MIPS Technologies and msystems Team Up on Security; New Safe-SOC Security Platform Developed for STB, DTV, Consumer Electronics, Networking and Mobile Markets

MOUNTAIN VIEW and SUNNYVALE, Calif., April 3, 2006 - MIPS Technologies, Inc. (NASDAQ: MIPS), a leading provider of industry-standard processor architectures and cores for digital consumer and business applications, and msystems (NASDAQ: FLSH), a leader in smart personal storage, today announced the joint development of the Safe-SOC™ security platform based on msystems’ mSafe™ security intellectual property (IP) and MIPS Technologies’ industry leading processor architecture.

msystems and MIPS Technologies have aligned to optimize and integrate their technologies for the set-top box (STB), digital television (DTV), consumer electronics, networking and mobile markets. The Safe-SOC security platform integrates msystems’ patented mSafe cryptographic cores with MIPS Technologies’ entire line of CPUs offering customers a robust, flexible and tested security solution. Early access versions of the first jointly developed product are now available for evaluation. General availability is scheduled for the third quarter of 2006.

“ msystems has the patented technologies, know-how and track record to offer smarter, best-in-class security solutions to its customers and partners. MIPS Technologies is recognized worldwide for its field-proven architectures and processor cores and for its leadership position in digital TV, set-top box, and other consumer electronics markets that include conditional access and digital rights management technologies,” said Rami Koren, msystems’ vice president of marketing for security. “Our joint Safe-SOC platform is designed to enable system-on-chip designers to build their applications around a cost-effective and tightly integrated security solution and bring products to market quickly and easily. It’s security, made smarter.”

“Stringent security is a must-have in the consumer electronics market, especially in the set-top box, conditional access, and mobile markets where valuable digital content needs to be protected. In this environment our customers demand a comprehensive security solution that is tightly integrated with the system’s CPU. We’ve provided just that with the Safe-SOC platform,” said Jack Browne, vice president of marketing for MIPS Technologies. “Together with msystems, a leader in the field of security and cryptography, we deliver a host of secure, easy-to-integrate products for the embedded market.”

MIPS Technologies, Inc. is a leading provider of industry-standard processor architectures and cores for digital consumer and business applications. The company drives the broadest architectural alliance that is delivering 32- and 64-bit embedded RISC solutions. The company licenses its intellectual property to semiconductor companies, ASIC developers and system OEMs. MIPS Technologies and its licensees offer the widest range of robust, scalable processors in standard, custom, semi-custom and application-specific products. The company is based in Mountain View , CA , and can be reached at +1 (650) 567-5000 or www.mips.com.

 About msystems
msystems has been transforming raw flash material into smarter storage solutions since 1989. From embedded flash drives deployed in millions of mobile handsets to U3 USB smart drives designed for leading global brands, msystems creates, develops, manufactures and markets smart personal storage solutions for a myriad of applications targeting high growth markets. msystems’ product lines include:

• mDrive (formerly DiskOnKey®) U3 USB smart drives for personal, portable computing
• mDOC embedded flash drives for mobile handsets and consumer electronics devices
• mSIM MegaSIM® series high-density SIM cards and mSIM M.MAR® series SIM cards and highly secure cards (available both from msystems and its subsidiary Microelectronica)
• mCard, high-quality memory cards for mobile handsets and digital cameras
• mTrust (formerly Xkey®) end-to-end enterprise access, control and management solution for USB flash drives and other removable media
• mSSD (formerly FFD™) rugged solid state disks for mission-critical applications
• mModule (formerly DiskOnChip® modular family) modular flash storage for embedded systems
• mSafe (formerly SuperMAP® family) secure hardware and software crypto cores

More information is available online at www.m-systems.com. msystems. made smarter.