Neomagic Corporation and HelloSoft demonstrate complete VoIP solution for handheld devices

Santa Clara, Calif. – November 18, 2005 – NeoMagic Corporation (Nasdaq: NMGC), a pioneer in developing solutions for multimedia-rich mobile phones and other mobile systems, and HelloSoft, a leading provider of high-performance communications IP for next generation VoIP, WLAN and Mobile Devices today announced the development and demonstration of a VoIP solution for mobile handset manufacturers based on the MiMagic 6+ multimedia accelerator.

“Delivering complete solutions to our handset OEMs and ODMs for today’s emerging mobile devices is our mission at NeoMagic,” said Mr. Doug Young, NeoMagic Corporation’s President and Chief Executive Officer. “Our VoIP solution is the latest addition to our broad portfolio of multimedia offerings, including Mobile Digital TV, digital still camera, video camcorder, audio/video player and 3D gaming, which run on mobile devices. We will continue to develop solutions for our MiMagic family which address our customers’ needs for Video, Imaging, and Sound.”

NeoMagic and HelloSoft will be demonstrating HelloVoice™, a complete Voice over Packet solution, implemented and optimized for NeoMagic’s MiMagic 6+ Multimedia Processor. A demonstration of the solution will be shown at the VoIP Expo in Shanghai on November 23 and 24, 2005. The solution addresses handset manufacturers’ need to get to market quickly with a complete, interoperable, standards-based mobile VoIP solution that delivers high quality phone calls with low power consumption. “HelloSoft is a leader in providing highly optimized VoIP solutions for mobile devices,” said Mr. Krishna Yarlagadda, Founder, President & CEO of HelloSoft. “By working with NeoMagic, we can offer handset manufacturers with a highly comprehensive and highly optimized VoIP solution for dual mode phones. We are excited to work with NeoMagic and deliver this solution to the marketplace.”

The HelloVoice™ VoIP solution includes a complete set of media algorithms required for voice processing like high compression Voice Coders, Acoustic Echo Canceller, Telephony components, Jitter Buffering, SIP Signaling Protocol, RTP/RTCP, Call Manager, OS Abstraction and Media and System Frameworks. Also provided with the software platform are an application layer with appropriate APIs and a sample Application which enable handset manufacturers to seamlessly develop their own custom user interfaces.

About NeoMagic

NeoMagic Corporation, based in Santa Clara, California, enables new generations of mobile systems with its Multimedia Processors that are designed to offer the lowest power, smallest form-factor and best multimedia features and performance. The company is a pioneer in the integration of complex logic, memory and analog circuits into single-chip solutions. Information on the company may be found on the World Wide Web at www.neomagic.com.

About HelloSoft, Inc.

HelloSoft is a leading provider of high-performance communications IP for next generation VoIP, WLAN, VoWLAN and Cellular devices and equipment. Established in 1999, HelloSoft licenses customizable Physical and MAC Layer, Networking Protocol IP and complete VoIP building blocks including Echo Cancellers, SIP, and codecs to semiconductor companies and OEMs for Voice- Over-Packet, Wireless LAN, and 2.5G/3G Wireless. HelloSoft’s solutions are provided as a suite of integrated products which address next-generation mobile phones, personal digital assistants, IP phones, set-top boxes, game consoles, residential gateways, enterprise and SOHO gateways, WLAN access points, carrier-class media gateways, softswitches, and mobile base stations. For more information visit us at www.hellosoft.com.

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