PeopleMatter Inc., Reality Wireless Networks' Merger Partner, Discusses Participation in $3 Billion Marketplace.

ANCHORAGE, Alaska & GIG HARBOR, Wash. -- Reality Wireless Networks, Inc. (OTCBB:RWLN) announced today that its merger partner, PeopleMatter Inc., has released a shareholder update, the full text of which is provided in this release.

Mr. David Laurence, Chairman and CEO of PeopleMatter Inc., announced the following shareholder update today.

I would like to take this opportunity to update our shareholders regarding our 2005 YTD operations, as well as provide some insight on our goals for during the remainder of 2005.

Sales Growth

Year to date we are pleased with our progress. When compared with the same period last year our sales have increased more than five fold. Customer interest and sales activity in both our commercial and governmental accounts has increased and this is reflected in our increased close rate. We are particularly encouraged by a major expansion of software licenses and consulting services at a highly respected Fortune 100 client. In Q1, 2005, the company engaged a nationally recognized sales consultant to assist us in improving our sales processes. As a result we anticipate further growth in sales effectiveness as the year progresses.

Product News - Tapestry(TM) Version 3.5 Released

I am delighted to announce our software development teams in Seattle and Anchorage continue with their track record of on-time product releases. The release of version 3.5 of our flagship software product Tapestry being the most recent. This release was in alignment with our product development plans and included new features based on input from major customers. Included in this release are major upgrades to several key product modules, additional organizational administrative tools, and technical enhancements to improve the stability/reliability/scalability of the application. In addition, improved i18n database functionality positions the company to address the international marketplace, a key goal for 2005.

Research and development into new technologies continues. We recently completed Phase 1 of a three phase project to evaluate the effectiveness and applicability of National Security Agency text processing technology. Phase 2 is currently underway testing the technology in collaboration with Techlink at Montana State University. A successful outcome of these tests will result in additional analytic capability and further differentiation of PeopleMatter products.

Plans Going Forward in 2005

Having spent the last 3.5 years building our core business around a set of innovative and very well received products, we are hopeful the next 12 months will be one of major revenue growth for PeopleMatter. We've demonstrated our ability to deliver quality products and services and retain key referenceable clients during this time period. I believe this reflects in a positive fashion on the talent of the company, the innovation we are bringing to the market, and the effectiveness of our implementation and support processes. For the remainder of 2005 our emphasis will be on sustaining our success in these areas while focusing our energies on significant sales growth. We have an excellent pipeline of prospects interested in procuring our products and services, a number of significant pending proposals, and several opportunities with very large potential. These factors make a dramatic increase in revenues possible this year.

We are also adapting our products to meet the needs of several new markets served by channel partners. Among these are products focused on sales performance, board of director development, and business women. Using channel partners allows us to reach a large market at low cost to us while we continue to focus on our target clients in the Fortune 2000.

Company Summary

PeopleMatter Inc., develops and sells a proprietary web-based software and consulting services framework that replaces existing manual, poorly integrated people management processes with a set of engaging, highly automated and integrated processes. We deliver actionable information to leaders so they can exert more control and influence, gauge the effectiveness of management and the contributions of employees, and make the adjustments necessary to achieve company objectives.

PeopleMatter senior leadership founded the company after many years as successful executives in a wide range of organizations from startups to the Fortune 25. Their combined backgrounds give the company deep experience in startups, product design, organizational development, consulting, large project management, sales/business development, outsourcing, and large systems deployment. Business associations with customers in aerospace, technology, automotive, government, energy, and transportation gives the team the large network of contacts and the wide range of professional experiences necessary to insure long term success for the company and its customers.

Market Dynamics

We continue to believe there is a broad based demand for the type solution framework PeopleMatter provides based on customer feedback. We find a consistent theme in our conversations with clients -- that competitive solutions are unimaginative and marginally effective in solving their business issues. We believe the market we serve has ample room for growth and a significant growth rate. Analyst's reports have placed one of our market segments CAGR growth rate at 26% with a total market value in 2006 projected to be $3B. Another reported that 61% of large company respondents are currently shopping for solutions in our segment. We find these reports encouraging and a validation of our reason for entering the market.

In conclusion, I would like our shareholders to know that we at PeopleMatter anticipate a year of exciting growth and appreciate our shareholder support. I can assure you that the management of PeopleMatter will continue to strive for excellence in our products and services and to bring about a successful Company on behalf of its shareholders.

Effectiveness of Reality's proposed business combination transaction with PeopleMatter is subject to customary closing conditions, including any required shareholder approval.

For more information about PeopleMatter please visit http://www.peoplematter.com.

This press release may contain "forward-looking statements." In some cases, you can identify forward-looking statements by terminology such as "may," "will," "should," "could," "expects," "plans," "intends," "anticipates," "believes," "estimates," "predicts," "potential" or "continue" or the negative of such terms and other comparable terminology. These forward-looking statements include, without limitation, statements about our market opportunity, our strategies, competition, expected activities and expenditures as we pursue our business plan, and the adequacy of our available cash resources. Although we believe that the expectations reflected in any forward-looking statements are reasonable, we cannot guarantee future results, levels of activity, performance or achievements. Actual results may differ materially from the predictions discussed in these forward-looking statements. Changes in the circumstances upon which we base our predictions and/or forward-looking statements could materially affect our actual results. Additional factors that could materially affect these forward-looking statements and/or predictions include, among other things: (1) limited operating history; (2) unforeseen costs and expenses; (3) potential litigation with our shareholders and/or former or current investors; (4) the consummation of any proposed business combination with PeopleMatter; (5) the Company's ability to comply with federal, state and local government regulations; and (5) unforeseen factors over which we have little or no control.