Critical Path Helps Service Providers and Enterprises Deliver Wireless Messaging Applications; Critical Path Debuts Next Generation Invoke SMS Server 4.0.

Business Editors/High-Tech Writers

SAN FRANCISCO--(BUSINESS WIRE)--Feb. 21, 2001

Critical Path Inc. (Nasdaq: CPTH), the leading provider of Internet messaging infrastructure, today announced it will improve the ability of service providers and enterprises to deliver two-way text messaging and other rich wireless content to their users. Through the company's latest release of the InVoke(TM) SMS Server 4.0, service providers and enterprises will have a carrier-class alternative to Wireless Access Protocol (WAP) technologies, capable of delivering wireless content to the millions of SMS-enabled devices already in use today.

In a few short years, more people will access information through wireless devices than through PCs. By the end of 2001, virtually all new devices worldwide will have the ability to send and receive text messages, called two-way short message service (SMS) or text messaging, and SMS will become the most proliferate form of communication after the phone call and email. These services will only reach the consumer through a robust, scalable wireless messaging infrastructure such as Critical Path's.

Introducing InVoke SMS Server 4.0

Cellular network operators, network service providers and large corporations are faced with increasing demands to provide Internet messaging, business applications and information services to mobile users. InVoke(TM) SMS Server 4.0 is a comprehensive solution for the provisioning of these feature-rich services in digital cellular networks. Using the Short Message Service of mobile networks, InVoke(TM) SMS Server 4.0 is a sophisticated platform for email, as well as information services like stock quotes, traffic reports, sports results and online banking. Though this platform has been implemented for several years at Service Providers around the world, InVoke SMS Server 4.0 delivers the following extended functionality:

--   New IMAP4 Email Client - With the inclusion of an IMAP4 email
     client, Critical Path is delivering a wireless messaging
     experience for non-WAP devices that mirrors a user's traditional
     desktop experience. Users can request to see their inbox and read
     specific email messages on demand without the need of slow,
     cumbersome device-side software.

--   Powerful Software Developers Kit (SDK) - Service providers
     deliver access to information, but they also want the ability to
     create value for their subscribers by delivering wireless
     content. CP's SDK enables service providers to write custom
     applications that can deliver various forms of content, from bank
     information and horoscopes, to phone numbers and email addresses.
     Critical Path customers such as SBC in the U.S. and Debitel in
     Germany are already leveraging Critical Path's SDK to delivering
     meaningful content to wireless subscribers.

Creating The Protocol-Agnostic Wireless Messaging World

A recent study released by The Radicati Group states that the wireless market is growing at a phenomenal rate that is expected to bring the total number of worldwide mobile users from 492 million today to over 1.1 billion in 2004. SMS messages allow users to exchange up to 160 characters at a time; can be sent either from a mobile device, or any stationary computer with Internet access to subscribers whose devices are configured for receiving text messages. The simplicity of use and low cost of SMS is enabling it to enjoy increasing popularity among mobile users around the world. Presently, 90 percent of mobile users in Europe have two-way SMS. Through partnerships with leading companies like Comverse, Logica, NEC and Verizon, Critical Path is already supplying the wireless messaging infrastructure throughout Europe and Asia, and is positioned to be a dominant force in the U.S. wireless messaging market.

Critical Path is committed to supporting all wireless standards rather than force-feeding customers specific technologies such as Wireless Access Protocol, or WAP. CP is providing solutions that help future-proof a service provider's network from the constant evolution in wireless technology development, while improving the wireless messaging experience for the consumer.

"Wireless messaging is not simply about delivering information to devices, but rather it's about building entire businesses around the notion that people, whether at work or at play, no longer want to be tied to their desktop in order to access information," said Lee Llevano, senior vice president of worldwide wireless solutions at Critical Path Inc. "Critical Path is the only company that delivers all of the components that a service provider or enterprise needs to roll out compelling wireless services. This includes the best wireless messaging server, coupled with a proven directory and meta-directory solution for effective provisioning and management, and delivered with a comprehensive approach to messaging security."

Wireless Messaging For Service Providers

As service providers race to add additional services on top of and around email to drive customer loyalty and increase profit margins, Critical Path is delivering the wireless messaging infrastructure enabling service providers to differentiate their services from their competition while decreasing time to market with new services. Critical Path meets both the time to market and the consolidation challenges by acting as a single messaging resource that can meet any messaging need at mega-scalable levels through the flexibility of Allsourcing. Allsourcing enables service providers to purchase and deploy their own messaging infrastructure, or outsource all or part of their messaging infrastructure to Critical Path. In addition to the InVoke SMS Server, Critical Path provides wireless solutions that provide access over multiple protocols to user information such as email messages, calendar events, personal address books and white pages directories.

Wireless Messaging For Enterprises

Today's enterprises feature some of histories most robust and useful resources for collecting and storing information, from leading ERP and CRM applications, to sales force automation (SFA) tools. But without access to the information from the road, these applications become useless. Critical Path is creating a wireless messaging infrastructure for the enterprise that enables two-way communication with transactional systems from any device, anywhere. Whether its responding to an inventory alert via two-way pager to ensure that supplies are replenished, or dialing in via cell phone to check on customer information just before an important sales meeting, Critical Path is expanding the walls of the enterprise to provide real time wireless two-way access to information.

About Critical Path, Inc.

Critical Path Inc. (Nasdaq: CPTH) ignites the power of information for eBusiness by providing the Internet messaging infrastructure upon which the new economy is built. The company is a single resource that powers the flow of mission-critical information through an integrated portfolio of secure messaging, directory, integration, and collaboration solutions. Critical Path's technology strengthens all aspects of the eBusiness value chain by providing the messaging infrastructure that fuels customer's new and existing eBusiness initiatives. Critical Path is headquartered in San Francisco, with offices worldwide. More information on Critical Path can be found at www.cp.net.

Critical Path and the Critical Path logo are the trademarks of Critical Path, Inc. All other trademarks are the property of their holders.

The statements in this press release relating to matters that are not historical are forward-looking statements. Actual results could differ materially from these forward-looking statements. Risks and uncertainties facing Critical Path are described in its prospectus dated June 1, 1999 and with its periodic filings with the Securities and Exchange Commission (www.sec.gov).