CES 2008: ARC Update

Arc International PLC
14 January 2008



Media Contact:

Lee Garvin Flanagin
ARC International
[phone]
[e-mail]





               CES 2008: ARC-Based(TM) Consumer Devices Fueling the
                        "YouTube Generation" on Display


                          After 3-Year Licensing Push,
                  ARC Customers' Chips Arrive to the Consumer



SAN JOSE, Calif. and ST. ALBANS, England, January 14, 2008 - ARC International
(LSE: ARK) today announced that more than fifteen customers and partners
participated in last week's 2008 International Consumer Electronics Show (CES)
in Las Vegas.  Displaying some of the latest ARC-Based(TM) solutions included
companies such as:  BiTMICRO, Broadcom, Chips&Media, D-Link, Fujitsu, Intel,
NemeriX, Oki, Qpixel, RealNetworks, SanDisk, Siano, SiConnect, Sony, Toshiba and
others.


For calendar year 2007, over 300 million innovative silicon chips from ARC
customers helped enable consumers to connect whenever, wherever to view videos
and listen to music.  These ARC-Based chips are being deployed in markets such
as mobile digital TV terminals, portable GPS positioning systems, WiFi-enabled
laptops, portable media players, home media centers, flash memory devices, and
set top boxes.


One of the hottest technology trends discussed by OEMs at CES 2008 was how to go
beyond the abilities of current multimedia devices and enhance consumers'
experiences through higher quality video and audio.  Challenges to develop these
next-generation multi-standard products are addressed by ARC's "total solutions"
approach.  ARC's goal is to bring back the rich visual and aural experiences
that have been degraded by digitization of original analog ("natural") content.


ARC customers and partners participating in CES 2008 included:

•        BiTMICRO Networks - This leading provider of high performance
non-volatile solid state disk, flash disk drive, network storage, and management
solutions has a license for the ARC(R) 700 configurable core family.  With it,
BiTMICRO is developing low cost, next-generation system-on-chip (SoC) devices
for their state-of-the-art E-Disk(R) solid state storage solutions.  The
company's latest product, the industry's highest capacity 2.5-inch serial ATA
solid state disk with 832GB, was announced at CES.


•        Broadcom Corporation - Broadcom demonstrated a variety of new silicon,
software, and reference design platforms for powering the connected digital
home.  Broadcom has a multi-year, comprehensive licensing agreement with ARC to
develop leading-edge SoCs for high-growth consumer applications.


•        Chips&Media - A configurable ARC 605 core is being used by this
customer to develop digital set-top box chips targeted at high volume
applications. Chips&Media selected this ARC core because it is smaller, lower
powered, and provided up to twice the MHz performance than competing processors.


•        D-Link Systems - D-Link showed its end-to-end home networking and
digital home solutions, showcasing hot new products such as media players, Wi-Fi
Internet photo frame, Green Ethernet switching, next-generation dual band
routers, and the latest storage and security devices, many of which are
ARC-Based.


•        Fujitsu Microelectronics Europe - The company uses its license for a
member of the ARC 700 configurable core family to create chips for high-volume
consumer applications.  An ARC customer since 2001, Fujitsu selected an ARC 700
processor because of its ability to deliver very high performance in a small die
size.


•        Intel Corporation - Intel has signed a multi-year, royalty bearing
licensing agreement for several ARC products.  Key benefits ARC's configurable
solutions bring to Intel's SoC developers include the ability to reduce power
consumption and increase a chipset's performance by adding custom instruction
extensions.


•        NemeriX - NemeriX specializes 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.  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(R) digital IC design platform to reduce power consumption in
its ARC-Based design by close to fifty percent.


•        OKI Electric Industry - Its license for the ARC Sound Advanced
Subsystem is being incorporated into an application specific standard product
(ASSP) targeting next generation in-car audio applications. The ARC Sound
Advanced Subsystem enables Oki to reduce its end customer's bill of materials by
replacing a standalone DSP with the Oki-designed ASSP.


•        Qpixel Technology - This innovator in video compression unveiled at CES
the Q.stream network media streamer and Q.record personal video recorder/player
reference platforms.  QPixel selected the ARC Sound Audio Subsystem to develop
the QL201B chip that is used in the Q.stream and the QL202B chip for Q.record.
The low power nature of the ARC's configurable solutions enabled the QL201B and
QL202B chips to provide flexible audio processing while consuming very low power
and silicon area, which is critical for portable multimedia applications such as
digital cameras, camcorders, and portable media players.


•        RealNetworks - ARC and RealNetworks announced the availability of a new
RealVideo decoder for the ARC Video Subsystem family that supports RealVideo
content encoded in versions 7, 8, 9 or 10 formats up to 75 percent faster than
competitive offerings.  Porting the increasingly popular RealVideo decoder
illustrates the multi-standard flexibility in ARC's multimedia subsystem
products.


•        SanDisk - An ARC customer since 2000, Sandisk, the world's largest
supplier of innovative flash memory data storage products chose ARC cores to
optimally meet their size, area and performance needs. At this years CES, the
company showed a variety of ARC-Based products including flash memory devices
used in digital consumer products worldwide.


•        Siano Mobile Silicon Ltd - This expert in innovative mobile digital TV
has a license for a configurable ARC 610D core with ARC's XY Advanced DSP memory
subsystem.  They are used in the new SMS1100 chip that was demonstrated at CES,
which extends Siano's mobile digital TV receiver capabilities to the Japanese
and Brazilian markets.


•        SiConnect - SiConnect has a license for the configurable ARC 625D core
to create innovative silicon solutions that enable 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.


•        Sony - Sony Semiconductor Kyushu Corporation has a license for a
configurable ARC processor with DSP extensions that will be integrated into
next-generation consumer electronic devices.


•        Toshiba America Electronic Components - Toshiba has a multiyear license
for the ARChitect(TM)processor configurator.  Toshiba and ARC have entered into 
a strategic collaboration that will grow the industry's adoption of configurable
processor technology worldwide. As part of the collaboration, Toshiba has taken
a multiyear license for the ARChitect(TM) processor configurator, which will be
optimized to Toshiba's Media embedded Processor (MeP) platform.  At CES, Toshiba
introduced a series of laptops that incorporate ARC-Based silicon from other ARC
customers.


                                     # # #

About ARC International plc
ARC International is the world leader in configurable multimedia 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 California 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).



ARC and the ARC logo are trademarks or registered trademarks of ARC
International. All other brands or product names contained herein are the
property of their respective owners. This press release may contain certain
"forward-looking statements" that involve risks and uncertainties, including the
development, implementation, and release of features described herein. These are
at the sole discretion of ARC International. Licenses from 3rd parties for
certain software and essential patents may be required depending on licensee's
use/implementation. For other factors that could cause actual results to differ,
visit the company's Website as well as the listing particulars filed with the
United Kingdom Listing Authority and the Registrar of Companies in England and
Wales.


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