Kontron expands its local operation in the Republic of Korea

Kontron Technology Korea now with tail wind from MDS Technology

Eching, Germany / Seoul, Korea, July 15, 2008 – Kontron AG, world market leader in Embedded Computer Technology (ECT) and MDS Technology, market leader in Korea for Embedded Solutions, announced today a strategic cooperation with the goal of strengthening Kontrons presence in the Korean market.

Kontron will provide its leading edge, world class products, while MDS complements the strategic cooperation with its extensive sales & marketing, technical support and professional service capabilities. For expanding the number of clients, MDS will give Kontron access to its entire company infrastructure. This will provide immediate access to all relevant MDS operations including the possibility of face-to-face communication with MDS experts and customers.

“With about 1,000 customers including Samsung, LG and Hyundai MDS is a well respected company in Korea”, says Tom Meyer, Kontrons Vice President ‘APAC. “In addition, MDS is a SI Gold Partner of Microsoft and authorized distributor of Windows Embedded OS and therefore a very symbiotic partner for Kontron in Korea.”

“Kontron is the global market leader in the embedded computer industry and Kontrons products are reliable and durable and have a very good reputation in Korea. For MDS, this cooperation complements the expansion of our current activities in the embedded market very well” says Mr. Sang-heon Lee, CEO of MDS. “Kontron Technology Korea will enjoy the benefits of MDS brand reputation and sales force presence in the Korean market. In addition, the MDS facilities will handle the local services and maintain appropriate Kontron stocks for fast delivery. MDS will benefit in addition from getting immediate access to the entire Kontron embedded computer portfolio, including the brand new small form factor x86 embedded computer technologies. This will enable MDS to integrate Kontron embedded computer products quickly into its core competence solution portfolio.”

MDS has significant technical expertise in various embedded small form factor industries such as mobile/telecom, digital devices, automotive, aerospace and infotainment. The company acts as a one-stop-shop for their customers. As an IT integration service provider MDS is able to handle many specific platform requirements. More and more application-OEMs in Korea are operating fabless and purchase the entire technology from full service platform providers. With the additional and extensive embedded computing portfolio from Kontron, MDS expects to expand total embedded solution sales including standard hardware and software plus custom specific developments to various new industries and customers.

“For Kontron the Korean market is an excellent fit in terms of technology and mentality” explains Kontrons Tom Meyer. “Kontron offers the widest range of leading edge, world class and high quality products which match the expectations of Korean customers and, as a German company, it shares many values. The intensified local activities in strategic cooperation with MDS, the Korean market leader in embedded solutions, are therefore perfect for our increased activities in the Asia-Pacific region and especially Korea.”

Kontrons business partners in Korea, such as Gaius Technology, JST and IS&T will profit form this cooperation, too. Kontron, with the support of MDS, will now be able to serve them even more efficiently than before.

Over the next few weeks, Kontron Korea will move its office into new premises at 15th FL, Kolon Bilant #222-7, Guro-3 dong, Guro-gu, Seoul, Korea, 152-777, telephone (+82-2-2106-6000), fax (+82-2-2106-6004).

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About MDS Technology

MDS Technology, the leader of embedded solution companies in Korea, has been focusing on only embedded industry for more than 14 years and has about 1,000 customer companies including Samsung, LG, Hyundai, etc. The company provides customers with worldwide leading-edge embedded solutions and aims to help customers to reduce time-to-market with improved quality by providing the most effective total solutions for the embedded industry such as mobile, digital device, automobile, aerospace, etc. MDS Technology is listed on KOSDAQ stock exchange under the symbol ‘MDS Tech. For more information, please visit: www.mdstec.com.

About Kontron

Kontron designs and manufactures standard-based and custom embedded and communications solutions for OEMs, systems integrators, and application providers in a variety of markets. Kontron engineering and manufacturing facilities, located throughout Europe, North America, and Asia-Pacific, work together with streamlined global sales and support services to help customers reduce their time-to-market and gain a competitive advantage. Kontrons diverse product portfolio includes: boards and mezzanines, Computer-on-Modules, HMIs and displays, systems, and custom capabilities. Kontron is a Premier member of the Intel® Embedded and Communications Alliance. The company is a recent three-time VDC Platinum vendor for Embedded Computer Boards. Kontron is listed on the German TecDAX stock exchange under the symbol "KBC". For more information, please visit: www.kontron.com.

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