Applied Digital Solutions Acquires Development and Private Label Marketing Rights to Corema EXPRESS, a Leading Customer Relationship Marketing Application for Retailers.

Business Editors/High Tech Writers

PALM BEACH, Fla.--(BUSINESS WIRE)--Jan. 16, 2001

Applied Digital Solutions, Inc. (NASDAQ: ADSX), a leading, single-source provider of e-business solutions, today announced that it has acquired the development and private label marketing rights to Corema(R) EXPRESS, a customer relationship marketing (CRM) software application for the retail industry, from Fujitsu-ICL Systems Inc., a member of the $50 billion global Fujitsu group.

As part of its agreement with Fujitsu-ICL, Applied Digital will receive source code and development access, enabling the Company to develop its own CRM offering based upon Corema EXPRESS.

Applied Digital's relationship with Fujitsu-ICL dates back to June of 1999. At that time, Applied Digital became a Fujitsu-ICL business partner and began reselling the CRM software -- under the name of TradeCenter(R) Corema EXPRESS -- as part of its comprehensive range of in-store systems and data warehousing services designed specifically for retailers. With this new agreement, Applied Digital expects to begin offering a modified, renamed CRM offering during the second quarter as part of its TradeWind product suite.

Commenting on the announcement, Mercedes Walton, President and Chief Operating Officer of Applied Digital Solutions, said: "Customer relationship marketing is increasingly important to our retail clients. We took a very close look at all of the retail-focused CRM products on the market and Corema EXPRESS was clearly the strongest. Under the terms of our new agreement with Fujitsu-ICL, we now have the ability to modify Corema EXPRESS. By modifying Corema EXPRESS and integrating it more effectively into our current retail systems and solutions, Applied Digital will enable clients to more easily construct a market-leading CRM program."

Applied Digital currently offers retailers the industry's most comprehensive set of in-store systems and solutions including: TradeWind, the company's award winning in-store application that helps to improve a retailer's customer service efforts, enhance inventory-tracking capabilities and streamline the management of its customer information database; TradeCenter(R), its highly innovative data warehousing software; and TradeRoute(R), its suite of communications and messaging applications that incorporates Internet-style communications over a wide area network, enabling retailers to connect their stores with their corporate offices.

Corema EXPRESS was originally designed for retailers interested in providing high levels of service to their customers and establishing long-term, one-on-one marketing relationships with them. It directly supports day-to-day activities of marketers by addressing five key marketing functions: customer loyalty, customer profitability, customer-focused merchandising, targeted promotions and promotion effectiveness. Corema EXPRESS examines customer and sales transaction data to help analyze, understand and respond to customers' purchasing behavior to help create customer-focused marketing promotions. Built on a Microsoft SQL Server 7.0 database, with all user interaction supported in a Web browser, Corema EXPRESS offers a unique, flexible and easy-to-use intranet platform to the customer relationship application market.

About Fujitsu-ICL Systems Inc.

Fujitsu-ICL Systems Inc. is a subsidiary of Fujitsu Limited, a $50 billion provider of Internet-based information technology solutions for the global marketplace. The company supplies bricks-and-clicks solutions that build on its established market leadership in retail and financial systems with innovative, Internet-based customer relationship management technologies. Its Transaction Systems division has almost 30 years experience in providing hardware/software solutions and services for retail point-of-sale (POS), specialized mobile computing and ATM applications. Its Transaction Applications division provides retail POS software applications and Internet-enabled customer relationship management (CRM) solutions that enable its clients to build high-value, personalized relationships with their customers. For more information visit Fujitsu-ICL's Web site at http://www.fjicl.com.

About Applied Digital Solutions, Inc.

Applied Digital Solutions is a leading, single-source provider of e-business solutions. The Company differentiates itself in the marketplace by "enabling e-business through CTII(TM)" (Computer Telephony Internet Integration). Applied Digital Solutions grew revenues a remarkable 14,315 percent over the past four years. In recognition of its strong growth record, the Company has been ranked in the top tier of the fastest growing technology companies in the "Technology Fast 500" listing compiled annually by Deloitte & Touche. With a ranking of 27 in the listing for the year 2000, Applied Digital was ranked in the Top Ten of the Fast 500 in two of the past four years. For more information, visit the Company's website at http://www.adsx.com.

Statements about the Company's future expectations, including future revenues and earnings, and all other statements in this press release other than historical facts are 'forward-looking statements' within the meaning of Section 27A of the Securities Act of 1933, Section 21E of the Securities Exchange Act of 1934, and as that term is defined in the Private Litigation Reform Act of 1995. The Company intends that such forward-looking statements involve risks and uncertainties and are subject to change at any time, and the Company's actual results could differ materially from expected results. The Company undertakes no obligation to update forward-looking statements to reflect subsequently occurring events or circumstances.