Exhibit 99.1

         NEOMAGIC(R) CORPORATION ANNOUNCES RESIGNATION OF JIM LALLY FROM
                               BOARD OF DIRECTORS

    SANTA CLARA, Calif., Feb. 4 /PRNewswire-FirstCall/ -- NeoMagic Corporation
(Nasdaq: NMGC), a pioneer in Applications Processors for multimedia-rich
mobile phones and other wireless handheld systems, announced today that
Mr. Jim Lally has decided to step down from his position on the Board of
Directors of NeoMagic Corporation, effective February 4, 2005, for personal
reasons.

    About NeoMagic
    NeoMagic Corporation, based in Santa Clara, California, enables new
generations of handheld systems with its Applications Processors that are
designed to offer the lowest power, smallest form-factor and best multimedia
features and performance. The company is a pioneer in the integration of complex
logic, memory and analog circuits into single-chip solutions. Information on the
company may be found on the World Wide Web at www.neomagic.com.

    NOTE: NeoMagic, and the NeoMagic circle logo are registered trademarks, and
MiMagic is a trademark, of NeoMagic Corporation. All other trademarks are the
property of their respective owners. NeoMagic disclaims any proprietary interest
in the marks and names of others.

SOURCE  NeoMagic Corporation
    -0-                             02/04/2005
    /CONTACT:  Scott Sullinger, Chief Financial Officer of NeoMagic
Corporation, +1-408-486-3879/
    /Photo:  NewsCom:  http://www.newscom.com/cgi-bin/prnh/20020802/NMGCLOGO
             AP Archive:  http://photoarchive.ap.org
             PRN Photo Desk, photodesk@prnewswire.com/
    /Web site:  http://www.neomagic.com /
_