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February 25, 2005
NEWS RELEASE

Car Electronics

New Product Announcement

KENWOOD to launch world's first car-navigation system enabling to directly connect with iPod: HDD [Smá:t] Navi, designed with a dedicated GUI.

With a product concept being "Smart Operation," "Smart Entertainment" and "Smart Design," KENWOOD launches a proprietary HDD navigation system installed with Windows®; Automotive Ver. 4.2, first of its kind in Japan, in the automotive multimedia market where a fierce battle takes place.
Note: GUI: Graphic User Interface

Summary

Following on the heels of the recent launch of a new car audio system, KENWOOD Corporation (Head office: Hachioji, Tokyo; President & CEO: Haruo Kawahara) will market its proprietary and world's first hard disc drive ("HDD") car navigation system, dubbed "HDD [Smá:t] Navi*1," which uses a dedicated GUI to control iPod*2 with various functions such as "text display on the large screen," "touch panel control" and "direct cable connection."

The HDD [Smá:t] Navi has been developed with such features as "Smart Operation — easy operation by anybody through universal design," "Smart Entertainment — equipped with popular entertainment functions" and "Smart Design — unparalleled design appealing to the senses," employing user interface, digital and network technologies, which KENWOOD has cultivated for many years. The product is also a new HDD navigation system based on proprietary technologies that is compatible with Apple Computer Inc.'s iPod, which is becoming the most popular portable HDD audio equipment.

KENWOOD aims to stimulate the automotive multimedia market while increasing its presence in the consumer car navigation market where competition is severe, by strongly appealing to the consumer market with its new "automotive entertainment",; the HDD [Smá:t] Navi, which is introduced ahead of other companies an industry first offers.

*1 
 To connect with iPod, users need to separately buy the cable "KNA-i77," whose price is \10,500 (without tax: \10,000).
*2  A trademark registration is being applied.

Item Model No. Recommended price Launch date

7V Touch Panel Monitor

Hybrid HDD Navigation System

HDM-555

\220,500
(\210,000)

Mid-March



Compatible with iPod — Direct connection with iPod enables easy-control

Connecting iPod with the separately sold "KNA-i77" cable, the new product can reproduce music on the portable HDD audio system, which is now attracting great attention not only in Japan but also throughout the world. Meanwhile, iPod can be operated through the large-size display panel of "HDM-555." The product allows users to operate the system by directly touching the panel, and displays "play lists," "artists" and "album names" as does iPod. This can be said to be an epoch-making system for iPod users. As users can even charge iPod in the vehicle, they can enjoy iPod when going out with it. We would like to propose KENWOOD is proposing to add the new entertainment based on iPod for automobiles, which are equipped with increasingly diverse equipment, as typified by DVD players and car theater systems.

* Haruo Kawahara, President & CEO, KENWOOD Corporation

"Since its foundation, KENWOOD Corporation has been regarding it our duty to create discovering and inspiring, by combining its proprietary high fidelity techniques with cutting-edge technologies. This is a special year that marks the 25th anniversary of KENWOOD's car electronics business, and it is our great honor to be able to now introduce a new audio system and a car navigation product, both compatible with iPod that is becoming the most popular in the market, in collaboration with Apple Computer, Inc. I believe that KENWOOD will be able to activate the automotive multimedia market while taking the initiative in the car navigation market where fierce competition takes place, by making a strong appeal to the consumer market with this new ‘automotive entertainment’ that the company realized first in the world."

KENWOOD's Car Electronics Business Strategy

Since KENWOOD entered the car electronics field in 1980, it has been offering innovative and sophisticated products to the market by drawing on its marketing capabilities to identify potential needs and product planning/development/designing capabilities and materialize them, while seeking to combine its traditional high fidelity techniques with cutting-edge technologies.

In the car audio segment, KENWOOD has been creating proposals and products that are always a step ahead of time, such as the industry's first offer of detachable car audio, a car audio with security functions, MP3 playback compatible car audio and digital broadcasting compatible car audio, in addition to an iPod compatible car audio that will be launched this March, to establish a world-renowned brand presence across the world. Also in the car navigation segment, KENWOOD has engaged in a product strategy that places emphasis on user interface since its market entry in 1992, as shown by the fact that it became the industry's first in adopting a touch panel method and voice recognition system and others. Launching in the recent years "Theater Navi" that strikes the balance between its functionality and entertainment feature through the integration of a DVD receiver and HDD navigation system, KENWOOD continues to propose the amenities of new car electronics to the market.

Further, it conducted a review of the joint development framework for car navigation systems at the end of last year to introduce a new HDD navigation system that uses its proprietary technologies and start marketing it to certain sales channels. The model to be launched this time is a product targeted at the wider commercial market and aims at providing the main battlefield of the commercial car navigation market with new appeals, activating the market further and increasing our presence by not only adopting Windows®; Automotive Ver. 4.2 for the first time in Japan but also achieving an iPod compatible user interface, better than car audio systems.

Looking forward, KENWOOD will accelerate its efforts, which include the pursuit of making car electronics and home electronics increasingly more seamless and the introduction of car multimedia systems that enjoy higher compatibility with not only iPod but also its own portable digital audio products by making full use of its digital and network technologies, to create "Mobile & Home Multimedia System" business.

