Research Results On IntuiTouch Broadband iTV Remote Control

CAMARILLO, CA November 14, 2000 - Interlink Electronics, Inc. [NASDAQ:LINK],
the world’s leading developer of intuitive interface technologies and
solutions for business and home applications, announced today that its
IntuiTouch remote control concept for controlling broadband interactive
television was well received by consumers during recently conducted user
studies. Howard Horowitz & Associates, a renowned market research firm,
conducted the research. Participants were drawn from cable and satellite
television subscribers in the greater Los Angeles area. The study consisted
of a series of six focus groups, conducted over multiple days during
September 2000.

“IntuiTouch broadband remote interface technologies were developed to
address the new requirements that interactive television services are
placing on set-top box remote controls,” noted Ray Pearson, vice president
of sales & marketing, Interlink Electronics, Inc. “To assess cable and
satellite subscribers’ issues regarding iTV remote controls, and to gauge
their degree of acceptance of the IntuiTouch solution prior to market
trials, we commissioned the Horowitz & Associates study.

“Feedback from participants mirrors the reaction we see when we demonstrate
IntuiTouch broadband remote solutions to cable and satellite operators and
set-top-box manufacturers,” added Mr. Pearson. “The validation that
subscribers and operators are on the same wavelength with respect to iTV
remote controls in general, and regarding the IntuiTouch solution
specifically, is an important step for Interlink Electronics in advancing
IntuiTouch toward operator trials and market deployment.”

The Howard Horowitz & Associates research report shows that remote controls
are a ubiquitous part of people’s lives. Participants simply did not know
what to do without them. If a remote control were unavailable (i.e.,
misplaced), for example, subjects would spend “endless” time searching for
it and would not approach the TV to turn it on or change the channel
manually. Universally, however, study participants did not think that their
existing remotes would be functional in the new world of Interactive TV.
They could not imagine how ‘any more buttons’ could be jammed onto their
exiting home remote controls.

Their reaction to Interlink’s IntuiTouch broadband remote interface was
favorable. Participants found
its patented Pad-to-Screen Mapping(tm) (PTS) controls ‘amazing’ and
‘useful,’ and were similarly impressed with the device’s ability to capture
hand-written text for Internet addressing, e-mail and similar functions.
Reaction to writing gestures on the pad (instead of using buttons for
frequently used functions) was somewhat more cautious. Participants liked
the simple look of the IntuiTouch remote control, but expressed a desire to
have buttons added for commonly used functions such as “channel”, “volume”,
“mute” and “previous channel.” Almost all study participants perceived
Interlink’s IntuiTouch broadband remote control as a big advance, and most
wanted to know when it would become available.
About IntuiTouch Broadband Technology
Interlink Electronics’ IntuiTouch broadband interface technology enables the
capabilities required to control next generation interactive TV
applications, including “one touch” selection from Electronic Programming
Guides and VOD menus, heads-up control of entertainment appliances,
keyboard-less text entry for search, e-mail and Internet applications,
hand-written electronic signatures for T-commerce, and support for
integrated telephony.

Perhaps the easiest way to operate on-screen interactive controls such as
Program Guides and VOD menus, is to reach out and touch them. IntuiTouch’s
Pad-to-Screen Mapping feature allows consumers to do this without leaving
their chairs. Just touch the remote control input pad in the same relative
location as the control appearing on the TV screen. Repetitive arrow keying
and traditional computer “mouse pointing” are eliminated.

Channel selection, volume level and media transport controls such as
“Pause” and “Play” required a multitude of buttons on remote controls.
IntuiTouch replaces these with a single input pad. Swipe your fingertip
right or left across the pad to control VCR or DVD transports, up or down to
change channels. Or just write a channel number directly on the pad with
your fingertip. IntuiTouch’s finger-activated input pad can replace as many
as 25 buttons-eliminating the “button-clutter” common on today’s remote
controls.

Interactive TV services such as e-mail, Internet browsing and e-shopping
require light duty text entry. But wireless keyboards add complexity,
clutter and substantial cost to interactive TV service deployment.
IntuiTouch enables remote control-centered text entry by accepting
hand-written characters directly on the remote’s input pad, or enabling
character selection from an on-screen keyboard.

Emerging voice input applications such as voice mail clips and telephony
services will require a home remote control capable of audio capture and
transmission. IntuiTouch solutions pair an integrated microphone with a
patented and proprietary RemoteLink optical communications link. RemoteLink
offers multi-channel data bandwidth wide enough to send and receive FM
quality audio-paving the way for integration of telephony into interactive
television services.