News Release

EVE Announces Strong Growth as it Closes Fiscal Year 2006

Continued Demand for Verification Products Sets EVE on Record-Setting Pace

SAN JOSE, Calif. –– May 2, 2006 – Advanced verification specialist EVE closed its fiscal year Friday, March 31, 2006, and reported strong growth in bookings of 40% over the previous year.

"Continued demand for ZeBu sets us on a record-setting pace over the past year," remarks Luc Burgun, EVE's chief executive officer and president. "Our customers have said that it is the only verification solution available today to address hardware/software integration and embedded software validation of large designs at speed of several megahertz on designs exceeding 10-million ASIC gates."

In the last 12 months, growth in Japan hit a record number with 11 new customers and EVE expanded its customer base to a total of 39 worldwide, including nine of the top 10 chipmakers worldwide. Among them: QUALCOMM Incorporated (Nasdaq: QCOM - News); Broadcom Corporation (Nasdaq: BRCM - News); Philips Royal Philips Electronics (NYSE: PHG, AEX: PHI); Fujitsu Limited; Gennum Corporation (TSX: GND - News); P.A. Semi; and DiBcom.

Highlights of fiscal year 2006 include the introduction of EVE's third-generation ZeBu (for Zero Bugs) verification platform family that boasts a top speed of 200MHz. Fourteen customers have purchased this latest generation of ZeBu. "With a fully automated compiler, testbench acceleration and interactive design debugging, ZeBu is now a formidable alternative to internally developed field programmable gate array (FPGA) prototypes," adds Burgun.

EVE continued implementing its hiring plan and has expanded to more than 60 employees with direct offices in Asia, Europe and the United States. In October, it opened EVE Korea Inc., a wholly owned subsidiary based in Seoul, Korea, led by YoungBin Cho, a well-known electronic design automation (EDA) industry veteran.

Lastly, EVE has reached profitability that, on top of the recent $6 million in funding, provides the means for further expansion.

"The year 2005 was an excellent year for EVE and this momentum will continue through this calendar year," concludes Burgun.

For more information about EVE and ZeBu, contact Lauro Rizzatti, general manager of EVE USA. He can be reached at (408) 855-3201 or via email at lauro@eve-team.com.