NeoMedia's Gavitec Signs 6-figure Contract with Germany's No. 2 Outdoor Ad Firm.

Develops Innovative Mobile Phone-Based Billboard Monitoring System

FORT MYERS, Fla. & AACHEN & COBLENZ, Germany -- Gavitec AG - mobile digit, a subsidiary of NeoMedia Technologies Inc. (OTC BB: NEOM) and a leading provider of mobile technologies and marketing solutions, has been contracted by awk Aussenwerbung GmbH to develop a mobile order-management and control system based on its groundbreaking Lavasphere technology.

The system, using standard camera phones functioning as mobile data recorders, will quickly provide awk's bill-posting staff with the information needed on its rounds. The phones also function as optical code readers and provide real-time information about billboard placement and condition to the awk resource planners. The awk field staff will be able to collate the codes on the advertising subjects with the location codes on the billboards, simply by using a camera phone. Photos documenting the condition of the advertising, along with other relevant information, will be automatically forwarded to the back-end server and to awk's resource management for further processing.

"This new system is designed to help Germany's second-largest outdoor advertising company set new standards in order and quality management, and greatly improve flexibility in placing and monitoring outdoor advertising for their clients," said Dr. Christian Steinborn, managing director of Aachen-based Gavitec AG - mobile digit.

"We are delighted to provide awk with a process-optimised system that powerfully demonstrates our synthesis of mobile- phone and code-reader technologies," said Dr. Steinborn in commenting on the new contract, which he said had a value in six figures. "By using cost-effective mobile phones, we have an ideal solution for equipping large numbers of field staff with an efficient tool for planning and documenting. In the near future, we expect a strong increase in demand for mobile-phone- based control solutions, especially in out-of-home media.

Joachim Kleinhans, managing director of awk Aussenwerbung GmbH, said, "Controlling our inventory via mobile phone puts us in a position to monitor our approximately 45,000 large billboards throughout Germany in a quick and cost-effective manner, and to inform our customers of the status of their campaigns at any time. Changes to bill-posting contracts can be implemented by mobile phone, even at short notice. We can co-ordinate poster advertising and keep it up- to- date in a way that is only now possible."

The monitoring and control system being developed for awk is the latest application of Gavitec's Lavasphere technology. Using specialized software, readily available camera phones are transformed into code readers which can read postage-stamp sized two-dimensional data-matrix codes simply by aiming the phone's camera at them. Real-time data transfer via GPRS automatically compares information with a central database.

Gavitec's Lavasphere technology drives new ways of linking the physical environment to digital databases via mobile phone networks. Mario JouEen, CTO of Gavitec AG - mobile digit, explained that "Order management by mobile phone is just one of the many creative applications of Lavasphere. Optical code reading will soon be one of the standard mobile phone applications and will play an important role in various applications in corporate and customer communications."

About Gavitec AG - mobile digit

Gavitec AG - mobile digit, a NeoMedia Technologies company (OTC BB: NEOM), is a leader in technology provision for code-reading systems and software for mobile applications. Founded in 1997, Gavitec offers its clients standardized or individual solutions in the areas of mobile marketing, mobile ticketing, mobile couponing and mobile payment systems. Gavitec has received the Ericsson Mobile Application Award (the "Oscar" of the mobile industry) and two technology awards from the U.K.'s Royal Television Society, in combination with Hewlett-Packard and the British Broadcasting Corporation (BBC). Serving a pan-European and, increasingly, a worldwide customer base, Gavitec has a wide range of well known customers and partners including Vodafone, Nokia, Unisys, Turkcell, McDonald's and SkiData. For more information about Gavitec, please visit www.gavitec.com.

About NeoMedia Technologies, Inc.

NeoMedia Technologies, Inc. (www.neom.com), is a diversified global company offering leading edge, technologically advanced products and solutions for companies and consumers, built upon its solid family of patented products and processes, and management experience and expertise. Its NeoMedia Mobile group of companies offers end-to-end mobile enterprise and mobile marketing solutions through its flagship qode direct-to-mobile-web technology and ground-breaking products and services from four of the leading mobile marketing providers in the U.S. and Europe. By linking consumers and companies to the interactive electronic world, NeoMedia delivers one-to-one, permission-based, personalized and profiled dialogue -- anytime and anywhere.

NeoMedia's patented qode (www.qode.com) suite is an easy-to-use set of applications -- qode[R]reader and qode[R]window -- which provide One Click to Content[TM] connectivity for products, print, packaging and other physical objects to link directly to specific desired content on the Mobile Internet. qode[R]reader works with camera phones, letting users "click" on two-dimensional "smart codes" to access the Mobile Web site to which the code is linked, while qode[R]window lets users reach the same destination by entering a key word, slogan or product name.

About awk Aussenwerbung GmbH

A leading German outdoor advertising company, Coblenz-based awk controls a network of attractive billboards throughout the country. Its core business is large billboards, with approximately 45,000 of the 180,000 large billboards throughout Germany controlled by awk, optimally distributed across urban areas as well as regionally. awk is particularly strong in point-of-sale outdoor advertising, and is recognized as the market leader in this segment.

This press release contains forward-looking statements within the meaning of section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. With the exception of historical information contained herein, the matters discussed in this press release involve risk and uncertainties. Actual results could differ materially from those expressed in any forward-looking statement.

qode is a registered trademark, and qode[R]reader, qode[R]window and One Click to Content are trademarks of NeoMedia Technologies, Inc. Other trademarks are properties of their respective owners.