Neonode Moves AirBar™ End-Assembly to Asia, and Scales Up the Manufacturing of zForce AIR™ Modules in Sweden.

STOCKHOLM, Sweden, Oct. 13, 2016 -- Neonode Inc. (NASDAQ:NEON), the Optical Interactive Sensing Technology Company, has completed the relocation of its AirBar end-assembly process to Malaysia in anticipation of high demand for AirBar, and will focus fully on making the zForce AIR sensor modules – the heart of the AirBar sensor – in Sweden.

AirBar brings displays to life, adding touch and gesture sensing to both new and existing PCs. AirBar works with Windows® and ChromeOS™ operating systems as a “Plug and Touch” solution anywhere: simply plug AirBar into the USB port and interact with the display immediately.

At the heart of every AirBar sensor lies a zForce AIR sensor module that is manufactured in a highly automated process in Sweden. The zForce AIR modules are now shipped directly to Neonode’s assembly partner Salutica Allied Solutions. At Salutica, each zForce AIR sensor module is assembled together with cosmetic parts into a final AirBar product, then packaged and shipped to Neonode’s global distribution partners.

“After extensively testing and refining the production and assembly processes for AirBar, we have now moved the end-assembly, testing and packaging to our partner Salutica. This will optimize the whole supply chain giving Neonode greater scalability and efficiency,” said Remo Behdasht, SVP AirBar Devices at Neonode Inc. “Furthermore, we are extremely excited that this month we will see AirBar in the online stores of the largest retailers in the United States.”

About Neonode
Neonode Inc. (NASDAQ:NEON) develops and licenses optical interactive sensing technologies. Neonode’s patented optical interactive sensing technology is developed for a wide range of devices like automotive systems, printers, PC devices, monitors, mobile phones, tablets and e-readers. NEONODE and the NEONODE logo are trademarks of Neonode Inc. registered in the United States and other countries. AIRBAR, the AIRBAR logo and ZFORCE AIR are trademarks of Neonode Inc. All other trademarks are the property of their respective owners.

For more information please visit www.neonode.com.

Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These include, but are not limited to, statements relating to expectations, future performance or future events, and product cost, performance, and functionality matters. These statements are based on current assumptions, expectations and information available to Neonode management and involve a number of known and unknown risks, uncertainties and other factors that may cause Neonode’s actual results, levels of activity, performance or achievements to be materially different from any expressed or implied by these forward-looking statements.

These risks, uncertainties, and factors are discussed under “Risk Factors” and elsewhere in Neonode’s public filings with the U.S. Securities and Exchange Commission from time to time, including Neonode’s annual report on Form 10-K, quarterly reports on Form 10-Q, and current reports on Form 8-K. You are advised to carefully consider these various risks, uncertainties and other factors. Although Neonode management believes that the forward-looking statements contained in this press release are reasonable, it can give no assurance that its expectations will be fulfilled. Forward-looking statements are made as of today’s date, and Neonode undertakes no duty to update or revise them.

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For more information:

AirBar Sales Contact:
[email protected]

AirBar Press Contact:
Oscar Ritzén Praglowski
Email: [email protected]

Investor relations contact:
David Brunton
E-mail: [email protected]