ARM And Nokia Sign Agreement To Boost Smart Phone Market

ARM's PrimeXsys Platform software to be optimized to work with Nokia's software platform for smart phones. ARM becomes a member of the Series 60 Product Creation Community

CAMBRIDGE, UK AND ESPOO, FINLAND- May 28, 2003 –ARM [(LSE: ARM); (Nasdaq: ARMHY)], the industry's leading provider of 16/32-bit embedded RISC processor solutions, and Nokia (NYSE:NOK), today announced that ARM will optimize the ARM® PrimeXsys™ Platform software for execution of the Series 60 Platform.

The ARM PrimeXsys Platform provides semiconductor and system companies and smart phone developers with a suite of pre-validated hardware, software and verification Intellectual Property (IP) necessary to design a system-on-chip (SoC). The PrimeXsys Platform already provides support for Symbian OS, on which the Series 60 Platform is designed to run. By enabling full compatibility with Series 60 Platform, the PrimeXsys Platform will provide a robust choice of building blocks for an application co-processor for Symbian OS–based smart phones. In addition, a system developer can add media acceleration, connectivity or other differentiating technology to create a compelling SoC design.

With the agreement, ARM becomes a member of the Series 60 Product Creation Community, which is designed to assist the handset manufacturers who have licensed the Series 60 Platform and to accelerate the development and acceptance of standard-based smart phones. The PrimeXsys Platform will add value to a growing Series 60 community by bringing a fully integrated suite of technologies and development tools which will ease product development effort and speed development cycles. At the same time, existing and new developers of ARM core-based smart phone devices will benefit from the optimization of the PrimeXsys Platform and Series 60 by enabling them to quickly integrate their system-level technology with this widely supported terminal software platform.

"Most of the developed wireless market is rapidly moving from growing new subscribers to growing data revenue from advanced services," said Oliver Gunasekara, director, wireless segment, ARM. "Enhancing the user experience and improving handset compatibility are key to growing ARPU. Optimizing the ARM PrimeXsys Platform for the Series 60 Platform will provide a rich standard environment for delivering compelling data services and accelerate the development of next-generation smart phones with attractive and innovative applications."

"Collaboration with the leading industry players, such as ARM, will benefit licensees with advanced functionalities, high performance and most importantly, reduced time-to-market when developing smart phones based on the Series 60 Platform," said Jukka Riivari, director, Sales, Nokia Mobile Software.

The Series 60 Platform is a software product for smart phones that Nokia licenses to other mobile handset manufacturers. Manufacturers will be able to integrate the Series 60 Platform into their own phone designs running on top of Symbian OS. The Series 60 Platform includes mobile browsing, multimedia messaging and content downloading, as well as a host of personal information management and telephony applications. In addition, the software platform includes a complete and modifiable user interface library. The Series 60 Platform is licensed by Nokia Mobile Phones, Panasonic, Samsung, Sendo and Siemens.

"It is important that ARM and Nokia – two leading participants in the Symbian OS ecosystem – are working closely together on this initiative," said Mike Whittingham, Worldwide Semiconductor Partner Program director, Symbian Ltd. "Enabling the adaptation of the ARM PrimeXsys Platform with Nokia's Series 60 will reduce time and cost for Symbian OS licensees bringing Series 60-based smart phones to market."

About ARM

ARM is the industry's leading provider of 16/32-bit embedded RISC microprocessor solutions. The company licenses its high-performance, low-cost, power-efficient RISC processors, peripherals, and system-chip designs to leading international electronics companies. ARM also provides comprehensive support required in developing a complete system. ARM's microprocessor cores are rapidly becoming a volume RISC standard in such markets as portable communications, hand-held computing, multimedia digital consumer and embedded solutions. More information on ARM is available at http://www.arm.com.

About Nokia

Nokia is the world leader in mobile communications. Backed by its experience, innovation, user-friendliness and secure solutions, the company has become the leading supplier of mobile phones and a leading supplier of mobile, fixed broadband and IP networks. By adding mobility to the Internet Nokia creates new opportunities for companies and further enriches the daily lives of people. Nokia is a broadly held company with listings on six major exchanges.

ARM is a registered trademark of ARM Limited. PrimeXsys is a trademark of ARM Limited. All other brands or product names are the property of their respective holders. "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; and ARM Consulting (Shanghai) Co. Ltd.