Neoware Systems at LinuxWorld

Global Leader in Linux Thin Clients to Display at LinuxWorld


KING OF PRUSSIA, Penn., Feb. 16, 2005 (PRIMEZONE) -- At the Linux World Conference & Expo in Boston, Mass., Neoware Systems (Nasdaq:NWRE), the leading supplier of award-winning software, services, and appliances for thin client computing, today announced the company has solidified its role as the worldwide leader in Linux thin client solutions. Neoware is the global leader in Linux thin clients with more than 40% market share of this segment of the PC market -- nearly four times its nearest competitor, according to industry analysts. Neoware is expanding their line of Linux thin client solutions including the innovative thin client devices and software for personal computers.

Innovative organizations around the world, such as Independence Air, the City of Kenosha, Groupe S, Hopital de Macon and many others are enjoying the fundamental operational and financial business benefits of Neoware's extensive lineup of Linux solutions. Neoware's recent acquisitions of Mangrove Systems and the thin client business of Visara International (previously known as Memorex Telex) further demonstrate market leadership by enhancing the company's software portfolio, establishing a European Linux development center and adding innovative technologies that integrate IBM host environments with Linux, Windows, and the Web.


 -- Independence Air took off with Neoware. The startup airline
    standardized on Neoware's Linux thin client appliances for
    customer check-in at airport locations throughout the U.S. Now,
    thanks to Neoware, Independence Air's network can be centrally
    managed, avoiding the need to send IT staff to remote locations to
    install software or provide user support.

 -- The City of Kenosha, WI, deployed Neoware Linux thin client
    appliances and software to run all of the city's software
    applications and public service programs, supporting 19 city
    departments. By deploying Neoware, the City of Kenosha now
    provides users with access to a broad range of software
    applications running on Linux servers.

 -- Groupe S Social Secretariat, one of Belgium's leading human
    resources consulting and services organizations, heightened
    employee productivity by replacing all of its desktop personal
    computers with Linux-based Neoware thin client appliances and
    software. The increased reliability of Neoware's server-based
    approach eliminated hours spent fixing crashed personal
    computers, while enabling the IT department to centralize
    administration of applications, data, and remote workstations
    on company servers.

 -- Hopital de Macon, one of France's leading health care providers,
    replaced a costly network of personal computers with more
    affordable Neoware think client appliances and software,
    becoming one of the first hospital systems in France to comply
    with the country's national Carte Professionnelle de Sante
    regulations. Since switching to Neoware, Hopital de Macon has
    been able to increase security, and enable its health care
    providers to spend more time with patients.

"Neoware's diverse family of thin client solutions has something to offer virtually every business that wants to increase the security, reliability, affordability and manageability of their desktops, while reducing obsolescence," says Michael Kantrowitz, Chairman and CEO of Neoware. "Our recent initiatives demonstrate our strong commitment leadership in the Linux thin client market."

Neoware's expanded line of Linux thin client solutions will be on display at booth no.1301 at the Linux World Conference & Expo, February 14-17, 2005, at the Hynes Convention Center, in Boston.

About Neoware

Neoware's software, services, and thin client appliances make computing more secure, manageable, reliable and affordable by enabling global enterprises to fully leverage server-based computing. By incorporating open, standards-based technologies and eliminating the obsolescence that is built into standard PC architectures, Neoware provides enterprises with increased flexibility and choice, as well as lower up-front and total costs.

Neoware's software products enable enterprises to gain control of their desktops, and to integrate mainframe, midrange, UNIX and Linux applications with Windows(r) and the web. Neoware's thin client appliances enable enterprises to run applications on servers, and display them across wired or wireless networks on secure, managed, reliable appliances that cost as little as one fourth the price of today's typical business PC. Neoware services enable corporations to benefit from server-based computing with training and end-to-end support.

Neoware's products are available worldwide from IBM, as well as from select, knowledgeable resellers. More information about Neoware can be found on the Web at http://www.neoware.com or via email at invest@neoware.com. Neoware is based in King of Prussia, PA.

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including statements regarding: our position as the leading supplier of software, products, services and solutions for the Appliance Computing market; and the benefits of our software-focused business model allowing customers to lower ongoing costs of ownership. These forward-looking statements involve risks and uncertainties. Factors that could cause actual results to differ materially from those predicted in any such forward-looking statement include acceptance of our thin client products, pricing pressures, rapid technological changes in the industry, growth of the Appliance Computing market, increased competition, our ability to attract and retain qualified personnel, adverse changes in general economic conditions in the U.S. and internationally and political and economic uncertainties associated with current world events. These and other risks are detailed from time to time in Neoware's periodic reports filed with the Securities and Exchange Commission, including, but not limited to, its reports on Form 10-K for the year ended June 30, 2004.

Neoware is a registered trademark of Neoware Systems, Inc. TeemTalk is a registered trademark of Neoware UK. All other names products and services are trademarks or registered trademarks of their respective holders.



            

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