NCD Delivers Managed Upgrade to Windows-Based Terminal Browser; Thin Client Leader First in Industry to Enable Users to Browse the Internet From Windows-Based Terminals.

Business Editors/High Tech Writers

MOUNTAIN VIEW, Calif.--(BUSINESS WIRE)--Oct. 3, 2000

Network Computing Devices, Inc., (Nasdaq:NCDI) today announced the availability of the first browser for the Microsoft Windows-based Terminal family.

Based on Internet Explorer 4.0, this Microsoft-sponsored addition to the Windows-based Terminal specification allows end users to browse the Internet from a thin client for the first time, giving an added degree of flexibility to the low total cost of ownership (TCO) of thin client computing solutions.

NCD has what it believes to be the unique capability to manage the software upgrade to the Windows-based Terminal browser in a fully modular fashion, using its NCD ThinPATH Manager software. NCD ThinPATH Manager allows customers to centralize the browser configuration, including the home page, and the ability to control browsing history, cookies, and a list of favorites. This allows IS departments to implement large-scale deployments of new code on a policy basis with minimal impact on network traffic and eliminate the need to individually configure the attributes of each terminal. The Wake-on-LAN feature of the NCD hardware also ensures that upgrades can be performed at quiet times, such as nights or weekends, to further reduce stress on customer networks.

By adding a local web browser based on Internet Explorer, customers can expand the use of their Windows-based Terminal for additional servers. Many customers are migrating applications to web servers that use a web browser on the desktop. In fact, in some environments, having the browser run on the server causes unnecessary server and network load, such as for animations that need to be transferred over the network repetitively. By using a local browser, this can be minimized with the "http" commands being sent directly from the web server to the desktop.

"Our close partnership with Microsoft enables us to offer this key technology feature to our customers ahead of the market," said David Perry, director, worldwide marketing for NCD. "Using NCD's superior management software tools, adding this new functionality to our NCD ThinSTAR 400 family is a simple and easy upgrade, unlike the substantial and time-consuming code updates typical of the processes our competitors must apply."

About NCD ThinSTAR 400 Family

The NCD ThinSTAR 400 raises the bar for performance and flexibility. An Intel Pentium architecture with MMX acceleration and 512 kilobytes of Level 2 cache provides power to the desktop while maintaining your enterprise-wide desktop consistency. Integrate that power with fast graphics rendering via a high performance graphics sub-system and high-speed network connectivity, and you have the new standard in Windows-based Terminals.

The performance of the NCD ThinSTAR 400 complements the flexibility it offers. Its standard 32MB of system RAM is expandable to 288MB to support many simultaneous connections and web pages. The standard Flash RAM is 16MB, the most in its class. It can hold existing and future software options to expand the functionality and extend the reach of the NCD ThinSTAR 400. The 400 also includes a standard, secure PCI card slot for future expansion requirements.

NCD ThinSTAR 400 can meet unique industry application requirements with its multiple, standard peripheral connectivity adapters. The NCD ThinSTAR 400 features 2 serial ports, one parallel port, 2 Universal Serial Bus (USB) ports, and 16-bit audio input and output. Windows applications can use local peripherals, printer or audio over either Microsoft RDP or Citrix ICA protocol. For remote connectivity, an external modem is supported.

About NCD ThinPATH Manager Software

NCD ThinPATH Manager is a comprehensive set of tools that enables the remote configuration and administration of NCD ThinSTAR Windows-based Terminals from a central location. NCD ThinPATH Manager is designed to offer customers a variety of methods to manage their terminals: with SNMP, through a web browser or through a file on an NT server.

NCD ThinPATH Manager enables the configuration and administration of one to thousands of terminals from a central location. To achieve total cost of ownership savings associated with thin clients and the server-based computing model, centralized remote management is essential.

About NCD

Founded in 1988, Network Computing Devices, Inc., supplies information access and management products that extend server-based computing to give customers a competitive edge and a better bottom line. Over 1 million NCD thin clients are installed with over 3 billion hours of operation. The company can be reached on the Internet at: www.ncd.com.

Network Computing Devices is a registered trademark of Network Computing Devices, Inc. ThinSTAR and ThinPATH are trademarks of Network Computing Devices, Inc. Other trademarks are the acknowledged property of their respective holders.

This press release includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These statements include, but are not limited to, statements regarding NCD's product offerings, market position, customer base and growth in demand for thin client and other products. No assurances can be given that the availability of a terminal browser will have any effect on NCD's business, results of operations and financial condition. These statements involve risks and uncertainty, and actual results could differ materially from those discussed in the forward-looking statements. Although the Company believes its expectations reflected in such forward-looking statements are based on reasonable assumptions, no assurances can be given that such expectations will prove correct. Further information on factors that could cause actual results to differ from those anticipated is included in filings made by the Company from time to time with the Securities and Exchange Commission, including but not limited to, the Form 10-K for the year ended December 31, 1999 and the Form 10-Q for the quarter ended June 30, 2000.