Customer Agreement

Arc International PLC
03 April 2007



Investor and Media Contact:                        Financial Dynamics

Lee Garvin Flanagin                                Juliet Clarke

ARC International                                  [phone]

[phone]                          

[e-mail]


                        ARC Signs $15M Multiyear License
             With One of the Largest Consumer Electronics Companies

          Landmark Agreement Underscores the Premium Industry Leaders
                     Assign to ARC's Configurable Solutions


ELSTREE, England, April 3, 2007 - ARC International (LSE: ARK) today announced
that one of the largest consumer electronics companies has taken a multiyear
license valued at $15 million (USD) for ARC's patented configurable processors.
Further details of the nature of the customer and its targeted high-growth
applications are confidential.


Carl Schlachte, president and CEO of ARC International, said, "This significant
customer agreement is one of the largest ever completed by a 'Star IP' company.
More importantly it underscores the confidence and value Tier 1 consumer
electronics companies continue to place in our configurable processor 
solutions."


About ARC's Patented Configurable Technology

ARC's patented configurable subsystem and 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 product. 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.


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About ARC International plc

ARC International is the world leader in configurable subsystems and CPU/DSP
processors that are used by semiconductor companies worldwide to create
system-on-chip (SoC) designs that provide a strategic competitive advantage.
ARC's patented configurable products are smaller, consume less power, are less
expensive to manufacture, 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).


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.  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.


                      This information is provided by RNS
            The company news service from the London Stock Exchange