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This work presents a new and computationally efficient performance optimization technique for distributed RLC interconnects based on a rigorous delay computation scheme. The new optimization technique has been employed to analyze the impact of line inductance on the circuit behaviour and to illustrate the implications of technology scaling on wire inductance. It is shown that reduction in the driver capacitance and output resistance with scaling makes deep submicron (DSM) designs increasingly susceptible to inductance effects. Also, the impact of inductance variations on performance has been quantified. Additionally, the impact of the wire inductance on catastrophic logic failures and IC reliability issues have been analyzed.