C Technologies' subsidiary Anoto Initiates Collaboration with ReadSoft to Develop Tools to Convert Handwritten Notes.

Business Editors & High Tech Writers

STOCKHOLM, Sweden--(BUSINESS WIRE)--Dec. 12, 2001

ReadSoft, the market leader in the development of software for automatic data capture and conversion of handwritten information, and Anoto starts cooperation in order to develop services based on the Anoto concept and ReadSoft technology.

With ReadSoft's software Eyes & Hands FORMS the information written on paper is processed. It is thereafter verified and interpreted before finally being transferred into electronic format. The combination of ReadSoft's technology and the Anoto concept enables joint development of mobile solutions to capture and convert handwritten information.

As part of the agreement ReadSoft will purchase the Application Development Kit (ADK) and Graphic Development Kit (GDK) for the purpose of developing forms that can be easily interpreted and read by computer.

"Anoto has created a handwriting communication system which is a fine complement to ReadSoft's technology." Says Jan Andersson, MD, ReadSoft. "By combinding the new de facto standard for pen- and paper technology with our products we are hoping to find new user areas for our products."

"ReadSoft has been in a prominent position in automatic data capture and handwriting recognition for a long time," says Christer Fahraeus, President, Anoto AB. "The Company is an appropriate partner for Anoto, offering the character recognition capabilities that the Anoto concept requires."

Anoto has created a global de facto standard for digital paper and will launch paper-based services enabling handwritten text to be transmitted directly from paper as a graphical e-mail, fax or SMS. The notes are written on ordinary paper provided with Anoto functionality and forwarded by the use of a digital pen, via a Bluetooth-enabled mobile phone, directly to a computer, mobile phone or fax.

The Graphical Design Kit (GDK) is aimed at graphical designers to assist them in developing the graphical part of applications and services with Anoto functionality. The Anoto pattern is printed on different types of paper and paper products, thereby giving them, among other things, different functions. By using a digital pen with Anoto functionality the user can for example order products directly from an Anoto pattern enabled catalogue.

ReadSoft is the market leader in the development and sales of software for automatic data capture, which is software that automatically registers and interprets data on forms and invoices in paper or electronic format. Since its establishment in 1991,ReadSoft has evolved into a global corporation with thirteen subsidiaries in Sweden, Norway, Denmark, Germany, France, Spain, Italy, The UK, The US, Mexico, Chile, Brazil and Australia. The annual growth, for the last five years, has been approximately 70%. In 2000 the turnover was 31 MUSD. In early May the Swedish business magazine Veckans Affarer awarded ReadSoft the title "IT-Company of the year 2001. www.ReadSoft.com

Anoto AB was founded in Lund, Sweden in late 1999 as a fully owned subsidiary of C Technologies AB. The company Anoto currently has about 180 employees working in offices in Lund, Stockholm, Boston, Tokyo and Hong Kong. www.anoto.com

C Technologies AB (publ) was founded in 1996 and is a well-established Swedish high-technology company. C Technologies holds cutting-edge expertise in the fields of digital camera technology, image processing. The C Technologies Group, which also comprises the subsidiaries Anoto AB and WeSpot AB, currently has about 300 employees and offices located in Lund, Stockholm, Atlanta, Boston, Tokyo and Hong Kong. Major shareholders include company founder Christer Fahraeus, Capital Group and Ericsson. C Technologies' share is listed on the O-list of the OM Stockholm Exchange (Attract 40). www.ctechnologies.se A global de facto standard for digital paper Anoto is currently creating a global de facto standard for digital paper. Anoto thereby unites one of mankind's most preferred ways of communicating, pen and paper, with the tremendous power of the digital world. This combination is Anoto functionality. There are several underlying technologies behind Anoto functionality, such as pen technology, server technology and paper technology as well as Bluetoothtm communication. It is all these technologies that make Anoto functionality as intuitive, spontaneous and individual as possible for the end user. Anoto functionality makes sure that pen and paper remains pen and paper even when digital services are available.

A network of partners

Anoto is establishing the de facto standard through a network of partners from a wide range of industries: Mobile phone industry, traditional pen and paper industry, operators, software developers only to mention some. Till now, Anoto has established about 50 partnerships in Europe, USA and Asia.

Ordinary pen and paper, yet more... Anoto functionality turns handwritten notes, doodles and sketches digital. A pattern, almost invisible to the naked eye, is printed on to ordinary paper. A digital pen enabling Anoto functionality reads the pattern and can thereby determine its' position and copy the pen movement. The information can then via a Bluetoothtm communication node (e.g. a mobile phone) be sent to any computer, mobile phone, PDA, fax or information bank. Specific commands or functions can also be assigned to a certain area of the paper, thanks to the Anoto pattern. This enables services such as retrieving information or placing an order directly from a mail order catalogue, newspaper or magazine using the digital pen enabling Anoto functionality.

Note to Editors: This press release is also accessible online at www.waymaker.net.