Smith Micro Software Signs Licensing Agreement with Rhapsody America

Business Wire, June 3, 2008

Rhapsody PC Client Integrates Smith Micro's AutoSync Technology to Manage Mobile Music Devices

ALISO VIEJO, Calif. -- Smith Micro Software, Inc. (NASDAQ:SMSI), a leading developer and marketer of software solutions and services for the wireless market, today announced it has signed an agreement with Rhapsody America LLC, a joint venture between RealNetworks and MTV Networks, to distribute its AutoSync technology for the Rhapsody music PC client. Smith Micro's AutoSync technology is specifically designed and distributed for Verizon Wireless as the company prepares to bring increased music functionality to its customers' mobile devices.

"Today we are pleased to announce our new relationship with Rhapsody America, LLC," said William W. Smith, Jr., President and CEO of Smith Micro Software. "We continue to be focused and dedicated to providing our customers with advanced technologies that improve their overall multimedia experience, and this collaboration with Rhapsody America is a strong statement of our tradition of constant innovation as we strive to help our customers to differentiate themselves with new and innovative product solutions."

The Smith Micro AutoSync software operates seamlessly in the background on a personal computer, automatically switching the mobile music device from data-communications mode to music sync mode, enabling music device detection, service discovery and music synchronization. AutoSync manages the multi-mode functions on a mobile device from a PC, allowing both devices to communicate over a USB connection, and provides a mechanism to remotely control the personality of the device.

About Smith Micro Software, Inc.:

Smith Micro Software, Inc., headquartered in Aliso Viejo, California, with offices in Europe and Asia, develops and markets wireless multimedia and communication solutions, mobile device management products, image and data compression solutions and many award-winning software products. Smith Micro's complete lines of products are available through Smith Micro's OEM Sales groups, Enterprise Sales groups and direct from its websites, retail and value-added reseller (VARs). Smith Micro's common stock trades on the NASDAQ Global Market under the symbol SMSI. For more information, please visit: http://www.smithmicro.com.

Safe Harbor Statement:

This release may contain forward-looking statements that involve risks and uncertainties, including without limitation forward-looking statements relating to the company's net revenues guidance for fiscal 2008, our financial prospects and other projections of its performance, the company's ability to increase its business and the anticipated timing and financial performance of our new products and potential acquisitions. Among the important factors that could cause actual results to differ materially from those expressed or implied in the forward-looking statements are changes in demand for the company's products from its customers and their end-users, new and changing technologies, customer acceptance of those technologies, new and continuing adverse economic conditions, and the company's ability to compete effectively with other software companies. These and other factors discussed in the company's filings with the Securities and Exchange Commission, including its filings on Forms 10-K and 10-Q, could cause actual results to differ materially from those expressed or implied in any forward-looking statements. The forward-looking statements contained in this release are made on the basis of the views and assumptions of management regarding future events and business performance as of the date of this release, and the company does not undertake any obligation to update these statements to reflect events or circumstances occurring after the date of this release.

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