RF Micro Devices Adopts ARC's Configurable 600 Core Family

ELSTREE, England -- August 2, 2006 - ARC International (LSE: ARK), the world leader in configurable multimedia subsystems and CPU/DSP processors, today announced that RF Micro Devices (RFMD), a global leader in the design and manufacture of high-performance radio systems and solutions for applications that drive mobile communications, has signed a license agreement for the configurable ARC™ 600 core family. The ARC 600 configurable core family will power future products in RFMD's fast-growing product line.

"We are pleased that RF Micro Devices chose ARC's configurable 600 core family for their next-generation programmable RF radio," said Derek Meyer, senior vice president of sales and marketing at ARC. "Using our patented configurable processors, RFMD will be able to create a low power solution that scales to meet the changing protocols of the cell phone market. Furthermore, ARC's integrated hardware and software development tool package will enable RFMD's engineers to take their ARC-Based design from system analysis to silicon in less time than what is possible using a fixed architecture core."

About ARC's Patented Configurable Technology

ARC's patented configurable processor technology enables system-on-chip (SoC) designers to create silicon that is optimized to the end application. Designers have the freedom to retain necessary functionality while removing unneeded features in a configurable ARC subsystem or processor. The benefit is an SoC with a more optimal balance of speed, area, and power for a specific application, resulting in a lower power, smaller chip that is less expensive to manufacture. Adding custom instructions to ARC's subsystems and cores, designers can achieve major gains in application efficiency by defining custom extensions that accelerate critical code. These gains result in higher overall SoC performance, or in lower device frequency and lower power consumption.

The configurable ARC 600 family delivers the lowest power and smallest 32-bit RISC CPU and DSP cores within the embedded industry. Its highly efficient architecture achieves 1.3 DMIPS/MHz in a 0.13 micron process. Comprised of the ARC 605, 610D and 625D cores, the 600 family is ideal for cost-sensitive, battery operated applications and tasks such as embedded control, computation, and DSP processing. ARC's XY Advanced DSP subsystem and FPX floating point extensions are available options for most cores within the 600 family.

About ARC International plc

ARC International is the world leader in configurable subsystems and CPU/DSP processors that are used by semiconductor companies worldwide for next-generation system-on-chip (SoC) design. ARC's patented configurable processor technology enables the development of consumer, networking, mass storage, and other cost-sensitive devices that are smaller 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 www.ARC.com. ARC International is listed on the London Stock Exchange as ARC International plc (LSE: ARK).