ARC International Announces New Licensing Agreements with Leading European Semiconductor Companies and Design Teams

ARC's Configurable Subsystems and Processors Driving High-Growth Applications Including Multimedia, GPS, and Networking

ELSTREE, England, March 6, 2007 - ARC International (LSE: ARK), the world leader in configurable subsystems and CPU/DSP processors, today announced new licensing agreements with leading European semiconductor companies and system-on-chip (SoC) design teams. All have adopted ARC's patented configurable Media Subsystems or processors for a variety of media, global positioning system (GPS), and home connectivity-centric chip designs.

These customers join ARC's growing base of customers that has close to doubled in the past two years. Today, almost 140 companies worldwide rely upon ARC's configurable solutions to reduce the design cost of next-generation chip development. Also reference companion press release announced today by ARC International about customer IP Wireless.

NemeriX S.A.

NemeriX is a venture-backed fabless semiconductor company specializing in ultra-low-power RF and baseband ICs for the rapidly expanding GPS and wireless industries. Using a unique combination of innovative silicon architectures and full-custom layout techniques, the NemeriX chipset is one of the world's lowest power GPS solutions available today.

NemeriX has standardized its ongoing development efforts on the ARC 600 configurable core family to create GPS chipsets that offer a smaller form factor and lower power consumption than competitive offerings. In addition to leveraging ARC's leading configurable processor technology, NemeriX utilized Cadence's Encounter® digital IC platform to reduce power consumption in its ARC-Based(TM) design by close to fifty percent.

Semtech Corporation

Semtech Corporation is a leading supplier of high-quality analog and mixed-signal semiconductor products. The company's UK-based design team has taken a license for an ARC configurable processor. Semtech's solutions are employed in communications, computer and computer-peripheral, automated test equipment, industrial, and other commercial applications.

SiConnect, Limited

SiConnect, a leading suppler of in-home power line communications (PLC), has taken a license for a configurable ARC product to develop their next-generation of products. SiConnect's innovative POEM technology enables existing domestic electrical wiring to be used to transport audio, video, voice, and data throughout the home. Working in partnership with blue chip telecommunication operators, cable companies and consumer electronics manufacturers, SiConnect is creating new benchmarks for PLC technology that achieve all-capacity, reliability, ease-of-use, and cost-point requirements.

About ARC International plc

ARC International is the world leader in configurable subsystems and CPU/DSP processors that are used by semiconductor companies worldwide to create system-on-chip (SoC) designs that provide a strategic competitive advantage. ARC's patented configurable products are smaller, consume less power, are less expensive to manufacture, and provide a higher degree of differentiation over what can be created using "fixed architecture" core alternatives.

ARC International maintains a worldwide presence with corporate and research and development offices in California and Elstree, UK. For more information visit ARC International is listed on the London Stock Exchange as ARC International plc (LSE: ARK).


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