Neoware Systems, Inc. (NASDAQ: NWRE), a leading international supplier of thin client desktops and related software for network computing environments, announced today that it has been awarded one of the coveted Crossroads 98 A-List Awards for its innovative line of thin client desktop computers.

The fifth annual Crossroads A-List Awards are the only industry awards based on interviews with customers who are actually deploying the products in mission-critical business situations.

"No product testing lab or editorial review is as valuable to an IT executive considering a complex system as the real-world experience of his or her peers," said Nina Lytton, President of Open Systems Advisors, Inc. (OSA). "The Crossroads A-List Awards identify products and services with proven track records. This is especially important for lesser known products and services from new companies."

Products that win a Crossroads A-List Award are newly proven solutions that are ready for deployment during 1998. All products are measured against OSA's select criteria for enterprise-wide computing, including importance in achieving business results, increasing sales, improving customer service, shortening time to market, and interoperability in a multi-vendor environment consisting of PCs, UNIX and traditional systems.

Neoware's thin client desktop computers are the industry's first products to offer full compatibility with existing desktop operating systems, as a well as access to new technologies such as Java and the Internet. Neoware was the first company to offer a true Network Computer, with key technologies such as the ICA protocol for Windows access, a Java Virtual Machine, the Navigator and Spyglass web browsers, e-mail capability, as well as UNIX, mainframe and minicomputer access. Neoware's thin client desktops are designed for business environments as easy-to-install and easy-to-administer alternatives to the personal computer.

"We're very pleased to have won the Crossroads A-List Award," said Ed Callahan, Neoware's President and CEO. "Knowing that the award comes directly from the recommendation of one of our customers makes us especially proud, since it proves that we're solving real business problems today. Neoware is committed to continue to offer the most comprehensive thin client network computing solutions and the highest quality customer service in our industry."

An awards ceremony will be held in conjunction with the fifth annual Crossroads 98 Conference (March 1-4, 1998), the only industry event exclusively for experienced, business-focused information technology executives who are responsible for getting business results with emerging technology.

A complete list of the Crossroads 98 A-List Award Winners and information on the methodology used to select award winners is available on the OSA web site: http://www.crossroads-osa.com

About Neoware Systems, Inc.

Neoware Systems, Inc. of King of Prussia, is a leading international supplier of thin clients desktop computers, network computers and related network computing software. Neoware's products are cost-effective solutions that allow users to access any information from any type of computer via a network. Neoware's products allow users to utilize Windows, Java, mainframe, minicomputer, UNIX and Internet applications from a easy-to-use desktop machine that requires almost no administration. Neoware's netOS operating system, which is the basis of the company's thin clients and network computers, is based on an open architecture, incorporating industry standards to enable seamless access to multiple forms of information, including text, graphics, audio, and video, on any type of network.

Neoware has been first-to-market with virtually every new technology in the Network Computer industry because of the standards-based, open design of the Neoware netOS operating system. Neoware was first in the NC industry to supply Java, the Navigator web browser, email, video-conferencing, the ICA protocol and a full suite of terminal emulators. Neoware netOS, the operating system in Neoware's thin clients, is offered under license to OEMs for quick and easy deployment of application-specific thin clients and network computers for a variety of markets. More information about Neoware can be found on the Web at http://www.neoware.com , or via email at info@neoware.com . Neoware Systems, Inc. is located at 400 Feheley Drive, King of Prussia, PA 19406.

About OSA

Founded in 1989, OSA provides a real-world perspective on using new technology in business. Based on an ongoing, high-quality dialogue with hundreds of successful implementers of leading-edge technology in large and/or rapidly growing enterprises, OSA publishes the Crossroads Decisions report, selects winners of the Crossroads A-List awards, and produces the Crossroads Conference. For additional information, contact the company at: Open Systems Advisors, Inc., 268 Newbury Street, Boston, MA 02116, or phone 617/859-0859.