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This paper introduces an accurate FDTD-based method for analysis of time domain response of frequency-dependent lossy transmission lines driven by CMOS gates. MOS transistors are modeled as the nonlinear alpha-power law model that includes the carriers' velocity saturation effect of short-channel devices. The dynamic behavior of CMOS gates during switching is defined in seven operation regions. Skin effects of lossy transmission line are included in the proposed method and analyzed with FDTD. The proposed method is accurate by comparison between the numerical results of the proposed method and the simulation results of SPICE.