Mansfield, MA -- August 22, 2003 - Axeda Systems Inc. (Nasdaq: XEDA), the world's leading provider of device relationship management (DRM) enterprise software and services, today announced that IDEXX Laboratories Inc. (NASDAQ: IDXX), a world leader in veterinary diagnostics, has licensed the Axeda® Device Relationship Management System™ to explore the capability of proactive monitoring, service, and support of its LaserCyte™ Hematology System. With Axeda DRM™, LaserCyte users can benefit from improved instrument uptime and performance. IDEXX service professionals can benefit from real-time access to critical instrument status and diagnostic information, enabling them to provide better customer service, faster and at a lower cost. Licensing of the Axeda DRM System will allow IDEXX to explore the potential of these features to most effectively serve its customers.

The Axeda DRM System is a distributed enterprise software solution that allows service organizations to proactively monitor, diagnose, repair and re-supply intelligent devices when remotely deployed at customer sites. The Axeda DRM System ensures the secure transmission of instrument data via the Internet from remote instruments to service representatives, alerting them if an instrument is operating outside preset performance standards.

"We believe that Axeda DRM can enhance the value of the LaserCyte Hematology System by enabling us to assist veterinarians in making optimum use of the instrument," said Harold Flynn, director, IDEXX Hematology Business Unit. "The opportunity for real-time collaboration with our customers and remote diagnosis of instrument problems can improve our service response."

"At Axeda we share IDEXX's commitment to quality, innovation and excellence," said Robert M. Russell, Jr., chairman and CEO of Axeda Systems. "It is a natural extension of the success of Axeda DRM in the medical instrumentation market to work with IDEXX in veterinary diagnostics. We are pleased to enable IDEXX to drive new proactive services and gain significant competitive advantage."

The LaserCyte Hematology System provides comprehensive hematological diagnostic information using laser-flow cytometry in a completely automated system designed specifically for veterinary practices. The system enhances the ability of veterinarians to diagnose health issues in real-time during the pet examination by providing hematology information previously unavailable in-clinic.

Axeda DRM helps support organizations, minimize time on the phone, reduce the number of costly, unscheduled or unnecessary service visits, and increase equipment uptime to further enhance customer productivity and satisfaction. Axeda DRM also enables new, high-value managed-service offerings such as automated consumable replenishment, system software upgrades, and pay-for-use billing approaches. Ultimately, Axeda DRM enables full-lifecycle feedback that can be used to benefit multiple parts of the business, including product development, marketing, sales, operations and manufacturing.

About Axeda®
Axeda Systems Inc. (NASDAQ: XEDA) is the world's leading provider of device relationship management (DRM) enterprise software and services. Axeda helps businesses become more competitive by using the Internet to extract real-time information hidden in their intelligent devices. The Company's flagship product, the Axeda® Device Relationship Management System™, is a distributed software solution that lets businesses remotely monitor, manage, and service intelligent devices, deployed around the world, allowing them to optimize their service, development, sales, and manufacturing operations. Axeda customers include Global 2000 companies in many markets including Medical Instrument, Enterprise Technology, Printer and Copier, and Industrial and Building Automation Equipment. Axeda has sales and service offices in the US, Europe, and Japan, and distribution partners worldwide. More information about Axeda is available at www.axeda.com.

About Device Relationship Management
Today's "intelligent" devices - such as medical instruments, computers and storage systems, printers and copiers, energy systems, building control units, and industrial equipment - are an important new source of business information. Device Relationship Management (DRM) systems allow companies to tap into valuable device performance and usage information any time, anywhere. Pioneered by Axeda, DRM technology provides a distributed information management system that leverages the Internet to allow timely, accurate and unbiased information to be communicated directly and automatically between intelligent devices, wherever they are deployed around the world, and service personnel or enterprise business systems. DRM helps turn reactive businesses into proactive businesses operating with increased efficiency at lower costs and generating new sources of revenue, with an ROI that is often measured in months.

About IDEXX Laboratories, Inc.
IDEXX Laboratories, Inc. (NASDAQ: IDXX), is a worldwide leader in the development and commercialization of innovative, technology-based products and services for animal health. The company's largest business is focused on companion animal health, combining biotechnology, medical device technology and information technology to aid veterinarians in providing better medicine while building successful practices. IDEXX Laboratories is also focused on employing innovative technologies to monitor production animal health and the safety and quality of drinking water and milk. Headquartered in Westbrook, Maine, IDEXX Laboratories employs over 2,400 people and offers products to customers in more than 100 countries. More information about IDEXX is available at www.idexx.com.

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