Insignia Receiving $1.0 Million in Proceeds from Warrant Exercise.

CAMPBELL, Calif. -- Insignia Solutions (Nasdaq:INSG), a leading mobile device management solutions provider, today announced that Fusion Capital Fund II, LLC (Fusion), an institutional investor, has exercised 2,000,000 warrants at $0.356 each and 720,000 warrants at $0.40 each, resulting in approximately $1.0 million in proceeds to the Company. These warrants were issued to Fusion under its subscription agreement with Insignia dated, February 10, 2005. Insignia intends to use the proceeds from the sale of these warrants for working capital and to fully re-pay a promissory note to Fusion in the amount of $450,000 plus interest of $26,775. In conjunction with this transaction, the investors who subscribed in the Company's private placement financing in December 2005 have agreed that any restrictions contained in their December 2005 agreement which limit the Company's ability to sell shares to Fusion under the February 10, 2005 subscription agreement at $0.40 per share or more are waived.

"We are pleased by Fusion Capital's continued support of Insignia and our technologies. The additional working capital provided by this transaction helps to continue the momentum of our business in the dynamic mobile device management space. We are strengthening our financial position by paying down our debt and we remain focused on managing a fiscally sound operation for the long-term success of the Company," said Mark McMillan, Chief Executive Officer of Insignia Solutions.

Forward-Looking Statements 

This press release contains forward-looking statements that involve risks and uncertainties. Actual results may differ from the forward-looking statements discussed above due to a number of risk factors including, but not limited to, Insignia's need for additional capital to sustain operations, Insignia's need to generate significantly greater revenue to achieve profitability, intense competition in our markets and the unpredictability of our revenue. Further details on these and other risks are set forth in Insignia Solutions' filings with the Securities and Exchange Commission, including its most recent filings on Forms 10-K and 10-Q. These filings are available on a website maintained by the Securities and Exchange Commission at http://www.sec.gov. Insignia Solutions does not undertake any obligation to update forward-looking statements in this release.

About Insignia Solutions

Insignia enables mobile operators and terminal manufacturers to manage a growing, complex and diverse community of mobile devices. Insignia's products and services radically reduce customer care and recall costs, maintain device integrity, and enable a wide range of new mobile services. Insignia Device Management Suite is a complete standard-based mobile device management offering, which includes client provisioning technologies supported by most of the mobile devices in the past, OMA-DM based technology used by current mobile devices and future OMA-DM based technologies. Founded in 1986, Insignia has a long history of innovation, stewardship of major industry standards, and the trust of dozens of manufacturers around the world. Insignia Solutions is traded on NASDAQ under the symbol INSG. Insignia is headquartered in Campbell, California, with research and development and European operations based in the United Kingdom and Sweden as well as regional offices in Hong Kong and Seoul. For additional information about Insignia or its products, please visit www.insignia.com.

Insignia's global customer list includes ACCS, Amena, Axalto, Campuz Mobile, CTBC, Dobson, I wireless, MTN, New World Mobility, Porta, Telstra, 3, Soutec, Spinbox and Vodacom.

Insignia, Insignia Solutions, and the Insignia Solutions logo are registered trademarks of Insignia Solutions, Inc.