deemed to run to
Sublessor from Sublessee.

     Notwithstanding the provision of subpart (ii) above, with respect to the
Lease (as defined in this Sublease), (a) references in the following provisions
to "Landlord" shall mean Master Lessor and Lessor:  Sections 5A, 9C, 9D, 12,
18A-C and 29C; (b) references in the following provisions to "Landlord" shall
mean Master Lessor or Lessor:  Sections 2C(3), 4, 5B, 5C, 6A, 7, 17A, 19, 27O
and 30; (c) the references in the following provisions to "Sublandlord" shall
mean Lessor:  Sections 2A(2), 8A (the second and third sentences only) and 27N;
(d) the references in the following provisions to "Landlord" shall mean
Sublessor:  Sections 5A (the second paragraph only), 5D, 5E and 8B (the fifth
sentence only); (e) references in Sections 32-35 to "Master Lease" shall mean
the Lease; and (f) references in Section 35 to "Landlord" shall mean "Lessor".
In addition, and notwithstanding any of the foregoing, (1) the following
provisions of the Lease shall not be incorporated herein:  the introductory
paragraphs (except the definitions of Project and Land), the Schedule (except
Section 3 relative to Building B, the last sentence in Section 4 and Section
12), Sections 1, 2A(1), 2C(3) (the fourth sentence only), 3, 5A (the first,
second and eighth sentences of the first paragraph and the last two lines of the
second paragraph after "Section 5E" only), 5D (the second sentence only), 5E
(the last sentence only), 6A (the first sentence only), 6B (the second and fifth
sentence only), 6D (the second, third and fourth sentences only), 10A (the
fourth sentence only), 17A (the second sentence only), 18F, 22, 24, 26, 29A (the
first two sentences only), 31, 37 and 38 and Exhibits C-G and I and J; (2)
references to "Subtenant's Proportionate Share" shall mean 8.03%; (3) Sublessor
shall not be required to deliver any bills or invoices until not more than two
(2) days after the same are actually received by Sublessor; (4) the reference in
Section 6C to 555 shall be changed to 130 and Sublessor shall to the extent
permitted under the Lease provide Sublessee with five (5) designated visitor
parking spaces in front of the Building; (5) the reference in the third sentence
of Section 10A to "Building" shall be deemed a reference to the Subleased
Premises; (6) the reference in Section 12H to "as to Landlord only" shall be
deleted; (7) the references to the "Tenant Improvements" shall be deleted; (8);
the references in Sections 4 and 5 to the Commencement Date shall mean the date
the Subleased Premises are delivered to Sublessee hereunder; (9) the reference
in Section 18D to 50% shall be changed to 100%; (10) the reference in Section
18E(1) to "consisting of one floor or more in a Building" shall be deleted and
the reference to "Subtenant Affiliate" shall mean a Corporate Affiliate, as
defined herein; (11) Sublessee shall have the right to abate rent under or
terminate the Sublease only to the extent that the corresponding rental amounts
are abated under or termination right exist under the Lease, and any right to
terminate provided under the Lease to "Subtenant" shall be exercised by
Sublessor with respect to the Subleased Premises only with the prior written
consent of Sublessee, which shall not be unreasonably withheld or delayed; (12)
Sublessor's obligation under the first sentence of Section 32 shall be to use
commercially reasonable efforts to cause Lessor to cause Master Lessor to
perform its obligations; (13) the references in Section 33 to the Master Lease
shall refer to the Lease, as attached hereto as Exhibit B; (14) references in
Exhibit B to "Tenant" shall mean Sublessee; (15) references to "the Commencement
Date as to Building A or Building B" and the "applicable Commencement Date"
shall mean the Commencement Date hereunder; and (16) subparts (ii), (iii) and
(iv) of the first sentence of the second full paragraph of Section 29.C of the
Lease shall be excluded from this Sublease.

          B.  Sublessee's Obligations.  This Sublease is and at all times shall
              -----------------------
be subject and subordinate to the Master Lease and the Lease and the rights of
Master Lessor and Lessor thereunder. Sublessee hereby expressly agrees: (i) to
comply with all provisions of the Lease and the Master Lease (to the extent not
inconsistent with, and thereby superseded by, the Lease) which are incorporated
hereunder;

                                      -7-
<PAGE>

and (ii) to perform all the obligations on the part of the "Subtenant"
applicable to the Subleased Premises be performed under the terms of the Lease
during the term of this Sublease which are incorporated hereunder. In the event
of a conflict between the provisions of this Sublease, on the one hand, and the
Lease and the Master Lease on the other hand, as between Sublessor and
Sublessee, the provisions of this Sublease shall control.

