MobilEye Selects Virage Logic IP for Single Camera Driving Assistance System

FREMONT, Calif., and PARIS, France, February 17, 2004 - The reality of cars that warn drivers of road hazards and track potentially dangerous behavior of other nearby cars is closer than you think, thanks to MobilEye Vision Technologies (Jerusalem, Israel), maker of a single camera driving assistance System-on-Chip (SoC) called EyeQ™, and in part to Virage Logic Corp. (Nasdaq: VIRL), whose semiconductor IP is being used in the innovative system. Virage Logic, a leading provider of best-in-class semiconductor IP platforms, today announced that MobilEye has licensed the Self-Test and Repair (STAR) Memory System® that is used in the MobilEye EyeQ.

The MobilEye EyeQ offers a solution for computationally intensive real-time visual recognition and scene interpretation. The chip architecture is designed to maximize cost performance by performing a full-fledged image application, such as a low-cost Adaptive Cruise Control, using a single video source on a single, ultra low-cost chip. The system can be used in a variety of automotive applications, including on side mirrors to alert the driver of cars coming from behind, inside the car to control the release of air bags based on passenger size, in adaptive cruise control, in forward collision warning, rain sensing, tunnel sensing, and much more. The technology has been adopted by a majority of the world's leading automotive manufacturers and suppliers in Japan, Europe and the USA, and MobilEye has a number of strategic production agreements with manufacturers and suppliers world-wide. The STAR Memory System, which self-tests and repairs embedded memories, enables MobilEye and its customers to reduce manufacturing costs and deliver higher product reliability, both of which are important in automotive applications. Because Virage Logic has built test and repair intelligence into the STAR Memory System, it eliminates the need for expensive external testers or laser repair equipment thereby resulting in a drastic reduction in test development time and cost. In addition, whenever the MobilEye camera is powered on, the STAR Memory System performs a self-test and repairs the faulty devices to boost the system reliability.

"We chose Virage Logic's STAR Memory System because of its unparalleled quality and reliability, which are essential in automotive applications," said Ziv Aviram, president and CEO of MobilEye. "The STAR Memory System also enables very high yield for our very high volume product. In addition, Virage Logic provided us with excellent local support in Europe and in Israel, where our R&D facilities are located."

"MobilEye's EyeQ is extraordinary technology and we are very pleased our STAR Memory System is playing an enabling role in such an exciting product," said Jim Ensell, vice president of marketing for Virage Logic. "Our commitment to quality and superior customer support makes the fit between Virage Logic and MobilEye especially good, given the nature of the applications in which EyeQ is used."

About The STAR Memory System
The STAR Memory System provides cost effective embedding, on-chip testing, and repairing of designs incorporating multiple megabits of memories. The system can test Area, Speed and Power (ASAP) and STAR memories and repair STAR memories. In addition to the memories, the system consists of a STAR Processor that is the test and repair engine and a STAR Fuse Box that stores the repair information. The system substantially reduces test costs and improves overall yield, potentially saving millions of dollars in recovered silicon and achieving a shorter time-to-volume.

About MobilEye
MobilEye was incorporated in May 1999 for the purpose of developing and marketing advanced products in the surging market of automated on-board driver assistant systems. MobilEye has developed a number of proprietary image understanding algorithms and electronics using computer vision technology for processing image sequences from a single camera input source. The processing includes a number of key functionalities such as vehicle detection, lane finding, road curvature preview, vehicle self-motion, pedestrian detection as well as interior camera technology for passenger and driver out-of-position detection for smart airbag deployment.

These algorithms provide a complete solution for a wide variety of in-car driver advocate applications including ACC, ACC Stop & Go, Lane Departure Warning, Lane Keeping, Blind Spot Detection, Lane Change Assistance, Collision Mitigation and Warning and Passenger/Driver out-of-position either using a camera source alone or combined with radar systems.

The company has developed a system-on-a-chip called EyeQ that offers a highly integrated single chip platform with an architecture design suited for a wide range of applications. EyeQ, first released to customers in January 2004, will be ready for serial production beginning April 2005. More information about MobilEye is available at http://www.mobileye.com/

About Virage Logic
Virage Logic Corporation (Nasdaq:VIRL) is a leading provider of best-in-class semiconductor IP platforms based on memory, logic, and I/Os that are silicon-proven and production ready. Virage Logic meets market demands for cost reduction, while improving performance and reliability for fabless and integrated device manufacturer (IDM) companies focused on the consumer, communications and networking, handheld and portable, and computer and graphics markets. Virage Logic is headquartered in Fremont, California and has sales and support offices worldwide. For more information, visit www.viragelogic.com or call (877) 360-6690 toll free or (510) 360-8000.

For more information contact:

Sabina Burns
Virage Logic Corporation
510-743-8115
sabina.burns@viragelogic.com

Kerry McClenahan
McClenahan Bruer Communications
503-546-1002
kerry@mcbru.com

SAFE HARBOR STATEMENT FOR VIRAGE LOGIC UNDER THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995:
Statements made in this news release other than statements of historical fact are forward-looking statements, including, for example, statements relating to Virage Logic's business outlook, new products and new relationships. Forward-looking statements are subject to a number of known and unknown risks and uncertainties, which might cause actual results to differ materially from those expressed or implied by such statements. These risks and uncertainties include Virage Logic's ability to maintain and develop new relationships with third-party foundries, adoption of technologies by semiconductor companies and increases in the demand for their products, the company's ability to overcome the challenges associated with establishing licensing relationships with semiconductor companies, the company's ability to obtain royalty revenues from customers in addition to license fees, business and economic conditions generally and in the semiconductor industry in particular, competition in the market for embedded memories and other risks including those described in the Company's Annual Report on Form 10-K for the period ended September 30, 2002, filed with the Securities and Exchange Commission (SEC) on December 16, 2002, and in Virage Logic's other periodic reports filed with the SEC, all of which are available from Virage Logic or from the SEC's website (www.sec.gov), and in press releases and other communications. Virage Logic disclaims any intention or duty to update any forward-looking statements made in this news release.