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Taiwan Appliance Maker Sampo Introduces Smart LonWorks® Home Appliances

New Products Unveiled at World�s Largest Home Appliance Show

(COLOGNE, Germany - March 7, 2001) - Today at domotechnica 2001, the world's largest show for household appliances, Sampo Corporation (TSEC: 1604) announced a new family of smart kitchen appliances built on Echelon Corporation's (NASDAQ: ELON) LonWorks® platform. The product family, which includes an air conditioner, air purifier, dehumidifier, fan, fire detector, gas detector, outlet controller, motion sensor, Internet refrigerator, and home server, uses Echelon's LonWorks platform and PLT-22 Power Line Transceiver to connect the devices to each other and to the Internet. Sampo, one of Taiwan's leading manufacturers of home appliances, consumer electronics, and telecommunications products, introduced the products into the Taiwan market under its own brand in December 2000 and will subsequently release them into the European market, where it has an established business as a private-label, OEM supplier.

Sampo's smart, networked appliances provide a number of enhanced services to consumers. The heart of the networked home, Sampo's touch panel Internet refrigerator, provides Internet access to e-mail and Web browsing and acts as a control panel for interacting with the home's appliances and sensors over the power line network, the Internet, or via mobile phones using the wireless access protocol (WAP). The home server device provides similar functionality through a TV or PC monitor. The air conditioner, air purifier, dehumidifier, fan, fire detector, gas detector, outlet controller, and motion sensor communicate with each other over the home�s power lines and can be monitored and controlled over the Internet, the Internet refrigerator, or the home server.

"The market for smart appliances is here now and we want to be the leading international supplier of products for this market," said Simon Lee, home appliance export director at Sampo. "With Echelon's LonWorks platform we have a single, worldwide standard that enables us to easily and cost-effectively offer a wide variety of smart, network-connected home appliances. The superior performance of Echelon's power line technology and LonWorks platform allowed us to design a plug-and-play solution, one that is as easy to install as simply plugging the appliances into standard power outlets. With our smart appliances, we and our OEM partners can offer unique services, create new revenue opportunities, build brand awareness, and increase consumer loyalty."

"We are delighted to be working with Taiwan's leading home appliance manufacturer to bring LonWorks networks into homes worldwide," said Lawrence Chan, Echelon's vice president of Asia/Pacific. "This new line of products enables Sampo to provide to consumers a new level of comfort, safety, and convenience. Their unique and highly desirable products mark Sampo as an industry leader and further brings LonWorks enabled everyday devices into the mainstream of the consumer products industry."

Sampo's smart appliances are being sold in Taiwan initially. The firm is actively working with, and seeking out, other OEM partners worldwide. Interested parties may contact Sampo directly at 886-3-3281507 or email homeapp@sampo.com.tw.

For nearly three decades, domotechnica has enjoyed a reputation as the largest and the most successful trade fair for household appliance technology. More than 1,200 exhibitors from 57 countries and over 65,000 visitors from 124 countries are expected to attend this year�s show. Information can be found at http://www.domo-technica.com/.

About Echelon Corporation
Echelon Corporation (NASDAQ: ELON) is the world leader in networking everyday devices. The company offers a comprehensive line of hardware and software products for automating building, home, industrial, transportation, and utility applications using LonWorks® networks, an international, cross-industry, open standard for interoperable device networks. Echelon is Bringing the Internet to Life™ by linking the millions of everyday devices connected with LonWorks networks to the Internet.

Echelon is based in Sunnyvale, California with international offices in China, France, Germany, Italy, Japan, Korea, The Netherlands, and the United Kingdom. Further information can be found at http://www.echelon.com.

About Sampo Corporation
Sampo Corporation traces its roots back to 1936 when Mr. M.P. Chen and his brothers founded Tung Cheng Tang Electronics Company, forerunner of today's Sampo. As a leader in the home appliance industry of Taiwan, Sampo introduced Taiwan's first microcomputer-controlled air conditioner (1979), microcomputer-controlled television (1984), and microcomputer-controlled refrigerator (1985). By 1989, Sampo had opened offices in the People's Republic of China (PRC) to oversee the sales and distribution of Sampo products. In 1993, Sampo became the first Taiwan consumer electronics company to produce microwave ovens and washing machines in Mainland China. Today, Sampo is one of Taiwan's leading business groups. With three manufacturing facilities and numerous distribution outlets throughout Taiwan, four manufacturing facilities and distribution centers in the PRC, and affiliated businesses which provide synergy to Sampo's core business operations, Sampo remains an industry leader. More information about Sampo is available at http://www.sampo.com.tw/.

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Echelon, LonWorks, LonMark, the LonMark logo, and the Echelon logo are trademarks of Echelon Corporation registered in the United States and other countries. Bringing the Internet to Life is a trademark of Echelon Corporation. Other marks belong to their respective holders.

This press release may contain statements relating to future plans, events or performance. Such statements may involve risks and uncertainties, including risks associated with uncertainties pertaining to the timing and level of customer orders, demand for products and services, particularly with respect to home networking, development of markets for Echelon's products and services, and other risks identified in Echelon's SEC filings. Actual results, events and performance may differ materially. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof. Echelon undertakes no obligation to release publicly the result of any revisions to these forward-looking statements that may be made to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events.

Contact Information

Press Contacts:

Lyn Balistreri
Echelon Corporation
(408) 938-5202
lbalistreri@echelon.com

Daniel Chien
Sampo Corporation
886-3-3281507
daniel@sampo.com.tw

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