Virage Logic Named as Finalist for EE Times ACE Award in Small/Medium Sized Company of the Year Category

This award celebrates the company with under $1 billion in sales that exhibits the highest degree of professionalism in staff development and retention, customer focus, technical excellence and profitable growth, demonstrating themselves as a true leader in the electronics sector. The winner will be announced at an awards gala to be held at the Embedded Systems Conference on March 9, 2005, at the Moscone Center in San Francisco.

Long considered a technology leader in physical IP platforms comprising logic, memories and I/Os, Virage Logic is extending its position to market leader as well, particularly at advanced process nodes such as 130-nanometer (nm) and below. In order to achieve this technology and market leadership position, Virage Logic invested early in technology to address the challenges designers face at each new process node. This investment is evidenced in the company's recent introduction of Silicon Aware IP(TM), a new class of IP that tightly integrates Physical IP such as memories, logic and I/Os, with embedded Infrastructure IP for test, diagnostics, repair and yield enhancements resulting in higher yields and faster time-to-volume at advanced process nodes.

"Virage Logic is honored to be selected as a finalist in a field that's so populated with outstanding innovators and talented business managers," said Jim Ensell, vice president of marketing at Virage Logic. "We are pleased that our commitment to technology leadership and quality, and our 30% growth in 2004, are being recognized as part of this prestigious award program."

A respected panel of judges, made up of industry visionaries, leading technologists, educators and Wall Street executives, selected the finalists from a total of more than 340 entries in seven categories.

For more information about Virage Logic and Silicon Aware IP, please go to http://www.viragelogic.com/.

About EE Times ACE Award and Opportunities

The EE Times ACE Awards were created to recognize the people, companies and products that show leadership in the electronics industry and will honor those who are leading the way and making positive contributions-the creators of technology. Awards will be presented at a first-ever awards gala held during CMP Media's Embedded Systems Conference in San Francisco on March 9, 2005, from 7 p.m. to 10 p.m. at the Moscone Center. To purchase tickets or a table and to learn more about the event, visit http://www.eetimes.com/ace.

About Virage Logic Corporation

Founded in 1996, Virage Logic Corporation rapidly established itself as a technology and market leader in providing advanced embedded memory intellectual property (IP) for the design of complex integrated circuits. Today the company is a global leader in semiconductor IP platforms comprising embedded memories, standard cells, and I/Os and is pioneering the development of a new class of IP called Silicon Aware IP. Silicon Aware IP tightly integrates Physical IP (memory, logic and I/Os) with the embedded test, diagnostic, and repair capabilities of Infrastructure IP to help ensure manufacturability and optimized yield at the advanced process nodes. Virage Logic's highly differentiated product portfolio provides higher performance, lower power, higher density and optimal yield to foundries, integrated device manufacturers (IDMs) and fabless customers who develop products for the consumer, communications and networking, hand-held and portable, and computer and graphics markets. The company's comprehensive quality efforts are validated in its FirstPass-Silicon Characterization Lab, which helps ensure high quality, reliable IP across a wide range of foundries and process technologies. Headquartered in Fremont, California, Virage Logic has R&D, sales and support offices worldwide. For more information, visit http://www.viragelogic.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 trends, business outlook, products, and customer 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 forecast its business, including its revenue, income and order flow outlook; Virage Logic's ability to execute on its strategy to become a provider of semiconductor IP platforms; Virage Logic's ability to continue to develop new products and maintain and develop new relationships with third-party foundries and integrated device manufacturers; adoption of Virage Logic's technologies by semiconductor companies and increases or fluctuations 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, to receive accurate information necessary for calculating royalty revenues and to collect royalty revenues from customers; business and economic conditions generally and in the semiconductor industry in particular; competition in the market for semiconductor IP platforms; and other risks including those described in the company's Annual Report on Form 10-K for the period ended September 30, 2004, and in Virage Logic's other periodic reports filed with the SEC, all of which are available from Virage Logic's website (http://www.viragelogic.com/) or from the SEC's website (http://www.sec.gov/), and in news releases and other communications. Virage Logic disclaims any intention or duty to update any forward-looking statements made in this news release.

NOTE: All trademarks and copyrights are property of their respective owners and are protected therein.

CONTACT: Sabina Burns of Virage Logic Corporation, +1-510-743-8115, or
sabina.burns@viragelogic.com; or Kerry McClenahan of McClenahan Bruer
Communications, +1-503-546-1002, or kerry@mcbru.com, for Virage Logic

Web site: http://www.viragelogic.com/