27 October 2004

ARM And Philips' Handshake Solutions Collaborate To Develop Clockless Processor

ARM processor will utilize Handshake Solutions' low-power, self-timed technology

EINDHOVEN, THE NETHERLANDS AND CAMBRIDGE, UK, -Oct. 27, 2004 - Handshake Solutions, a Royal Philips Electronics line of business, and ARM [(LSE: ARM); (Nasdaq: ARMHY)], today announced the joint development and marketing of an ARM® processor using Handshake Solutions' unique low-power, self-timed technology. The partnership provides Handshake Solutions with a license to develop the breakthrough implementation using their unique design flow and methodology.

The ARM processor will utilize Handshake Solutions' Handshake Technology, which is the industry's first production proven methodology for using self-timed circuitry in commercial applications. Handshake Technology has been used for more than five years in tens of millions of products including smart cards, advanced pagers, In-Vehicle Network transceivers, and cordless handsets. The compact asynchronous ARM processor will be particularly useful in the smart card, consumer electronics, and automotive markets because of its very low-power consumption and low Electro Magnetic Interference (EMI).

"Handshake Solution's technology has already been successfully implemented in millions of ICs available in the market today," said Wouter Van Roost, chief executive officer, Handshake Solutions. "Applying Handshake Technology to the industry-leading ARM architecture will result in a new type of ultra low-power processor, enabling new classes of application."

"ARM has always been the low-power leader in embedded microprocessors," said Mike Inglis, executive vice president, Marketing, ARM. "Our partnership with Handshake Solutions will enable new ultra-low power applications in the smart card, consumer electronics, and automotive markets, while preserving the easy integration common to all ARM processors."

This new ARM processor is compliant with the ARMv5TE architecture and optimized for use in both synchronous and asynchronous system-on-chip designs, permitting easy integration by semiconductor makers. The key benefits of the processor include low Electro Magnetic emission, reducing the probability of interfering with sensitive circuitry, and low peak currents, reducing system power requirements. Because asynchronous processors consume zero dynamic power when there is no activity, they can significantly extend battery life. ARM has long recognised the potential of asynchronous design and has supported the Amulet® project led by Professor Steve Furber at Manchester University.

Availability and Tool Support
The new ARM processor will be available as a licensable core from ARM in Q1 2005. It will be supported by Handshake Solutions' advanced design tools and methodology that enables customers to design a complete or partially asynchronous chip. More information on Handshake Solutions can be found at www.handshakesolutions.com.
 
About Royal Philips Electronics
Royal Philips Electronics of the Netherlands (NYSE: PHG, AEX: PHI) is one of the world's biggest electronics companies and Europe's largest, with sales of EUR 29 billion in 2003. With activities in the three interlocking domains of healthcare, lifestyle and technology and 166,800 employees in more than 60 countries, it has market leadership positions in medical diagnostic imaging and patient monitoring, color television sets, electric shavers, lighting and silicon system solutions. News from Philips is located at www.philips.com/newscenter.

About ARM
ARM designs the technology that lies at the heart of advanced digital products, from wireless, networking and consumer entertainment solutions to imaging, automotive, security and storage devices. ARM's 16/32-bit RISC microprocessors, data engines, peripherals, software and tools, combined with the company's broad Partner community, provide a total system solution that offers a fast, reliable path to market for leading electronics companies. More information on ARM is available at http://www.arm.com.

ENDS

ARM is a registered trademark of ARM Limited. All other brands or product names are the property of their respective holders. "ARM" is used to represent ARM Holdings plc (LSE: ARM and Nasdaq: ARMHY); its operating company ARM Limited; and the regional subsidiaries ARM INC; ARM KK; ARM Korea Ltd; ARM Taiwan; ARM France SAS; ARM Consulting (Shanghai) Co. Ltd.; and ARM Belgium N.V.

For media enquiries only, please contact:
Hans Driessen
Philips - Handshake Solutions
Public Relations Department
Tel.: +31.40.2746692
Fax: +31.40.2744947
E-mail: hans.driessen@philips.com

Michelle Spencer
ARM Corporate Communications
Tel: +44 1628 427780
E-mail: michelle.spencer@arm.com

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