News Release

Neonode's latest reference design, zForce Pad, is aimed squarely at companies who develop and sell touch screen based mobile internet and computer devices such as tablet-PCs and iPad-like products. zForce Pad offers a number of advantages compared to existing technologies: 100% transparency (no overlay needed like in resistive or capacitive), low cost for complete touch screen solution, ultrathin design, outstanding finger touch experiences (multi-touch support for gesture like pinch to zoom), integrated ambient light sensor for self adjusting backlight levels and lower power consumption and much more. Products based on the zForce Pad touch screen reference design are already being developed by Asian companies.

"The market for this type of product is booming and the touch screen solution is destined to be a vital part of the success of this market. We developed the zForce Pad platform together with companies in the mobile internet and tablet PC device industry and we are confident that it will play an important role in the development of the market. The feed-back from the companies we presented zForce Pad to at the recently completed 3GSM World Mobile Congress in Barcelona, Spain, was very encouraging," said Thomas Eriksson, CEO of Neonode Technologies AB.

Neonode offers touch solutions that are many times more cost effective than any other high performance touch solutions in the market today. zForce incorporates all functionality and performance features from traditional touch solutions like resistive and capacitive. zForce supports high resolution pen input, multi-finger touch, gestures like zooming combined with superior picture quality. zForce is currently being integrated into products such as mobile phones, mobile internet devices, e-books, digital picture frames and tablet PC's.

Please visit our web site at www.neonode.com or contact

Thomas Eriksson, CEO of Neonode Technologies AB
thomas.eriksson@neonode.com
Tel: +46 8 667 17 17
Mobile: +46 708 521 337

Press contact:
Mikael Westmark
E-mail: mikael@westmark.se
Tel: +46 8 522 378 01

About Neonode Technologies AB

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 Technologies AB, a wholly owned subsidiary of Neonode, Inc., has its base in Stockholm, Sweden. Neonode Inc is listed on the OTCBB under the symbol NEON.OB.

Forward-Looking Statements

This news release contains certain forward-looking statements that involve risks and uncertainties, including statements regarding future products and technology developments. Such statements are only predictions and the company's actual results may differ materially from those anticipated in these forward-looking statements. Factors that may cause such differences include, but are not limited to, the ability of Neonode to develop and sell new products and technologies. These factors and others are more fully discussed in the documents the company files from time to time with the Securities and Exchange Commission, particularly, the company's most recent Form 10-K and Form 10-Q. Neonode and the Neonode logo are registered trademarks of Neonode Inc.

SOURCE: Neonode, Inc.

Neonode Technologies AB
Thomas Eriksson, CEO, +46 8 667 17 17
Mobile: +46 708 521 337
thomas.eriksson@neonode.com
or
Mikael Westmark, +46 8 522 378 01 (Press)
mikael@westmark.se