For  Immediate  Release

                      LANTRONIX SELLS PREMISE SOFTWARE UNIT

         SALE TERMS INCLUDE APPROXIMATELY $400,000 IN NET CASH PROCEEDS

IRVINE,  CA, MARCH 30, 2004 - Irvine, CA - Lantronix today announced the sale of
substantially  all  of its Premise software unit assets to an undisclosed buyer.
Under  terms  of  the  sale, the company will receive $1 million in cash for the
Premise products and related intellectual property and physical assets. Net cash
proceeds,  after  fees  and  related  restructuring expenses, are expected to be
approximately  $300,000  to  $400,000.

The  Premise  software  product  line  primarily  services  home  automation and
consumer  media  systems.

Lantronix  CEO  Marc  Nussbaum  said,  "Exiting  this  non-core  business allows
Lantronix  to  focus its resources on marketing and developing Device Networking
and  IT Management products and services for the commercial and business markets
where  demand  already  exists and there is the potential for rapid adoption. In
addition,  this  action  completes  the  geographical consolidation of our major
operating  entities  into  a  single  site  in  Irvine,  California."

For  fiscal  year  2003,  Premise  accounted  for  less  than one percent of the
company's  total revenues. The Company's cash flow to carry the Premise line has
been  in  the  range  of  $500,000 to $600,000 per quarter over the past several
quarters.

     About  Lantronix

     Lantronix,  Inc.  (Nasdaq:  LTRX)  is  a  provider of hardware and software
solutions  ranging  from  systems  that  allow  users to remotely manage network
infrastructure  equipment  to  technologies  that  network-enable  products  and
appliances.  Lantronix  was  established in 1989, and its worldwide headquarters
are  in  Irvine,  CA. For more information, visit the company on the Internet at
www.lantronix.com.
  ---------------

This  release  may  be  deemed  to contain forward-looking statements, which are
subject  to  the  safe  harbor  provisions  of the Private Securities Litigation
Reform  Act  of  1995.  These  forward-looking  statements  include, among other
things,  statements regarding future events and the future financial performance
of  the Company that involve risks and uncertainties. Readers are cautioned that
these  forward-looking statements are only predictions and may differ materially
from  actual  future  events or results. Readers are urged to read the documents
filed  by the Company with the SEC, which identify risk factors that could cause
actual  results  to differ materially from the forward-looking statements. Among
the  important  factors  or  risks  that could cause actual results or events to
differ  materially  from those in the forward-looking statements in this release
are:  business  and  economic  conditions  and growth trends in our industry and
target  markets,  as well as the geographic regions we serve; estimated net cash
proceeds from the sale of Premise after fees and related restructuring expenses,
and  other  factors.  Although  any projections included in this release and the
factors  influencing  them  will  likely  change,  the  Company  undertakes  no
obligation  to  update  the  information. Such information speaks only as of the
date  of  this  release.

                                      # # #

Lantronix  is a registered trademark of Lantronix, Inc. All other trademarks are
properties  of  their  respective  owners.


     Lantronix  Media  Contact

     Jim  Kerrigan,  CFO
     Lantronix
     949-453-3990