NOGATECH INC., A DSP GROUP, INC. COMPANY, INTRODUCES WITH TOSHIBA
NOGATECH'S NEW PORTABLE DIGITAL VIDEO PCMCIA CARD UNDER THE NOTEWORTHY
BRAND NAME

Enables Full-Motion Digital Video For The Mobile Professional With The Ease
Of A PCMCIA Card

NEW YORK, -- June 28, 1994 - Nogatech Inc., a DSP Group, Inc. company,
(DSPG:NASDAQ) unveiled today with Toshiba at PC Expo, Jacob Javits
Convention Center (Booth #2660), Nogatech, Inc.'s NOGAVISION! a Portable
Digital Video PCMCIA Type II card labeled by Toshiba as 'Noteworthy.'
Developed by Nogatech, Inc., this easy-to-use video card transforms an
active matrix color notebook into a powerful multimedia platform, capable
of recording and displaying real time full-motion video.

The new PCMCIA Type II card is a real time, video display/capture board
that both captures and displays a live video image on a notebook screen in
256 colors, assisting industry-specific applications dependent on visual
images for effective and efficient processing of accurate, on-site
information. Additionally, full-screen and multi-task television
functionality is provided when the notebook is attached to the portable TV
tuner module, transforming the color notebook into a consumer
entertainment device.

"The mobile professional is going to benefit both personally and
professionally by using PDV software and hardware to capture video
information that words alone cannot convey," said Michael Campbell, vice
president of sales, North America, for Nogatech, Inc. "The images--still
or full motion--create documentation with widespread application
possibilities," continued Campbell. "And, at the end of the day when
you're waiting for that plane ride home, you can multi-task between the
evening news and your trip report."

The Nogatech/Toshiba Noteworthy PDV card displays NTSC video signals at 320
x 240 multi-task mode at 27-30 frames per second (fps) and PAL video
signals in 384 x 288 multi-task mode at 22 to 25 fps. This display size
allows for multi-tasking between digital video and other Windows-based
programs. The PCMCIA card can capture full-motion video at 320 x 240 in
AVI format and still images may be captured in 8-bit resolution at 320 x
240 or 16 bit resolution at 640 x 480. Stereo audio volume control,
balance, headphone or speaker mode selection and muting are enabled.

"There are several industries which should realize immediate benefits from
the visual and portability attributes of the Noteworthy PDV product, "
declared Dr. Arie Heiman, Nogatech's president. "We have talked with the
insurance, legal and health services professionals. They see immediate
applications for on-site video capture, and home-office documentation and
analyses. They should like the ease of use."

How the Portable Digital Video Card Works

An analog video signal is received into the Nogatech card via its cable
connection. There is an A-to-D conversion of the signal. The image scaling
and color optimization algorithm is run, as well as the video compression
algorithm (both proprietary to Nogatech, Inc.). The compressed digital
video is then sent through the PCMCIA BUS, and decompression is performed
in real time with the Nogatech software. Stereo audio is an analog loop
through the card. Analog audio is not converted to digital, and is
therefore not captured with video clips. However, the product does play
stereo audio from the external video sources, such as a portable TV tuner
module, VCR, or laser disk player.

System Configuration Options

For entertainment applications one would need a color notebook computer; a
portable television tuner, laser disk player or VCR with a pre-recorded
movie; Nogatech's NOGAVISION! card with software; an interface cable; and
stereo headphones or external speakers.

Live image capture applications require a color notebook computer; the
NOGAVISION! card with software; interface cable; and video camera or
portable television tuner.

Pre-recorded video image capture application requirements are a color
notebook computer; the NOGAVISION! card with software; interface cable;
and a VCR with pre-recorded movie, or scenes from field locations.

DSP Group Completes Purchase of Nogatech, Inc.

Also today, DSP Group announced that it has completed the acquisition from
Scitex Corporation, Ltd. of the remaining 50% of the outstanding capital
stock of Nogatech, Inc. not previously held by the Company. At the time of
the acquisition, the Company owned 50% of the outstanding capital stock of
Nogatech. "The Company will record the transaction in accordance with
purchase accounting principles," said Judson Mitchell, chief financial
officer for DSP Group, Inc.

DSP Group, Inc. (DSPG:NASDAQ) develops and markets enabling digital signal
processing and digital speech technologies and products for the PC,
multimedia, and communications markets. Headquartered in Santa Clara,
California, the Company offers DSP algorithms, DSP core technology, and
integrated DSP-based solutions. DSP Group's technologies and products have
been adopted by industry leaders including Microsoft, Motorola, Intel,
VLSI Technology, Sony, Sharp, Panasonic, Philips, Siemens, GEC Plessey,
Matra, Alcatel, British Telecom, France Telecom, Spain Telefonica, and
others.

DSP Group Inc
2855 Kifer Rd, Suite 200
Santa Clara, CA 95051
408-986-4300,  fax 408-986-4323

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