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    SAN JOSE, Calif. and FOSTER CITY, Calif., March 1
 -- Immersion Corporation, (Nasdaq: IMMR), a leading
developer and licensor of touch feedback technology, and Sony Computer
Entertainment (SCE) today announced the companies have agreed to conclude
their patent litigation at the U.S. Court of Appeals for the Federal
Circuit and have entered into a new business agreement to explore the
inclusion of Immersion technology in PlayStation(R) format products.
    “We are pleased to have put this litigation behind us,” said Immersion
CEO Victor Viegas. “Our new business agreement with Sony Computer
Entertainment is specifically intended to enable advanced vibration
capability for the benefit of the PlayStation gaming community. We are
happy to provide our technology in this regard and hope to make technical
proposals very soon with respect to use of our technology in the
PlayStation products.”
    Immersion will receive the amount of the judgment entered by the
District Court, which includes damages, pre-judgment interest, costs, and
interest, in addition to retaining compulsory license fees ordered by the
District Court which were already paid. Terms of the business agreement
between the parties provide SCE with certain new rights with respect to
Immersion’s patent portfolio. Additional financial terms are not being
disclosed. The conclusion of this litigation and the agreement will have no
material impact on Sony’s consolidated earnings forecast announced on
January 30, 2007.
    “We look forward to exploring with Immersion exciting new ways to bring
the largest and best range of gameplay experiences to our customers,” said
Kazuo Hirai, President and Group Chief Operating Officer, Sony Computer
Entertainment Inc. “We are very excited about our new partnership with
Immersion and the potential for new and innovative products incorporating
their technologies.”
    About Immersion (http://www.immersion.com)
    Founded in 1993, Immersion Corporation is a recognized leader in
developing, licensing, and marketing digital touch technology and products.
Using Immersion’s advanced touch feedback technology, electronic user
interfaces can be made more productive, compelling, entertaining, or safer.
Immersion’s technology is deployed across automotive, entertainment,
industrial controls, medical training, mobility, and three-dimensional
simulation markets. Immersion’s patent portfolio includes over 600 issued
or pending patents in the U.S. and other countries.
    About SCEA
    Sony Computer Entertainment America Inc. continues to redefine the
entertainment lifestyle with its PlayStation(R) and PS one(TM) game
console, the PlayStation(R)2 and PLAYSTATION(R)3 computer entertainment
systems and the PSP(R) (PlayStation(R)Portable) system. Recognized as the
undisputed industry leader, Sony Computer Entertainment America Inc.
markets the PlayStation family of products and develops, publishes, markets
and distributes software for the PS one game console, the PlayStation 2 and
PLAYSTATION 3 computer entertainment systems and the PSP system for the
North American market. Based in Foster City, Calif. Sony Computer
Entertainment America Inc. serves as headquarters for all North American
operations and is a wholly owned subsidiary of Sony Computer Entertainment
Inc.
    About SCEI
    Recognized as the global leader and company responsible for the
progression of consumer-based computer entertainment, Sony Computer
Entertainment Inc. (SCEI) manufacturers, distributes and markets the
PlayStation(R) game console, the PlayStation(R)2 computer entertainment
system, the PSP(R) (PlayStation(R)Portable) handheld entertainment system
and the PLAYSTATION(R)3 (PS3(TM) system. PlayStation has revolutionized
home entertainment by introducing advanced 3D graphic processing, and
PlayStation 2 further enhances the PlayStation legacy as the core of home
networked entertainment. PSP is a new handheld entertainment system that
allows users to enjoy 3D games, with high-quality full-motion video, and
high-fidelity stereo audio. PS3 is an advanced computer system,
incorporating the state-of- the-art Cell processor with super computer like
power. SCEI, along with its subsidiary divisions Sony Computer
Entertainment America Inc., Sony Computer Entertainment Europe Ltd., and
Sony Computer Entertainment Korea Inc. develops, publishes, markets and
distributes software, and manages the third party licensing programs for
these platforms in the respective markets worldwide. Headquartered in
Tokyo, Japan, Sony Computer Entertainment Inc. is an independent business
unit of the Sony Group.
    NOTE: Immersion and the Immersion logo are trademarks of Immersion
Corporation.
    “PlayStation” and “PLAYSTATION” are registered trademarks of Sony
Computer Entertainment, Inc.
    All other trademarks are the property of their respective owners.

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