Exhibit 99.1

FOR: NEOWARE SYSTEMS, INC.
CONTACT: Vincent T. Dolan, CFO
Vince.dolan@neoware.com
610-277-8300


KCSA Joseph A. Mansi/Todd Fromer
CONTACTS: (212) 896-1205/(212) 896-1215
jmansi@kcsa.com/tfromer@kcsa.com


NEOWARE SYSTEMS, INC. NAMES
MICHAEL KANTROWITZ PRESIDENT AND CEO
- - - - - -
Move Reflects Company's new Focus on Linux and Windows-based
Information Appliances

KING OF PRUSSIA, Penn., February 14, 2000 -- Neoware Systems,  Inc.
(NASDAQ: NWRE) announced today that it has appointed Michael Kantrowitz (39)
President and Chief Executive Officer.

Mr. Kantrowitz, who had been Neoware's Executive Vice President, replaces Edward
Callahan, who will stay with the Company through April 30 to assist with the
transition.

The Company said that the appointment of Mr. Kantrowitz was motivated by
Neoware's strategy to extend its market focus to Linux and Windows-based
information appliances. "Mike has always been the visionary for our Company,"
stated Arthur Spector, Neoware's Chairman. "Ed Callahan was brought to Neoware
with valuable skills and experience running large organizations," Spector
continued. " He has restructured the Company and positioned it to be successful
in its new strategy. The Board of Directors and I thank Ed for his leadership
and we wish him well in his future endeavors," stated Mr. Spector.

"As the person who created our new information appliance strategy, Mike is the
right choice to lead the Company as we build our business in this exciting new
market," Mr. Spector continued.

"Neoware has the technology and the vision to become a leader in the emerging
market for information appliances," stated Michael Kantrowitz, Neoware's new
President and CEO. "We plan to offer our customers software, systems and
solutions that enable appliance computing, which means that we'll connect people
with computing power through simple, easy-to-manage information appliances that
are designed to get to work right out of the box.""We intend to partner with
other companies to create information appliances for various vertical markets,"
Mr. Kantrowitz continued. "Combined with software from other companies, our new
appliance products could be used as thin clients, web kiosks for electronic
commerce, email stations, point of sale machines, firewalls, routers, security
devices for virtual private networks, and for various other uses. We're excited
by the promise of these new products."

Mr. Kantrowitz has been Executive Vice President of Neoware and a member of the
Board of Directors since 1995, and has been responsible for business
development, marketing and sales. Prior to this, he held executive management
positions with Human Designed Systems, including Vice President of Marketing and
Sales, and Executive Vice President. Mr. Kantrowitz previously held positions
with Adage Corporation and Raytheon Company. Mr. Kantrowitz holds a BSEE degree
from the University of Lowell.




About Neoware
Neoware designs, develops and markets information appliances based upon embedded
versions of the Linux and Windows operating systems. Neoware's products are
designed to run limited local applications for specific vertical markets, plus
allow access to Linux servers, the Internet and Windows-based applications
running on multi-user Windows NT servers. Neoware's information appliances are
designed as an alternative to general-purpose personal computers, offering
easier installation, as well as lower up-front and administrative costs. More
information about Neoware can be found on the Web at http://www.neoware.com or
via email at info@neoware.com. Neoware is based in King of Prussia, PA.

# # #
This release contains forward-looking statements that are within the meaning of
the Private Securities Litigation Reform Act of 1995, and relate to, the
development of the Company's products and future operating results that are
subject to certain risks and uncertainties that could cause actual results to
differ materially from those in such forward looking statements. Forward looking
statements include those concerning the emerging market for information
appliances, development and marketing of the company's information appliances to
enable appliance computing, potential partnerships with other software
companies, anticipated purchases by customers and the Company's competitive
position. The words "believe", "expect", "intend", "anticipate", variations of
such words, and similar expressions identify forward-looking statements, but
their absence does not mean that the statement is not forward-looking. These
statements are not guarantees of future performance and are subject to certain
risks, uncertainties and assumptions that are difficult to predict. Factors that
could affect the Company's actual results include risks associated with the
Neoware's new strategy focusing on information appliances, including the new
Linux-based products, the Company's ability to obtain additional financing and
strategic partnerships, customers' acceptance of Neoware's products, pricing
pressures, the Company's ability to lower its costs, rapid technological changes
in the industry, growth of the information appliance market and increased
competition. Reference is made to the Company's Annual Report on Form 10-K for
the year ended June 30, 1999 filed with the SEC for a more detailed description
of such factors. Readers are cautioned not to place undue reliance on these
forward-looking statements that speak only as of the date of this release. The
Company undertakes no obligation to update publicly any forward- looking
statements to reflect new information, events or circumstances after the date of
this release or to reflect the occurrence of unanticipated events.

Neoware is a registered trademark of Neoware Systems Inc., Microsoft and Windows
NT are registered trademarks of Microsoft Corporation. All other names products
and services are trademarks or registered trademarks of their respective
holders.