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XEROX INNOVATION
October 9, 2002

Focus On Innovation
Gyricon Media Puts Xerox E-Paper on Path to Market


We live in an information society that is driven by its desire for accurate and flexible electronic communication. With this comes the need for advanced, intuitive and low-cost electronic displays.

Gyricon Media was established and is uniquely positioned to meet this need by providing cost-effective, flexible, portable, low power, high-resolution reflective displays. Gyricon Media's mission is clear - to establish its extraordinary technology called SmartPaper as the world standard for electronic paper.

Gyricon Media's SmartPaper is a reusable display material that has many of the properties of regular paper, but is electronically "writeable" and erasable.SmartPaper, developed at PARC (the renowned Palo Alto Research Center, now a Xerox subsidiary), is a reusable display material that has many of the properties of regular paper.

It is a component of Gyricon Media's MaestroSign Systems, a combined software / hardware solution that provides retailers the power of true dynamic pricing, while insuring consumers of pricing integrity on their purchases. The system seamlessly "syncs" retailer planograms, store display signage and point-of-sale databases, providing retailers unprecedented flexibility in reacting to market conditions.

This is orchestrated by Gyricon Media's MaestroWare, enterprise software for the professional design, wireless transmission and real-time management of dynamic screen displays and advertising.

Gyricon is putting SmartPaper to work in an ever-growing portfolio of product and service offerings, each designed to improve the profitability of businesses that harness them and the lives of consumers who experience the difference they make. These innovative business solutions are practical, labor saving, cost effective and environmentally friendly.

Headquartered in Ann Arbor, Mich., Gyricon Media Inc. was founded in 2000, after being spun off from Xerox Corporation. Gyricon Media staff includes former Xerox PARC researchers, who developed SmartPaper technology, and software professionals with expertise in the retail signage software business. Gyricon Media remains as a Xerox Innovation Group Enterprises company. Additional information about Gyricon Media Inc. and its integrated solutions can be found at gyriconmedia.com.

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? 2002 XEROX CORPORATION. All rights reserved.


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