Spectrum Platform Selected for Laser RADAR Application for U.S. Department of Defense

FOR: Spectrum Signal Processing Inc.

TSX SYMBOL: SSY      NASDAQ SYMBOL: SSPI     

FEB 20, 2006 - 07:00 ET
COLUMBIA, MARYLAND--(CCNMatthews - Feb. 20, 2006) - Spectrum Signal Processing Inc. (TSX:SSY)(NASDAQ:SSPI) -

Digital Signal Corporation To Use Spectrum's Latest Software Defined Radio Solution for 3-D Facial Recognition Imaging Field Trial

Spectrum Signal Processing (USA) Inc. today announced the selection of the flexComm^TM SDR-4000 software defined radio platform by Digital Signal Corporation (DSC) for the development of a laser RADAR for the U.S. Department of Defense. The laser RADAR based system is being designed to perform precise 3-D facial recognition in a fraction of a second from distances in excess of 10 meters. The project is currently in the prototyping phase with field trials expected in late 2006 and if successful, production shipments may follow in 2007.

"Spectrum's commercial-off-the-shelf (COTS) SDR-4000 platform provides DSC with high performance real-time processing in a low power, small form factor configuration ideal for our laser RADAR," said Ken Belsley, Chief Scientist at DSC. "In addition to offering a COTS solution, Spectrum has also integrated several third party hardware and software components into the subsystem to reduce our time to field trial and enable our development team to concentrate on enhancing critical features of the application rather than working on the subsystem functionality."

"It is exciting to see the SDR-4000's inherent flexibility utilized in DSC's advanced DOD application. While designed for military communications, we knew our third generation SDR technology would bring benefit to market segments beyond C4ISR," said Mike Farley, President of Spectrum USA. "The performance and architecture of the SDR-4000 makes it suitable for DSC's development, field trials and final deployment."

The SDR-4000 is a 3U CompactPCI^® platform that is comprised of two major component level hardware products: the PRO-4600 SDR modem processing engine and the XMC-3321 dual transceiver input/output mezzanine card. RapidIO^TM provides a high bandwidth interconnect fabric between these cards, as well as the input/output functionality to ensure the efficient use of the processing resources. Software development tools include Spectrum's quicComm^TM hardware abstraction layer, which facilitates algorithm partitioning and programming and a real-time operating system. The platform can be optimized for program specific size, weight, power consumption, cost and ruggedization requirements. For more information on the SDR-4000, please visit www.spectrumsignal.com/products/3u/sdr_4000.asp.

ABOUT SPECTRUM SIGNAL PROCESSING INC.

Spectrum Signal Processing Inc. (TSX:SSY)(NASDAQ:SSPI) is a leading supplier of software defined platforms for defense electronics applications. Spectrum's products and services are optimized for military communications, signals intelligence, surveillance, electronic warfare and satellite communications applications. Spectrum's integrated, application-ready products provide its customers with compelling time-to-market and performance advantages while mitigating program risk and cost parameters. Spectrum Signal Processing (USA) Inc., based in Columbia, MD, provides application engineering services and modified commercial-off-the-shelf platforms to the US Government, its allies and its prime contractors. For more information on Spectrum and its flexComm product line, please visit www.spectrumsignal.com.

FORWARD-LOOKING SAFE HARBOUR STATEMENT

This news release contains forward-looking statements related to sales of the Spectrum Signal Processing Inc. flexComm product line. Although Spectrum has received orders for shipping flexComm product, development delays and customer issues could delay shipments. These statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements involve risks and uncertainties, including the timely development and acceptance of Spectrum's new products, the impact of competitive products and pricing, availability of components, changing market conditions and the other risks detailed from time to time in other company filings. Actual results may differ materially from those projected. These forward-looking statements represent the company's judgment as of the date of this release and Spectrum may or may not update these forward-looking statements in the future. Readers are referred to Spectrum's assumptions and risk factors set out in the most current Form 20-F filed with the Securities and Exchange Commission and the British Columbia Securities Commission.

flexComm and quicComm are trademarks of Spectrum Signal Processing Inc. CompactPCI is a registered trademark of the PCI^TM Industry Computers Manufacturer's Group. PCI is a trademark of the Peripheral Component Interconnect - Special Interest Group (PCI-SIG). RapidIO is a trademark of RapidIO Forum. Other products and company names mentioned may be trademarks and/or registered trademarks of their respective holders.