Apple Announces Newton Subsidiary New Company to Focus on Computing & Communications For Mobile Users CUPERTINO, Calif.--May 22, 1997--Apple Computer, Inc. today announced the formation of a subsidiary that will focus on meeting the computing and communications needs of today's corporate mobile users. The new company, to be named at a later date, will provide customers with market-driven products and technologies, based on the award-winning Newton operating system, in conjunction with its licensees, value-added resellers, and systems integrators. "Over the past year, we have seen the Newton Systems Group launch compelling products based on the Newton operating system," said Dr. Gilbert F. Amelio, Chairman and CEO of Apple Computer, Inc. "We believe that the time is right to establish the group as a focused entity. This decision allows the new subsidiary to pursue its business and create the marketing and operating strategies it needs to succeed." The new company will be led by a CEO to be named and newly appointed Chief Operating Officer Sandy Benett. Benett was previously vice president of the Newton Systems Group and has been responsible for managing the group for the past few years. A search is currently underway to find an experienced CEO to lead the organization and complement the existing management team. The new company will focus on developing products as well as licensable technologies targeted at meeting the needs of mobile users in corporate markets--initially concentrating on healthcare, sales force automation, and field service industries. The new company will provide platform technologies, including the Newton operating system, development tools, APIs, and documentation to enable the development of products for such markets. "We have a solid business plan and a strong management team in place to optimize the value of Newton technology for corporate users and take Newton technology into a new era," said Benett. Products built on the Newton operating system include the MessagePad 2000 handheld computer and the eMate 300 mobile computer for the education market. The new company will continue to support, sell, and market the current MessagePad 2000 in the retail channel. The Company will also build on the success of prior MessagePad products by continuing to deliver the MessagePad 2000 and follow-on products to corporate markets. It will be strengthening the organization to fully support this sector. The new company will serve the education market through Apple. Apple Computer, Inc. will continue to support, sell, and market the eMate family of portable computer products into the education community based on technology delivered by the new company. "eMate 300 is part of Apple's long-term strategy and vision for education technology, " said Mike Lorion, vice president of Apple's Education Division. "We will continue to aggressively market and support the product. We are looking forward to working closely with the Newton team on future versions of the eMate to continue to meet the unique requirements of educators and students." Current Newton licensees include Schlumberger, Sharp, Digital Ocean, and Harris Corporation. Technology allies include ARM Limited, Digital Equipment Corporation, Paragraph International, and Cirrus Logic. Apple expects the transition to be completed by June 30, 1997. The organization will remain based in Northern California. Apple Computer, Inc., a recognized innovator in the information industry and leader in multimedia technologies, creates powerful solutions based on easy-to-use personal computers, servers, peripherals, software, handheld computers and Internet content. Headquartered in Cupertino, California, Apple develops, manufactures, licenses and markets solutions, products, technologies and services for business, education, consumer, entertainment, scientific and engineering and government customers in more than 140 countries. For Apple Computer, Inc.: Katie Cotton Apple Computer, Inc. (408) 974-7269 email: email@example.com For the Newton subsidiary: Zoe Arden Access Communications (415) 904-7070 ext. 287 email: firstname.lastname@example.org NOTE TO EDITORS: To access Apple press releases, background material, and contact information on the web, visit The Source at: http://www.apple.com/source/. If you are interested in receiving Apple press releases by fax, call 1-800-AAPL-FAX (1-800-227-5329) and enter your PIN number. If you do not have a PIN number, contact Apple's Media Helpline at (408)974-2042 to request one. If you would like to receive Apple press releases by email, please send an email message to email@example.com. In the subject field, type the text "subscribe [your full name]." Apple's home page on the World Wide Web: http://www.apple.com/ Apple, the Apple logo, Macintosh, MessagePad, and Newton are registered trademarks and eMate is a trademark of Apple Computer, Inc. Additional company and product names may be trademarks or registered trademarks of the individual companies and are respectfully acknowledged.