AT&T Microelectronics supports TrueSpeech 8.5 Kbps for its DSVD modem chips.

SANTA CLARA, Calif.--(BUSINESS WIRE)--June 6, 1995--DSP Group Inc. (NASDAQ:DSPG) today announced that AT&T has licensed DSP Group's 8.5 kbps version of TrueSpeech for use in its high speed modem chipset which supports Digital Simultaneous Voice and Data (DSVD) applications.

`DSVD' is a new form of digital communications which facilitates collaborative computing, allowing multiple users to talk interactively and share computer information simultaneously over a single ordinary telephone line. AT&T Microelectronics is the first modem chip manufacturer to support the DSVD Protocol Specification, Version 1.1, with the 8.5 kbps version of TrueSpeech.

TrueSpeech is a family of speech compression and decompression algorithms developed by DSP Group. TrueSpeech significantly reduces the size of digital voice information while maintaining voice quality, enabling speech to be efficiently transmitted across telephone lines using industry standard data modems. This new technology enables new business and consumer applications such as teleconferencing, wireless communications, games and education.

"Whether it be the latest modem or speech technology, interoperability is a key AT&T customer requirement and an integral part of our product strategy," said Bob Rango, director of AT&T Microelectronics modem product line. "We are including the 8.5 kbps version of TrueSpeech in our new V.34 high speed DSVD modem chipset because of its open availability in the marketplace and its anticipated use with other DSVD modems."

During 1994, Microsoft announced that it will include TrueSpeech in its upcoming Windows 95 operating system. This technology has also been licensed by leading companies such as Dialogic, Intel, LSI Logic, Siemens and VLSI Technology. TrueSpeech is based on the same speech processing technology used in DSP Group chips to store and play back voice messages shipped in over 75 digital answering machine products marketed by 40 companies throughout the world.

"DSP Group is very pleased to have AT&T Microelectronics as one of the most notable and latest TrueSpeech licensees," said Eli Porat, president and CEO of DSP Group. "Modem manufacturers will now have an additional alternative for voice and data chipsets which include TrueSpeech as an integral component."

DSP Group Inc. (NASDAQ:DSPG) develops and markets enabling digital signal processing and digital speech technologies and products for the PC, multimedia, and communications markets. Headquartered in Santa Clara, Calif., the company offers DSP algorithms, DSP core technology, and families of speech co-processors. The various versions of TrueSpeech compression and decompression software are now implemented in approximately 100 products from 50 companies worldwide. DSP Group provides integrated DSP-based solutions such as the D6000 family of digital answering devices for consumer applications; and the CT8000 family for desktop/mobile telephony and teleconferencing products. Pine- and OakDSPCore designs are licensed to major semiconductor companies for efficient development of application specific integrated circuits. DSP Group's technologies and products have been adopted by industry leaders including AT&T, Microsoft, Motorola, Intel, LSI Logic, VLSI Technology, Sony, Sharp, Panasonic, Philips, Siemens, GEC Plessey, Matra, Alcatel, British Telecom, France Telecom, U.S. Robotics, and others. -0-

Note to Editors: TrueSpeech is a registered trademark of DSP Group Inc. Microsoft and Windows in Windows 95 are registered trademarks of Microsoft Corporation. All other trademarks and registered trademarks are those of their respective companies.

CONTACT: DSP Group Inc., Santa Clara

Ron Richter or Beverly Rindfleisch, 408/986-4300