To: Boplicity who wrote (44191 ) 10/11/1999 8:25:00 PM From: Jenne Respond to of 152472
Zoltar Receives New Patent on Wireless-GPS Combination, Signs First Licensing Agreement with Garmin International BUSINESS WIRE - October 11, 1999 17:01 SAN FRANCISCO, Oct 11, 1999 (BUSINESS WIRE) -- Zoltar Satellite Alarm Systems announced today that it has been granted a broad continuation patent for cellular telephones and other wireless safety devices equipped with global positioning (GPS) technology. Zoltar also revealed that it has negotiated its first major licensing agreement with Garmin International, a GPS industry leader and an early manufacturer of cellular phones incorporating GPS-locator technology. The new patent and licensing agreement fortify Zoltar's position in further licensing its GPS-wireless combination technology to other telecommunications manufacturing firms. "This patent on GPS-wireless phones is a product patent that can accommodate a variety of operating systems for wireless-911 calls," said Zoltar President Dr. Dan Schlager, a San Francisco Bay-Area emergency-room physician. Dr. Schlager first conceived of the idea of combining GPS and cellular technology while serving as a search-and-rescue helicopter physician at Stanford University. Working with his high school friend and University of California, Berkeley, telecommunications specialist, William Baringer, Ph.D., they filed for the initial pioneer patent in 1994 before GPS was considered a viable consumer product. Zoltar's pioneer patent, awarded in 1995, on wireless-GPS safety devices includes cellular phones, pagers and other consumer personal safety devices such as the man-overboard life vest. The technology allows people in distress to provide their location to rescue personnel with a push of a single button. Zoltar created its first prototype GPS-equipped cellular phone in 1997 and the following year developed a man-overboard life vest, incorporating wireless telecommunications and GPS tracking. These products won the Hammacher Schlemmer national contest for best new electronic invention of 1998. Zoltar is working to develop these personal safety devices through licenses with many firms, including Garmin. Navtalk, the first commercial GPS-equipped cellular telephone, was introduced by Garmin in 1998. "Independent legal analysis, patent-insurance analysis, and international patent reviews have all validated Zoltar's patent claims," Schlager said. "The Garmin license is a valuable precedent as we move toward strategic alliances with all the major firms involved in wireless-GPS solutions for emergency situations." Michael Bettinger of Preston Gates and Ellis in San Francisco, who represents Zoltar, said: "Zoltar's intellectual property rights are valuable and clear; this license with an industry leader serves notice that Zoltar will vigorously defend its patents while seeking fair agreements." Initially intended for military applications, GPS technology has only recently entered broad consumer markets over the past three years. Lower costs, miniaturization, improved signal reception and a federal mandate requiring emergency 911 cell-phone location have all combined to create this new industry that combines GPS and wireless telephony. "The recently revised Federal Communications Commission mandate has convinced several of the major wireless phone manufacturers that the combination of GPS with wireless hand-held devices now seems to be an obvious winner," Dr. Schlager said. One handset manufacturer, NEC (NASDAQ: NIPNY), has announced it will be coming out with a GPS-cellular phone in the first quarter of 2000. Several others have been working on prototypes that use different GPS or GPS-assisted operating systems. Motorola (NYSE: MOT) has announced an alliance with Snaptrack. Nokia (NYSE: NOK) and Ericsson (NASDAQ: ERICY), have an alliance with SiRF Technologies. Qualcomm (NASDAQ: QCOM) has recently announced a relationship with Lucent (NYSE: LU). The September 15th FCC ruling endorsed Zoltar's position and allows GPS-handset technology to be phased in to meet the federal mandate. "This is a critically important decision that will enlarge the size of the market for these devices," Dr. Schlager said. "Combined with our new patent and licensing agreement, this has been a great month for Zoltar. "Our third comprehensive U.S. patent, together with the increasingly favorable conditions for the GPS-wireless cellular handset solution, will allow us to help accelerate development of a variety of GPS wireless safety devices," Dr. Schlager said. "We are gratified to see the market moving towards Zoltar's proprietary technology to resolve some of the challenges of emergency communications for the 21st century."