IPWireless Standardizes on ARC's Patented Configurable Core Technology for 3G Data Communications Chipset

ARC™ 725D Core Designed into IPWireless PCMCIA Card Product Line

ELSTREE, England and SAN BRUNO, Calif., June 6, 2005 – ARC International (LSE: ARK) and IPWireless today announced that IPWireless has taken a license for the configurable ARC™ 725D processor core for use in their latest system-on-chip (SoC) ASIC that is targeted for the company’s next generation 3G TD-CDMA broadband wireless devices. This will be the third in a series of successful ARC-Based™ designs from IPWireless.

With a best-in-class performance/size ratio, the ARC 725D core is an ideal solution for high-volume wireless applications. IPWireless selected the ARC 725D core for its impressive performance in a small die size. The ARC 725D core has a maximum clock frequency of 400 MHz in a 0.13 micron process, power consumption of 0.12 mW/MHz and a die size of 0.96mm2.

“Given our previous success with ARC technology in previous IPWireless products, the decision to standardize on ARC for our PCMCIA cards was an easy one,” said Roger Nichol, vice president of technology at IPWireless. “The ARC 725D core is a key enabling technology for our next-generation wireless card. It enabled our design team to replace the function of two cores, saving valuable die area and lowering overall product cost.”

“Our high-performance ARC 700 core family is ideal for demanding processing tasks in size-constrained applications. IPWireless’ use of an ARC 725D core in their next-generation design illustrates the significant cost advantages available through the use of our patented configurable technology,” said Derek Meyer, vice president of marketing at ARC International. “IPWireless is a great example of how industry leaders are standardizing on ARC technology for high-volume applications such as wireless communications.”

IPWireless is a leader in the development of very high performance packet-based wireless networks. The company’s 3GPP-based TD-CDMA technology leadership has resulted in the first commercial implementation of an all packet-based UMTS network, the first UMTS network designed specifically for broadband wireless, the first end-to-end Release 99 TD-CDMA solution, and the first commercial HSDPA chipset. IPWireless partners with leading device and infrastructure manufacturers and integrators to offer end-to-end packet based UMTS solutions. Networks powered by IPWireless technology are now deployed around the world by operators offering innovative stationary, portable and mobile services to subscribers.

The ARC 725D Configurable Core

The ARC 725D processor core is a full-featured high performance embedded core with best-in-class die area and power characteristics. It is designed to enable licensees to develop complete processor solutions for SoCs targeted at demanding applications in consumer, networking, automotive and other markets. The core’s flexible, configurable memory architecture makes it ideal for RTOS-based applications. Powerful DSP options enable the 725D core to perform more of the functions of the SoC, eliminating separate logic or DSP blocks. Optionally, custom instruction extensions may be incorporated to achieve application performance levels unattainable with fixed architecture cores.

About IPWireless

IPWireless offers advanced standards-based mobile broadband technology that drastically improves the way people connect and communicate at home, at the office, or on the road. With a full range of commercially available network solutions and devices based on the UMTS standard, IPWireless allows operators to offer Complete 3G, a spectrum of completely mobile, portable, or stationary packet-based services with unmatched economics and true broadband performance. The IPWireless Partner Program and chipsets allow device manufacturers and infrastructure vendors to very quickly bring innovative new TD-CDMA solutions to market. IPWireless is a founding member of the Global UMTS TDD Alliance. For more information, visit the company's Web site at www.ipwireless.com.

About ARC

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

ARC, the ARC logo and ARC-Based 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. For 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.