ARM Ltd Partners with Digital

Acorn joint venture company continues run of success

3 February, 1995

Advanced RISC Machines Ltd, in which the Acorn Computer Group holds a 43% stake, has announced the licensing of the ARM RISC architecture to Digital Semiconductor, a business of Digital Equipment Corporation. The StrongARM family of 32-bit RISC products, to be developed under the agreement, is intended to complement and broaden the existing ARM product line for performance critical applications such as:

According to Robin Saxby, Managing Director & CEO of Advanced RISC Machines Ltd (ARM Ltd):
"Having Digital Semiconductor jointly design and build new processors compliant with the ARM architecture will add momentum to ARM's acceptance as the volume RISC standard for 32-bit applications."
Ed Caldwell, vice president and general manager of Digital Semiconductor, comments:
"Today, our Alpha products provide unmatched performance for desktop and server applications. The StrongARM product line will complement this strategy with its focus on enhancing performance for mass-market applications in which very low power dissipation is critical. This agreement with ARM Ltd also gives us early entry into rapidly growing, high volume markets."
Analysts estimate that the market for 32-bit RISC embedded consumer applications will grow 75 percent year over year to more than 10.5 million units in 1998 (InStat October 1994).

Jerry Banks, Director/Principal Analyst at Dataquest, comments:

"This relationship seems to be a perfect strategic fit. ARM Ltd gains access to high performance microprocessor design and process technology, while Digital gains ARM Ltd's expertise in low power design, as well as access to high volume markets with significant potential. The resulting products could have a far-reaching effect on many emerging consumer applications like PDAs, interactive TV and games."
Sam Wauchope, Acorn Computer Group Managing Director, comments:
"This agreement with Digital is a great step forward both for ARM Ltd and the Acorn Computer Group. The succession of recent licensing wins is a resounding vindication of our decision to form ARM Ltd in 1990. The establishment of ARM as the international standard for 32 bit RISC architecture will enable both Acorn Computers Ltd and Online Media, our recently launched set top box division, to remain technologically ahead of the competition in their chosen markets. The returns on our 43% stake in ARM Ltd, both now and in the future, show that this was a sound financial investment."
Founded in 1978, with 1993 revenues of 54.3m, Acorn Computers is the premier supplier of IT solutions to UK education and was the first supplier of 32-bit RISC based personal computers in 1987. Acorn works closely with a strong community of industry partners, users and software developers to provide innovative technology solutions for the education, consumer, publishing and international markets.

Acorn Computer Group plc is the holding company for Acorn Computers Limited, Acorn Australia, Acorn New Zealand, Acorn GmbH and Online Media. Acorn Computer Group owns 43% of Advanced RISC Machines Ltd. Online Media, a division of the Acorn Computer Group, was launched in 1994 with the mission to design world class, interactive multimedia products.

Background Information

The first product in the StrongARM family is currently under development at Digital Semiconductor's Palo Alto, California, and Austin, Texas, research centres and ARM's Cambridge, UK headquarters. Digital expects the device to be among the first products manufactured at its new FAB 6 state-of-the-art chip fabrication facility in Hudson, MA. The products developed under the agreement will be sold through Digital Semiconductor's sales channels. In addition, processors and processor cores developed under this agreement will be available for licensing to other semiconductor partners. Saxby added "This is consistent with our strategy of making the ARM architecture an open standard for performance oriented, power-efficient and cost-effective applications."

The agreement with Digital Semiconductor is the latest in a long line of significant partnerships made by ARM, part of the Acorn Computer Group, over the last twelve months. Agreements have been signed with the following companies: Compass Design Tools, to aid the design of ARM's future generation of chips; VLSI, to base IBM's Serial Storage Architecture on the ARM processor; Samsung, to license the ARM technology; Communicate and VLSI to develop the ARM-based Ruby data/fax modem chip; Perihelion, to port its Helios Real Time Operating System to ARM; and ATM Ltd, to incorporate ARM chips in its ATM network products.

Advanced RISC Machines Limited (ARM)

ARM designs, licenses and markets fast, low cost, low power consumption RISC processors for embedded control, consumer/educational multimedia, DSP and portable applications. ARM licenses its enabling technology to semiconductor partner companies, who focus on manufacturing, applications and marketing. Each partner offers differentiated ARM related technologies and services, which together satisfy a wide range of end-user application needs. ARM also designs and licenses peripherals, supporting software and hardware tools and offers design services, feasibility studies and training. This results in a global partnership committed to making the ARM architecture the volume RISC standard. ARM's partners include: VLSI Technology, GEC Plessey Semiconductors, Sharp Corporation, Texas Instruments, Cirrus Logic, Samsung, AKM and Digital Equipment Corporation. ARM was formed in 1990 by Acorn Computers, Apple Computer and VLSI Technology with Nippon Investment and Finance (a Daiwa Securities subsidiary) investing in 1992.

Digital Semiconductor

Digital Semiconductor, a Digital Equipment Corporation business headquartered in Hudson, Massachusetts, designs, manufactures and markets semiconductor products including Alpha microprocessors and PCI-based peripheral chips. PCI products include networking chips, bridge chips, and graphics/multimedia accelerators that offer industry leading performance and functionality for all major platforms, both CISC and RISC. Digital Semiconductor operates design centres in Hudson, Massachusetts; Palo Alto, California; Austin, Texas; and Jerusalem, Israel. Semiconductor products are manufactured at facilities in Hudson and South Queensferry, Scotland. Digital Semiconductor sells its products worldwide through its direct sales force and semiconductor distribution channels.

Digital Equipment Corporation

Digital Equipment Corporation is the world's leader in open client/server solutions from personal computing to integrated worldwide information systems. Digital's scalable Alpha platforms, storage, networking, software and services, together with industry-focused solutions from business partners, help organisations compete and win in today's global marketplace.

Acorn, the Acorn device, Online Media and the OM device are trademarks of Acorn Computers.

Digital and the Digital logo are trademarks of Digital Equipment Corporation.

ARM, StrongARM and the ARM Powered logo are trademarks of Advanced RISC Machines Ltd.

© 1995 Acorn Computer Group plc.
Design: © 1995 Cave Rock Software Ltd.