CEVA Launches Xpert-Media - A Complete, Licensable and Scalable Video and Audio Media Processing Platform

CEVA Xpert-Media Uses Patented Video Technology To Deliver Breakthrough Performance In Software Based Multimedia Processing

3GSM World Congress: Cannes, France -Hall 5, Booth M-18: February 23, 2004 - CEVA, Inc. (NASDAQ: CEVA; LSE: CVA), the leading licensor of Digital Signal Processor (DSP) cores and communications solutions, today launched the CEVA Xpert-Media - a digital media processing platform for cellular, consumer and the home entertainment markets. CEVA Xpert-Media delivers audio and video processing at breakthrough levels of power and performance on a programmable DSP.

CEVA's Xpert-Media provides a complete audio and video processing solution configurable for a range of markets such as advanced 2.5G and 3G Smartphones, PDAs; consumer multimedia products such as audio players, digital cameras and camcorders; and digital home entertainment systems such as DVRs and PVRs, DVD players, DTV and HDTV.

Delivered to customers as a complete and programmable multimedia platform, Xpert-Media integrates a CEVA DSP core, hardware platform, middleware software framework and a complete suite of audio and video software codecs. Xpert-Media exploits CEVA's patented video algorithm technology that accelerates the video multimedia processing. This software accelerator uniquely exploits a parallel approach processing, delivering low-power high definition multimedia processing. As a scalable and software programmable multimedia processing platform, Xpert-Media delivers superior design flexibility by providing customers with the ability to rapidly reconfigure the platform for different markets purely through software updates, eliminating redesign of silicon.

"CEVA's Xpert-Media platform delivers a breakthrough in multimedia processing and will reduce customer costs by combining the benefits of low-power, high-definition multimedia processing with a software-powered programmable DSP platform," said Gideon Wertheizer, EVP of CEVA. "CEVA's Xpert-Media represents an important milestone in delivering to our customers complete, licensable DSP solutions for multimedia, communication and digital home entertainment markets."

About Xpert-Media

The DSP-powered Xpert-Media platform integrates three elements of CEVA's Intellectual Property portfolio: Xpert Hardware platform; the Xpert-Creator middleware software framework; and the digital media application IP.

1) Xpert- Hardware Framework

Xpert hardware platforms are multipurpose, open-DSP sub-systems that integrate a CEVA DSP core, related peripherals and system interfaces such as full 3-D DMA, AMBA Bridge, Serial port, Time Division Multiplex port (TDM), General Purpose I/O ports (GPIO) and more. Currently Xpert-Media is available powered by the CEVA-Teak DSP, with a release of Xpert-Media powered by CEVA's latest DSP, the CEVA-X1620, scheduled for later in the year.

2) Xpert-Creator Software Framework

Xpert-Creator is a software framework allowing 'plug and play" integration of application software for multi purpose DSP system solutions. Xpert-Creator has three key elements:

• DSP RTOS - Highly compact software with Real Time Operating System, loader, memory allocator, device and drivers.
• Host Level Software - C level software that runs on the host processor for down loading of code and inter-exchange of data and control.
• Application Creator Wizard - a CEVA tool that enables licensees to seamlessly integrate and validate specific RTOS, hardware drivers and customer's algorithm libraries in their deployments

3) Xpert-Media Application IP

Xpert-Media digital media software incorporates a broad set of industry standard video codecs e.g. JPEG, MPEG4 (simple and advanced profile), MPEG2 (simple and advanced profile), and H.264 as well as Audio codecs such as MP3, AAC, AMR, WMA and more. Xpert-Media exploits CEVA's patented video algorithm technology to achieve software based acceleration of video decode and encode functions.

About CEVA, Inc.

For more information about CEVA, Inc, visit the about section of our website.

Safe Harbor Statement

Various statements in this press release concerning CEVA'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 third quarter of 2003, filed with the U.S. Securities and Exchange Commission on November 13, 2003.