     19.  Signage.  Subject to the prior written consent of Master Lessor and
          -------
Lessor and (as to the details of the signage) Sublessor (which consent of
Sublessor shall not be unreasonably withheld or delayed), Sublessor hereby
agrees that Sublessee shall have the right to place its standard name and logo
sign on one-half of a Master Lessor or Lessor-installed monument sign in front
of the Subleased Premises.  Sublessee shall not place any signs on the building
facade, other than, with the prior written consent of Master Lessor, Lessor and
(as to the details of the signage) Sublessor (which consent of Sublessor shall
not be unreasonably withheld or delayed).

     20.  Financial Reporting.  Within thirty (30) days of the end of each of
          --------------------
Sublessee's fiscal quarters and the end of each of Sublessee's fiscal years,
Sublessee shall deliver to Sublessor a copy of Sublessee's financial statements
for the immediately preceding quarter or year, as applicable.  Such financial
statements shall be prepared in accordance with generally accepted accounting
principles ("GAAP") and shall be certified to be true and correct by Sublessee.
In addition, upon the earlier of one hundred twenty (120) days after the end of
Sublessee's fiscal year and the completion of the audit of Sublessor's annual
financial statements, Sublessee shall deliver to Sublessor financial statements
for the immediately preceding year, which financial statements shall be audited
by a certified public accountant.

     21.  Conditions Precedent:  This Sublease and Sublessor's and Sublessee's
          --------------------
obligations hereunder are conditioned upon the written consent of Master Lessor
and Lessor.  If Sublessor fails to obtain Master Lessor's or Lessor's consent
within thirty (30) days after execution of this Sublease by Sublessor, then
Sublessor or Sublessee may terminate this Sublease by giving the other party
written notice thereof, and Sublessor shall return to Sublessee its payment of
the first month's Rent paid by Sublessee pursuant to Section 4 hereof and the
Security Deposit (including the Lock-Up Deposit).  This Sublease and Sublessor's
obligations hereunder are further conditioned upon Sublessee having obtained the
consent of Master Lessor, Lessor and Sublessor to the Sublessee Improvements, as
described on Schedule 1 attached hereto and incorporated by reference herein.

     22.  Authority to Execute:  Sublessee and Sublessor each represent and
          --------------------
warrant to the other that each person executing this Sublease on behalf of each
party is duly authorized to execute and deliver this Sublease on behalf of that
party.

     23.  Extension Option.
          ----------------

          A.  Subject and subordinate to Sublessor's business needs and at
Sublessor's sole and absolute discretion, Sublessor, not later than September
30, 2001, shall notify Sublessee whether Sublessor will permit Sublessee to
extend the Term of this Sublease for an additional term of two (2) years
("Extension Term").  Sublessor's failure to deliver such a notice shall be
deemed Sublessor's refusal to permit Sublessee to extend the Term of this
Sublease.  If Sublessor notifies Sublessee that it is willing to permit
Sublessee to extend the Term of this Sublease as described above, provided a
monetary default (after expiration of applicable notice and cure periods) has
not occurred hereunder, Sublessee may exercise the option to extend (the
"Option") not later than two hundred seventy (270) days prior to the Expiration
Date.  Base Rent for the Extension Term shall be the then-fair market rent for
the Subleased Premises ("FMR") as of the commencement of the Extension Term,
including rental increases, if applicable, as agreed upon by Sublessor and
Sublessee, or, if the parties cannot agree within sixty (60) days prior to the
commencement of the

                                      -8-
<PAGE>

Extension Term, as established pursuant to arbitration as described below. In no
event shall Base Rent for the Extension Term be less than Two Dollars and 55/100
($2.55) per rentable square foot of the Subleased Premises. All other terms and
conditions of this Sublease shall apply during the Extension Term, except that
Sublessee shall have no further option to extend the Term.

