Tecan Licenses Axeda(R) DRM

MANSFIELD, Mass., March 1 /PRNewswire-FirstCall/ -- Axeda Systems Inc. , the world’s leading provider of device relationship management (DRM) software and services, today announced that Tecan (SWX Swiss Exchange: TECN), a key player in the healthcare supply industry, has licensed the Axeda(R) DRM system for remote monitoring and proactive support of its FE500 liquid handling systems and laser scanner devices used in laboratory automation. The Axeda(R) DRM system is a remote management system that allows machine-to-machine communication via a secure Internet interface.

“Tecan supplies some of the world’s leading pharmaceutical and diagnostic companies with a wide range of liquid handling solutions, detection devices and other proven automation-compatible instruments,” said Joerg Borer, director global customer support at Tecan. “It is vital to our company and the reputation of our customers that we can maximize the operational running time of all our systems and devices. The Axeda DRM system will enable us to proactively monitor and service all of our deployed systems from anywhere in the world, reducing the number of field service visits and increasing the productivity of our customers.”

In addition to real-time, remote monitoring and service, Tecan will use the Axeda DRM system to deliver remote software upgrades and patches, as well as to run remote desktop sharing sessions, and diagnostic programs for their customers.

“The real power of the Axeda DRM solution is that it allows organizations to have total transparency for their deployed assets without having to be on- site,” said Robert M. Russell Jr. chairman and CEO of Axeda Systems. “With Axeda DRM, Tecan will gain greater intimacy with their customers and be able to provide even better service at a lower cost.”

About Tecan

Tecan (http://www.tecan.com/) is a leading player in the health care supply industry that specializes in the development, production, and distribution of solutions enabling the discovery of pharmaceutical substances, as well as for genomics, proteomics, and diagnostics. Tecan clients are leading pharmaceutical and biotechnology companies, university research departments and diagnostic laboratories. Founded in Switzerland in 1980, the company has manufacturing, research and development sites in both North America and Europe and maintains a sales and service network in 52 countries. In 2003, Tecan achieved sales of CHF 311.6 million (USD 230.8 million; EUR 205.0 million). Registered shares of Tecan Group are traded on the SWX Swiss Exchange (TK: TECN / Reuters: TECZn.S / Valor : 1210019).

About Axeda

The Company’s flagship product, the Axeda(R) 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(TM) 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. and Europe, and distribution partners worldwide. More information about Axeda is available at http://www.axeda.com/.

(C)2005 Axeda Systems. All rights reserved. Axeda, Axeda Systems, Axeda DRM, Axeda Device Relationship Management System, Axeda Agents, Axeda Applications, Axeda Policy Manager, Axeda Enterprise, Axeda Access, Axeda Software Management, Axeda Service, Axeda Usage, Automatic eCommerce, Firewall-Friendly, and Access. Insight. In Real Time. are trademarks of Axeda Systems. All other trademarks are either property of Axeda Systems or property of their respective owners.

This press release may contain certain forward-looking statements that relate to Axeda’s future performance. These forward-looking statements include, but are not limited to, those regarding Axeda’s products and markets, and may include implied statements concerning market acceptance of Axeda’s products and its growing leadership role in the DRM market. Such statements are subject to a number of risks and uncertainties that may cause the actual events or future results to differ from those discussed herein. Such factors include, among others: the difficulty of protecting and enforcing proprietary rights including but not limited to patent rights; the potential that Axeda may not be successful in enforcing its intellectual property rights; Axeda’s ability to manage technological change and respond to evolving industry standards, including the potential that new technology not protected by Axeda’s patents could be developed and patented by others; Axeda’s customers’ ability to implement or integrate Axeda’s DRM solutions successfully and in a timely fashion or achieve benefits attributable to Axeda’s DRM solutions; Axeda’s ability to maintain compliance with the minimum listing requirements of The Nasdaq SmallCap Market, including but not limited to the requirement that the Company maintain a minimum $1.00 bid price as the Company’s shares are currently trading below $1.00 and the requirement that the Company have a minimum of $2,500,000 in stockholders’ equity or $35,000,000 market value of listed securities or $500,000 of net income from continuing operations for the most recently completed fiscal year or two of the three most recently completed fiscal years as the Company had a stockholders’ equity balance of $2,489,000 as of September 30, 2004; uncertainties in the market for DRM products and the potential for growth in the DRM market; the long sales cycle for DRM products; limited distribution channels; present and future competition; and Axeda’s ability to service the principal and interest payments under its outstanding secured convertible term note either through stock conversions or cash payments when due and the risk that the lender could foreclose on its security interest in substantially all of Axeda’s assets if Axeda defaults on its payments under the notes. Investors are advised to read Axeda’s Annual Report on Form 10-K and quarterly reports on Form 10-Q filed with the Securities and Exchange Commission, particularly those sections entitled “Factors Affecting Operating Results” and “Risk Factors” for a more complete discussion of these and other risks and uncertainties. Axeda assumes no obligation to update the forward-looking information contained in this press release.

Erin Nolan Smith Axeda Systems Inc. +1 (508) 851-1251 enolan@axeda.com

Axeda Systems Inc.

CONTACT: Erin Nolan Smith of Axeda Systems Inc., +1-508-851-1251,enolan@axeda.com