EXHIBIT 99
neoware
[GRAPHIC OMITTED]
PRESS RELEASE
FOR IMMEDIATE RELEASE
Neoware Forms Worldwide Alliance with IBM
Neoware To Supply Thin Client Appliances to IBM,
Licenses IBM Technology to Develop Next Generation
Thin Client Appliance Products;
IBM to Provide Service and Support for Neoware Products
KING OF PRUSSIA, PA - January 8, 2002 - Neoware Systems, Inc. (NASDAQ:
NWRE), the leading supplier of award winning software, services, and solutions
for the Appliance Computing market, today announced that it has entered into a
worldwide alliance with IBM Corporation (NYSE: IBM) under which it will be the
preferred provider of thin client appliance products to IBM and its customers.
Effective immediately, Neoware's broad family of award-winning thin
client appliances is available through Options by IBM, IBM's premier third-party
marketing and distribution program. The Neoware and IBM alliance significantly
expands the thin client products available to IBM customers, who now have a
choice of Neoware thin client appliances based on Windows CE, Windows NT
Embedded, Windows XP Embedded, and Linux, all with Neoware's unique software
enhancements for security and manageability. IBM and Neoware intend to enter
into a services agreement under which Neoware's customers will be able to
receive IBM support and repair services throughout North America and Europe.
In addition, Neoware has licensed IBM's thin client technologies,
including intellectual property associated with its thin client software,
terminal emulation, and systems management tools, and will provide IBM's
customers with a cost-effective migration path to a new generation of thin
client appliance products.
"As a part of our efforts to focus, streamline, and simplify our PC
business, we are pleased to create an alliance with Neoware to provide our
customers with the next generation of thin client devices and software," stated
Yvonne Perkins, Vice President of Net Devices for IBM. "Neoware's software-based
business strategy and thin client products are an excellent fit for our
customers' needs today and into the future."
Neoware intends to provide new software upgrades to the installed base
of IBM thin clients using the software technology that it has licensed from IBM,
enabling IBM's customers to easily migrate to Neoware thin clients. By making
new thin client software available for IBM's NetVista 2200, 2800, and N70
products, Neoware will empower IBM customers to continue to use their installed
IBM devices with new Neoware software featuring the latest browsers, ICA and RDP
clients, and other thin client features, providing investment protection and
lowering total cost of ownership. It is Neoware's intention to offer a new
version of its powerful ezRemote Manager software, uniting it with IBM's robust
management software. This will simplify customer migration to Neoware appliances
by providing one suite of management tools for existing IBM thin clients, as
well as Neoware's Eon and Capio appliances, further driving down administration
costs.
"As a leader in the thin client appliance market with a global
presence, and with access to IBM's thin client software portfolio, Neoware is
perfectly positioned to enable IBM customers to migrate easily to the latest
thin client products," said Michael Kantrowitz, President and CEO of Neoware
Systems. "This alliance with IBM enables Neoware to reach a much larger group of
customers, and to offer quality IBM service and support. We are eager to work
closely with IBM to support its customers and build this business. For our
existing customers, Neoware's alliance with IBM further strengthens Neoware's
service and support offerings in the thin client appliance market, and further
extends our leadership position in this dynamic and growing market."
Customers can receive information about Neoware's thin client
appliances by contacting Neoware on the web at www.neoware.com, via email at
info@neoware.com, or by telephone at 1-800-Neoware (636-9273) in the US and
+1 610-277-8300 outside the US.
About Neoware
Neoware provides software, services, and solutions to enable Appliance
Computing, a new Internet-based computing architecture targeted at business
customers that is designed to be simpler and easier than traditional PC-based
computing. Neoware's software and management tools power and manage a new
generation of smart computing appliances that utilize the benefits of open,
industry-standard technologies to create new alternatives to personal computers
used in business and a wide variety of proprietary business devices. Neoware's
products are designed to run local applications for specific vertical markets,
plus allow access across a network to multi-user Windows servers, Linux servers,
mainframes, minicomputers and the Internet. Computing appliances that run and
are managed by Neoware's software offer the cost benefits of industry-standard
hardware and software, easier installation, and have lower up-front and
administrative costs than proprietary or PC-based alternatives. More information
about Neoware can be found on the Web at www.neoware.com or via email at
info@neoware.com. Neoware is based in King of Prussia, PA.
# # #
This press release contains forward-looking statements within the meaning of the
Private Securities Litigation Reform Act of 1995, including statements regarding
the alliance with IBM, the cost benefits and other advantages of the Company's
products, Neoware's ability to develop and provide the next generation devices
and software to, and a seamless transition for, IBM's customers, the migration
of IBM's thin client customers to Neoware's products, the execution of a
services agreement with IBM, the benefits to Neoware resulting from IBM's
service and support for Neoware thin client appliances, the growth of Neoware's
business, revenues, profitability and customer base, and enhancement of
Neoware's leadership position. These forward-looking statements involve risks
and uncertainties. Factors that could cause actual results to differ materially
from those predicted in any such forward-looking statements include Neoware's
timely development and IBM's customers' acceptance of Neoware's next generation
devices and software, Neoware's ability to perform its ongoing obligations under
its agreements with IBM, pricing pressures, rapid technological changes in the
industry, lack of growth of the appliance computing market, increased
competition, Neoware's ability to attract and retain qualified personnel,
adverse changes in customer order patterns, adverse changes in general economic
conditions in the U. S. and internationally, risks associated with foreign
operations and political and economic uncertainties associated with current
world events. These and other risks are detailed from time to time in Neoware's
periodic reports filed with the Securities and Exchange Commission, including,
but not limited to, its report on Form 10-K for its fiscal year ended June 30,
2001.
Neoware is a registered trademark of Neoware Systems, Inc. All other names
products and services are trademarks or registered trademarks of their
respective holders.
NEOWARE CONTACT:
Vince Dolan
Neoware Systems, Inc.
610-277-8300
vince.dolan@neoware.com