Neoware Enters South African Market via New Distribution Relationship with IT Wise


KING OF PRUSSIA, Pa. and CENTURION, South Africa, Nov. 1, 2005 (PRIMEZONE) -- Neoware Systems, Inc. (Nasdaq:NWRE), the leading supplier of enterprise software, thin client appliances and related services, and IT Wise, a leading distributor in Sub-Saharan Africa, today announced a new distributor relationship with IT Wise to capitalize on the growing thin client market in South Africa.

Neoware has named IT Wise as its distributor for the Sub-Saharan Africa market. With Neoware's support, IT Wise will market, sell and service Neoware products for resellers, VARS, and thin client customers throughout the region. IT Wise will create a dedicated Neoware sales force and will provide logistics, support and warranty services to Neoware customers in the region.

IT Wise is a specialized distributor focusing on the thin client and server-based computing markets. In addition to distributing Neoware products, IT Wise promotes products from Packeteer and ThinPrint.

"We are very pleased to be named as Neoware's thin client distributor in Sub-Saharan Africa," said Ernie Boardman, Managing Director for IT Wise. "We are confident that our new partnership with Neoware will enable our customers to have access to the widest range of thin client and software solutions, and our continued technical support."

"Neoware is pleased to partner with IT Wise to enter the South African market," commented Michael Kantrowitz, Chairman and Chief Executive Officer for Neoware. "We are especially pleased because IT Wise is knowledgeable about the South African market, and has specific expertise in the thin client business."

Neoware thin clients and software enable enterprises to improve the security, manageability, and reliability of their desktops, while reducing both up-front and ongoing costs. Because Neoware thin clients can be secured, and because applications run on central servers, Neoware thin clients can be made virtually immune from standard PC viruses and other security threats, significantly improving information security, reliability and backup/recovery operations. Using Neoware management software, which can be integrated with industry-standard PC management tools such as Microsoft SMS, IBM Tivoli, or Altiris, a system administrator can manage tens of thousands of Neoware thin clients without traveling from desk to desk, lowering administrative costs.

The full range of Neoware thin clients and software are available immediately from IT Wise. IT Wise can be reached on +27 (0) 12 665 2204 or by at www.ITWise.co.za.

About IT Wise

IT Wise was established in 1998 as a distributor company to market and support the sales of products from a select number of overseas suppliers through accredited resellers in Africa Sub-Sahara. As a distributor, IT Wise offers best-of-breed products in the server-based computing market, solutions and services to Value Added Resellers (VARs) and dealers throughout Sub-Saharan Africa, as well as Mauritius.

IT Wise brings direct marketing and technical support to approved VARs and dealers. This includes training to sales and technical personnel at the VAR and dealers as well as to end-users. Apart from the provision of marketing material such as brochures, presentations and demonstration units, IT Wise offers extended services including pre-sales and technical assistance, consultation on industry and technology trends, as well as the compilation of "white" papers that are extremely beneficial in the provision of a solution.

IT Wise also offers top class quality warranty and repair services country wide, combined with efficient administration, billing and delivery systems to ensure the best possible service to partners and end users.

About Neoware

Neoware (Nasdaq:NWRE) is the leading provider of enterprise software, thin client appliances, and related services that make computing more open, secure, reliable, affordable and manageable. By employing open technologies and eliminating the obsolescence built into standard personal computer architectures, Neoware helps enterprises leverage server-based computing architectures to increase security and reliability, enhance flexibility, as well as lower their total cost of ownership.

Neoware's software products enable enterprises to gain control of their desktops, stream software on-demand, and to integrate mainframe, midrange, UNIX and Linux applications with Windows(r) environments and the Web. Its thin client appliances and software enable enterprises to run applications on servers and display them across wired or wireless networks on secure, managed, reliable appliances that cost as little as one-fourth the price of today's typical business personal computer. The company's global development, services, and support provide customers with customized solutions that facilitate their specialized computing needs.

Neoware's products are available worldwide from IBM, as well as from select, knowledgeable resellers. More information about Neoware can be found on the Web at http://www.neoware.com or via email at info@neoware.com. Neoware's global headquarters is in King of Prussia, PA.

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

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including statements regarding the growing thin client market in South Africa, and our partnership with IT Wise to coordinate marketing, selling and support efforts to provide more resources to our customers. These forward-looking statements involve risks and uncertainties. Factors that could cause our actual results to differ materially from those predicted in such forward-looking statements include: our ability to maintain our partnership with IT Wise; our timely development and customers' acceptance of our products; pricing pressures; rapid technological changes in the industry; growth of overall thin client sales through the capture of a greater portion of the PC market, including sales to large enterprise customers; our dependence on our suppliers; increased competition; the economic viability of our suppliers and channel partners; 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 the year ended June 30, 2005.



            

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