          B.  If it becomes necessary to determine the FMR by appraisal, real
estate appraiser(s), all of whom shall be Members of the Appraisal Institute and
who have at least five (5) years experience appraising comparable space located
in the vicinity of the Subleased Premises shall be appointed and shall act in
accordance with the following procedures:

               (i) If the parties are unable to agree on the FMR within the
allowed time, either party may demand an appraisal by giving written notice to
the other party, which demand to be effective must state the name, address and
qualifications of an appraiser selected by the party demanding an appraisal (the
"Notifying Party"). Within ten (10) days following the Notifying Party's
appraisal demand, the other party (the "Non-Notifying Party") shall either
approve the appraiser selected by the Notifying Party or select a second
properly qualified appraiser by giving written notice of the name, address and
qualification of such appraiser to the Notifying Party. If the Non-Notifying
Party fails to select an appraiser within the ten (10) day period, the appraiser
selected by the Notifying Party shall be deemed selected by both parties and no
other appraiser shall be selected. If two appraisers are selected, they shall
select a third appropriately qualified appraiser. If the two appraisers fail to
select a third qualified appraiser, the third appraiser shall be appointed by
the then presiding judge of the county where the Premises are located upon
application by either party.

               (ii) If only one appraiser is selected, that appraiser shall
notify the parties in simple letter form of its determination of the FMR within
fifteen (15) days following his selection, which appraisal shall be conclusively
determinative and binding on the parties as the appraised FMR. If multiple
appraisers are selected, the appraisers shall meet not later than ten (10) days
following the selection of the last appraiser. At such meeting the appraisers
shall attempt to determine the FMR as of the commencement date of the Extension
Term as described above by the agreement of at least two (2) of the appraisers.
If two (2) or more of the appraisers agree on the FMR at the initial meeting,
such agreement shall be determinative and binding upon the parties hereto and
the agreeing appraisers shall, in simple letter form executed by the agreeing
appraisers, forthwith notify both Sublessor and Sublessee of the amount set by
such agreement. If multiple appraisers are selected and two (2) appraisers are
unable to agree on the FMR, all appraisers shall submit to Sublessor and
Sublessee an independent appraisal of the FMR in simple letter form within
twenty (20) days following appointment of the final appraiser. The parties shall
then determine the FMR by averaging the appraisals; provided that any high or
low appraisal, differing from the middle appraisal by more than ten percent
(10%) of the middle appraisal, shall be disregarded in calculating the average.

               (iii) If only one appraiser is selected, then each party shall
pay one-half of the fees and expenses of that appraiser. If three appraisers are
selected, each party shall bear the fees and expenses of the appraiser it
selects and one-half of the fees and expenses of the third appraiser.

          C.  The parties hereby acknowledge that the Extension Term, as
described herein, extends beyond the term of the Lease.  In the event that
Sublessor does not enter into the Direct Lease or that the Direct Lease does not
commence for any reason whatsoever, the Extension Term shall be automatically
shortened to terminate upon the termination of the Lease.  In the event that
Sublessee properly exercises the Option and the Direct Lease commences, the
Sublease shall continue as a sublease under the Direct Lease as described in
Section 3.C hereof and Sublessee shall have the termination right described in
Section 3.C hereof.

                                      -9-
<PAGE>

          D.  The Option is personal to Synplicity, Inc. or any Corporate
Affiliate and may not be exercised following an assignment of this Sublease or a
sublease of all or any portion of the Subleased Premises.

     24.  Sublessor's Indemnification.  If this Sublease is terminated solely as
          ---------------------------
a result of a default by Sublessor under this Sublease, the Lease or the Master
Lease (which default is not due in any manner to Sublessee or other subtenants),
Sublessor shall indemnify, protect, defend with counsel reasonably acceptable to
Sublessee and hold Sublessee harmless from and against any and all claims,
liabilities, judgments, causes of action, damages, costs and expenses (including
reasonable attorneys' and experts' fees), caused by or arising in connection
with Sublessor's default and resultant termination of this Sublease.

