Market UpdateManagement is pleased to inform its shareholders of...

Market Update

Management is pleased to inform its shareholders of a recent technological
development that permits the company to extend the application of our existing digital
sound reconstruction (DSR) loudspeaker technologies, for use in the earphone/
headphone marketplace.

A recent development, originally conceived to improve the efficiency of our loudspeaker
technologies, led to an innovation that permits an entirely new method to control the
sound volume produced by our DSRChip.

This novel approach facilitates the production of sound pressure levels that are
consistent with in and near‐ear usage (i.e. earbuds, airphones and headphones), without
the need to compromise the audio resolution.

Measurements have been taken of our current DSRchip’s in accordance with industry
standard (IEC 60318‐4 occluded ear simulator), producing impressive results when
benchmarked against a well‐known, high‐end brand of earphones.

While the company continues to maintain its unwavering commitment and focus on
revolutionising the century old speaker technologies, nonetheless, it appears that with
relatively minimal refinements our current generation of loudspeaker technologies may
be applicable to include the estimated $30 Billion annual earphone/headphone
marketplace.

This announcement has been authorised for release to ASX by Fred Bart, Chairman


..Expanding the target market to include the $30bn headphone market..