* A message from Mr. Naotoshi Shimizu, Senior Account Manager of Automotive Business Unit, Embedded Solutions Marketing Headquarters, Microsoft Corporation

"We are very proud to have our Microsoft®; Windows®; Automotive adopted in KENWOOD Corporation's car navigation system, "HDD [Smá:t] Navi". Microsoft offers Windows®; Automotive as a software platform for vehicle-installed digital terminals with a view to promoting in-vehicle digital experiences further. We are sure that your navigation systems with Microsoft®; Windows®; Automotive will enable digital media that can be used in-vehicle to be more widespread and popular."

Main Features of the Product

1.  Direct coupling through a connection cable accommodates the playback on iPod and the operation using 7V-type touch panel

Connecting with the separately sold "KNA-i77" connection cable enables you to play iPod and also use a large display of "HDM-555" to play and operate iPod. Not to speak of intuitive operation through a touch panel, it also displays "play lists," "artists," "album names" and so on as does iPod. This makes it a landmark product to iPod users. In addition, it also serves iPod's charging needs and thus allows iPod to be used outdoors.

* Controllable iPods: iPod installed with Dock connector (the third generation), iPod installed with click wheel (the fourth generation), iPod mini and iPod photo
* Software versions: iPod Software 2.2, iPod Software 3.0.2, iPod mini Software 1.2 and iPod photo Software 1.0
* HDM-555 does not have a built-in amplifier. It requires an FM tuner or a receiver that is installed with an RCA external input terminal in order to reproduce sound from a vehicle speaker.

2.  Separate installation of a large capacity 20GB HDD and DVD drive

The very foundation of the navigation is powered with a large capacity 20GB HDD. Its data area is more than twice as large as that for a DVD-ROM and contains detailed maps for anywhere in Japan and enormous amounts of data for retrieval — including about 30 million addresses and phone numbers of places of your visit. In addition, its large capacity 20GB HDD should make you feel at ease when the maps may need to be updated in the future.

It also has a DVD drive installed, making possible the playback of not only DVDs but also CDs. Since its HDD and DVD drives are installed independently, you can make a change to your destination easily and quickly without having to change a map disk while enjoying a DVD in the backseat when a rear monitor is installed.

3.  A TV monitor with 7V-type touch panel and an independent hard key

It adopts a touch panel, which allows you to easily and intuitively perform operations such as retrieval, for its large 7V-type TV monitor. Also, on both sides of the monitor, there are a hard source keys independent from to switch among "TV," "DVD (CD) and iPod" and "Navi — present location" with a simple push on its button, and a volume key. These facilitate intuitive operation by everyone and, in this sense, have allowed us to deliver user-friendly key operation that is in line with the concept of "realization of stress-free operation",; which KENWOOD has consistently been striving for.

4.  Easier-to-read & use large icons that allow intuitive operation

HDM-555 fully leverages the know-how for touch panels and GUIs that have been acquired over many years and goes a step further by achieving a greater degree of easiness to read and use through larger icons, adopting a friendly design.

It also adopts the "SOS" icon that quickly displays useful information such as the nearest police station and hospital in case of troubles or emergency while driving. It may be helpful in situations like needing to search a lavatory while on the road.

5.  Compatibility with 4 media that become the mainstream for DVD recorder use

It is compatible with DVD+R/RW in addition to DVD-R/RW* and you can play various types of disks that include not only commercially sold DVD software but also home-recorded DVD disks and CD/CD-R/RW which are spreading very quickly. Needless to say, you can play MP3 and WNA recorded on a CD-R/RW.

*  It is compatible with disks recorded in the DVD video format for both DVD-R/RW and DVD+R/RW.
6.  "Windows® Automotive" software platform for vehicle-installed digital terminals

It has a software platform for vehicle-installed digital terminals, "Windows®; Automotive," installed as OS. "Windows®; Automotive" enables you to acquire various information through internet connection and get connected to a home server. KENWOOD will take advantage of these to pursue the development of the "next generation network."

7.  Stylish design in piano black

It adopts the color of very posh-looking piano black that matches with highly advanced car interior .In addition, LED illumination in blue will make the inside of a vehicle look cool.

Notes on trademarks:
iPod, iPod mini, iPod photo and iPod shuffle are trademarks registered by Apple Computer, Inc. in the U.S.
Windows®; Automotive is a trademark registered by Microsoft Corporation in the U.S.

The KENWOOD Corporation is "Reaching out to discover, inspire and enhance the enjoyment of life" as part of its bold, new vision for the future.  A leader in "Mobile & Home Multimedia Systems", KENWOOD comprises three business units (Car Electronics, Communications and Home Electronics) and 36 subsidiaries around the world.

For queries regarding this article, please contact:

Investor & Public Relations Office
KENWOOD Corporation (Japan)
Tel: +81-426-46-6724
Fax: +81-426-46-1440
Email: pr.qa@pr.kenwood.co.jp


Updated 05/02/25 (C) 2005 KENWOOD Corporation

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