IAUS Files Patent Infringement Lawsuits Against IBM, Microsoft, and Others

Business Wire, July 11, 2006

SALEM, Utah -- International Automated Systems Inc. (OTCBB: IAUS) enlisted the help of independent experts to examine its automated biometric identification patent, U.S. Patent No. 5,598,474, relative to other biometric technologies. IAUS has recently instituted patent infringement lawsuits against a number of companies -- including Microsoft, IBM, and others -- for allegedly violating IAUS's automated biometric identification patent. E[acute accent]IAUS is a pioneer in automated biometric identification. In addition to U.S. Patent No. 5,598,474 and related international patents, the company has three other U.S. Patents: U.S. Patent No. 6,191,410, U.S. Patent No. 6,255,641, and U.S. Patent No. 6,444,969 for fingerprint sensing technology. IAUS technology provides for sensing a biometric feature -- fingerprint, hand, retina, etc. -- and generating a digital code that represents unique characteristics of the biometric feature. The code can be stored in a relatively small file which can fit onto the magnetic stripe of a credit or debit card. The code can be used to identify an individual in a security or commercial transaction setting. E[acute accent]The global biometric industry is estimated to reach $5.7 billion by 2010. The cumulative losses from identity theft rose from an estimated $221 billion in 2003 to an almost $2 trillion in 2005.

E[acute accent]About International Automated Systems Inc. (www.iaus.com)

E[acute accent]Founded in 1988, International Automated Systems Inc. develops high-technology products for diverse markets such as energy production, wireless communications, consumer purchasing and financial transactions. The company, founded by a former AT&T communications engineer, is based in Salem, Utah.

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