Press release

26 November 2001

Imagination Technologies and Digital One Announce Completion of Digital Radio and Audio Processor

Goodmans Announces Range of Lower Cost Digital Radio Products Using New META DBX-1 Processor

Imagination Technologies Group plc (LSE: IMG), the leading provider of human computer interface intellectual property (IP), and Digital One, the UK’s only national commercial digital radio network, today announced the availability of the META DBX-1, a single-chip DAB/Audio processor, developed under the partnership announced in April this year. Engineering samples of the chip will be available from next month to key partners with production quantities planned for Q1 2002 leading to sub £100 digital radios by the middle of 2002.

The first customer for this new technology, a subsidiary of Alba plc (LSE: ABA) and leading consumer brand Goodmans, today announced it would incorporate this device into a variety of new entertainment products to launch in the second half of 2002. With retail prices ranging between £99 and £200, these products will initially include: Hi-Fi Digital Radio Tuner; Micro System with CD and Digital Radio; Portable CD/Digital Radio with Speakers; Portable Digital Radio with CD; In-Car CD/Digital Radio Tuner; DVD Player with Digital Radio Tuner. Considering the competitive prices at which these digital radio products will be offered, Goodmans confidently expect very broad retail distribution and, as a consequence, wide availability.

The META DBX-1 is a cost-effective, low power DAB and audio processing chip, which integrates all the necessary functionality and interfaces for a range of DAB-enabled consumer systems on the same chip. The advanced capabilities of the device and its low cost will enable wide availability of portable, and feature-rich digital radios and DAB-enabled multi-function audio systems at new consumer price points.

Digital One and Imagination Technologies will be announcing the appointment of an appropriate manufacturing, marketing and distribution partner for the DBX-1 chip in due course.

Says Hossein Yassaie, President and CEO, Imagination Technologies: “”;Our new technology for DAB and audio systems enables lower cost digital radios with increased functionality and reduced power consumption. This is allowing manufacturers like Goodmans to produce DAB-enabled audio systems at new mainstream consumer price points. This is exactly what is needed to open the doors to the benefits of digital audio broadcast for all users.””;

Says Digital One Chief Executive Quentin Howard: “”;Both the Government and consumers have been calling for manufacturers to make a cheaper digital radio. Digital One and Imagination Technologies have now made that possible and we are delighted to have the commitment of the respected Goodmans brand. This is a huge step forward for all concerned – broadcasters, manufacturers, retailers and especially consumers.””;

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