IAUS Files Patent Infringement Lawsuits Against IBM, Microsoft, and Others

SALEM, UTAH- IAUS enlisted the help of independent experts to examine its automated biometric identification patent, U.S. Patent No. 5,598,474, relative to other biometric technologies. IAUS has recently instituted patent infringement lawsuits against a number of companies- including Microsoft, IBM, and others -for allegedly violating IAUSís automated biometric identification patent.

IAUS is a pioneer in automated biometric identification. In addition to U.S. Patent No. 5,598,474 and related international patents, the company has three other U.S. Patents, U.S. Patent No. 6,191,410, U.S. Patent No. 6,255,641, and U.S. Patent No. 6,444,969 for fingerprint sensing technology. IAUS technology provides for sensing a biometric feature - fingerprint, hand, retina, etc. - and generating a digital code that represents unique characteristics of the biometric feature. The code can be stored in a relatively small file which can fit onto the magnetic stripe of a credit or debit card. The code can be used to identify an individual in a security or commercial transaction setting.

The global biometric industry is estimated to reach $5.7 billion by 2010. The cumulative losses from identity theft rose from an estimated $221 billion in 2003 to an almost $2 trillion in 2005.

About International Automated Systems, Inc. (www.iaus.com; IAUS:OB) Founded in 1988, International Automated Systems, Inc., develops high-technology products for diverse markets such as energy production, wireless communications, consumer purchasing and financial transactions. The company, founded by a former AT&T communications engineer, is based in Salem, Utah.

Note: Statements contained in this release that are not strictly historical are forward-looking within the meaning of the "Safe Harbor" provisions of the Private Securities Litigation Reform Act of 1995. Such statements are made based upon information available to the company at the time, and the company assumes no obligation to update or revise such forward-looking statements. Editors and investors are cautioned that such forward-looking statements invoke risk and uncertainties that may cause the company's actual results to differ materially from such forward-looking statements. These risks and uncertainties include, but are not limited to, demand for the company's product both domestically and abroad, the company's ability to continue to develop its market, general economic conditions, and other factors that may be more fully described in the company's literature and periodic filings with the Securities and Exchange Commission