Press Release

For Immediate Release

HI CORPORATION and Zucotto Wireless announce strategic partnership for porting 3D engine to Zucotto Java processors

Aug. 29, 2002 (Tokyo, Japan)-HI CORPORATION (head office: Meguro-ku, Tokyo; President & CEO: Kazuo Kawabata; paid-in capital: 139.25 million yen) and Zucotto Wireless k.k. (head office: Kohoku-ku, Yokohama; president: Isao Yumoto) announced the execution of a partnership for joint development and joint marketing of the ultra high-speed Java processor "Xpresso" HDK (standard reference board) belonging to Zucotto and HI's 3D rendering software engine. The agreement signifies that Mascot Capsule Engine Micro3D Edition Version 3 in Java will secure functionality onboard Xpresso technology during the earliest phases.

Zucotto Wireless k.k. is the local operating company of Zucotto Wireless, Inc. (Headquarters: San Diego, California, U.S.A.; CEO: David Grooms), developer of Java processors for mobile devices.

Based on this partnership agreement, HI CORP. will develop Mascot Capsule Engine Micro3D Edition that supports Zucotto's Xpresso platform. Version 3 in Java is currently functioning onboard an Xpresso test chip. The engine will adapt to future upgrades.

Zucotto will install Mascot Capsule Engine Micro3D Edition in Java as the standard 3D engine on Xpresso HDK, and build the engine into standard demo scenarios worldwide. Subsequently, HI CORPORATION will be able to introduce Zucotto Xpresso as a platform supported by Mascot Capsule Engine. To date HI CORP. has supplied strictly Micro3D Edition in C to mobile handsets. Henceforth, the Java engine will join the lineup.

Xpresso commands the highest performance in the market as a Java platform. Thus, supporting Xpresso in the earliest phases becomes indispensable for early market introduction of Version 3 in Java. The support of Xpresso by Version 3 in Java also aids Zucotto in demonstrating improved reliability and added value for Xpresso.

Specific areas of cooperation are as follows: