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For Immediate Release

Varatouch Introduces the World's Thinnest Analog Navigation Disk Solution The innovative Telepoint™ design brings advanced interface options to next generation consumer electronics products

El Dorado Hills, CA-February 8th, 2005 Varatouch, the leading designer of innovative input devices for consumer products, introduced today the world's thinnest analog navigation disk. The Telepoint™ is a reference design based off of Varatouch's Vsense™ technology that provides a full solution for implementing a low cost, miniature navigation disk. The Telepoint is less than 2mm in height and 21mm in diameter.

This solution allows a very simple mechanical and electrical layout using standard industry processes to create a true analog, 360 degree, variable rate, positioning device in a very small space. In addition to having the very thin form factor, Varatouch's model will enable designers to take advantage of the long life, low power consumption, instant wake-up and the design flexibility that this technology offers.

The analog Telepoint navigation disk allows users to move in infinite directions at variable speeds. Current input devices typically have only North, South, East, and West directional navigation buttons and only allow for movement in four directions at one speed or naught.

"Varatouch's HID technology is enabling the convergence of many new mobile handset applications," says Bernd Steinebrunner ITT Industries, Cannon's Director, Product Management, Dome Arrays and EL Lamps. "Cannon and Varatouch have effectively integrated the analog Telepoint Nav Disk in to an existing keypad which proves to be a great improvement over the digital devices offered today. This new keypad enhances a variety of applications including gaming, GPS and advanced menu applications."

"Today's consumers are looking for the best in performance, convenience and reliability, with their mobile devices," says Craig Vachon, CEO of Varatouch. "Our Telepoint design completely revolutionizes the navigation experience and will bring new demand in the next generation of hand held consumer products. With the huge success and demand that Apple(r) has created with their iPod(r), we are excited to see that our new customers are leveraging the Telepoint in equally innovative ways for their new designs."

About Varatouch
Varatouch (www.varatouch.com) is an intellectual property company dedicated to the design of innovative analog input devices. Varatouch's patented Vsense™ technology enables our partners to exclusively develop, market and manufacture low cost, simple and reliable human interface solutions for consumer electronic products. Working with our distribution partners, we together make it a better experience for consumers to interface with technology in everyday life.

About ITT Industries, Cannon
ITT Industries, Cannon (www.ittcannon.com) is an international supplier of connectors, interconnects, cable assemblies, switches, dome arrays, keypads, multi-function grips, panel switch assemblies, I/O cards kits, smart card systems and LAN components (NYSE: ITT).

Safe Harbor Statement
Unless specifically stated that a relationship exists, no relationships or comparisons of any kind are implied or acknowledged with any the suppliers or makers of non-Varatouch products or components mentioned in this press release. The statements contained herein which are not historical facts are considered forward-looking statements under federal securities laws. Such forward-looking statements are based on the beliefs of our management as well as assumptions made by and information currently available to them. Varatouch has no obligation to update such forward-looking statements. Actual results may vary significantly from these forward-looking statements based on a variety of factors. These important factors are described in Varatouch's website ... www.varatouch.com - Safe Harbor Statement.

Apple® and iPod® are a registered trade marks of Apple Computers (NASDAQ: APPL).