NCD and AT&T Amend Development and Licensing Agreement For Internet Products

Business Wire, Sept 5, 1995

MOUNTAIN VIEW, Calif.--(BUSINESS WIRE)--Sept. 5, 1995--Network Computing Devices Inc. (NASDAQ:NCDI) announced today that it has agreed to amend a development and licensing agreement with AT&T Corp.

Under the amended agreement, NCD will be paid development fees and minimum license fees totaling $9 million through 1996 for development work already completed and for a license to evaluate its Mariner Intelligent Internet organizer. AT&T will also have the right to acquire NCD software products, including Mariner, for its own internal use as well as for distribution to its customers.

The original agreement, announced in February 1995, which provided for total minimum royalties of $15 million through 1998, contemplated the development of additional versions of Internet access products by NCD for license to AT&T. Under the amended agreement, these additional versions will not be developed.

The parties are discussing the possibility of further collaboration in the rapidly evolving Internet access market. However, AT&T is working with other strategic partners in this area, and there can be no assurance that AT&T will order software products from NCD which will result in additional license fees or that the parties will enter into further development programs.

Announced earlier this year, Mariner is the industry's first Intelligent Internet organizer. Its unique features include the ability to organize information in subject-based folders, regardless of the source, and to dynamically build a personal roadmap of a user's Internet exploration. Mariner also breaks new ground in information sharing with its new HTML-enhanced electronic mail capability that combines the formatting power of HTML with the communication power of electronic mail. Mariner integrates all of these features as well as access to all Internet resources, in a simple, easy to use interface. A public evaluation program for Mariner for Windows begins today.

Interested users can preview the product by downloading Mariner directly from NCD's Mariner Web site (http:\\www.mariner.ncd.com). Commercial shipment of Mariner for Windows is scheduled for later this year.

NCD Software Corporation is a wholly owned subsidiary of Network Computing Devices Inc. The Company provides desktop information access solutions for network computing environments. NCD Software Corporation offers a family of software products which include PC-Xware software products which integrate Microsoft Windows and DOS-based PCs into X/UNIX networks, and Z-Mail, a cross-platform electronic mail and messaging system for open system environments. The company has also announced its Mariner Intelligent Internet organizer, an Internet access and navigation tool.

-0-

Note to Editors: PC Xware, Z-Mail and Mariner are trademarks of Network Computing Devices Inc. All other registered trademarks are the property of their respective owners.

CONTACT: Network Computing Devices Inc.

Brenda Hansen, 415/919-2886

hansen@ncd.com