ARC Wins Cadence Design Systems Collaboration Award for the Second Consecutive Year


Recognition Underscores ARC's and Cadence's Ongoing Successes in
Low-Power Product Development and International Joint Marketing

St. Albans, England, October 29, 2007 - ARC International (LSE: ARK) today announced that Cadence Design Systems, Inc. (NASDAQ: CDNS) again has recognized ARC with the "Collaboration Award" for Excellence in Joint Marketing. This is the second year in a row that the electronic design automation leader bestowed the Joint Marketing award on ARC, which was presented by Cadence CEO Mike Fister at the recent 2007 Cadence Partners Event. ARC also was a finalist in two of the other three Cadence Collaboration Award categories, which demonstrates the growing relationship between the two companies and underscores the impact their jointly optimized solutions are having with mutual customers globally.

Lowering SoC Power Consumption

Throughout 2007 ARC engineers have worked closely with Cadence technical teams in the UK and the U.S. on joint development projects to dramatically reduce power consumption of next-generation system on chips (SoCs). The initial results include ARC's recently introduced "Energy Pro" technology and development tools that work seamlessly with the new Cadence Low-Power Solution, a power-optimized version of the Encounter Platform.

These solutions integrate ARC's advanced power-management technologies and leverage the Common Power Format (CPF)-enabled reference flow that is based on the Cadence® Low Power Solution. CPF 1.0 is now available as an Si2 standard to the industry at large. A free brochure, "Low Power RDM for Energy PRO Technology" with details on this new solution is downloadable.

"Cadence is pleased to recognize ARC once again as a model member of the Cadence OpenChoice IP program for their extraordinary marketing and collaboration efforts in 2007," said Michael Horne, group director, Industry Alliances at Cadence. "Building upon our deep technical collaboration around low power with the integration of SoC Encounter into ARChitect, ARC and Cadence have been partners in educating engineering teams and building broad awareness of our joint solutions that help accelerate our customers' time to market. We applaud ARC's leadership in low-power technology and commitment to working closely with Cadence."

Excellence in Joint Marketing

Over the past year ARC and Cadence also have aggressively partnered in a wide range of worldwide co-marketing activities. These engagements have helped educate SoC designers on the low power benefits of ARC's configurable processors and subsystems, and Cadence reference design methodologies that are optimized for ARC. These activities include:
o Cadence marketing director Erez Tsur keynotes at ConfigCon(TM) Israel to a packed audience and details the joint development work ongoing between the two companies. Click for presentation.
o ARC engineering manager Colin Holehouse participates in a technical discussion on ARC/Cadence low power solutions at Cadence-sponsored industry panel at the DATE European conference,
o ARC announces how joint ARC/Cadence customer NemeriX has standardized its ongoing development efforts on the ARC® 600 configurable core family to create GPS chipsets.

The NemeriX solution uses Cadence's Encounter digital IC platform to reduce power consumption of its ARC-Based(TM) design by close to fifty percent.
o Cadence regional marketing managers present details of the Encounter LP/CPF solution at ConfigCon Taiwan.
o ARC engineering manager Colin Holehouse unveils new details of the companies' jointly developed low power solutions at the DAC conference.
o ARC sponsors the CDNLive! Silicon Valley developers conference and launches its new "Energy PRO" technology in collaboration with Cadence.
o ARC and Cadence jointly develop a technical brief covering the details of the new Energy PRO technology and newly optimized Cadence Low-Power Solution.
o ARC engineering manager Colin Holehouse presents data on how the jointly optimized ARC/Cadence solution dramatically lowers the power consumption of SoCs at the CDNLive! EMEA developers conference.
o ARC participates in OpenChoice IP Catalog updated with 13 new ARC entries
o Cadence regional marketing managers exhibit and present at ConfigCon Shanghai.
o ARC marketing manager Gagan Gupta leads a discussion on low power SoC design and participates on an industry panel at the Portable Design Conference.
o ARC solution architect Peter Wells will co-present details on the Energy PRO solution at an upcoming Cadence Webinar November 7th, 2007.
o ARC marketing manager Gagan Gupta will participate on a senior industry panel sponsored by Cadence at the FSA Semiconductor Leaders Forum Taiwan.
o Cadence corporate vice president Aurangzeb Khan will deliver a keynote at ConfigCon Silicon Valley December 4th, 2007 talking about "Visions of Mobile Video Telephony: Drivers of Technology and Business Collaboration."
o ARC marketing manager Gagan Gupta will deliver a keynote and participate on an industry panel at the Design & Reuse Conference December 5th, 2007.

About ARC International plc

ARC International is the world leader in configurable media subsystems and CPU/DSP processors. Used by over 140 companies worldwide, ARC's configurable solutions enable the creation of highly differentiated system-on-chips (SoCs) that ship in hundreds of millions of devices annually. ARC's patented subsystems and cores are smaller, consume less power, and are less expensive to manufacture than competing products.

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

For more information, contact:

Global PR Contact
Lee Garvin Flanagin
ARC International
lee.flanagin@arc.com
Tel: (408) 437 3433
Fax: (408) 437 3401

Asia PR Contact
Jason Chen
Access PR
jason_chen@accesspr.com.tw
Tel: + 886 2 8773 4277 ext 200

US & European PR Contact
Vortex PR
Nigel Robson
nigel@vortexpr.com
Tel: +44 (0) 1481 233080
Fax: +44 (0) 1481 233082

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