October 21, 2004

Mail Stop:  4-6

Valerie A. Heusinkveld
Chief Financial Officer
Extended Systems, Inc.
5777 North Meeker Avenue
Boise, Idaho  83713

Re:	Item 4 Form 8-K filed October 5, 2004

Dear Ms.Heusinkveld:

We have reviewed your filing and have the following comment.  Please
be as detailed as necessary in your explanation.  In some of our
comments, we may ask you to provide us with supplemental information
so we may better understand your disclosure.  After reviewing this
information, we may or may not raise additional comments.

Please understand that the purpose of our review process is to assist
you in your compliance with the applicable disclosure requirements and
to enhance the overall disclosure in your filing.  We look forward to
working with you in these respects.  We welcome any questions you may
have about our comments or on any other aspect of our review.  Feel
free to call us at the telephone numbers listed at the end of this
letter.

1. We note you discussed conclusions regarding a revenue recognition
matter with Deloitte & Touche prior to their appointment.
Supplementally tell us in detail what this revenue recognition matter
related to and what your revenue recognition policy is related to this
matter.  Additionally, tell us what Deloitte & Touche`s position was
on this policy or matter as well as the position of your former
accountant.  We may have further comments.

We urge all persons who are responsible for the accuracy and adequacy
of the disclosure in the filings reviewed by the staff to be certain
that they have provided all information investors require.  Since the
company and its management are in possession of all facts relating to
a company`s disclosure, they are responsible for the accuracy and
adequacy of the disclosures they have made.

In connection with responding to our comments, please provide, in
writing, a statement from the company acknowledging that

* the company is responsible for the adequacy and accuracy of the
disclosure in the filings;
* staff comments or changes to disclosure in response to staff
comments in the filings reviewed by the staff do not foreclose the
Commission from taking any action with respect to the filing; and
* the company may not assert staff comments as a defense in any
proceeding initiated by the Commission or any person under the federal
securities laws of the United States.

In addition, please be advised that the Division of Enforcement has
access to all information you provide to the staff of the Division of
Corporation Finance in our review of your filing or in response to our
comments on your filing.

Please respond to these comments within 5 business days or tell us
when you will provide us with a response.  Please furnish a cover
letter with your amendment that keys your responses to our comments
and provides any requested supplemental information.  Detailed cover
letters greatly facilitate our review.

Please file your cover letter on EDGAR.  Please understand that we may
have additional comments after reviewing your amendment and responses
to our comments.  You may contact the undersigned at 202-824-5355 if
you have questions regarding these comments.

Sincerely,



Patrick Gilmore, CPA
Staff Accountant
Valerie A. Heusinkveld
Extended Systems, Inc.
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