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ON Technology Announces 100th New European Customer in 2002; Wins "Best Windows 2000 Product" Award

Leading European companies including Visa International, Commerzbank, Toyota Motorsports, DaimlerChrysler, Hiscox Insurance, Getronics, Siemens Transit Telematic Systems AG and Swedish Courts select ON Technology's advanced management solution to reduce IT costs and increase customer satisfaction

Waltham, MA (October 10, 2002)- - ON Technology Corporation (NASDAQ:ONTC), a leading provider of enterprise infrastructure management solutions, today announced it has received its 100th new European customer order this year from Switzerland-based Siemens Transit Telematic Systems AG. The company also announced that it was named winner of the "Best Windows 2000 Third-Party Product" category by the Institute for International Research.

ON Technology has had strong success penetrating a range of European industries including financial services, manufacturing, media & entertainment, and the public sector. These customers chose ON Command CCM® to enhance the ongoing management of their mission-critical applications and security updates, to automate infrastructure upgrades to Windows® 2000 and Windows XP, and to implement one-click disaster recovery for enterprise PCs.

For example, the Northern German Broadcasting Association (NDR) is using ON Command CCM to manage and deploy Microsoft Windows XP, along with business-critical broadcasting applications, to 5,000 PCs in five separate locations across Germany. According to Frank Cordes, Project Manager for NDR, the ON management solution reduces the company's overall IT costs while improving service quality and operational security. Furthermore, ON's automated inventory solution provides additional savings by monitoring actual end-user software usage in order to minimize software licensing costs.

Unlike conventional management solutions that can only be used to deploy applications and content, ON Command CCM is the only enterprise-class system that offers end-to-end lifecycle management including unattended operating system deployments and disaster recovery. ON Command CCM also allows globally-distributed enterprises to manage all of their workstations from a single centralized console, including WAN-connected remote or mobile workstations as well as LAN-connected systems in corporate facilities.

Chairman, President and CEO Robert L. Doretti commented, "Europe has always been an important part of our business and we are particularly pleased by the new and increasingly large orders from customers in some of our fastest growing markets. We have also seen an increase in customer orders from partners and resellers, specifically from our strategic partners in Germany, Sweden and the United Kingdom. Our European success, and our growth in North America, has us well positioned for continued revenue growth during 2002."

ON Command CCM was also named 2002 winner of the "Best Windows 2000 Third-Party Product" category by the Institute for International Research. The Institute sponsors an NT Forum and annually recognizes innovative products that have made a significant impact on IT administration. This year, ON Command CCM was chosen for its high customer satisfaction, rapid implementation cycle, and innovative capabilities for centralized configuration management.

"We are pleased to welcome Accor North America, a leader in the hospitality industry, to the ON Technology family of enterprise customers," said Robert L. Doretti, Chairman, President and CEO of ON Technology. "We look forward to providing Accor with world-class software and services that provide rapid return on investment in support of their strategic technology initiatives."

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 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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