METHUEN, Mass.--(BUSINESS WIRE)--Nov. 1, 1999--

New Touch Sensors Offer Industry's Best Durability and Optics, with

``Plug-and-Touch'' Connectivity for All Leading 5-Wire Resistive

Controllers; New Compact Controller and Chipset Option Provide

Engineering Design Flexibility

MicroTouch Systems, Inc. (NASDAQ:MTSI - news) today took a significant step in its strategy to lead the high-end resistive touchscreen market with the introduction of a new generation of 5-wire resistive touchscreens that plug into all leading 5-wire resistive touchscreen controllers.

Produced for OEMs and systems integrators serving the retail, industrial, hospitality, and medical markets, the new TouchTek5 touchscreens feature the industry's best durability and optics. In conjunction with the new touchscreens, MicroTouch also introduced the industry's smallest (1x2-inch) packaged serial controller and optional controller chipset.

With the new TouchTek5 touchscreens, OEMs will no longer be tied to a single touchscreen vendor's electronics package. They will now be able to replace touchscreens in their current products with TouchTek5 touchscreens without having to modify their product designs. For new product designs, the new MT510 compact serial controller and chipset option will enable OEMs to reduce space and power requirements by as much as 50 percent.

``Our new TouchTek5 solutions enable OEMs to make choices about touchscreen quality that they haven't been able to make before,'' said Scott Hagermoser, MicroTouch resistive products manager.

``Until now, once an OEM had designed a touchscreen vendor's electronics into their product, they were virtually captive to that vendor's touchscreens. Now OEMs can choose to upgrade their product with a superior touchscreen without having to change controller electronics. Our simple plug-and-touch capability allows them to add value to their product mid-way in its lifecycle, without the cost and difficulty of a re-design,'' Hagermoser said.

One such OEM convert is Pioneer POS Solutions, Inc., Walnut, Calif., who recently switched to TouchTek5 touchscreens for its Stealth Touch system, a self-contained, all-in-one PC with a touch-enabled LCD display. ``We were impressed with the increased clarity of the MicroTouch resistive touchscreen, but didn't want to change the design of our unit to accommodate a new controller. The new TouchTek5 sensor is very easy to integrate into Stealth Touch displays, and now we can offer a better product to our customers,'' said Gee Singgih, president of Pioneer POS.

When designing new products, OEMs who select TouchTek5 touchscreens can now choose between a packaged serial controller board and the controller chipset. This option gives product engineers far more flexibility in the creative design of their next-generation touch-enabled product, with the added benefit of using the industry's smallest 5-wire controller electronics with the lowest power requirements, which are important considerations for today's battery-operated flat-panel devices.

Tests Prove TouchTek5 Value

TouchTek5 touchscreens feature a new topsheet that was developed to provide the best combination of light transmission, clarity, and other optical characteristics for today's leading flat-panel displays. In addition, TouchTek5 touchscreens now have the industry's smallest microdot spacers between the conductive layers of the touchscreen, making the spacers virtual invisible to the naked eye. These new features result in improved accuracy, durability, aesthetics, and overall performance of TouchTek5.

The new touchscreens have undergone a battery of tests by independent testing company, Bell Technologies, Burlington, Mass. A pencil hardness test, in which a pencil is scraped against the surface until a scratch appears, shows that the TouchTek5 topsheet has a scratch hardness rating of 4H, exceeding the 3H rating published by most other resistive touchscreen vendors.

Tests of light transmission and clarity also show superior attributes compared to other resistive touchscreens in the marketplace. Test results show transmission at 86 percent and clarity at 92 percent, the combination of which provides outstanding optics on color LCDs.

The new generation of TouchTek5 touchscreens will be available in December. More information may be obtained by calling MicroTouch Systems at 1-800-642-7686, by e-mail to [email protected], and at the MicroTouch Web site, www.microtouch.com/info.

About MicroTouch

MicroTouch Systems, Inc., is the world's leading manufacturer of computer touchscreen display products incorporating the two most popular touch technologies -- analog capacitive and resistive membrane -- which the company applies in a variety of products, and markets under the ClearTek and TouchTek brand names. With its headquarters and ISO 9001-certified manufacturing plant in Methuen, Mass., MicroTouch also maintains manufacturing facilities in Texas, the United Kingdom, Japan, Taiwan, and Australia, along with sales offices and distributors in more than 50 countries. MicroTouch also operates TouchStore.com, an Internet-based electronic commerce site devoted exclusively to the sale of touchscreen monitors and related products. Founded in 1982, MicroTouch reported sales of $144.4 million in 1998.

     MicroTouch Systems, Inc.

     Edward F. Clough

     978-659-9120

     [email protected]

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Thanks Anna!