Pantech Licenses e-SIM's MMI Solution to Develop New Mobile Phone Models; Pre-Integrated on Top of Texas Instruments' Calypso Platform

Business Wire, Nov 9, 2004

JERUSALEM -- e-SIM Ltd. (OTCBB:ESIM.OB), a leading provider of MMI solutions for wireless devices, announced today that they have signed a licensing agreement with Pantech Co., Ltd., the 3rd largest cellular handset manufacturer in South Korea. Pantech will license e-SIM's Man Machine Interface (MMI) solution to create the MMIs for their upcoming GPRS mobile handsets. This agreement covers the development of several handset models by Pantech and its affiliate, Curitel Communications, Inc. The handsets will use Texas Instruments' Calypso chipset, to which e-SIM's MMI has been pre-integrated. This pre-integration will facilitate a shorter time to market and a lower risk for Pantech.

e-SIM's market-proven, end-to-end MMI solution includes a complete MMI reference design, a comprehensive set of RapidPLUS(TM) development and customization tools, and a broad range of professional services. e-SIM's business model is based on licensing its MMI reference design, licensing its RapidPLUS(TM) development tools, and collecting runtime royalties for each handset incorporating its technology.

Both Pantech and Curitel are known for manufacturing advanced, high-end phones, which typically include high pixel cameras, WAP, and polyphonic ring tones, as well as other popular, high demand applications. Throughout 2004 Pantech has distinguished itself as one of the leading handset manufacturers worldwide. As part of its commitment to continuous product development, Pantech is incorporating e-SIM's superior MMI solution software enhancements, which will dramatically improve the performance of their mobile phones. This year, Pantech plans to launch more than 35 different multi-featured, high-end handset models to both domestic and overseas markets.

Marc Belzberg, Chairman and CEO of e-SIM Ltd., said: "We are delighted that Pantech, one of South Korea's leading manufacturers will be using our solution for their phones. This agreement brings with it another boost to our current and future revenue stream, including royalties resulting from production of millions of phones. This transaction also contributes to e-SIM's growing reputation as a key provider of MMI solutions for mobile handsets."

Lee, Sung-Kyu, President & CEO of Pantech Co. said "As a major manufacturer of mobile phones serving users who demand the latest in mobile applications and technology, we seek to expedite our development process, enabling us to bring our phones to market with greater speed. e-SIM's Mobile MMI Solution streamlines the complex and lengthy phase of MMI development. In this sense, e-SIM's MMI Solution contributes to reduction in time for product development and its subsequent launching."

About e-SIM Ltd.

Founded in 1990, e-SIM Ltd. (http://www.e-sim.com/) is a major provider of MMI (Man-Machine Interface) solutions for wireless and other electronic products. A wide range of platform vendors and wireless handset manufacturers use e-SIM's MMI solutions including, Texas Instruments, FreeScale (formerly Motorola SPS), NEC, Kyocera, BenQ, Sasken, and others. e-SIM's advanced MMI solution technology is built into millions of handsets on the market today.

About Pantech Co., Ltd.

From a pager producer, 1991, to a handset maker today, Pantech Co. has become a leading edge in mobile technology. Listed on the Korean Stock Exchange, 1997, Pantech advanced into producing both CDMA and GSM handsets. In 2001, Mr. Byeong Yeop Park, the founder and chairman of Pantech, acquired Curitel Communications Inc., which was a spin-off company from Hynix Semiconductor Inc. Now Pantech is moving towards becoming a global mobile phone producer with brand marketing and high-end mobile phones. Pantech is headquartered in Seoul, Korea with regional sales offices distributed globally. For more information, visit (www.pantech.com)

Certain matters discussed in this news release are forward-looking statements that involve a number of risks and uncertainties including, but not limited to, significant fluctuations and unpredictability of operating results, risks in product and technology development and rapid technological change, dependence on a single product line, extent of demand for the Company's product, impact of competitive products and pricing, market acceptance, lengthy sales cycle, changing economic conditions, risks of joint development projects, dependence on key personnel, difficulties in managing growth, risks relating to sales and distribution, risks associated with international sales, risks of product defects, dependence on company proprietary technology. For a more detailed discussion of these and other risk factors, see the Company's Form 20-F as filed with the United States Securities and Exchange Commission.