Xiran's New DirectPath Engine Integrates Eight ARCtangent User-Configurable Processor Cores.

Business Editors/High-Tech Writers

SAN JOSE, Calif.--(BUSINESS WIRE)--June 16, 2003

First single-chip symmetric multiprocessor system IC based on

ARCtangent achieves Gigabit/sec wire speed in Xiran's content and

data delivery systems and accelerator card platforms

ARC International (LSE: ARK), a world leader in user customizable processors, silicon peripheral IP, real-time operating systems and software tools for embedded system development announced today that Xiran, a division of SimpleTech, Inc. (NASDAQ:STEC) selected the ARCtangent(TM) for integration into its new DirectPath Engine. The DirectPath Engine chip is aimed at offering Gbps wire speed server throughput in content delivery and network storage applications.

"Xiran selected the ARCtangent microprocessor core for two reasons," said Jean-Claude Toma, vice president of marketing for Xiran. "The configurability of the ARC core made it possible for Xiran's designers to add instructions and tune the already powerful RISC instruction set to off-load a diverse set of network and transport protocols such as TCP/IP, UDP/IP, HTTP, RTP, RDT and iSCSI to our DirectPath Engine (DPE) System IC. The availability of tools from ARC helped us to validate the chip and offer OEMs an opportunity to add more application code to the device, further differentiating our DPE-enabled products. In addition, the ARC cores were extremely compact in terms of transistor count, helping us to minimize chip size without compromising on performance. Xiran's ARC-based DPE was the key technology behind our winning the AIM award for the best-in-breed content delivery solutions at this year's National Association of Broadcaster (NAB) Conference," Toma added.

"Xiran's design really showcases the benefits of configurable IP," said Mike Gulett, president and CEO of ARC International. "They've come up with a unique symmetrical processing capability which minimizes system latency. Making it possible for all the processors to see and access all data in cache memory all the time provides an exceptionally high performance environment for content and data delivery applications."

The ARCtangent, a user-customizable RISC/DSP core for ASIC and system-on-chip (SoC) products, comes with a highly optimized tool chain. The MetaWare(R) tool suite fully supports the capabilities of the ARCtangent processor including multiprocessor debugging and extensibility for processor customization.

Notes to editors

About Xiran

Xiran, a division of SimpleTech (Nasdaq:STEC), is a technology leader in developing advanced solutions for accelerating content delivery by servers between storage and networks at wire speeds. Located in Irvine, California, the company combines proprietary hardware, firmware and software to implement its DirectPath family of products and systems. These are aimed at improving Server width and performance in several high growth markets ranging from streaming media and video-on-demand to emerging enterprise applications involving storage area networks. For more information, visit the company's website at www.xiran.com.

About ARC

ARC International pioneered the integrated development environment for SoC design in an effort to minimize design risk for customers developing next generation wireless, networking and consumer electronics products. ARC introduced the industry's first user-customizable 32-bit RISC/DSP processor core. In early 2000, ARC became the first company to integrate the development tools, peripherals, RTOS and software that enable the designer to better design optimization and performance. ARC's approach to providing a single source for the major SoC building blocks reduces the number of IP suppliers, reduces cost, reduces the risk of system-on-chip design and reduces time-to-market.

ARC's products include:

-- The ARCtangent(TM) user-customizable 32-bit RISC/DSP

processor;

-- USB 2.0 On-the-Go (OTG) High-Speed Host and Device; small

Ethernet 10/100 MAC, and other peripherals;

-- MetaWare(R) C/C++ Compiler, the most popular integrated

software development tool suite for SoC design;

-- SeeCode(TM), the leading tool for simultaneous,

multi-processor debugging;

-- Precise/RTCS(TM), embedded Internet stack and related software

protocols;

-- Precise/MQX(TM), a scalable real-time operating system (RTOS);

-- ARC's software tools, RTOS and embedded software are also

available for ARM, PowerPC and MIPS processors.

ARC International employs approximately 200 people in research and development, sales and marketing offices across North America, Europe and Asia. Full details of the company's locations and other information are available on the company's website, www.ARC.com. ARC International is listed on the London Stock Exchange as ARC International plc (LSE:ARK).

Statements made in this press release that are not historical facts include forward-looking statements that involve risks and uncertainties. Important factors that could cause actual results to differ from those indicated by such forward-looking statements include, among others, market acceptance of the ARC technology; fluctuations in and unpredictability of the Company's quarterly results; general economic and business conditions; regulatory policies adopted by governmental authorities; assumptions regarding the Company's future business strategy; changes in technology; competition; ability to attract and retain qualified personnel; risks associated with the Company's international operations; and other uncertainties that are discussed in the "Investment Considerations" section of the Company's listing particulars dated 28 September 2000 filed with the United Kingdom Listing Authority and the Registrar of Companies in England and Wales. The Company disclaims any intention or obligation to update any forward-looking statements as a result of developments occurring after the date such statement was first made. In view of the many applications in which its Licensees may use the ARC products, ARC cannot warrant that those applications do not infringe the patents of others. ARC strongly encourages its Licensees to become familiar with the policies governing the use and licensing of intellectual property established by any organization whose standards the Licensee wishes to follow, and to review the list most standards-promulgating organizations publish, of entities that claim to have patents relating to the relevant standards or underlying technology.

ARC, the ARC logo, ARCtangent, ARCangel, ARCompact, ARChitect, ARCform, CASSEIA, High C, High C/C++, SeeCode, MetaDeveloper, MetaWare, Precise Solution, Precise/BlazeNet, Precise/EDS, Precise/MFS, Precise/MQX, Precise/MQXsim, Precise/RTCS, Precise/RTCSsim are trademarks of ARC International. All other brands or product names are the property of their respective holders.