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Advancel Licenses Java Chip Technology to Infinite Technology

11 May 2000

NCTI Subsidiary Advancel Licenses Java Chip Technology to Infinite Technology Corporation for $6 Million

    STAMFORD, Conn.--May 10, 2000--NCT Group, Inc. (OTCBB: NCTI) wholly-owned subsidiary Advancel Logic Corporation today announced a license agreement with Infinite Technology Corporation ("ITC"). Under this agreement, Advancel grants ITC exclusive rights to create, make, market, sell and license products and intellectual property based upon Advancel's Java Turbo-J(TM) technology. The agreement also grants ITC non-exclusive rights to Advancel's Java smart card core. ITC will make custom chips for customers that need to combine DSP and Java technology into their Internet-ready products. In consideration for this license, NCTI will receive $6 million in Infinite stock and on-going unit royalties.
    "Working with ITC will help advance the development of Java-based solutions," said Michael Parrella, President and CEO, NCTI. "The market potential is significant and we look forward to using these chips as platforms upon which we can deliver NCT's advanced technologies."
    "This agreement will enable us to combine our RADcore(TM) DSP cores with Java Turbo-J technology to rapidly offer system-on-chip (SoC) solutions to the imbedded Internet device markets," said Tim Smith, Chairman and CEO, ITC. "Moreover, we will now be able to deliver unique SoC solutions with smaller silicon area, higher performance and faster time-to-market for our customers, a critical factor in these fast growing and fiercely competitive markets."
    Forward Concepts, Tempe, Arizona, forecasts DSP shipments will continue to outpace the overall semiconductor industry and has revised its year 2000 forecast upward to 40%-- to the $6.1 billion level. This is revised from the previous 32% projection. Worldwide DSP chip shipments are expected to grow to $19.2 billion by 2004, a compounded annual growth rate (CAGR) of 34.4 percent.