Xybernaut Receives Patent Grant For Wearable Computing in The People's Republic of China

Business Wire, Dec 16, 2002

Business Editors/High-Tech Writers

FAIRFAX, Va.--(BUSINESS WIRE)--Dec. 16, 2002

Patent Lays Foundation For Selling Wearable Solutions In PRC and is Result of Years of Successful Relationship Building In Far East

Xybernaut(R) Corporation (Nasdaq:XYBR), today announced the Company has been granted its first utility patent for mobile/wearable computing and related technologies in the People's Republic of China (PRC).

"Due to the involved nature of the process, relatively few U.S. companies maintain regular efforts to secure patent coverage in China and even fewer have been successful in the areas of computing and information technology," stated Edward G. Newman, chairman, president and CEO of Xybernaut. "We have come a long way since our first presentation to the Chinese PTO years ago. Shareholders can expect to realize measurable return on the time and resource investments we have been making for many years in the Far East," added Newman.

The patent grant, which recognizes the specific features that define a wearable computer, such as removable/transferable core components; docking stations and connector ports and PC Card and network interface connectivity, represents a milestone for the Company since it lays the foundation for selling wearable computing solutions in the PRC and is the result of several years of relationship building in China and other Far Eastern markets.

The PRC patent grant extends coverage of the Xybernaut original, "Hands Free User Supported Portable Computer," patent for mobile/wearable computers. Recognition of the Company's patents in targeted countries beyond North America is an important aspect of Xybernaut efforts to bring wearable computing and related technologies to international markets.

"This newly granted and recognized patent represents attractive opportunities for licensee or collaborative companies, as well as customers in a wide variety of industries -- particularly organizations operating in the geographic regions of Continental Asia and Pacific Rim," added Newman.

Xybernaut wearable computer patents are now recognized and protected in Australia, Canada, nine countries in Europe, Hong Kong, Japan, South Korea, the People's Republic of China, the Republic of China (Taiwan) and the United States.

"By utilizing aggressive licensing policies and close relationships with industry-leading manufacturers, distributors, resellers and system integrators, we continue to position the Company as the gateway to the mobile/wearable computing market on an international basis." Newman said.

Xybernaut IP developments are helping to ensure customers' long-term market success and viability by providing practical enhancements related to design and utilization of current and future wearable computing solutions. Xybernaut received the grant as Chinese patent number ZL97109741.0 entitled "Mobile Computer." The Chinese patent was issued on November 27, 2002.

About Xybernaut Corporation

Xybernaut Corporation is the leading provider of wearable/mobile computing hardware, software and services, bringing communications and full-function computing power in a hands-free design to people when and where they need it. Headquartered in Fairfax, Virginia, Xybernaut has offices and subsidiaries in Europe (Germany) and Asia (Japan). Visit the Xybernaut corporate Web site at www.xybernaut.com.

This press release contains forward-looking statements within the meaning of The Private Securities Litigation Reform Act of 1995 (the "Act"). In particular, when used in the preceding discussion, the words "plan," "confident that," "believe," "scheduled," "expect," or "intend to," and similar conditional expressions are intended to identify forward-looking statements within the meaning of the Act and are subject to the safe harbor created by the Act. Such statements are subject to certain risks and uncertainties and actual results could differ materially from those expressed in any of the forward-looking statements. Such risks and uncertainties include, but are not limited to, market conditions, the availability of components and successful production of the Company's products, general acceptance of the Company's products and technologies, competitive factors, timing, and other risks described in the Company's SEC reports and filings.