DSP Group Licenses ParthusCeva's Bluetooth Technology Targeting Residential Wireless Systems

Santa Clara and San Jose, Calif - 03 March 2003 - DSP Group,
Inc. (Nasdaq: DSPG) a worldwide leader in developing and providing Total
Telephony Solutions™ and residential wireless products and ParthusCeva,
Inc. (Nasdaq: PCVA; LSE: PCV), the leading licensor of digital signal
processors (DSP) and application-specific platform Intellectual Property
(IP) to the semiconductor industry, announced today they signed a
licensing agreement to deploy ParthusCeva's BlueStream™ platform targeted
at Bluetooth residential wireless products.

Leveraging ParthusCeva's BlueStream platform solution, DSP Group is
developing a range of products based on BlueStream's short-range wireless
communications including cordless telephony, PBX systems, IP phones, hands
free car kits and multi-media handheld devices.

Bluetooth is rapidly becoming the de-facto standard for wireless
communication between a range of electronic devices such as mobile phones,
laptops, PCs, printers and handheld devices. By eliminating the need for
cables between inter-connecting devices, individuals can share voice and
data using fast and secure local wireless connections. Research Group
In-Stat/MDR, in a December 2002 report, revealed that Bluetooth shipments
hit 35 million by the end of 2002, with compound annual growth forecast at
118% between 2001-2006.

"Emerging Bluetooth technologies are a natural fit into home products.
The integration of voice and data for a home telephony system utilizing
Bluetooth wireless connectivity simplifies usage of all electronics at the
residence level, " said Ofer Shneyour, CTO, of DSP Group. "Adding
Bluetooth to DSP Group's superior voice technology will provide an
exceptional solution for new applications and markets that need an
integrated system-on-a-chip solution. Licensing the Bluetooth technology
from ParthusCeva will contribute to a risk-free and rapid time-to-market
development cycle for our next generation of products," added Mr.
Shneyour.

"We are delighted to extend our relationship with DSP Group and take
Bluetooth technology to the broad cordless telephony and residential
wireless markets," remarked Gerry Maguire, general manager of wireless
technologies at ParthusCeva. "Bluetooth is a fast growing and lucrative
wireless market. Deploying our BlueStream IP delivers the fastest
time-to-market for companies targeting this high growth market."

About BlueStream

ParthusCeva BlueStream is a flexible, silicon proven platform designed
for ease of integration in System-on-a-Chip subsystems. The BlueStream
platform contains all required deliverables for OEMs, semiconductor, ASIC
and fabless customers to rapidly design Bluetooth™ technology into their
ASICs and ASSPs.

The ParthusCeva BlueStream delivers the complete Bluetooth Platform
comprising:

Baseband Controller in RTL
Software
Protocol Stacks - HCI & Embedded
Extensive
Profile Support

BlueStream architecture accelerates Bluetooth deployment and reduces
time-to-certification and time-to-revenue. BlueStream is fully Bluetooth
version 1.1 compliant and implements all mandatory and optional features
required of Bluetooth specification.

*Bluetooth is a trademark owned by Bluetooth SIG, Inc. and is used
by ParthusCeva under license.

Baseband Controller IP

The BlueStream 1000 baseband controller IP solution provides the radio
and lower link controller for the Bluetooth specification. The ParthusCeva
Platform leads the industry in form factor, MIPS requirements and software
ROM size. The ParthusCeva BB is targeted at 0.18µm CMOS. The proposed
ParthusCeva partitioning is a digital 1Mbps interface with low-voltage
signaling.

Protocol Software Architecture & Deliverables

The ParthusCeva protocol stack software has been written in ANSI C
using object oriented techniques, and has been architected to be modular
and easily extended. The software can support both L2CAP variants, with
L2CAP either residing on a host above the HCI or below the HCI in a deeply
embedded ASIC implementation. The stack extends all the way to the RFCOMM
and SDP layer and comes with a fully documented API for applications
developers. Again, with a baseband protocol stack requiring less than
40kbyte, the solution is optimized for integration.

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About DSP Group, Inc.

DSP Group, Inc. is a semiconductor fabless company that is a leader in
the residential wireless market. By combining its DSP cores technology
with advanced RF, communication technology and speech-processing
algorithms, DSP Group is a worldwide leader in developing and providing
Total Telephony Solutions™. These applications include digital 900MHz,
2.4GHz, DECT (1.9GHz), 5.8GHz and Bluetooth for voice and data
communication in residential, SOHO, SME, enterprise and automotive
applications. DSP Group's advanced RF CMOS and communications technology
provides the company with a clear path to a Phone-on-a-Chip™ solution. DSP
Group also develops and markets embedded, integrated silicon/software
solution for Voice-over-Digital-Subscriber Line (VoDSL),
Voice-over-Internet-Protocol (VoIP) applications, and other Voice over
Packet applications for Integrated Access Device (IAD) and IP Phone. More
information about DSP Group is available at www.dspg.com

 

About ParthusCeva, Inc.

Further information about ParthusCeva

A PDF copy of this press release is also available here

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Safe Harbor Statement - ParthusCeva

This document contains "forward-looking statements", which
are subject to certain risks and uncertainties that could cause actual
results to differ materially from those stated. Any statements that are
not statements of historical fact (including, without limitation,
statements to the effect that the company or its management "believes,"
"expects," "anticipates," "plans" and similar expressions) should be
considered forward-looking statements. Important factors that could cause
actual results to differ from those indicated by such forward-looking
statements include uncertainties relating to the ability of management to
successfully integrate the operations of ParthusCeva and Ceva,
uncertainties relating to the acceptance of our DSP cores and
semiconductor intellectual property offerings, continuing or worsening
weakness in our markets and those of our customers, quarterly variations
in our results, and other uncertainties that are discussed in the
registration statement on Form S-1 of ParthusCeva and the most recent
quarterly report on Form 10-Q of ParthusCeva on file with the U.S.
Securities and Exchange Commission.

Safe Harbor Statement - DSP Group

This press release may contains statements that qualify as
"forward-looking statements" under the Private Securities Litigation
Reform Act of 1995, including statements made by Mr. Shneyour about DSP
Group's ability to leverage and integrate the Bluetooth technologies into
DSP Group's existing technologies, as well as the contribution of the
Bluetooth technologies to a risk-free and rapid time-to-market development
cycle for DSP Group's next generation of products. These forward-looking
statements are based on current expectations and DSP Group assumes no
obligation to update this information. In addition, the events described
in these forward-looking statements may not actually arise. DSP Group's
actual results could differ materially from those described in this press
release as a result of various factors, including, DSP Group's ability to
successfully leverage and integrate the Bluetooth technologies with its
existing technologies to develop new products and the acceptance of and
the general demand for such new products. These factors and other factors
which may effect future operating results or DSP Group's stock price are
discussed under "RISK FACTORS" in the Form 10-K for the year ended
December 31, 2001 as well as other report, including Form 10-Qs, DSP Group
has filed with the Securities and Exchange Commission and which are
available on DSP Group's Web site (www.dspg.com) under Investor Relations.

Total Telephony Solutions and Phone-on-a-Chip are
trademarks of DSP Group, Inc.

BlueStream is a trademark of ParthusCeva, Inc. Other
trademarks are registered to their respective owners.