News Release: Clarity and Dspfactory team up to provide clear voice solutions for small portable communication devices

From: Dspfactory - 18 Mar 2003

For Immediate Release

CLARITY AND DSPFACTORY TEAM UP TO PROVIDE CLEAR VOICE SOLUTIONS FOR SMALL
PORTABLE COMMUNICATION DEVICES

Peiker demonstrates enhanced "digital microphone" solutions at CEBIT and
CTIA

Hanover, Germany, March 18, 2003 -- Clarity (www.clarityco.com) and
Dspfactory (www.dspfactory.com) have teamed up to provide advanced speech
extraction technology on an ultra-miniature audio processing platform.
Combined, Clarity's CVC (Clear Voice Capture) technology and Dspfactory's
BelaSigna 200 audio processing technology enhance voice and reduce noise in
small portable electronic communication devices such as wireless headsets,
microphones and hands-free kits.

According to Geoff Bellew, Vice President Sales and Marketing, Dspfactory,
"We are finding that manufacturers throughout the world have a growing wish
list for their audio communication devices to have superb audio fidelity,
smaller form factor, and have longer battery life. The single-chip
BelaSigna 200 contains DSP core, coprocessor, stereo audio chain, memory
and is available today to uniquely satisfy these needs."

This week, Peiker acustic GmbH & Co. KG, (www.peiker.de) is demonstrating
at CEBIT, Hanover, Germany, Hall 27, Stand F44, and CTIA, New Orleans,
Louisiana, Booth #4937, new enhanced "digital microphone" solutions
incorporating these technologies. Customers are able to walk up and speak
into a Peiker goose-neck microphone, listen to and view on a computer
display, the resultant clearer speech with removal of virtually all
surrounding show floor noise.

"The small memory and processing requirements of CVC combined with the
small form factor and power efficiency of the BelaSigna 200 audio
processing chip is ideally suited for embedded applications where
exceptional audio performance, low power consumption and miniaturization
are critical," said Reinhardt Kromer, Vice President, Peiker GmbH. "This
results in a highly cost-effective and extremely flexible solution for both
us and our customers," he added.

Peiker has previously licensed, and offer as a standard feature, Clarity's
CVC technology for its Bluetooth and DSP-enabled hands-free systems for
Original Equipment Manufacturer (OEM) customers throughout the world.

"We are encouraged by Peiker's continued success in the marketplace which
in no small part results from their commitment and leadership to provide
the highest level of voice quality and audio performance for their
customers in all of their deliverables," said Fred Nussbaum, Clarity's EVP
Sales and Marketing.

"Being able to now offer a variety of Clear Voice 'digital microphone'
solutions incorporating the BelaSigna 200 again differentiates them in what
can sometimes appear to be a crowded commodity field," Nussbaum added.

About Peiker acustic GmbH
Founded in 1946 in Friedrichsdorf, Germany, Peiker is a worldwide leader
and considered the preeminent supplier of automotive hands-free kits,
microphones and wireless communications technologies and products.

About Dspfactory
Dspfactory Ltd., a fabless semiconductor company, is a leading-edge
developer of ultra-miniaturized, ultra-low power, software-programmable,
digital signal processing (DSP) technology. Dspfactory's mission is to
embed its unique technology ubiquitously into a wide range of market
applications. Its target markets include hearing aids, headsets, personal
digital assistants, personal digital audio players, embedded sensors,
baseband wireless devices, cellular telephones, or any other portable,
battery-powered DSP-based product where size and power consumption are as
important as flexible software processing capabilities. To support the
development and implementation of signal processing software solutions on
its technology platforms, Dspfactory also provides a complete set of
easy-to-use support tools and services, ranging from software development
and testing tools to custom DSP software development and engineering
services. For more information, visit http://www.dspfactory.com.

About Clarity
Clarity is a leading provider of software products that improve the voice
quality and performance of voice activated interfaces. Clarity's primary
strategy is to enter into co-development alliances and licensing
arrangements with Original Equipment Manufacturers and suppliers in
multiple industries, including automotive telematics providers,
semiconductor manufacturers and telecommunications network operators and
device makers worldwide.

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Media Contacts:
For Dspfactory:
Geoff Bellew
+1 519 721 7807

For Peiker:
Reinhard Kromer-von Baerle
+49 61 72 767 101

For Clarity:
Fred Nussbaum
+1 248 822 5122