Cars to get Digital Detailing from IBM, LG Electronics, QNX pact

ARMONK, NY, and SEOUL, KOREA, March 4, 2002 - IBM (NYSE:IBM) and LG Electronics (LGE) today announced that LGE has selected IBM to help it enter the marketplace as a Telematics solutions supplier. LGE is a Korea-based leader in the global electronics industry and a new player in the delivery of advanced Telematics applications and services for the automotive industry, both in Asia and around the world.

The pact further demonstrates IBM's leadership in providing Telematics solutions that help automakers remotely monitor and improve the health of vehicles. It will also allow them to increase customer loyalty by more rapidly responding to growing customer expectations. The announcement also represents a significant win for IBM, because the company is expected to introduce its embedded software stack into LGE's array of consumer electronics products, including digital appliances, PDAs, mobile phones and other wireless products.

LGE will develop and pioneer a wide range of digital appliances using IBM's Telematics solutions, including J9(tm) virtual machine technology, which provides an environment that incorporates Java on the IBM platform. Examples of such consumer applications will include remote access to a vehicle -- providing welcome rescue when keys are inadvertently locked inside a car -- as well as security-tracking services, automatic car-accident notification systems, and services such as real-time traffic information, news and weather updates, e-mail and calendar-scheduling features.

In addition to enabling functions that consumers can experience firsthand, the collaboration between IBM and LGE will also lend itself to broader connectivity through the Service Management Framework (SMF). The SMF architecture -- encompassing wireless software products and technology, tools and education -- will enable the connection of networked vehicles to an end-to-end e-business infrastructure via pervasive computing devices and enable the refreshing of features over the lifecycle of a vehicle.

Jungjun Lee, director of LGE's Digital Media Laboratory, said, "LGE would like to provide customers with state-of-the-art Telematics products based upon LGE's competitive multimedia and mobile technology. Through this collaboration with IBM, LGE will be able to secure competitive Telematics platform quickly and hopes to extend this relationship to develop this promising global Telematics market using each company's core competency."

"IBM's work with major manufacturers and industry electronics partners such as LGE demonstrates that IBM is quickly becoming a preferred development platform for new automotive solutions," said Raj Desai, director, IBM Telematics Solutions. "Because we've optimized our technologies for use on any operating system and bring to market a complete solution and services, we can offer revolutionary new features that wouldn't otherwise be possible."

IBM's J9 virtual machine technology is based on an OSGi compliant Service Management Framework (SMF) architecture and the dynamically upgradable QNX® Operating System (OS). QNX is the industry leader in realtime, microkernel OS technology. This portfolio of IBM and QNX solutions is now offered to major auto manufacturers for the creation and development of advanced automotive Telematics applications and services.

The leading-edge QNX OS technology provides a fault-tolerant, dynamically upgradable platform that lets automakers add new, revenue-generating Telematics services to a vehicle long after it has left the production line. This dynamic architecture - combined with the middleware, applications, and hardware platforms provided by QNX's alliances - gives automakers unparalleled flexibility in deploying in-car infotainment systems and next-generation Telematics products. Under the agreement, LGE will license the core QNX OS, the QNX Photon microGUI graphical user interface, and networking and browser software technologies.

The IBM J9 virtual machine is a high-performance, production environment for the deployment of J2ME applications. In August 2001, IBM was the first vendor to develop and distribute the J9 J2ME "Java Powered" environment across multiple platforms simultaneously. The J9 virtual machine has been proven in independent testing to provide a high performance, compact environment for running embedded Java applications. Together with IBM's WebSphere Studio Device Developer (a new version of VisualAge Micro Edition), J9 allows developers to quickly and easily create and deploy e-business applications to automotive Telematics devices, hand-held computers, PDAs and cellular telephones. More information is available at http://www.developer.ibm.com/welcome/va/index.html

About LG Electronics
LG Electronics is a major global player in consumer electronics & telecommunications, operating 72 subsidiaries around the world with over 55,000 employees worldwide. LGE's major products are consumer electronics (TV, VCR, DVD player, refrigerator, air conditioner etc.), display devices (PDP, PC monitors, CPT/CDT etc.), optical storages (CD-ROM, CD-RW, DVD-ROM etc.) and telecommunication products (mobile handset, mobile telecommunication system).

About IBM
IBM is the world's largest information technology company, with 80 years of leadership in helping businesses innovate. IBM is among the first companies to offer leading-edge technology and tools to its customers and enable them to deliver advanced Telematics Solutions. Through years of expertise and research in the automotive industry, IBM and IBM Business Partners have built a flexible and reliable portfolio of software (such as speech recognition and wireless technologies), hardware, IT services, development platforms and innovative tools. Our end-to-end architecture fully integrates open standards. It links both portable and embedded hardware devices to the Internet via wireless networks and leverages Java applications to exchange data to and from the vehicles with Wireless Telematics Service Providers. Addressing issues such as safety, privacy, convenience and connectivity, our in-vehicle information systems and solutions enable our customers to deliver hands-free and eyes-free technology as part of developing invaluable and long-term relationships with their customers. As the Telematics revolution is now gaining momentum in other industries such as Insurance, Petroleum and Commercial market, our vision will prepare our customers for the next generation of e-business infrastructure for many years to come. Please visit our Telematics Solutions site at www.ibm.com/industries/automotive for further details and references.

About QNX Software Systems
Founded in 1980, QNX Software Systems is the industry leader in realtime, microkernel OS technology. The inherent reliability, scalable architecture, and small memory footprint of the QNX RTOS make it the most trusted foundation for future-ready applications in the networking, automotive, industrial, and smart device markets. Customers worldwide like Cisco, Delphi, Siemens, Alcatel, Sony, Texaco, and Ford already depend on the QNX RTOS for network routers, medical devices, intelligent transportation systems, safety and security systems, next-generation robotics, and other mission-critical applications. Headquartered in Ottawa, Canada, QNX Software Systems maintains offices in North America, Europe, and Asia, and distributes its products in more than 100 countries worldwide. Visit www.qnx.com .

Reader Information
Tel: 1 800 676-0566 (NA only)
+1 613 591-0931
+33 1 64 61 81 61
+49 (0) 511 940910
+81 3 3511-6450
+886 (2) 3765-1518
+44 (0) 1223 204800
Fax: +1 613 591-3579
Email: info@qnx.com
Web: www.qnx.com

Editorial Contacts (QNX)
Paul Leroux
QNX Software Systems
Tel: +1 613 591-0931
Email: paull@qnx.com

Vivek Ramgopal/Bill Keeler
Schwartz Communications
Tel: +1 781 684-0770
Email: qnx@schwartz-pr.com

European Contact (QNX)
Matthias Stumpf
QNX Germany
Tel: +49 (0) 511 940910
Email: mstumpf@qnx.de