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ON Technology Announces New Handheld Device Capabilities at National Retail Federation (NRF) Conference

ON iCommand V3.0 Enhances Security, Reliability and Flexibility for Pocket PC Handheld Devices, Including RFID Devices, Based on Retail Industry Needs and Trends

NRF Annual Convention and Expo, New York (Jan. 13, 2004) – ON Technology (NASDAQ:ONTC), a leading provider of enterprise infrastructure management solutions, today announced the immediate availability of ON iCommand™ V3.0, the latest version of ON’s Web-enabled solution for managing any function on any device over any network.

The advent of radio frequency identification (RFID) has created substantial pressure on retailers and their supply chains to adopt RFID and its supporting infrastructure, including wireless handheld devices that are typically used to read RFID information. Retail industry analysts believe that RFID is a transformation in the making, providing substantial efficiency and cost savings benefits by allowing real-time inventory monitoring and management of any item in the supply chain.

ON Technology has responded to the retail industry’s RFID initiative by developing a single unified solution for managing wireless handheld devices as well as other business-critical retail devices – including POS and self-checkout systems, tablet PCs, store manager workstations, and store servers – from a centralized administration console. ON’s open and highly-scalable solution has been chosen by leading retailers worldwide including The Home Depot, Staples, OfficeMax, PETCO, TJX, Discount Tire, and AutoNation (see related release “ON Technology Continues Market Momentum in Retail Sector with Significant New Customer Wins”).

New Auto-Provisioning and Disaster Recovery Capabilities
Continuing ON Technology’s commitment to providing full lifecycle management for all managed devices, ON iCommand V3.0 now allows retailers to perform “zero-touch” auto-provisioning and one-click disaster recovery for Pocket PC devices. With Version 3.0’s new bare-metal auto-provisioning capability, Pocket PC devices can now be automatically configured – based on pre-defined policy settings – and added to the management database the first time they connect to the network. This increases security and reliability by eliminating the need for complex and error-prone configuration actions that would otherwise have to be performed manually, such as configuring critical network and security settings.

Security is also enhanced by ensuring that all devices always have the latest security patches and application updates, and by locking down devices to prevent inadvertent interference by store personnel while management updates are being performed. Reliability and uptime are also enhanced because corrupted or misconfigured devices can now be automatically reset and rebuilt to their specified configuration, from the click of the mouse in the administration console.

In addition, retailers now have the flexibility to easily re-purpose or re-provision handheld devices for different store applications – such as back-office inventory control before the store opens in the morning and customer-facing applications such as sales returns after opening. By de-coupling software applications from the hardware they run on, iCommand V3.0 allows handheld devices to be seamlessly and securely shared between departments, while still providing specialized functionality, thereby increasing ROI while reducing capital expenditures.

“ON Technology continues to gain mindshare across the retail landscape with its unique ability to intelligently manage remote devices across multiple operating system environments,” said Paula Rosenblum in The AMR Research Alert, July 31, 2003.

New Point-and-Click Wizard for Unattended Installs
ON iCommand V3.0 also includes a new point-and-click wizard that enables the easy creation of scripted and unattended installations for Pocket PC applications. This unique agent-based approach increases reliability by ensuring that all handheld applications are installed in a consistent manner without requiring IT or end-user intervention. At the same time, ON’s unique, parameter-based native installation technology allows applications to be dynamically configured at deployment time as opposed to the multiple specialized packages required by traditional imaging and snapshot technologies.

“Industries such as retail are on the verge of a revolution due to mobile technology and the productivity and revenue gains it promises,” stated Phil Neray, vice-president of marketing, ON Technology. “Unlike simple desktop suites and complex management frameworks, ON iCommand is unparalleled in providing full end-to-end lifecycle management for all computing devices from a single unified console – in an open and extensible solution that can be implemented rapidly and efficiently. This unique approach is key to helping retailers implement truly secure environments while achieving the bottom-line benefits that next-generation technologies such as mobile will deliver.”

Pricing & Availability
ON iCommand V3.0 is currently available and will be demonstrated at the National Retail Federation’s Annual Convention and Expo, Jan. 11-14, at the Jacob K. Javits Convention Center, New York City, in the Fujitsu booth (Booth #1335). Please contact ON Technology for detailed pricing information.

About ON iCommand
ON iCommand uniquely provides a single integrated solution for managing the full lifecycle of remote devices, including unattended bare metal provisioning, OS and application deployment, ongoing security updates and patch management, disaster recovery, and de-provisioning. Its open and scalable architecture also allows IT organizations to incorporate and leverage existing tools – such as Symantec Ghost, Microsoft SMS, and Novell ZENworks packages – to provide 100% “hands-off” automation and eliminate sneakernet.

ON iCommand’s innovative Java-based agent and server technology supports desktops, servers, retail kiosks, and mobile devices such as laptops and handhelds, and has been designed to support next-generation devices such as intelligent cell phones, embedded vehicle systems and consumer set-top boxes. With ON iCommand, IT departments can now perform critical management functions on thousands of remote devices simultaneously, over any type of network.

ON iCommand also incorporates advanced technologies for managing devices over low-speed connections and the Internet, including HTTP/SSL support for securely managing users both inside and outside the firewall (such as home users); dynamic bandwidth throttling for preserving bandwidth for critical business applications; file- and byte-level differencing and compression for minimizing download times; and checkpoint-restart for efficiently handling intermittent connections such as wireless and dial-up.

The ON iCommand suite consists of ON iCommand for unattended OS & device provisioning, application deployment, security patch management, disaster recovery, and de-provisioning; ON iPatch for automated patch management, and unattended removal of viruses and unauthorized applications; ON Command Discovery™ for network discovery, asset management, license compliance, and software usage monitoring; and ON Command Remote™ for Help Desk support.

About ON Technology Corporation
ON Technology empowers IT organizations and service providers to manage the full lifecycle of their computing systems over large-scale corporate networks. Our solutions are used to rapidly and reliably deploy critical applications, operating systems, and content to desktops, mobile PCs, handhelds, servers, retail point-of-sale (POS) terminals and banking workstations. Our customers leverage our solutions to significantly reduce IT costs, improve availability and reliability of business-critical applications, and enhance both IT and end-user productivity. ON’s management solution has been chosen by more than 1,000 enterprises worldwide to manage in excess of 1.2 million networked computer systems. For more information visit ON Technology’s Web site at www.on.com or call 800-767-6638.

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ON Technology, ON Command, and ON Command CCM are registered trademarks, and the ON logo and ON iCommand are trademarks of ON Technology Corporation. Microsoft and Windows are either registered trademarks or trademarks of Microsoft Corporation in the United States and other countries. All other brand names and trademarks are properties of their respective owners.

The statements in this press release that relate to ON Technology’s future plans, events and performance are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. These forward-looking statements involve a number of risks and uncertainties. Some of the important factors that could cause actual results to differ materially from those indicated by the forward-looking statements are general economic conditions, including the current weakness in the global economy, demand for the Company’s products and services, performance of the Company’s direct and indirect distribution channels, competitive pressures, market acceptance of the Company’s new products and technologies, and the risk factors detailed from time to time in ON Technology’s periodic reports filed with the Securities and Exchange Commission, including without limitation the Company’s Quarterly Report on Form 10-Q for the third quarter of 2003 filed in November 2003. Actual results and performance may differ materially due to these and other factors. Readers are cautioned not to place undue reliance on forward-looking statements, which speak only as of the date of this press release. ON Technology undertakes no obligation to release publicly any updates or revisions to any forward-looking statements contained in this press release that may reflect events or circumstances occurring after the date of this press release.


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