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Axeda Licenses Axeda DRM to Egenera Inc.Axeda Licenses Axeda DRM to Egenera Inc.

Mansfield, MA -- August 16, 2004 - Axeda Systems Inc. (Nasdaq: XEDA), a leading provider of device relationship management (DRM) software and services, announced today that Egenera Inc., a leader in utility computing, has licensed the Axeda DRM system.

"Egenera seeks to provide customers with a simplified datacenter environment, enabling them to reduce capital and operational costs and achieve greater business agility," said Al Lanzetta, vice president of worldwide enterprise services, Egenera. "Axeda DRM complements the Egenera® BladeFrame® value proposition by enabling proactive remote monitoring through an efficient and scalable solution."

"We are very pleased that Egenera has chosen Axeda DRM to augment its service offering," said Robert M. Russell Jr., chairman and chief executive officer, Axeda Systems. "Working together, Axeda and Egenera can help enterprise datacenters improve reliability and lower total cost of ownership through our highly scalable solutions."

The Egenera BladeFrame system enables enterprises to securely and effectively share and manage datacenter resources across applications, reducing the need for dedicated servers and accompanying network infrastructure.

About Axeda®
The Company's flagship product, the Axeda® DRM system helps manufacturing and service organizations increase revenue while lowering costs, by proactively monitoring and managing devices deployed at customer sites around the world. Axeda DRM is a highly scalable, field-proven, and comprehensive remote management solution that leverages its patented Firewall-Friendly™ technology to enable Machine-to-Machine (M2M) communication by utilizing the public Internet. Axeda customers include Global 2000 companies in many markets including Medical Instrument, Enterprise Technology, Office and Print Production Systems, and Industrial and Building Automation industries. Axeda has sales and service offices in the U.S., Europe, and Japan, and distribution partners worldwide. More information about Axeda is available at www.axeda.com.

Press Contact:
Erin Nolan Smith
Corporate
+1 508-718-6351
enolan@axeda.com

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