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DSP Group Unveils Next Generation DSP Architecture Family - Scalable, Extendible and Licensable

   DSP GROUP LOGO
DSP Group, Inc. logo. (PRNewsFoto)[JL]
SANTA CLARA, CA USA
  CedarDSPCore(TM) Targeting Telecom, Communications and Home Entertainment
      Applications is the Sixth member of the SmartCores(TM) Family From
                              The DSP IP Leader

    SANTA CLARA, Calif., Aug. 12 /PRNewswire-FirstCall/ --
DSP Group, Inc. (Nasdaq: DSPG), the world leader in the development and
licensing of Digital Signal Processor (DSP) cores, today unveiled
CedarDSPCore(TM), a new licensable high performance and low power
architecture. The CedarDSPCore is a scalable and extendible architecture with
various DSP cores designs for different cost and performance metrics.  It is
targeted at a broad range of markets and applications such as Communication
Terminals -- e.g. 3G smartphones, 802.11a/b/g terminals and access points and
broadband modems; Infrastructure -- e.g. base-stations, media gateways and
DSLAMS; and Home Entertainment -- e.g. DVD recorders, PVRs and Set-top boxes.
    (Photo:  http://www.newscom.com/cgi-bin/prnh/20020715/SFM118LOGO )
    "Once again, DSP Group is offering an exciting new high performance DSP
architecture," commented Will Strauss, president of market research firm
Forward Concepts. "The new scalable architecture allows the CedarDSPCore to be
employed across a broad product line from mid-performance to
very-high-performance applications while offering extendibility for product
differentiation. Coming from a company with established leadership in DSP
licensing, this powerful architecture will keep DSP Group as the team to
beat."
    DSP Group's CedarDSPCore presents a unique mix of features designed to
benefit its licensees in three main areas: scalability, productivity and
extendibility.

    Scalable Performance at low energy consumption:
    Performance scalability allows CedarDSPCore licensees to develop
software-enabled products for infrastructure, wireless and multimedia emerging
markets. Combining Very Long Instruction Word (VLIW) and Single Instruction
Multiple Data (SIMD) technologies, the CedarDSPCore offers operation speed of
up to 450Mhz (0.13 micron worst case process in a synthesizable form) with
scalable computation capability such as 2 to 8 Multiply-Accumulates (MACs) in
a clustered model. Furthermore, the scalability runs deeper than MACs as each
cluster includes several arithmetic and logical units and a large register
file. Using four such clusters results in a high performance architecture that
executes numerous parallel operations in a single cycle, up to a peak
performance of 11 billion instructions per second. A scalable number of
clusters with scalable memory bandwidth and different data native words create
various core versions with a different mixture of performance-cost-energy
consumption metrics.

    Productivity:
    Programming in high-level languages such as C or C++ and the use of
compilers for optimization significantly shortens the software development
process and reduces time to market. The CedarDSPCore architecture was
conceptually designed for use with high-level programming language, employing
various features that increase compiler utilization. In addition to the
architecture design, the use of state-of-the-art compiler optimization
techniques results in a powerful and highly efficient compiler for the
CedarDSPCore.
    The hardware implementation of CedarDSPCore, as in our previous SmartCores
series, has been designed from the ground up as a fully synthesizable model,
also known as a "soft core." This provides users a short turn-around cycle
when migrating between existing processes and silicon foundries.
    The CedarDSPCore is delivered with a complete and advanced set of software
and hardware development tools.

    Extendibility:
    The growing adoption of industry standards for high volume applications
such as wireless LAN (802.11a/b/g) or cellular communications (WCDMA, UMTS)
creates a challenge for IC vendors as they attempt to differentiate their
products and provide added value. The CedarDSPCore gives our licensees the
flexibility to extend the architecture by adding user proprietary extension
units. These extensions allow the user to embed value-added features while
benefiting from an open, fully verified and widely used architecture.
    "The CedarDSPCore architecture will broaden our market presence to new
applications such as infrastructure, software-enabled wireless modems and home
entertainment," said Bat Sheva Ovadia, VP Marketing and Business Development
at DSP Group's Ceva Licensing Division. "Our significant installed base of
TeakLite, Teak and PalmDSPCore licensees, as well as third party partners,
will find the CedarDSPCore technology an enabler for exploring additional
opportunities, while taking advantage of legacy developments and relationships
they have developed with DSP Group over the years," added Ms. Ovadia.
    "DSP Group is the world's largest licensor of DSP Cores with more than a
decade of experience in successful licensing," said Eli Ayalon, Chairman and
CEO of DSP Group. "The CedarDSPCore's compelling set of features and
performance demonstrates our long-term commitment to our customers and to the
DSP market," added Mr. Ayalon.
    A report published in April 2002 by Gartner Dataquest on Worldwide
Semiconductor Intellectual Property (SIP) Share Rankings awarded DSP Group
Inc. No. 1 position in 2001 for worldwide DSP Core IP revenues, with over 69
percent market share via sales of its SmartCores family of products.

    About DSP Group, Inc.
    DSP Group, Inc., is a global leader in the development and marketing of
high-performance, cost-effective, licensable digital signal processing (DSP)
cores. The company's family of DSP cores provides ideal solutions for low-
power, cost-effective applications, such as cellular, broadband
communications, VoIP, multimedia, advanced telecommunications systems, disk-
drive controllers, and other types of embedded-control applications. By
combining its DSP core technologies with its proprietary, advanced speech-
processing algorithms, DSP Group also delivers a wide range of enabling,
application-specific integrated circuits (ICs) for full-featured, integrated-
telephony products and applications, including spread spectrum wireless
technologies. DSP Group maintains an international presence with offices
located around the globe. More information about DSP Group is available from
its Web site at http://www.dspg.com .

    This press release may contain statements that qualify as "forward-looking
statements" under the Private Securities Litigation Reform Act of 1995,
including statements made by Ms. Ovadia about the benefits and advantages of
CedarDSPCore, including its ability to broaden the Company's market presence,
as well as the Company's long-term strategy to develop and license more
comprehensive, flexible solutions and application-optimized platforms. These
forward-looking statements are based on current expectations and the Company
assumes no obligation to update this information. In addition, the events
described in these forward-looking statements may not actually arise. The
Company's actual results could differ materially from those described in this
press release as a result of various factors, including, the acceptance by
customers of the CedarDSPCore, the Company's ability to develop and license
more application-optimized platforms incorporating the Company's technology at
cost-effective prices and to add innovative features that differentiate its
products from those of its competitors and the general market demand for
products that incorporate the Company's technology. These factors and other
factors which may effect future operating results or our stock price are
discussed under "RISK FACTORS" in our reports on form 10-K for the year ended
December 31, 2001 and form 10-Q for the quarter ended March 31, 2002, both of
which have been filed with the Securities and Exchange Commission and is also
available on our Web site (http://www.dspg.com) under Investor Relations.

    NOTE:  CedarDSPCore is a trademark of DSP Group, Inc. SmartCores, Teak,
TeakLite and PalmDSPCore are registered trademarks of DSP Group, Inc. Other
brands and products referenced herein are the trademarks or registered
trademarks of their respective holders.

    CONTACT:  Bat-Sheva Ovadia, VP Marketing and Business Development,
Ceva Licensing Division of DSP Group, Inc., (972) 9-952-9616, or
batsheva@dsp.co.il.



SOURCE DSP Group, Inc.




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    CONTACT:
    Bat-Sheva Ovadia, VP Marketing and Business
    Development, Ceva Licensing Division of DSP Group, Inc., (972)
    9-952-9616, or batsheva@dsp.co.il