SMIC Extends ARM Foundry Program Relationship To ARM926EJ Processor In 0.13-Micron Process

CAMBRIDGE, UK – Sept. 7, 2004 – ARM [(LSE: ARM) (Nasdaq: ARMHY)] today announced that Semiconductor Manufacturing International Corporation (SMIC; NYSE: SMI and HKSE: 981) , one of the leading semiconductor foundries in the world, has extended its participation as an approved foundry in the ARM Foundry Program by licensing the ARM926EJ™ microprocessor and its associated Embedded Trace Macrocell™ (ETM9™) on-chip debug peripheral. The ARM926EJ processor will be implemented in a 0.13-micron process, and will enable SMIC to respond to increased demand for foundries capable of manufacturing ARM9™ family-based system-on-chip (SoC) solutions.

“China is an increasingly important supplier of semiconductors to both Chinese and international electronics manufacturers,” said James Sung, vice president of sales and marketing at SMIC.  “Because of the sharp growth in the electronics market, the sophistication of Chinese semiconductor designs is increasing at an unprecedented rate. Domestic fabless semiconductor companies demand a local manufacturing partner for complex SoCs, particularly in 0.13-micron process. This new license leverages SMIC’s expertise in ARM microprocessor-based implementations and satisfies our customers’ requirements.”

Today’s announcement marks the third product in the ARM roadmap to be licensed by SMIC. The foundry licensed the ARM7TDMI® processor in July 2003 and the ARM922T™ processor (plus ETM9 software) in March 2004.

“This extension of ARM’s already strong relationship with SMIC will offer our fabless semiconductor Partners in the ARM Foundry Program rapid access to design, debug, and advanced ARM implementation technology,” said Jun Tan, president, ARM China. “Together, ARM and SMIC will continue to support the development of the Chinese electronics industry.”

Availability

<>SMIC expects to have silicon-proven implementations of the ARM926EJ processor in 0.13-micron process available byQ1 2005.

About the ARM Foundry Program><>

The ARM Foundry Program is an innovative business model that enables fabless semiconductor companies in emerging markets to gain access to ARM processor technology, for use in the design and manufacture of advanced SoC solutions. The Foundry Program builds a three-way partnership among ARM, an approved silicon foundry, and a fabless semiconductor company that accelerates the time-to-market for ARM processor-based designs, and enables OEMs without access to fabrication facilities to work directly with an approved ARM semiconductor foundry. ARM now offers the ARM926EJ Prime Starter Kit (combined ARM926EJ processor, PrimeXsys™ Platform and Embedded Trace Macrocell module), the ARM7TDMI processor, the ARM922T processor, the ARM946E™ processor and the ARM1022E™ processor through its Foundry Program.

About ARM>

ARM designs the technology that lies at the heart of advanced digital products, from wireless, networking and consumer entertainment solutions to imaging, automotive, security and storage devices. ARM’s 16/32-bit RISC microprocessors, data engines, peripherals, software and tools, combined with the company’s broad Partner community, provide a total system solution that offers a fast, reliable path to market for leading electronics companies. More information on ARM is available at http://www.arm.com.

ENDS

ARM, ARM7TDMI, Jazelle and Thumb are registered trademarks of ARM Limited. ARM9, ARM922T, ARM926EJ, ARM946E, ARM1022E, Embedded Trace Macrocell, ETM9 and PrimeXsys are trademarks of ARM Limited. “ARM” is used to represent ARM Holdings plc (LSE: ARM and Nasdaq: ARMHY); its operating company ARM Limited; and the regional subsidiaries ARM INC; ARM KK; ARM Korea Ltd; ARM Taiwan; ARM France SAS; ARM Consulting (Shanghai) Co. Ltd.; and ARM Belgium N.V.