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msystems And ARM Collaborate To Offer An Enhanced TrustZone Security Solution

04 October 2006

msystems mSafe cryptographic cores, software and design services to be promoted as a complementary solution to the ARM TrustZone security architecture

SUNNYVALE, CA AND CAMBRIDGE, UK - Oct. 4, 2006 - msystems™ (NASDAQ: FLSH), a leader in smart personal storage and security IP, and ARM [(LSE: ARM); (NASDAQ: ARMHY)], today announced at the ARM® Developers’ Conference, Santa Clara, Calif., that they have agreed to cooperate on promoting msystems’ mSafe™ cryptographic cores, crypto libraries and design services as a complementary solution to the ARM TrustZone® security architecture. Through this understanding, ARM and msystems will offer a comprehensive security solution based on TrustZone technology’s leadership in domain separation and msystems’ proven mSafe cryptography and security design.

The two companies are collaborating to integrate mSafe crypto cores with ARM TrustZone Software to enable mSafe technology to seamlessly operate within the ARM TrustZone security architecture. Customers who need to add cryptography capabilities to their ARM technology-based silicon solutions will be able to quickly and easily integrate off-the-shelf mSafe cores within the ARM TrustZone Software environment without any need for special development or integration.

“ARM is the leader in embedded processors and ARM TrustZone technology is the industry leader in domain separation. We are now going to be able to offer customers the ability to integrate msystems mSafe proven crypto cores as a complementary solution within the TrustZone security architecture,” said Rami Koren, vice president marketing of security for the msystems Mobile Network Operators division. “By combining the excellent capabilities of TrustZone technology in domain separation and mSafe state-of-the-art cryptography, customers will be able to obtain a complete security and cryptography solution within the ARM TrustZone security architecture.”

“Many partners who integrate ARM TrustZone security technology are seeking to go beyond domain separation and add state-of-the-art cryptography capabilities to their silicon. mSafe crypto cores offer them exactly that, and constitute a solution well suited to TrustZone technology,” said Lance Howarth, general manager, Embedded Software, ARM. “msystems is a leader in the field in recognizing the benefits to developers of ensuring mSafe cores integrate seamlessly into the ARM TrustZone Software and Hardware security framework.  We welcome msystems to our ecosystem of valuable security Partners. Our cooperation will enable these Partners to quickly and easily add industry-standard cryptography capabilities to their silicon designs without time or risk penalties to achieve top level security within the TrustZone architecture.”

About ARM TrustZone
ARM TrustZone technology is a key enabling technology, targeted specifically at securing consumer products such as mobile phones, PDAs, set top boxes or other systems running open Operating Systems (OS), such as Symbian OS, Linux and Windows CE.  TrustZone technology ensures reliable implementation of security critical applications and services such as network virus protection, Average Revenue Per User (ARPU) increase through mobile content, m-commerce transactions and the protection of user secrets such as keys.

About ARM
ARM designs the technology that lies at the heart of advanced digital products, from mobile, home and enterprise solutions to embedded and emerging applications. ARM’s comprehensive product offering includes 16/32-bit RISC microprocessors, data engines, 3D processors, digital libraries, embedded memories, peripherals, software and development tools, as well as analog functions and high-speed connectivity products. Combined with the company’s broad Partner community, they provide a total system solution that offers a fast, reliable path to market for leading electronics companies. More information on ARM is available at www.arm.com.

About msystems
msystems has been transforming raw flash material into smarter storage solutions since 1989. From embedded flash drives deployed in millions of mobile handsets to U3 USB smart drives designed for leading global brands, msystems creates, develops, manufactures and markets smart personal storage solutions for a myriad of applications targeting high growth markets.

More information is available online at www.msystems.com. msystems. made smarter.

All company and product names mentioned may be trademarks or registered trademarks of their respective holders and are used for identification purposes only.

ENDS

This press release includes forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995. Readers are cautioned not to place undue reliance on these forward-looking statements, as they are subject to various risks and uncertainties which may cause actual results to vary significantly. These risks include, but are not limited to: the effect of global economic conditions in general and conditions in msystems’ industry and target markets in particular, shifts in supply and demand, market acceptance, the impact of competitive products and pricing, product development, commercialization and technological difficulties, and capacity and supply constraints including dependence on flash component suppliers; changes in msystems’ and its customers’ inventory levels and inventory valuations; timely product and technology development/upgrades and the ability to manage changes in market conditions as needed; market acceptance of new products and continuing product demand; the impact of competitive products and pricing on msystems’ and its customers’ products and markets; the development, release and sale of new products by strategic suppliers and customers; the development and growth of anticipated markets for msystems’ and its customers’ products; and other risk factors detailed from time to time in msystems’ filings with the Securities and Exchange Commission. msystems assumes no obligation to update the information in this press release and disclaims any obligation to publicly update or revise any such forward-looking statements to reflect any change in its expectations or in events, conditions, or circumstances on which any such statements may be based, or that may affect the likelihood that actual results will differ from those set forth in the forward-looking statements. Reference to msystems’ website above does not constitute incorporation of any of the information thereon into this press release.

ARM and TrustZone are registered trademarks of ARM Limited. All other brands or product names are the property of their respective holders. “ARM”' is used to represent ARM Holdings plc; its operating company ARM Limited; and the regional subsidiaries ARM INC.; ARM KK; ARM Korea Ltd.; ARM Taiwan; ARM France SAS; ARM Consulting (Shanghai) Co. Ltd.; ARM Belgium N.V.; AXYS Design Automation Inc.; AXYS GmbH; ARM Embedded Technologies Pvt. Ltd.; ARM Physical IP, Inc.; and ARM Norway, AS.

Contact Details

Editorial Contact for msystems 

David Coates
+1 (617) 587-2927
Brodeur
dcoates@brodeur.com

Editorial Contact for ARM

Michelle Spencer
+44 1628 427780
michelle.spencer@arm.com

Investor Contacts for msystems

Jeff Corbin
KCSA Worldwide
+1 (212) 896-1214
jcorbin@kcsa.com
Lee Roth
KCSA Worldwide
+1 (212) 896-12141209
lroth@kcsa.com




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