Press Release

OTTAWA, Canada - 11 December 2000: Espial, which creates software that powers the world of smart Internet devices, today announced that Samsung Electronics Company Ltd., has licensed Espial's entire Java® technology suite, including Espial Escape™ web browser and Espial DeviceTop™ and Espial DeviceServer™, an end-to-end service delivery platform for launching of their Samsung Webphone™ later this year. The Samsung Webphone provides more complete communication by allowing people to make video phone calls on the Internet.

"We are pleased to be working with Samsung to create a new generation of Webphones," stated Jaison Dolvane, President and CEO of Espial. "As a leading innovator of next-generation smart devices, Samsung's innovation in mobile handsets coupled with Espial’s advanced software will give customers exciting new features, access to new forms of wireless communications, information and entertainment services any time, any place."

As statistics from International Data Corporation (IDC) indicate, the market for Internet appliances is poised to explode over the next several years, and is expected to become an annual 55 million unit, $15 billion market in the US by the year 2001. By 2002, shipments of consumer Internet appliances will exceed consumer PC shipments. The Internet appliance market includes handheld PDAs, wireless smartphones, Webphones, Web tablets, game consoles, in-car computing systems and interactive TV set-top boxes.

"We are very impressed with Espial’s end-to-end technology solutions," stated Mr. Hak Joong Choi, Team Leader of Web Phone Business Development Group, Internet Infra Business Team, Samsung Electronics. "The level of integration between Espial’s technology, especially the DeviceTop and DeviceServer technology, is a key differentiator and the reason for selecting their solution for Samsung. With the advent of the age of information appliances and as people's expectations of their device changes we have come to expect expertise when looking for someone to develop customizable, application-rich, easy-to-use information appliance software and Espial’s solution was the only way for us to meet our aggressive timeframe and our promise to our customers.”

Combining the strengths of the two companies provides Espial the ability to deliver the most compelling Internet appliance user experience to its customers and their viewers. This is another design win in Espial’s commitment to the Internet appliance space and validates our move to become the leader in providing infrastructure software for the Pervasive Internet. As part of its overall growth strategy, Espial will continue to score design wins in the wireless, digital TV and automotive segments.

Espial has already taken a leadership position in recognizing that vision. Espial, along with several leading edge partners, launched the creation of devicetop.com at this year’s JavaOne conference. Devicetop.com is an Internet portal dedicated to Java technology developers of Web content and application services for Internet smart appliances. “As a result of this initiative,” continued Dolvane, “Samsung will be able to access the myriad of devicetop.com application services developed by our growing community, thus further positioning themselves as a giant in the new age of information appliances. ”

Pricing and Availability

The Samsung Webphone will be made available first quarter of 2001. For further pricing information please contact Samsung at webchoi@samsung.com.

About Samsung Electronics

Samsung Electronics Co., Ltd., a US $22.8 billion (1999) flagship company of Korean-based the Samsung Group, is a world leader in electronics, with operations in more than 60 countries and 43,000 employees worldwide.

Note to editors: Espial, Espial Escape, Espial Espresso, Espial DeviceTop, and Espial DeviceServer are trademarks of Espial Group. Java and all other Java-based trademarks are registered trademarks of Sun Microsystems. All other trademarks belong to their respective owners.