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Synochip Takes an ARC® License to Provide Consumers Enhanced Security for Personal Data

SAN JOSE, Calif., and ST. ALBANS, England, January 27, 2009 –  ARC International (LSE: ARK), a leading provider of consumer IP to OEM and semiconductor companies worldwide, announced today that Synochip has taken an ARC license to build system on chips (SoCs) that provide advanced security for PCs, flash drives, portable video players and information security and online payment systems. Synochip, China’s leading provider of fingerprint biometric solutions, will employ ARC’s intellectual property (IP) in its next generation SoCs. These sophisticated new chips will provide improved cryptographic capabilities and faster image processing that will enable advanced fingerprint detection and analysis.

“ARC is a leader in powerful consumer IP, which allows us to create custom features in our family of security chips that are unique from competitive solutions,” said Bowin Qiu, co-founder and CEO of Synochip Corp. “In this way Synochip creates a distinctive solution that achieves two goals. First with our chip in a portable device, the consumer can feel secure that his or her information cannot be compromised. Second, our OEM customers are assured they have a storage device that offers total security. And we have a predictable roadmap for our future offerings.”

“Security is an application well suited to an ARC solution, which produces a unique result for each customer,” said Carl Schlachte, president and CEO of ARC International plc. “ARC’s complete IP offerings provide tools needed to quickly and easily incorporate our microprocessors into Synochip’s SoC design and software to help them develop their security applications.”

About the ARC Solution
Synochip’s SoC serving personal electronic security applications need three elements:  low cost, low power, and a high degree of customization to make their chip nearly impossible to compromise. ARC's suite of hardware and software development tools will enable Synochip to build its unique solution while eliminating any delay in getting its SoC to market on time.  Also, the amount of silicon area is smaller than alternative solutions as ARC’s processor IP is configured for each design.  And because ARC processor IP is built on power efficient design technology, each SoC is assured of consuming less power than competitive offerings.

About Synochip Technologies Co. ltd.
Synochip is the world’s leading provider of fingerprint microprocessors by combining innovative algorithm and DSP technologies together. Focusing on identity recognition and information security, such as access control, data security, etc., Synochip is dedicated to the development of DSP, SoC, and ASICs and has successfully launched its first chip to market. In addition, Synochip provides strong technical support and customized turn-key solutions for customers. For information, please visit www.synochip.com.

About ARC International plc
ARC International is a world leading provider of consumer IP to OEM and semiconductor companies globally.  ARC’s award-winning, vertically integrated audio and video solutions enable high quality multimedia content to be captured, shared, and played on a wide range of electronics devices.  ARC’s 150+ customers collectively ship hundreds of millions of ARC-Based™ chips annually in products such as Mobile TVs, Portable Media Players, WiFi-/WiMAX-enabled computers, flash storage, digital cameras, network appliances, and medical and government systems.

ARC International maintains a worldwide presence with corporate and research and development offices in San Jose and Lake Tahoe, Calif., St. Albans, England, St. Petersburg, Russia, and Hyderabad, India.  For more information visit www.ARC.com.  ARC International is listed on the London Stock Exchange as ARC International plc (LSE: ARK).

ARC and ARC-Based are trademarks or registered trademarks of ARC International with the U.S. Patent and Trademark Office and other international trademark organizations. All other brands or product names contained herein are the property of their respective owners. This press release may contain certain "forward-looking statements" that involve risks and uncertainties, including the development, implementation, and release of features described herein. These are at the sole discretion of ARC International. Licenses from 3rd parties for certain software and essential patents may be required depending on licensee's use/implementation. For other factors that could cause actual results to differ, visit the company’s Website as well as the listing particulars filed with the United Kingdom Listing Authority and the Registrar of Companies in England and Wales.