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Echelon and NTT Data Join Forces to Develop LONMARK� Product Certification Center

Demand for Interoperable LonWorks� Networks Continues to Grow

(ORLANDO, Fla. - October 19, 2000) - Echelon Corporation (NASDAQ: ELON)and the LONMARK� Interoperability Association announced today that NTT DATA Corporation, Japan's largest data system integrator as well as an Echelon Authorized Network Integrator, has entered into an agreement with Echelon to develop and operate a LONMARK certification center. This new certification center is the first to be operated by a third party and represents a significant step in the Association's growth and ability to respond to the growing demands for certification of LONMARK interoperable products. The center also expands NTT DATA's role as a leader in the LonWorks� community.

"Partnering with NTT DATA is the best way to increase the rate of LONMARK certification for products and grow Echelon's business," said Lawrence Chan, Echelon's vice president of Asia Pacific. "We expect that this relationship will have a dramatic effect on the number of LONMARK products available in the Asia Pacific market."

"We are very pleased to partner with a strong industry leader such as NTT DATA on this certification center," says Kevin Lynch, executive director of LONMARK. "The new center will enable us to better serve our members as they build products for the rapidly growing Asian market for interoperable LonWorks networks and LONMARK products. We are happy to be able to provide them with a local point of contact, local language support, and increased testing staff."

Designed to simplify and speed up the certification process, the NTT Data Certification Center will assist Japanese companies planning to submit products for certification by providing guidance and assistance on how to prepare the documentation needed to meet the requirements for the current certification guidelines. The center's bilingual capabilities will further streamline the process for companies submitting products. Technical staff will be available at the center to work directly with manufacturers to identify and rapidly resolve any problems discovered during the certification process.

"Working with the LONMARK Interoperability Association to certify products allows NTT Data to continue to support our customers by providing technical guidance, and also furthers our business goal of enlarging the market for interoperable LonWorks products in Asia," said Hidehiro Takakusa, director of NTT DATA's Facility Management Business Group and head of the company's construction of building automation systems. "We believe that LONMARK products and flat, open, interoperable LonWorks networks are the new standard in our industry, and we are pleased to expand our role in bringing the benefits of open systems to our customers."

LONMARK is an association of over 270 leading manufactures, integrators, and users of "smart" devices built on Echelon's LonWorks platform. LONMARK certification centers verify that products conform to the LONMARK Interoperability Guidelines, a set of guidelines designed to ensure that everyday devices such as thermostats, lights, switches, motors, and valves from multiple manufacturers work together. In addition to operating its new LONMARK certification center and actively specifying and installing LonWorks networks as an Echelon Authorized Network Integrator, in July of this year NTT Data Corporation became an Echelon training partner, providing Japanese-language courses to meet the increasing demand for LonWorks training and education in the burgeoning Asia Pacific marketplace.

About Echelon Corporation
Echelon Corporation (NASDAQ: ELON) is the world leader in networking everyday devices. The company offers a comprehensive line of hardware and software products for automating building, home, industrial, transportation, and utility applications using LonWorks® networks, an international, cross-industry, open standard for interoperable device networks. Echelon is Bringing the Internet to Life™ by linking the millions of everyday devices connected with LonWorks networks to the Internet.

Echelon is based in Sunnyvale, California with international offices in China, France, Germany, Japan, Korea, The Netherlands, and the United Kingdom. Further information can be found at http://www.echelon.com.

Echelon's LONWORLD2000™ Conference and Exhibition is designed to help end-users, integrators, service providers, and manufacturers learn how to use the LonWorks system in their business. Taking place through today (October 19, 2000) at the Orange County Convention Center in Orlando, Florida, LONWORLD2000 features a series of forums, classes and presentations along with an exhibition of products and services covering the home/utility, building, industrial, and transportation markets.

About The LONMARK Interoperability Association
Since its inception in 1994, the LONMARK Interoperability Association has become a major driving force in the establishment of interoperable guidelines for building, industrial, transportation and residential/utility automation. LONMARK membership is open to any manufacturer, end-user and system integrator committed to the development and use of open, interoperable products using multi-vendor LonWorks control networks.

Products that have been verified to conform to Echelon's LONMARK interoperability guidelines are eligible to carry the LONMARK logo, an indicator that a product has been designed to interoperate over a LonWorks network.

About NTT DATA Corporation
NTT DATA Corporation is the leading provider of information systems and computer networking in Japan. The main business carried out by the company for these types of systems comprises strategic planning, systems planning, systems design and installation and systems maintenance and facility management.

Although the company does not manufacture equipment itself, it develops flexible data communications systems tailored to its clients' needs by integrating computer software technology (which it develops itself or in association with third-party suppliers) with telecommunications and computer hardware purchased from a wide variety of third-party suppliers.

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Echelon, LonWorks, Digital Home, LonMark�, the LonMark logo, and the Echelon logo are trademarks of Echelon Corporation registered in the United States and other countries. LonWorld2000 and Bringing the Internet to Life are trademarks of Echelon Corporation. Other marks belong to their respective holders.

This press release may contain statements relating to future plans, events or performance. Such statements may involve risks and uncertainties, including risks associated with uncertainties pertaining to the timing and level of customer orders, demand for products and services, development of markets for Echelon's products and services, and other risks identified in Echelon's SEC filings. Actual results, events and performance may differ materially. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof. Echelon undertakes no obligation to release publicly the result of any revisions to these forward-looking statements that may be made to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events.

Contact Information

Press Contacts:

Lyn Balistreri
Echelon Corporation
(408) 938-5202
lbalistreri@echelon.com

Liza Brocker
LONMARK Interoperability Association
(408) 938-5266 x 3
liza@lonmark.org

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