Cumetrix Data Systems to Market Personal Computers Pre-Configured with Popular Linux Operating System.

INDUSTRY, Calif.--(BUSINESS WIRE)--Aug. 4, 1999--

Customers Can Choose Optional Red Hat Software or Install

Their Own OS on Linux-Compatible Platform

Cumetrix Data Systems Corp. (NASDAQ:CDSCE), an online retailer and national provider of system configuration and distribution services, Wednesday announced that it is selling consumer and business computers that are pre-configured with the popular Red Hat Linux operating system.

Max Toghraie, chief executive officer of Cumetrix, stated: "The company is marketing an extensive line of low-cost computers targeting home and business users through various channels including its internal sales force, other online partners, as well as the Cumetrix Internet retail site, www.suredeals.com. As part of our program, we feel it is extremely important to address the needs of the growing population of Linux users.

"We are pleased that we can offer our customers Linux-compatible systems including Red Hat Linux, because it clearly is the superior Linux solution, or without the OS should they already have their own operating system."

Toghraie continued: "The Linux PC is offered utilizing components that have been tested and certified for compliance by Red Hat. The base model incorporates the AMD K6-2/350 microprocessor and is priced as low as $399. In addition, as an introductory special, Cumetrix is providing shipment anywhere in the Continental U.S. for only one dollar. We feel that this offering is one of the best values on the market today."

Cumetrix computers can be factory pre-configured with the Linux operating system in response to customer orders and would include free 30-day software support from Red Hat.

Linux is an open-source operating system that rapidly has been gaining popularity among both home and commercial users. According to International Data Corp., commercial shipments of Linux are expected to grow faster than those of all other client or server operating environments through 2003, with an annual compound growth rate of 25 percent.

About Red Hat Software Inc.

Founded in 1994, Red Hat Software is a leader in the development of open-source software solutions. Red Hat Development builds the most accessible and advanced operating system available anywhere with technical innovations such as RPM and disk druid installation tool.

Red Hat Linux was named Infoworld's Product of the Year for three years in a row; was given a Productivity accolade in Software Development's "Jolt" Awards; was named an Environment/Desktop finalist in the Ziff-Davis European Excellence Awards; won the editor's choice awards from both the Linux Journal and Australian Personal Computing magazines; and won the 'Just Plain Cool' award from Australian Personal Computing magazine.

Information on Red Hat is available at 888/REDHAT1 or www.redhat.com.

About Cumetrix

Cumetrix Data Systems is a national provider of automated custom configuration and component distribution services. Through Internet Data Exchange (Interdax), its wholly owned Internet subsidiary, the company has invested in and operates various Internet-related ventures.

The company has headquarters in City of Industry. Information on Cumetrix is available at 626/965-6899 or www.cumetrix.com.

With the exception of historical information, certain statements in this news release are forward-looking statements that involve risks and uncertainties. Actual events or results may differ materially from the company's expectations due to various factors including, but not limited to, the success of the company's promotional activities or market acceptance of the new PC products introduced by the company. The risks highlighted herein should not be assumed to be the only things that could affect the future performance of the company. Additional explanation of these factors and other factors affecting the company's performance are set forth from time to time in the company's filings with the U.S. Securities and Exchange Commission.