Extended Systems Charles Jepson, President

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Extended SystemsCharles Jepson, President
CEOValerie Heusinkveld, VP Finance
CFONASDAQ XTND
Roth Capital Partners ConferenceSt. Regis Hotel,
New York September 13, 2004
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Forward-Looking Statement

• This presentation should be considered
  forward-looking and is subject to various risk
  factors and uncertainties. For more information
  on those risk factors please refer to Extended
  Systems various filing with the Securities and
  Exchange Commission (SEC) including the Companys
  annual report on Form 10-K for the year-end 2003.
  The viewer or listener should not place undue
  reliance on forward-looking statements, which
  speak only as of the date indicated in this
  presentation. The Company is not obligated to
  publicly release any revisions to forward-looking
  statements to reflect unforeseen or other events
  after such date.

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Have You Ever...

• Read e-mail from your PDA or mobile phone?
• Monitored your Delta flight status by mobile
  phone?
• Checked the status of a FedEx shipment using your
  mobile phone?
• Used a wireless headset in your car?
• Synchronized your mobile phone to your PC?

Then you have experienced Extended Systems
technology AT WORK!
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20 Years of Enterprise Experience
Extended Systems is a pioneer and a leading
provider of mobile application solutions for the
enterprise
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Enterprise Mobility Market Is Materializing
Revenue
Field ForceAutomation
Collaboration
PIM E-mail
2002
2003
2004
2005
2006
2007
6
The Problem A Myriad of Applications, Networks
and Devices
EnterpriseApplication
WirelessNetwork
AccessDevice
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The SolutionExtended Systems Technology
EnterpriseApplication
E-mail
SFA
FFA
ERP
Custom
Connector
Connector
Connector
Connector
Connector
OneBridge Application Integration Layer
WirelessNetwork
OneBridge Device Management Security Layer
AccessDevice
8
Business Application SuccessHow We Are Building
Partner Application Business
Life Sciences Healthcare
Transportation Logistics
Field Service Utilities
Manufacturing
Retail
Financial
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Growing the Application Business with Partners

• Growth Strategy
• Add applications beyonde-mail
• Extended Systems developed delivered
• Partner developed delivered
• Field force automation in Extended Systems
  customer base is fertile opportunity

60
40
28
22
20
13
10
10
3
10
Application Platform Product Roadmap
Collaboration Voice
Device Mgmt 2.0
Adv Tools Web Service
Other Clients
Device Security
Viafone Acquisition
Push
Device Mgmt 1.0
Server Sync
1999
2004
Future
Time
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Market Momentum Is BuildingExtended Systems
Positioned To Grow

• Enterprises are now beginning to increase their
  pilot projects in the mobile office and vertical
  applications space, and will gain significant
  mobile education in 20042005 will be the year of
  the first major mobile deployments, and it will
  represent the initial stage of maturity for the
  mobile marketplace.
• The 451 Group
• META Group expects a clear increase of
  mobilized enterprise applications by 2005/06.
  Experiences gathered with current mobile
  E-mail and groupware solutions will often lead to
  follow-up projects 12 to 24 months later
  that are targeted at integrating more complex
  applications.
• META Group

2004-2005 Outlook for Enterprise Mobile Vendors,
January 2004 Mobile Solutions Services
Entering the Age of Mobility 2004
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Extended Systems Among the Industry Leaders
RIM
iAnywhere
Thinque
Aether
Wavelink
ExtendedSystems
Xora
GoodTechnology
Air2Web
Synchrologic
Orsus
Broadbeam
Everypath
JP Mobile
Pumatech
Aligo
InfoClarus
Nokia
Palm
MDSI
Source IDC, June 2003
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Extended Systems Mobility VisionFrom the
Enterprise Core to the Mobile Edge
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Extended Systems Mobility VisionFrom the
Enterprise Core to the Mobile Edge
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Extended Systems Smartphone Market Opportunity
Top mobile brands with Extended Systems
technology
Smartphone Market growth in units

• LG
• Mitsubishi
• Motorola
• Siemens
• Sony Ericsson

Source Estimates based on worldwide smartphone
shipments Nomura Intl PLC August 2003
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Bluetooth Wireless Growth In the Embedded
Vehicle World
7
20
World 2003-2008
6
15
5
4
Millionsof Units
Share
10
3
2
5
1
0
0
Source ABI Research (The Study Automotive
Wireless Networks)
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Why We Will Win
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Financial Overview
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Quarterly Revenue Growth
Millions
8.5
8.3
7.8
7.6
7.4
7.4
6.9
5.9
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Improved Cash Position
Millions
8.8
7.8
7.8
7.2
4.0
3.7
3.5
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Pro-forma Profitability
We crossed into profitability on a pro-forma
basis in the third quarter of FY 03
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The Opportunity Is Now

• The mobile middleware market is on the verge of
  expansive growth. This year is a critical
  catalyst for the years to come in this market,
  with expectations of increased mobile solution
  deployments by enterprise and specific industry
  customers...
• Vendors that can deliver solutions that address
  the immediate needs of the customer, while
  providing infrastructure for growth and key
  integration with existing systems will resonate
  the strongest with customers and position
  themselves as market leaders.
• IDC

Worldwide Mobile Middleware Competitive
Analysis, 2003
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Investment Considerations

• Among top 5 companies in mobile middleware market
  worldwide
• Strong Position in 2 growth markets
• Growing partner base
• Strong European presence
• Established customer base