EXHIBIT 99.2


FOR MORE INFORMATION, CONTACT:

Rob Bateman, Chief Financial Officer
Applied Microsystems Corporation
425.882.5683
robb@amc.com


                   APPLIED MICROSYSTEMS ANNOUNCES PURCHASE OF

                             REBA TECHNOLOGIES, INC.

REDMOND, WA -- MAY 23, 2002 -- Applied Microsystems Corporation (NASDAQ: APMC)
today announced that it has completed its acquisition of REBA Technologies, Inc.
on terms in line with the previously announced letter of intent. REBA's
patent-pending technology is focused on enhancing the operation of server farms
for enterprises, Application Server Providers and Network Service Providers.

The acquisition consideration received by REBA's shareholders consisted of an
aggregate of 350,000 shares of Applied's common stock plus an aggregate
principal amount of $178,000 of promissory notes, due May 22, 2004, and bearing
interest at the rate of 6% annually. At the closing of the transaction,
certificates and notes representing 50% of the aggregate merger consideration
were placed into escrow for the purpose of securing the indemnification
obligations of the REBA shareholders. Applied did not acquire any personnel,
tangible assets, or known liabilities in the transaction.

Because Lary Evans is a director of Applied Microsystems and was a majority
stockholder of REBA's outstanding shares, the negotiation of the terms of the
acquisition was handled by an independent committee of Applied's Board of
Directors composed of disinterested directors. This committee engaged an
independent valuation firm to provide a basis for negotiations, and ultimately
recommended that the transaction be approved by the Company's entire Board of
Directors.


                                    - more -



"We are excited about the opportunity to now focus greater attention on
developing products for corporate data centers," said Stephen J. Verleye,
President and CEO of Applied. "We plan to provide further information about
product plans utilizing REBA technology as soon as we can."

Applied Microsystems has a 23-year track record as a leading developer of tools
and technology for embedded systems. Increasingly, embedded systems technology
is at the core of new capabilities in the commercial communications and
computing markets -- in applications such as storage area networks, networking
appliances, communications and networking equipment. While Applied has
historically been a developer of tools for use by embedded systems developers,
the REBA acquisition represents an expansion into development of hardware and
software products aimed at end-user markets -- specifically, corporate data
centers.

The company can be reached at P.O. Box 97002, Redmond, WA 98073-9702; by phone
at 800-426-3925; or by e-mail at info@amc.com. Visit Applied on the Web at
www.amc.com.

Forward-looking statements in this press release are made pursuant to the safe
harbor provisions of the Private Securities Litigation Reform Act of 1995. These
forward-looking statements are subject to various risks and uncertainties that
could cause actual results to differ materially from historical results or those
anticipated or stated or implied by such forward-looking statements. These
factors include, without limitation, the ability of the Company to integrate the
REBA technology into its development plans, the ability of the Company to
successfully develop hardware and software to be used in markets such as
enterprise server farms and internetworking equipment using intellectual
property acquired in the transaction, market acceptance for planned products and
services, relationships with third parties, sufficient availability and
retention of qualified personnel, ability of the Company to maintain/improve
gross margins and operating margins on its existing products and service while
shifting its research and development focus to include hardware and software
aimed at end-user markets, the overall economic climate of the businesses and
geographies in which the Company operates, availability of sufficient resources,
and other risks and uncertainties detailed in the Company's filings with the
Securities and Exchange Commission.

                                       ###


                                     -more-