Axiotron Unveils Updated Modbook

Improved Hardware and Enhanced Pen Tablet Responsiveness Are Among the
Modbook's Many New Features

El SEGUNDO, CALIFORNIA (December 4, 2008) -- High-tech hardware
manufacturer Axiotron today introduced significant improvements and
enhancements to the Modbook, its award-winning tablet Mac solution. Praised
as "an impressive feat of engineering" by CNET and as "cleverly designed"
by USA Today, the Modbook lets users draw and write directly on the screen
by seamlessly integrating Axiotron's technology with a Wacom Penabled
digitizer and an Apple MacBook computer.

The new Modbook
((http://www.axiotron.com/modbook)http://www.axiotron.com/modbook) features
a collection of hardware and software changes impacting almost every aspect
of the device. Axiotron has upgraded the Modbook's hardware controller
board for improved sleep, battery and system performance. In addition,
specially designed radio frequency (RF) shielding boosts the digitizer's
responsiveness, markedly reducing the potential for electronic interference
with its pen tablet functionality. Also, a new bonding process for the
Modbook's AnyView LCD panel and paper-emulating ForceGlass screen cover
results in a better contrast ratio, a firmer etched drawing surface, and
decreased parallax between pen tip and cursor -- refinements that add even
more accuracy to the Modbook's already unrivaled drawing and writing
experience.

Most noticeably, the Modbook now incorporates Axiotron's QuadCoat process
-- adapted from auto industry techniques -- that protects the
sturdy-yet-lightweight magnesium top shell with a liquid metallic coating.
This, in addition to other changes, decreases the weight of the highly
portable Modbook to only 5.3 pounds.

"We have listened carefully to the feedback and insights of our customers,"
said Axiotron CEO Andreas E. Haas. "This customer-centric approach focuses
our team on the most useful innovations, not only for the Modbook but in
developing future products and product modifications."

Beginning immediately, the Modbook will ship with the following
improvements and enhancements:

-- Better system performance and Mac compatibility: A redesigned Axiotron
hardware controller board offers more efficient power usage, less battery
drain in sleep mode and revamped Axiotron firmware for improved system
performance, better compatibility with the Mac OS X operating system and
updatability for future feature upgrades.

-- Full Bluetooth connectivity: The Axiotron Modbook offers 100% support of
the Apple MacBook base system's native Bluetooth capability. Bluetooth
devices such as a keyboard or mouse will pair with the Modbook.

-- Lightweight and scratch-resistant exterior: The Axiotron QuadCoat
process safeguards the Modbook's signature magnesium top shell with a new
liquid metallic coating while helping to lower the Modbook's weight.

-- Upgraded drawing surface and display characteristics: Axiotron's AnyView
LCD and ForceGlass screen cover are now sealed using a proprietary process
that eliminates the air gap between the two components, creating a better
contrast ratio through improved light transmissivity (especially noticeable
in outdoor environments), as well as a firmer drawing surface and decreased
pen-to-cursor parallax.

-- Enhanced GPS capability: The GPS antenna has been reconfigured to
provide improvement in obtaining a four-satellite fix in an unobstructed
outdoor area, enabling the Modbook's GPS module to furnish coordinate data
to third-party GPS applications with greater reliability.

-- Better pen tablet performance: Axiotron has specially designed new
internal Mu-metal shielding that boosts pen tablet responsiveness by
greatly decreasing the potential for interference from electronic noise
sources.

-- New software: Autodesk SketchBook Express 2009, an industry leading
sketching and drawing application, is now exclusively available on the
Modbook as part of its standard software package. Axiotron plans additional
software enhancements for all Modbook users in early 2009.

-- Improved serviceability: The Modbook's new bonding process and assembly
procedures have been designed to optimize field serviceability by the
recently expanded Axiotron Authorized Service Provider network.

Customers can purchase a Modbook two different ways. A complete Axiotron
Modbook solution including an Apple MacBook base system is available
starting at $2,249. Customers can also get a Modbook through Modservice,
Axiotron's innovative new service enabling most non-aluminum Intel Core 2
Duo-based Apple MacBooks to be converted into an Axiotron Modbook starting
at just $1,299.

To place an order request for the Modbook or Modservice customers can go to
(http://www.axiotron.com/buy), or visit a conveniently located Axiotron
Authorized Reseller. Axiotron continues to ramp up production to meet
year-end demand for the Modbook.

About Axiotron

A high-tech solution hardware manufacturing company and an Apple Premier
Developer, Axiotron (http://www.axiotron.com) produces the Modbook, the one
and only tablet Mac solution. Following its unique vision of Customizing
Your World, Axiotron is dedicated to becoming a leading high-tech innovator
through the conception and development of intriguing digital lifestyle
products. In addition, Axiotron offers its product development expertise to
companies in need of custom hardware solutions. Founded in January 2005,
Axiotron is a publicly traded company listed on the TSX Venture Exchange
(TSX-V: AXO) in Toronto, Canada, with headquarters in El Segundo,
California.