Essential Reality Announces Availability of its P5 Software Development Kit — SDK — Free of Charge

Business Wire, Oct 28, 2002

Business Editors & High-Tech Writers

NEW YORK--(BUSINESS WIRE)--Oct. 28, 2002

Essential Reality, Inc., (Nasdaq:ESSR), a developer and integrator of leading-edge sensory and real-time remote tracking devices, announced today that its P5(TM) Software Development Kit (SDK), which will provide developers the tools needed to "P5-enable" gaming and other software, is now available for download via the company's website (www.essentialreality.com/developers.asp) free of charge.

"Providing a wide range of gaming content that fully capitalizes on the P5's capabilities has always been a top priority for us," said Martin Currie, Vice President of Business Development for Essential Reality. "By initially making our SDK easily accessible to the entire developer community, we hope to be able to rapidly ramp up development of P5-enabled gaming content, which will help to make a variety of premium games and other content available to our customers in the very near term."

Based upon Essential Reality's propriety bend sensor and tracking technologies, the P5 is the first widely available controller to give users total intuitive interaction with 3D environments. While the P5 can function in mouse-mode right out of the box, it is designed to deliver an experience that frees PC game players from the constraints of having to utilize complicated keyboard and mouse combinations. As a result, while the P5 will work with almost any PC application, its power is fully realized when used in concert with games that have been specially enabled for it.

"Demand for our SDK has been extremely strong and interest is coming not only from the gaming community, but also from developers in other markets who have already recognized the potential applicability of our product's underlying sensory and tracking technologies within their own particular niche," noted David Devor, Vice President of Marketing for Essential Reality. "From the beginning, our marketing strategy was to utilize content as the means to entering and creating value in other markets, and we hope to expedite this process by supplementing our own internal development efforts with those of outside developers interested in working with our product."

The premier edition of the P5, compatible with PC-based computer games only, will have an MSRP of $149.00 and will come bundled with three key P5-enabled game titles including "Hitman 2," "Tiger Hunt" and a demo version of "Beach Head 2002." You can purchase the P5 at www.essentialreality.com/purchase, as well as previously announced selected retailers. Software patches for additional PC games, as well as a number of other fully P5-enabled titles will be available shortly after the time of product release. A console-based edition of the P5 is expected to launch during the second quarter of 2003.

About the P5

With its initial product family -- the P5(TM) -- Essential Reality is focusing on developing, manufacturing and distributing next-generation 3-D peripherals for the PC/Mac, console gaming and professional user communities. A USB based product, the first generation P5 is designed for compatibility with the Microsoft Windows 98 operating system and higher, as well as Mac OS 9 and below.

About Essential Reality

Essential Reality was founded with the goal of becoming a leader in the design, development and integration of revolutionary tracking and sensory technologies that can be used to provide the ultimate interface between man and machine. Essential Reality plans on realizing this vision through multiple product offerings that primarily apply tracking and sensory technologies for different end-user applications.

Certain of the above statements contained in this press release contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Actual results, events and circumstances (including future performance, results and trends) could differ materially from those set forth in such statements due to various factors, risks and uncertainties, including but not limited to, risks associated with the Company's future growth and operating results, the uncertainty of market acceptance of the Company's products, technological change, competitive factors and general economic conditions. The Company has no duty and undertakes no obligation to update such statements.