Digital Dispatch Systems Inc.

Digital Dispatch Systems Inc.

June 12, 2007 12:08 ET

Digital Dispatch Approved for SmartCab™ Rollout in NYC

RICHMOND, BRITISH COLUMBIA--(Marketwire - June 12, 2007) - Digital Dispatch Systems Inc. (TSX:DD) has been awarded Notice to Proceed (NTP) from the Taxi and Limousine Commission (TLC) of New York City to roll-out its new state-of-the-art SmartCab™ taxi management solution to enhance passenger experience in New York City's approximately 13,000 medallion yellow cabs. Digital Dispatch is one of four companies awarded NTP by the TLC for its initiative.

As part of New York City's landmark taxi technology enhancement project to improve the overall passenger experience, this TLC mandated solution includes an interactive multi-media personal information monitor (PIM) for passengers in the taxi back seat providing a self serve, secured credit/debit card payment mobile eCommerce facility and offering real time route maps, news, entertainment, and local information.

The PIM places information and entertainment at the passengers' fingertips during taxi rides in New York City through easy and convenient access to local information and news for passengers and opens up a targeted channel for advertising and the media. For Digital Dispatch, this taxi passenger orientated network opens up a new, independent and substantial market.

Transparent to passengers, the new solution also offers business benefits to the fleet owners and drivers by incorporating advanced fleet management technologies to provide comprehensive back-end reports, paperless trip reports, real-time traffic updates, assigned driver log-in as well as the options to integrate other peripheral devices like mobile printers or existing taxi meters if needed.

"We are excited that the technology and functionality of our new SmartCab™ solution has been validated by the TLC as this will revolutionize the experience for taxi passengers. New York City taxi operators can expect the proven high quality, reliable customer support and the dependability that our decades of leadership in taxi fleet management bring in addition to the numerous benefits of this new innovative technology solution," said George Lipski, VP Development and Operations for Digital Dispatch.

The iView 8000™ PIM, a part of Digital Dispatch's SmartCab™ solution, comes with an integrated card swipe, a 10.4" color display with a wide viewing angle, a rugged touch screen and a user friendly interface with Internet-type interaction. Complete with volume control and mute options, the iView 8000™ allows passengers to be in full control of their in-vehicle riding experience including the option to swipe their own cards for payment without having to hand it over to the driver.

The activation of taxi medallion owners will likely commence in late 2007 and thus, revenue for 2007 attributable to the TLC initiative is uncertain at this time as it is dependant upon market conditions and the number of contracts entered into by Digital Dispatch with taxi medallion owners.

About Digital Dispatch

Digital Dispatch Systems Inc. is a worldwide provider of mobile data solutions for fleet and mobile workforce management. Founded in 1987, we have an installed base of more than 75,000 wireless mobile data devices and nearly 200 wireless data systems in four continents. We offer products and services to manage vehicle fleets and mobile workforces, including dispatch software, wireless communication infrastructure and a range of in-vehicle mobile devices.

Forward-Looking Statements

This press release contains statements which, to the extent that they are not recitations of historical fact, may constitute forward-looking information. Such forward-looking statements may include financial and other projections as well as statements regarding the Company's future plans, market opportunities, objectives, performance, revenues, growth, profits, operating expenses or the Company's underlying assumptions. Factors that could cause actual events or results to differ materially from those suggested by these forward-looking statements include, but are not limited to: the need to develop, integrate and deploy applications to meet our customer's requirements; the possibility of development or deployment difficulties or delays; the dependence on our customer's satisfaction with Digital Dispatch Systems' products; the timing of entering into significant contracts; our customers' continued commitment to the deployment of our solutions; the risks involved in developing integrated software and hardware solutions and integrating them with third-party communication and other services; the performance of the global economy and growth in software industry sales; market acceptance of the company's products and services; customer and industry analyst perception of the company and its technology vision and future prospects; the success of certain business combinations engaged in by the Company or by competitors; political unrest or acts of war; possible disruptive effects of organizational or personnel changes; technological change, new products and standards; risks related to acquisitions and international expansion; reliance on large customers; concentration of sales; international operations and sales; management of growth and expansion; dependence upon key personnel and hiring; reliance on a limited number of suppliers; industry growth; competition; intellectual property; product defects and product liability; currency exchange rate risk; concentration of ownership; and including but not limited to other factors described in Digital Dispatch Systems' reports filed on Sedar, including its Annual Information Form and financial report for the year ended December 31, 2006.
In drawing a conclusion or making a forecast or projection set out in the forward-looking information, the Company takes into account the following material factors and assumptions in addition to the above factors the Company's ability to execute on its business plan; the acceptance of the Company's products and services by its customers; the timing of execution of outstanding or potential customer contracts by the Company; the sales opportunities available to the Company; the Company's subjective assessment of the likelihood of success of a sales lead or opportunity; the Company's historic ability to generate sales leads or opportunities; and that sales will be completed at or above the Company's estimated margins. This list is not exhaustive of the factors that may affect our forward-looking information. These and other factors should be considered carefully and readers should not place undue reliance on such forward-looking information. All forward-looking statements made in this press release are qualified by this cautionary statement and there can be no assurance that actual results or developments anticipated by the Company will be realized. The Company disclaims any intention or obligation to update or revise forward-looking information, whether as a result of new information, future events or otherwise.

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