Re Contract

ARC International plc
                  

Conexant Licenses ARCâ„¢ Configurable Processor Core

ARC International (LSE:ARK), the world leader in configurable CPU/DSP processor
cores and application platforms, today announced that Conexant Systems, Inc.
(NASDAQ:CNXT), a worldwide leader in semiconductor solutions for broadband
communications, enterprise networks and the digital home, has licensed an ARC
configurable processor core for use in their multi-function peripheral products.

Conexant intends to use the configurable ARC processor in new chipsets for
multi-function printing and copying devices. Conexant's multi-function
peripheral semiconductor line, which is part of the company's Universal and
Voice Access business, targets high volume, consumer applications incorporating
printer/scanner/copier/fax solutions. In addition to the ARC configurable
processor, Conexant has also licensed ARC's MQX™ RTOS and MetaWare® development
tools. The combination of ARC's configurable processors, and optimized
development software, makes it easy to get application-configured SOC solutions
to market faster and provides a robust platform for end-user applications.

The configurability of the ARC processor core also allows customers to design
high-volume products that are extremely cost-effective. "Conexant is a great
example of how the ARC's customers can take advantage of processor
configurability to meet their unique product requirements - and differentiate
from their competition," said Derek Meyer, ARC vice president of marketing.
"Customers are able make specific trade-offs in performance, size and power that
enable the design of a more cost-effective and unique solution."

About Conexant

Conexant's innovative semiconductor solutions are driving broadband
communications, enterprise networks and digital home networks worldwide. The
company has leveraged its expertise and leadership position in modem
technologies to enable more Internet connections than all of its competitors
combined, and continues to develop highly integrated silicon solutions for
broadband data and media processing networks.

Key products include client-side xDSL and cable modem solutions, home network
processors, broadcast video encoders and decoders, digital set-top box
components and systems solutions, and dial-up modems. Conexant's suite of
networking components includes a leadership portfolio of IEEE
802.11a/b/g-compliant WLAN chipsets, software and reference designs, as well as
solutions for applications based on HomePlug® and HomePNA™. The company also
offers a complete line of asymmetric and symmetric DSL central office solutions,
which are used by service providers worldwide to deliver broadband data, voice,
and video over copper telephone lines.

Conexant is a fabless semiconductor company with annual run-rate revenues of
approximately $1.0 billion. The company has approximately 2,400 employees
worldwide, and is headquartered in Red Bank, N.J. To learn more, please visit us
at www.conexant.com.

About ARC

ARC International is a world leader in low-power, high-performance 32-bit
configurable CPU/DSP processor cores, real-time operating systems and
development tools for embedded system design. ARC's configurable and extendible
cores assist customers in the development of next generation digital media,
consumer and communications devices, resulting in lower cost, higher performance
System-on-Chip products.

ARC International maintains a worldwide presence with corporate offices in San
Jose, California, USA and Elstree, UK. The Company has research and development
offices located in England and the United States. For more information please
visit the ARC website at: www.ARC.com. ARC International is listed on the London
Stock Exchange as ARC International plc (LSE:ARK).

This press release may include "forward-looking statements" that involve risks
and uncertainties. Factors that could cause actual results to differ are
discussed in the 'Investment Considerations' section of the Company's web site
as well as the listing particulars, dated 28 September 2000, filed with the
United Kingdom Listing Authority and the Registrar of Companies in England and
Wales. The Company disclaims any obligation to update any forward-looking
statements.

ARC, the ARC logo, ARCtangent, ARCangel, ARChitect, ARCform, MQX and MetaWare
are trademarks of ARC International. All other brands or product names are the
property of their respective holders.


PRESS INFORMATION
For more information, contact:

Jessica Hoff                                                    Susan Cain
Worldwide Marketing Communications Manager                      Cain Communications
ARC International                                               831-662-6092
831-466-4976                                                    email: [e-mail]
831-466-4977
email: [e-mail]