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Extended Systems and mmO2 Team to Provide Mobile Solution for Corporate Markets in Europe


BOISE, Idaho, Nov 21, 2002 - Extended Systems (Nasdaq:XTND), a leading provider of mobile data management and wireless connectivity solutions, and mmO2, a leading provider of mobile communications services in Europe, today announced an agreement to offer mmO2's xda, an integrated phone and PDA, with Extended Systems' XTNDConnect Server data synchronization and management software, as part of a mobile communications package solution for the enterprise.

mmO2 UK product manager Stewart McKenzie explained that XTNDConnect Server will be offered alongside the company's newly launched xda device -- Europe's first integrated phone and PDA combining Pocket PC with a color screen and GPRS connection. mmO2 currently has GPRS roaming agreements in 20 countries making this solution ideal for the pan-European traveler.

"Using the xda with XTNDConnect Server, the user will be able to stay connected to corporate data, including e-mail and calendar at all times. This means we have an ideal solution for today's corporate workforce that will marry the obvious benefits of 'always connected' with the 'anytime, anywhere' virtues of the mobile environment -- a strong combination that will go a long way to ensure our customers remain competitive in today's challenging business environment."

"mmO2 and Extended Systems offer the most complete access to Personal Information Management (PIM) and mobile data in real time available in Europe today," said David Hofacker, Extended Systems UK country manager. "Plus, we ensure peace of mind for IT managers by providing management, security and control of corporate information, and as with any corporate data enterprise this remains critical."

XTNDConnect Server delivers robust PIM synchronization (email, contacts, calendar and task information) giving users access to up-to-date applications and information. It also gives IT administrators an effective means for centrally managing these devices and the information they access, delivering data on the fly, when it is convenient and critical to both the user and the sender. New features simplify this instant delivery of information from the corporate server to the new generation of "always-on" integrated wireless devices in a nearly invisible and non-intrusive way.

McKenzie confirms that it was the management and automated synchronization capabilities of XTNDConnect Server that attracted mmO2. "With the mmO2 brand, we're really going into high-end solutions for the corporate and larger SME markets and making sure we deliver quality products in those areas."

He adds that mmO2 also believes that end-users are now looking beyond using their mobile devices solely for emails and other personal information and is actively looking at a range of other applications to offer its customers. "Extended Systems' relationship with Appforge and the vertical application development market combined with the great parentage we have in Telecom which is highly skilled in application development and wirelessly enabling those applications, will really help us gain customer confidence in the vertical application space."

About mmO2:

mmO2 has 100% ownership of mobile network operators in four countries -- the UK, Germany, the Netherlands and Ireland -- as well as a leading mobile internet portal business. Additionally, the company has operations on the Isle of Man (Manx Telecom).

mmO2 was the first company in the world to launch and rollout a commercial GPRS (or 2.5G) network and has secured third generation mobile telephony ("3G") licences in the UK, Ireland, the Netherlands, and Germany.

mmO2 has approximately 18.3 million customers and some 13,500 employees, with revenues for the year ended 31 March 2002 of (pounds)4.276 billion. Data represented 15.6% of total service revenues in the quarter ending 30 September 2002.

About Extended Systems:

Extended Systems provides the expertise, strategy and solutions to help enterprise organizations realize their business goals through mobile technology. The company's software and services portfolio includes data synchronization and device management solutions; mobile applications for sales, service and pharmaceutical professionals; mobile application development tools and services; and Bluetooth and IrDA wireless connectivity software. Extended Systems has more than 2,500 enterprise customers and key alliance relationships with Agilent, Ericsson, Handspring, Hewlett-Packard, IBM, Microsoft, Motorola, NEC, Nokia, Palm, Sharp, Siemens and Toshiba.

Founded in 1984, Extended Systems has offices and subsidiaries in the United States and worldwide. For more information, visit the company Web site at www.extendedsystems.com.



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