Pionetics News

Pionetics Receives the 2005 Technology Innovation of the Year Award for Its Breakthrough Point-of-use Drinking Water Treatment Technology

November 7, 2005, PALO ALTO, CA.— Frost & Sullivan’s 2005 Technology Innovation of the Year Award in the field of advanced water treatment technologies is presented to Pionetics Corporation for its creation of a unique drinking water purification system based on its patented LINX® ion-exchange membrane technology. Initially marketed in a point-of-use drinking water system for households, Pionetics’ technology uses one-tenth the wastewater of conventional (reverse osmosis) systems, works well at low water pressures, and requires no under-sink storage tank. In addition, the product features a Dial-a-Taste™ feature that enables users to adjust the taste of purified water by leaving in some of the taste-enhancing minerals.

Each year, Frost & Sullivan presents this Award to a company that has carried out new research, which has resulted in innovations that have brought or are expected to bring significant contributions to the industry in terms of adoption, change, and competitive posture. The Award lauds the quality and depth of a company's research and development program as well as the vision and risk-taking that enabled it to undertake such an endeavor.

"Pionetics' proprietary ion-exchange membrane technology selectively removes priority pollutants in drinking water such as arsenic, nitrate, and other harmful ions and softens water without the addition of salt or other harmful chemicals," says Frost & Sullivan Research Analyst, Miriam Nagel. "This technology makes it possible to cost-effectively deliver drinking water systems in the areas where low water pressure is typically a concern, and thereby help stop the spread of waterborne disease in underdeveloped countries."

The LINX technology has many advantages over competing reverse osmosis point-of-use systems and is cost competitive. The LINX system provides electrically regenerable ion exchange rather than using salt or other chemicals. Where a reverse osmosis system wastes up to ten gallons for each useful gallon of purified water, the LINX system wastes less than one gallon. The LINX system also has a flow rate of 2 liters/minute; thus eliminating the need for a tank to store water and saving space where the unit is installed (usually under a sink). Significantly, low water pressure does not pose a problem for LINX – the deionization technology actually works better at low pressures.

Although the new-to-market LINX system is designed for point-of-use residential applications, Pionetics' technology for water purification can also be used in commercial and industrial applications.

"Investors have confidence in the technology – with over $11 million raised in venture funds from seven firms, the Pionetics' innovative LINX technology has entered the market," notes Nagel. "Interestingly, although the technology is new to the market, it has been developed and tested in laboratories for ten years."

For its novel technology that provides pure water with no chemicals and far less wastewater along with the ability to include taste-enhancing minerals in the finished processed water, Frost & Sullivan is proud to present the prestigious Technology Innovation of the Year Award to Pionetics Corporation.

Held in Miami, Frost & Sullivan’s Best Practices Awards Banquet honors world-class companies for contributing innovative developments to the pharmaceutical and life sciences industry, as well as companies yielding emerging technologies in a variety of fields. An annual event, the banquet recognizes the quality and merit of distinguished individuals and companies that deliver unparalleled insight on the industry, products and services.

About Pionetics Corporation
Pionetics Corporation has developed an innovative technology for water treatment and purification that significantly improves contaminant removal and water flow rates while reducing waste water as well as the size of the treatment system. The company’s proprietary LINX (Electrically Regenerated Ion Exchange) technology uses electricity rather than salt or other chemicals to treat water, and has potential applications for municipal, industrial, and whole-house water treatment. Currently, Pionetics is launching its first LINX-based water treatment system, which is designed for under-the-sink household use. This compact system will deliver purified water at a higher flow rate and with far less waste water than competing technologies, and will, for the first time, allow consumers to adjust the taste of the water being delivered.

Pionetics Corporation was founded in 1989 and is funded by NGEN Partners, EPCOR Utilities, Unilever Technology Ventures, RockPort Capital Partners, Topspin Partners, Pangaea Ventures, and Firelake Capital. Headquartered in San Carlos, California, it is currently entering the Asian market with partnerships and offices in China and India. For more information, please visit www.pionetics.com.

About Frost & Sullivan
Frost & Sullivan, a global growth consulting company, has been partnering with clients to support the development of innovative strategies for more than 40 years. The company's industry expertise integrates growth consulting, growth partnership services, and corporate management training to identify and develop opportunities. Frost & Sullivan serves an extensive clientele that includes Global 1000 companies, emerging companies, and the investment community by providing comprehensive industry coverage that reflects a unique global perspective and combines ongoing analysis of markets, technologies, econometrics, and demographics. For more information, visit www.frost.com.

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