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Insignia Announces Availability of Java-enabling Technology for Microsoft Windows for Smartphone


Insignia Mobile Foundation Provides Java 2, Micro Edition (J2ME) Support for Wireless Carriers Using Forthcoming Microsoft Windows for Smartphone

Fremont, CA, August 27, 2002 - Insignia Solutions(r) (Nasdaq: INSG) today announced the availability of Insignia Mobile Foundation(tm) for Microsoft(r) Windows(r) for Smartphone. Insignia's technology will significantly expand the library of mobile services content available for the forthcoming Microsoft Smartphone 2002 software by providing Java(tm) 2, Micro Edition (J2ME(tm)) capabilities that can be leveraged by wireless carriers worldwide. This is the first Insignia product for a Windows Powered platform since the announcement of an Insignia and Microsoft strategic alliance in March 2002. The first devices using Microsoft Smartphone 2002 software are expected to appear later this year.

The innovative Microsoft Smartphone 2002 is software designed for personal and powerful mobile phones for both work and personal life. Like no other phone, it gives users the ability to keep intelligently connected - whether by voice, email or other means - anytime, anyplace. Users can surf the web, access email or use MSN Messenger Service to chat with friends. The Smartphone 2002 makes work more productive and personal life more fun.

Insignia's software enables wireless operators to deploy and sell Java 2, Micro Edition (J2ME)-based mobile services, including games, mobile commerce, business-to-business applications, email and personal management software to their users, by leveraging the work of more than 2.5 million Java developers worldwide. Operators will now be able to combine their investment in Java content with the new generation of Microsoft .NET services, such as the mapping and driving information service MapPoint .NET, giving users the most comprehensive mobile services experience in the marketplace.

"We have been working closely with Smartphone licensees to incorporate our Mobile Foundation technology into the devices powered by Microsoft Windows for Smartphone platform," said Mark McMillan, president of Insignia. "Working together, we have optimized our Java technology-enabling software to provide a seamless and rich mobile experience that will speed the adoption of these devices by the market. This enables wireless operators to seamlessly deploy the widest range of mobile services to users and consequently increase revenues and reduce churn."

The combined PDA, smartphone, and mobile handset segment is the fastest growing market for smart devices. Last year in Japan alone, over 10 million users switched to Java-enabled phones to access a variety of sophisticated services, from location-based travel assistance to interactive entertainment. The latest ARC Group market research study highlights that almost all mobile handsets will be Java-enabled within five years. This study estimates that over 800 million will be capable of running Java applications by 2006.

"The potential for Java in the wireless market is so impressive because it resolves some of the most fundamental issues for both operators and application developers," commented Steven Hartley, consultant, ARC Group. "For operators, wireless Java enables rich, compelling applications to enhance the end user experience and increase revenues. For mobile application developers, it allows the portability of applications from one device to another, maximizing their market opportunity."

Using patent-pending acceleration, power saving and other optimization techniques, the device-side Insignia Mobile Foundation software integrates the latest rich media capabilities based upon the Java 2, Micro Edition (J2ME) open standards. Insignia Mobile Foundation software is an integral native software stack that includes J2ME CLDC/MIDP, AMS, and rich media technologies necessary to provide an optimized Java solution for mobile device manufacturers and wireless carriers. Insignia was instrumental in defining the J2ME standards, as well as a number of new capabilities designed for optimizing provisioning capabilities to mobile devices.

About Insignia Solutions

Insignia Solutions' provisioning-infrastructure software enables wireless carriers and mobile device manufacturers to fully capitalize on the mobile service opportunity. Founded in 1986, Insignia is a market-share leading supplier of Java virtual machine software solutions for high-growth markets including mobile, digital TV, telematics, and embedded systems. More than 40 million units of Insignia's JVM(tm) technology are licensed by major partners including Samsung, Compaq, BSQUARE, Wind River, Fujitsu, NEC, Toshiba, Motorola and Siemens AG. Insignia Solutions is traded on NASDAQ under the symbol INSG. The company is headquartered in Fremont, California with R&D and European operations based in the United Kingdom, and its Asian HQ in Japan. For additional information about Insignia or its products please visit http://www.insignia.com.

Note to Editors: Insignia, Insignia Solutions, the Insignia Solutions logo and the Jeode logo are registered trademarks and Jeode, EVM and DAC are trademarks of Insignia Solutions, Inc. Sun Microsystems, Sun, Java, EmbeddedJava, PersonalJava, and J2ME are trademarks or registered trademarks of Sun Microsystems, Inc. in the United States and other countries. All other trademarks are the property of their respective holders.

Forward-Looking Statements

The statements in this press release relating to matters that are not historical are forward-looking statements that involve risks and uncertainties. This news release includes forward-looking statements that are subject to risks, uncertainties and other factors that could cause actual results to differ materially from those referred to in the forward-looking statements. Such factors include, but are not limited to, the impact of conclusion or postponement of prospective licensing transactions; the impact of weakening economic conditions or perceived conditions on the level of spending by customers and prospective customers on Insignia Solutions' software and services; financial and other impacts of cost control measures; quarterly fluctuations in Insignia Solutions' revenues or other operating results; failure by Insignia Solutions to meet financial expectations of analysts and investors, including failure resulting from significant reductions in demand from earlier anticipated levels; risks that cash generated from operations and financing activities will be insufficient to satisfy Insignia Solutions' liquidity requirements; risk as related to market acceptance of Insignia Solutions' products; impact of long and lengthening sales and implementation cycles for Insignia Solutions' products; satisfaction levels of customers regarding the implementation and performance of Insignia Solutions' products; reliance by Insignia Solutions on a limited number of customers for a majority of revenue; Insignia Solutions' need to maintain and enhance business relationships with systems integrators, licensors and other parties; Insignia Solutions ability to attract and maintain qualified executives and other personnel and motivate employees; Insignia Solutions' use in its products of third-party software; activities by Insignia Solutions and others regarding protection of intellectual property; and release of competitive products and other actions by competitors. Further details on these risks are set forth in Insignia Solutions' filings with the Securities and Exchange Commission, including its most recent filings on Forms 10-K and 10-Q. These filings are available on a website maintained by the Securities and Exchange Commission at http://www.sec.gov. Forward-looking statements in this release are generally identified by words such as "expect," "anticipate," "will," "intend," "believe," "hope," "assume," "estimate," "plan," and other similar words and expressions. Insignia Solutions does not undertake an obligation to update forward-looking or other statements in this release.



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