Daeyang E&C and Colorado MicroDisplay Partner to Deliver Headset for Entertainment, Mobile Computing and Commercial Applications.

BOULDER, Colo.--(BUSINESS WIRE)--June 8, 1999--

The Daeyang DYHMD-B2000 Utilizes CMD's Microdisplay Technology to

Provide OEMs with a Compact and Light-Weight Display Headset

Daeyang E&C (KOSDAQ:33030) and Colorado MicroDisplay, Inc. announced a partnership to deliver the DYHMD-B2000, an SVGA display headset.

By utilizing CMD's reflective Dynamic Nematic Liquid Crystal on Silicon(TM)(DNLCOS) technology, the DYHMD-B2000 display headset is fully immersive without the pixelation of the poly-silicon displays currently used in head-mounted displays (HMDs). The DYHMD-B2000 can be easily connected to portable DVD players, notebook and desktop PCs, televisions, video tape recorders, camcorders, game consoles and a host of other devices, through its breakthrough interface solution.

Working prototypes and finished models of the display headset will be demonstrated June 22-24 at the PC Expo Conference in New York, NY. OEMs will have the opportunity to review the design, determine the appropriate fit for their applications and place orders for delivery in Q1 '00. Customization of the product design is available to OEMs committing to large quantities.

"Market growth for display headsets has relied on the availability of high-resolution microdisplays that do not sacrifice picture quality, color, size or power," stated Byung Suk Kang, chief executive officer of the Daeyang E&C Personal Display Group. "CMD's full-color, SVGA microdisplay delivers this solution, enabling us to offer OEMs highly appealing end-user products that are suitable for computing and visual entertainment applications."

"This announcement marks the beginning of a new era of no compromise personal display products for commercial and consumer applications such as portable computing, moving viewing and gaming applications," said Mark Willner, president and chief executive officer of CMD. "The combination of Daeyang's state-of-the-art, opto-mechanical expertise and CMD's breakthrough microdisplay technology will provide OEMs a high-performance, low-cost headset product that appeals to both the commercial and consumer market sectors."

Elements of the DYHMD-B2000

The core elements of the DYHMD-B2000 display headset are the optical system -- the HM001 display engine, and the single ASIC interface system -- the XS-FT1.

The HM001 display engine is a complete optical microdisplay module that includes the field sequential color CMD8X6D SVGA microdisplay with 1.4 million effective pixels, providing a resolution-scaleable solution for various types of content -- such as arcade gaming, immersive training, DVD, video movies and virtual prototyping. The HM001's compact size, wide inter-pupillary distance (IPD) and comfortable eye relief provides end-users with viewing comfort.

The XS-FT1 is a single chip interface solution that serves as the connection point between the DYHMD-B2000 headset and today's popular computing and video input sources. The multi-functional XS-FT1 interface ASIC supports VGA & SVGA inputs from personal computers, plus the full range of video input standards including NTSC/PAL, S-VHS, and SECAM. It performs several functions, including frame rate conversion, format conversion, de-interlacing and time-sequential conversion. The interface ASIC can be used in both monocular and binocular headset applications, enabling it to be applied in mobile computing, personal entertainment, wearable computing and industrial product applications.

Additionally, both the display engine and the interface ASIC are available to other headset developers who require a turnkey optical and interface solution for developing their own CMD microdisplay-based headsets. -0-

     Key Features and Benefits of the DYHMD-B2000

--   SVGA/VGA/NTSC/PAL/SVHS input capability

--   SVGA high-resolution output

--   0.47 inch, 1.44 million effective pixels using reflective DNLCOS
     technology

--   Simulates dynamic 55-inch screen as viewed at 2m

--   25mm eye relief

--   38.5 Degree field of vision

--   13mm exit pupil

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Availability and Pricing

The Daeyang DYHMD-B2000 display headset is scheduled for delivery in Q1, '00 at an estimated retail price of $800 (U.S.).

About Daeyang

Daeyang E&C (KOSDAQ:33030) develops and commercializes personal display products by applying total solutions for display headsets, head-mounted displays and mobile displays. The company was founded in 1979 by Dr. Junwook Lee, president, and is headquartered in Seoul, Korea. Additional information on the company can be found on http://www.personaldisplay.com.

About CMD

Colorado MicroDisplay, Inc. is a privately held technology development and marketing company whose mission is to develop and commercialize microdisplay technologies that enable "no compromise" display solutions for the next class of computing, entertainment, digital imaging, communication and projection products. Based in Boulder, Colo., CMD was founded in 1996 by Chief Scientist Dr. Douglas McKnight; President and CEO Mark Willner; and Chairman of the Board Dr. Robert Epstein. Additional information on the company can be found on http://www.comicro.com.

Note to Editors: We Share Your Vision and Dynamic Nematic Liquid Crystal on Silicon (DNLCOS) are trademarks of Colorado MicroDisplay, Inc. All other company or product names are trademarks of their respective holders.