SANTA CLARA, Calif. – May 3, 2011 – Neonode, Inc. (NEON.OB), a leading optical touch screen technology company, today announced a collaboration with Texas Instruments Incorporated (TI) to further develop and improve the functionality, performance and cost advantage of zForce^®, Neonode’s patented optical touch screen technology.

Neonode and TI are working together on several commercial projects which use TI’s series of ultra-low-power MSP430™ microcontrollers. By further co-development of zForce^® and TI’s 16-bit microcontrollers, OEM’s can touch enable any surface at a low cost, independent of underlying screen technology.

“It’s truly exciting and inspiring to work closely together with a highly professional and competent world leading company, such as Texas Instruments.  We know Texas Instruments well and they have the best microcontrollers for our touch applications. I’m sure that this collaboration will be very beneficial for Neonode, Texas Instruments and our customers” said Thomas Eriksson, CEO of Neonode, Inc.

“Neonode’s technology enables TI’s ultra-low-power MSP430 microcontroller solutions in high-performance touch screens at a fraction of the cost and power consumption of existing implementations. We look forward to future collaboration with Neonode and its touch screen innovation,” said Adrian Valenzuela, MSP430 product marketing manager, TI.  

About Neonode, Inc.

Neonode Inc is the leading provider of optical touch screen solutions for hand-held and small to midsize devices. Neonode is offering software licenses and engineering design services that enable companies to make high functionality touch screens at a low cost. zForce^® is the name of Neonode’s proprietary patented touch screen technology. Neonode Inc is listed on the OTCBB under the symbol NEON.OB. Neonode is a trademark and zForce^® is a registered trademark of Neonode Inc.

About zForce^®

Neonode’s patented touch solution for portable devices, zForce, is many times more cost effective than any other high performance touch solution in the market today. zForce^® supports high resolution pen writing in combination with finger navigation including gestures, multi-touch, sweeps and much more. zForce^® doesn’t require an overlay on top of the display window and provide a 100% clear viewing experience. zForce^® is the only viable touch screen solution that operates on the new revolutionary reflective display panels. Neonode has signed customer contracts with Sony Corporation and other global OEM’s. zForce^® is currently being integrated into a variety of mobile phones, e-Readers, printer products, automotive applications, mobile internet and tablet devices