ARM and Superscape Develop Interactive 3D Product For Mobile Applications

First Showing of New Product at 3GSM World Congress 2002, Cannes, France

CAMBRIDGE, England and HOOK, England, Feb. 19 /PRNewswire-FirstCall/ -- ARM [(LSE: ARM); (Nasdaq: ARMHY - news)], the industry's leading provider of 16/32-bit embedded RISC processor solutions, and Superscape plc, (LSE: SPS), an interactive 3D specialist, announced today at the 3GSM World Congress in Cannes, France, that the two companies have developed a 3D software rendering engine for mobile phones, a key element of their new interactive 3D applications platform, Swerve. ARM has completed the code optimization of the first preview release of the Superscape Swerve Client Lite, the Swerve entry- level product for handset manufacturers.

The Swerve Client range will be licensed and marketed by ARM to its global network of Partners who include some of the world's leading manufacturers of mobile phones and chip sets. It is anticipated that ARM will start shipping Swerve Client during Q22002. In addition to the engine itself, a comprehensive package of content creation tools and services will also be available from Superscape.

"We believe that interactive 3D technology, capable of delivering innovative games, personalized messaging and easily navigable user interfaces on 2.5 and 3G mobile phones will be very attractive to the cellular community; notably as a means of delivering rich 3D content to consumers over 2.5G and 3G cellular networks so increasing network traffic," said Steve Evans, VP, Segment Marketing, ARM. "Market response to early demonstrations of Swerve has been extremely encouraging. Superscape is developing a robust applications platform which combines high-quality graphics with compact file sizes, both of which are prerequisites in the mobile environment."

"Development of the Swerve 3D applications platform is progressing very well, with excellent early reaction from the global wireless market," said Dr. Mike Grant, VP, Marketing and Strategy at Superscape plc. "As the power behind wireless 3D, the ARM core-optimized Swerve platform offers manufacturers, operators and content developers the power to create, deliver and experience a wide range of entirely new and compelling wireless applications. We strongly believe that those applications will very quickly make a major contribution to increasing industry revenues from both 2.5G and 3G wireless data services."

Notes to Editors

About Swerve

Swerve enables the delivery of a wide range of compelling user experiences on mobile phones including 3D games, user interfaces and messaging. Using Swerve, providers of Java(TM) technology and C++ applications can enhance the look and feel of existing services or enable the creation of entirely new applications. For manufacturers, operators and content developers, Swerve technology is an innovative, cost-effective and flexible means of offering exciting new services to generate additional traffic and increase revenues.

The Swerve 3D applications platform is comprised of three components: 3D rendering engine, development tools, content creation services.

Swerve Client, embedded into the software environment of the mobile phone, provides the platform on which new, attractive services can be launched -- encouraging users to invest in new handsets which will be capable of delivering these compelling experiences. Swerve Client will be available as part of a Java technology (J2ME compliant) or as a native C++ solution. It has been developed to make maximum use of the assets already on-board the phone. Swerve has a low absolute ROM footprint, but can deliver 3D experiences in as little as 20 Kbytes of RAM.

Swerve Author enables the fast creation of interactive 3D objects, scenes and complete applications using the patented Swerve techniques. Based on the industry standard design tool 3D Studio Max, designers can create content from scratch or build applications using pre-existing assets. Also incorporating a range of behavior prototyping, emulation and production tools, Swerve Author provides a complete solution to 3D application development.

Swerve Applications, a range of ready-made applications for enhanced messaging, gaming and user interfaces, is available from the Superscape Professional Services Group. These applications demonstrate the full range of capabilities of Swerve and provide customers with rich experiences to deliver directly to consumers.

About ARM

ARM is the industry's leading provider of 16/32-bit embedded RISC microprocessor solutions. The company licenses its high-performance, low- cost, power-efficient RISC processors, peripherals and system-on-chip designs to leading international electronics companies. ARM also provides comprehensive support required in developing a complete system. ARM's microprocessor cores are rapidly becoming the volume RISC standard in such markets as portable communications, handheld computing, multimedia, digital consumer and embedded solutions. More information on ARM is available at http://www.arm.com .

About Superscape

Superscape specializes in the development of interactive 3D(i3D) technology. The company has sixteen years experience working in this area, with recent projects including development of the highly successful Harry Potter game for LEGO Media. Superscape's Swerve, comprising software and services, has been developed for wireless environments and has been endorsed by some of the world's key players in this sector. Working in close collaboration with ARM, Swerve is an enabling technology for wireless devices delivering a new generation of multimedia for feature-rich 2.5 and 3G mobile phones. Swerve comprises a 3D engine, authoring tools and a range of associated content development and integration services designed to offer a complete yet flexible solution.

Applications for Swerve include messaging systems, entertainment, branding and location-based information services. Swerve 3D is available for Java (J2ME) platforms, as well as a range of native operating system environments.

Superscape is quoted on the London Stock Exchange and has corporate headquarters in Hook, Hampshire (UK) and San Clemente, California (USA) with regional offices in Tokyo, New Jersey, Paris, Sydney and Barcelona. For more information, visit www.superscape.com .

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; and ARM France SAS.

For further information please contact: Maggie Templeman, Corporate Communications, Superscape plc, Cromwell House, Bartley Wood Business Park, Hook, Hampshire RG27 9XA, +44-(0)1256-745769, fax +44-(0)1256-745777, mtempleman@superscape.com; or Michelle Spencer of ARM, +44-1628-427780, michelle.spencer@arm.com; or Kelly Foster of The Townsend Agency, +1-858-457-4888 ext. 143, kfoster@townsendagency.com, for ARM