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Ericom Software and Cedar Systems Partner To Offer Complete WBT Solution

Ericom's PowerTerm CE To Be Pre-Installed in Cedar's WBT NutShell ™

Jerusalem, Israel, June 29, 1999 - Ericom Software, a leading developer of enterprise connectivity software solutions, and Cedar Systems, Inc., a manufacturer of Windows-Based Terminals (WBT), today announced the signing of a joint licensing agreement. Under the agreement, Ericom's PowerTerm CE for the Windows CE environment will be pre-installed into Cedar System's high quality thin-client NutShell´┐Ż WBT product.

Pre-installation of PowerTerm CE into the NutShell, a powerful multi-function thin-client terminal, will enable users of the newest generation of powerful and fast Windows-Based Terminals to easily and securely connect with legacy applications using PowerTerm technology. With the expansion of thin-client computing models based upon WBT in the enterprise environment, the combination of Ericom's corporate connectivity tools with Cedar's low-cost terminal will further drive the total cost of ownership (TCO) even lower, making the NutShell that much more attractive to IT managers.

Ericom CEO and founder Eran Heyman said, "PowerTerm CE's integration into Cedar's WBT forms a complete solution offering total flexibility and protection to fulfill market demands such as ease-of-use for the end user and security. We are happy with our licensing agreement with Cedar Systems because as the use of Windows-based terminals grows and as the enterprise focuses on accessing rather than processing, our joint solution will enable corporations to enhance productivity and improve bottom-lines."

"We are pleased to be teaming up with Ericom software, by integrating PowerTerm CE software into our Windows-based Terminal. We are creating a complete solution for anyone looking to gain access to their legacy systems. Not only can our customers gain access to their legacy systems, but they will also be able to connect to new technologies like Linux. By having Ericom's PowerTerm pre-installed we are creating a complete IT solution," said Robert Reed, Marketing Director of Cedar Systems.

PowerTerm CE supports seamless and reliable access to mission-critical applications on the full line of Digital, WYSE, IBM AS/400, IBM Mainframe, SCO, HP and DG hosts. Its Secure Sockets Layer (SSL) supports the industry's highest security standards while its efficient coding enhances manageability, eases network information sharing, and quickens end-user functions.

Ericom develops and markets corporate connectivity and management software solutions, including the PowerTerm line of terminal emulators for seamless connectivity to IBM AS/400, IBM mainframe, Digital, HP, UNIX and other mainframe hosts. Ericom's technically-advanced products cater to the communications needs of leading corporations, organizations and institutions, serving more than 2 million users in 45 countries worldwide. Clients include AT&T, France Telecom, Hitachi, Intel, Motorola, Harvard University, NASA and many others. Headquartered in Israel, Ericom has a wholly owned subsidiary in the United States and an extensive network of distributors and partners throughout North America, Europe and Asia. For more information on Ericom, please visit the Ericom homepage at www.ericom.com

Cedar Systems is a high-tech firm, with headquarters in the Seattle area, dedicated to creating a future in thin-client computing. By selling superior products at a low price, the company plans on making thin-client Computing catch on sooner rather than later. They excel in creating fault tolerant Windows-based terminals for Fortune 1000 companies and other large organizations. Additional company and product information is available on the World Wide Web at www.cedarsystems.com