ARC Announces Strategic Organizational Changes: Appoints Meyer to COO, Establishes ''Office of the CTO''

ELSTREE, England, April 2, 2007 – ARC International (LSE: ARK) today announced a series of organizational changes that reflect the company’s rapid growth and evolution as the premier provider of media subsystems and configurable cores for high-growth embedded markets. ARC International also announced today the acquisition of Teja Technologies, Inc, the industry’s leader in heterogeneous multi-processor software solutions. See related news release dated April 2, 2007 for more details.

Derek Meyer has been appointed to Chief Operating Officer. Formerly Senior Vice President of Sales and Marketing, Meyer’s new role expands to include worldwide engineering activities as well as ARC’s technology initiatives. Executives reporting to Meyer include Paul Holt, who assumes the newly created role of Vice President of Product Development and Services, and David Doyle who will take the role of Vice President of Worldwide Field Operations.

ARC also has created an "Office of the CTO" (Chief Technology Officer) that includes:

• Dr. Akash Deshpande, the CTO and founder of Teja Technologies and a former professor at the University of California, Berkeley,

• Dr. Tom Pennello, the CTO and co-founder MetaWare, ARC’s technical director of software technology, and a former professor at the University of California, Santa Cruz,

• Dr. Nigel Topham, ARC’s chief architect, and the chair of Computer Systems and director of the Institute for Computing Systems Architecture at the University of Edinburgh.

Dr. Deshpande, Dr. Pennello, and Dr. Topham report to Meyer. The group’s charter is to advance ARC’s technology leadership and innovation in the areas of configurability, multicore architecture and software platforms.

Commenting on the new organization, Carl Schlachte, ARC’s president and CEO, said, "Fundamental to achieving continued growth in ARC’s lines of business is a comprehensive focus on customer service, technology and product development, and quality.  These changes reflect management’s ongoing efforts to achieve these goals as well as recognize the significant accomplishments of key members of ARC’s senior leadership team. In particular, Derek’s appointment to COO is recognition of the instrumental role he played in helping craft and execute our current strategy that has revitalized and enhanced ARC’s presence worldwide, and achieved record high revenues in 2006. Also, I am pleased to welcome Akash to ARC and to the newly formed Office of the CTO. Akash, Tom, Nigel and their colleagues will play important roles in building ARC’s technical leadership throughout the worldwide semiconductor industry."

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).

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