Axeda Logs Record Year

FOXBORO, Mass. -- Axeda Corporation, the secure remote service and support company, today announced that it achieved record license revenues in 2006, fueled by over 40 percent growth in software license bookings over 2005 (measured on a pro forma basis). This marks the second straight year of such rapid growth and confirms that top-tier manufacturers are embracing high-value remote services as a key initiative and competitive differentiator.

Due to increased pressure from asset owners/operators for higher uptimes, and longer product lifecycles, manufacturers across many industries are incorporating Remote Product Service (RPS) solutions into their sales and support strategy,“ said Amit Jain, research director at the AberdeenGroup. “Fully 70% of the best-in-class service organizations we recently surveyed are using RPS solutions; noting improvements such as 28% increase in first call resolution rate, and 23% increase in asset uptime. We expect RPS technology to continue to gain momentum.”

Customer Success

In 2006 Axeda announced new customers including Diebold, Leica Microsystems, R2 Technologies, Transportation Security Administration, and Ventana Medical Systems. These leading organizations join a growing list of companies who have licensed Axeda software to help grow revenues, reduce service costs, and increase customer satisfaction. They represent strategic wins for the company in new markets such as ATM/self-service and homeland security.

In addition to new customer acquisition, Axeda’s growth is fueled by more than 50 global customers who have launched or extended their remote service programs. Customer success highlights in 2006 include:*Applied Biosystems boosted reagent sales through a 30 percent increase in instrument utilization

*Respironics reduced software distribution costs by $250,000 and won M2M Magazine’s Gold *Value Chain and Axeda’s Remote Service Leadership awards

*Varian Medical Systems reduced mean time to repair by 50 percent

*VIASYS Healthcare reduced field service visits by 15 percent

Axeda Systems Inc.0