ParthusCeva's DSP Cores Licensed by STMicroelectronics for DSL Chipsets

Following acquisition of Tioga Technologies, STMicroelectronics to use ParthusCeva's TeakLite® DSP in multi-channel ADSL and SHDSL chipsets.

San Jose, Calif - July 22, 2003 - ParthusCeva, Inc. (Nasdaq: PCVA, LSE: PCV) the leading provider of licensable Digital Signal Processor (DSP) cores and platform-level IP to the semiconductor industry, today announced that STMicroelectronics (NYSE: STM), a leading semiconductor manufacturer, has licensed ParthusCeva's TeakLite® DSP core to power selected Digital Subscriber Line (DSL) chipset solutions.

DSL enables communications over existing telephone wires at over 100 times faster speeds than conventional voice modems. ParthusCeva's TeakLite® DSP core powers ST's Multi-channel ADSL (Asymmetrical Digital Subscriber Line) and SHDSL (Symmetrical High-bit rate Digital Subscriber Line) chipsets.

"Through the recent acquisition of Tioga Technologies ST has added these multi-channel ADSL and SHDSL chipsets to the company's DSL portfolio, complementing an already comprehensive range extending from ADSL to VDSL", said Andy Carmon, STMicroelectronics' DSL products Engineering Director. "Through this license agreement for the DSP cores used in these chipsets we have now completed this transfer."

"We are pleased to extend our long-standing partnership with STMicroelectronics with this new DSP licensing agreement," said Gideon Wertheizer, Executive Vice President and CTO of ParthusCeva. "DSL is one of the fastest growing technologies in the communications industry and this new licensing agreement with ST underlines our number one position in the open licensable DSP market".

About TeakLite®

TeakLite®, the third generation of the SmartCores™ family, is a 16-bit fixed-point, general-purpose DSP core designed for low power, low voltage and high-speed digital processing applications. The core is designed as a solution for modems, advanced telecommunication systems, speech and audio processing, wireless communication, disk-drive controllers and embedded control applications. The binary code compatibility of the TeakLite® DSP core with ParthusCeva's OakDSPCore® effectively eliminates the need to recompile or rewrite existing software modules during migration to the TeakDSPCore® family. The fully synthesizable, process-independent TeakLite® is easily portable to any Application Specific Integrated Circuit (ASIC) library. The core can be used as an engine for DSP-based-ASICs and ASSPs, and is available as a DSP core in a standard-cell library applicable for custom chip design.

About ParthusCeva, Inc.

Further information about ParthusCeva

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ParthusCeva Safe Harbor Statement

Various statements in this press release concerning ParthusCeva's future expectations, plans and prospects are "forward-looking statements", which are subject to certain risks and uncertainties that could cause actual results to differ materially from those stated. Any statements that are not statements of historical fact (including, without limitation, statements to the effect that the company or its management "believes", "expects", "anticipates", "plans" and similar expressions) should be considered forward-looking statements. These statements are subject to a number of risks and uncertainties that could cause actual results to differ materially from those described, including the following:

• the industries in which we license our technology are experiencing a challenging period of slow growth that has negatively impacted and could continue to negatively impact our business and operating results;
• the markets in which we operate are highly competitive, and as a result we could experience a loss of sales, lower prices and lower revenue;
• our operating results fluctuate from quarter to quarter due to a variety of factors including our lengthy sales cycle, and are not a meaningful indicator for future performance
• we rely significantly on revenue derived from a limited number of licensees; and
• other risks discussed in "Management's Discussion and Analysis of Financial Condition and Results of Operations--Factors that Could Affect Our Operating Results," in our quarterly report on Form 10-Q for the first quarter of 2003, filed with the U.S. Securities and Exchange Commission on May 14, 2003.