     25.  No Voluntary Termination.  Sublessor shall not voluntarily terminate
          ------------------------
the Lease as to the Subleased Premises during the Term without Sublessee's prior
written consent, which consent may not be unreasonably withheld or delayed,
unless and until Lessor has agreed in writing to continue this Sublease in full
force and effect as a direct lease between Lessor and Sublessee upon and subject
to all of the terms, covenants and conditions of this Sublease for the balance
of the Term hereof.  If Lessor so consents, Sublessee shall attorn to Lessor in
connection with any such voluntary termination and shall execute an attornment
agreement in such form as may reasonably be requested by Lessor; provided,
however, that the attornment agreement does not materially adversely affect the
use by Sublessee of the Subleased Premises in accordance with the terms of this
Sublease, materially increase Sublessee's obligations under this Sublease or
materially decrease Sublessee's rights under this Sublease.

     26.  No Amendment.  Sublessor and Lessor shall not amend or modify the
          ------------
Lease in any way so as to materially or adversely affect Sublessee or its
interests hereunder, materially increase Sublessee's obligations hereunder or
materially restrict Sublessee's rights hereunder, without the prior written
consent of Sublessee, which may be withheld in Sublessee's sole but reasonable
discretion.

     27.  Attorneys' Fees.  If either Sublessor or Sublessee shall bring any
          ---------------
action or legal proceeding to enforce, protect or establish any term or covenant
of this Sublease, the prevailing party shall be entitled to recover its
reasonable attorneys' fees, court costs and experts' fees as may be fixed by the
court.  "Prevailing party" as used in this Sublease includes a party who
dismisses an action for recovery hereunder in exchange for sums allegedly due,
performance of covenants allegedly breached or consideration substantially equal
to the relief sought in the action.

     28.  Surrender.  Notwithstanding anything to the contrary contained in this
          ---------
Sublease, the Lease or the Master Lease, upon the expiration or earlier
termination of this Sublease, Sublessee shall not be obligated to remove any
alterations, additions or improvements made to the Premises by Sublessor, Lessor
or any predecessor in interest to either of them prior to the date that
Sublessee occupies the Subleased Premises for the purpose of constructing the
Sublessee Improvements.

     29.  Counterparts.  This Sublease may be executed in counterparts, each of
          ------------
which, when taken together as a whole, shall be deemed to constitute an
original.  A signed counterpart delivered by facsimile shall be deemed an
original hereunder.

     30.  Sublessor's Representations and Warranties.  Sublessor represents and
          ------------------------------------------
warrants with respect to the Subleased Premises that (a) the Lease and, to
Sublessor's actual knowledge, without inquiry, the Master Lease, are in full
force and effect, and there exists under Lease or, to Sublessor's actual
knowledge, without inquiry, the Master Lease no event of default by either
Master Lessor, Lessor or Sublessor; and (b) the copies of the Lease and, to
Sublessor's actual knowledge, without inquiry, the Master Lease attached

                                      -10-
<PAGE>

hereto are true and complete copies of the Lease and Master Lease, and the Lease
and, to Sublessor's actual knowledge, without inquiry, the Master Lease, have
not been amended except as set forth therein.

     31.  Hazardous Substances.  Sublessor hereby releases Sublessee with
          --------------------
respect to any losses, costs, claims, liabilities or damages due to the presence
of Hazardous Substances on or about the Premises except to the extent due to the
use, storage, release, discharge, emission or disposal of any Hazardous
Substance on or about the Premises by Sublessee.

     IN WITNESS WHEREOF, the parties have executed this Sublease as of the day
and year first above written.

SUBLESSOR:                              SUBLESSEE:

PROXIM, INC.,                           SYNPLICITY, INC.,
a Delaware corporation                  a California corporation

By:_______________________              By:__________________________
Name:_____________________              Name:________________________
Its:______________________              Its:_________________________

Address  510 DeGuigne                   Address:_____________________
         Sunnyvale, CA 94086            _____________________________
         Attn.: Chief Financial Officer _____________________________

                                      -11-
<PAGE>

                              CONSENT TO SUBLEASE
                              -------------------

                                (MASTER LESSOR)

                                      -12-
<PAGE>

                              CONSENT TO SUBLEASE
                              -------------------

                                   (LESSOR)

                                      -13-
<PAGE>

                                   EXHIBIT A
                                   ---------

                                 MASTER LEASE

                                      -14-
<PAGE>

                                   EXHIBIT B
                                   ---------

                                     LEASE

                                      -15-
<PAGE>

                                  SCHEDULE 1

                            SUBLESSEE IMPROVEMENTS

                                      -16-

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