Echelon Targets Fast Growing Energy Monitoring and Remote Control Markets with Its Enhanced Internet Server

-- New i.LON(R) 100 e3 Internet Server Features Powerful Scheduler Application, Simplest Ever Web Page Editor, Tunneling Router Option, ModBus Interface, and An Astronomical Clock to Meet a Wide Range of Applications

Echelon Corporation (NASDAQ:ELON), the world's leading supplier ofLonWorks(R) control networking components, today announced its newi.LON 100 e3 Internet Server, which combines a unique set of featuresand ease-of-use enhancements specifically targeted at fast growingenergy and remote facility management applications in buildings,factories, and municipal street lighting systems. Among the mostsignificant new features are a powerful event scheduler application tomanage equipment operation, a tunneling router option to coordinatecontrol systems via the Internet, a ModBus interface to legacy energyand control devices, and an astronomical clock for calculating theposition of the sun, moon, and stars for optimized lighting control.These enhancements transform the i.LON 100 e3 Internet Server into anall-in-one energy control and monitoring center. The i.LON 100 e3Internet Server is featured today at the 2005 LonWorld(R) Exhibitionand Conference in Paris, France.

"Echelon has packed the new i.LON 100 e3 server with a set offeatures that are targeted squarely at the fast growing energymanagement segment of the control market," said Norbert Heger, GeneralManager, HGI mbH, a LonWorks system integrator. "By making the i.LON100 e3 server work with legacy ModBus motor and lighting control,providing a powerful but simple scheduler, and allowing integrators toadjust light levels based on an astronomical clock -- an especiallyuseful feature for optimizing area and street lighting -- Echelon hasadded significant value to the i.LON platform. If you want to monitor,manage, and control energy -- locally or over the Internet -- thei.LON 100 e3 server is the tool of choice."

The i.LON 100 e3 Internet Server includes features to optimizeenergy utilization locally, and to send and receive controlinformation remotely. The new scheduler application makes it verysimple to set and change schedules for both starting and stoppingprocesses, and sending data logs detailing the status of a system ordevice. When information needs to be communicated with other i.LON 100servers or a remote monitoring center, the data can be tunneled overany IP network, including a LAN or the Internet, using the industrystandard ANSI/CEA 852 peer-to-peer protocol.

For retrofitting controls to existing facilities, the new ModBusinterface enables the i.LON 100 e3 Internet Server to communicate witha wide range of burner, boiler, motor, generator, and lighting devicesusing the legacy ModBus protocol. ModBus support complements theLonWorks network and legacy M-Bus metering bus support alreadyavailable, and transforms the i.LON 100 e3 Internet Server into auniversal data translator that will preserve investments in existing,but older, control equipment.

Also introduced is the new i.LON Vision Web authoring tool, whichworks with Macromedia Contribute to provide a quick and easy way tocreate custom Web pages to update facility owners, tenants, andmaintenance engineers without the need for custom HTML, JavaScript, orSOAP calls. i.LON Vision includes a library of custom graphics,navigation trees and menus for Web pages and can be edited using anyauthoring tool, including Macromedia Dreamweaver.

The new astronomical clock can be used for all types of outdoorlighting application. By predicting natural lighting conditions at anytime of year or location on the globe, the new clock allows lightlevels and energy to be optimized without sacrificing safety.

Earlier versions of the i.LON Internet Server are used worldwidein thousands of locations and a wide variety of applications, frommonitoring safety conditions in coal mines in China to monitoring airquality in California schools to optimizing convenience store energyconsumption in Japan. "The i.LON 100 e3 Internet Server bridges thedivide between data networks and control networks, the so-calledconnectivity chasm, allowing a free flow of actionable businessinformation between the two," said Michael R. Tennefoss, Echelon'svice president of marketing. "By linking energy-optimizationapplications at the enterprise with the devices that monitor, control,and consume energy, the supply of and demand for energy can beoptimized. The i.LON 100 e3 Internet Server excels at this task."

The i.LON 100 e3 Internet Server is available now and is priced at$595 without IP-852 routing and $995 with IP-852 routing. Moreinformation about the i.LON 100 e3 Internet Server can be found athttp://www.echelon.com/ilon.

About Echelon Corporation

Echelon Corporation (NASDAQ:ELON) is a pioneer and world leaderin control networking -- networks that connect machines and otherelectronic devices -- for the purpose of sensing, monitoring andcontrolling the world around us. Echelon's LonWorks platform forcontrol networking was released in 1990 and has become a worldwidestandard in the building, industrial, transportation, and homeautomation markets. Launched in 2003, Echelon's Networked EnergyServices system is an open, extensible, advanced meteringinfrastructure that can bring benefits to every aspect of a utility'soperation, from metering and customer services to distributionoperations and value-added business. In 2005 Echelon released theworld's first embedded control network infrastructure, the Pyxos(TM)platform, extending the benefits of networking inside machines to thesensors and actuators that make them function.

Echelon is based in San Jose, California, with internationaloffices in China, France, Germany, Italy, Hong Kong, Japan, Korea, TheNetherlands, and the United Kingdom. Further information regardingEchelon can be found at http://www.echelon.com.

Echelon, LonWorks, LonWorld, i.LON, and the Echelon logo areregistered trademarks of Echelon Corporation registered in the UnitedStates and other countries. Pyxos is a trademark of EchelonCorporation in the United States and other countries. Other product orservice names mentioned herein are the trademarks of their respectiveowners.

This press release may contain statements relating to futureplans, events or performance. Such statements may involve risks anduncertainties, including risks associated with uncertaintiespertaining to the market demand for Echelon's i.LON 100 e3 server andtiming and level of customer orders; risks associated with the abilityof the i.LON 100 e3 server to perform as designed, its pricingrelative to alternative offerings, and potential shipment orproduction delays by Echelon or production partners; and other risksidentified in Echelon's SEC filings. Actual results, events andperformance may differ materially. Readers are cautioned not to placeundue reliance on these forward-looking statements, which speak onlyas of the date hereof. Echelon undertakes no obligation to releasepublicly the result of any revisions to these forward-lookingstatements that may be made to reflect events or circumstances afterthe date hereof or to reflect the occurrence of unanticipated events.