Digital Dispatch Systems Inc.
TSX : DD

Digital Dispatch Systems Inc.

April 25, 2007 08:00 ET

Digital Dispatch's eFleet™ ASP Initiative Gaining Customer Traction

Announces Agreement with deCarta

RICHMOND, BRITISH COLUMBIA--(CCNMatthews - April 25, 2007) - Digital Dispatch (TSX:DD), a leading provider of mobile data solutions, is proud to announce that its ASP mobile fleet management business initiative eFleet™, is gaining momentum with the addition of new customers during 2007. The Company's eFleet™ initiative provides mobile fleet management, merging the benefits of wireless dispatch with value added automatic vehicle location ("AVL"), navigation, and card payment features resulting in optimizing overall fleet efficiency. Contracts signed to date by Digital Dispatch for eFleet™ total 30 customers for a combined multi year service order value of approximately $1.0 million to compliment the Company's taxi fleet management business.

Digital Dispatch also signed an agreement with deCarta, the leading provider of map orientated software solutions for the location-based services industry, to integrate its web-based map solution into the Company's eFleet™ offering. This results in a best turn key value added solution for the market offering AVL features including automated alerts based on vehicle location, movement and utilization providing strong business value.

"eFleet™'s dispatch fleet management solution combined with deCarta's mapping expertise provides tremendous business impact for our customers." stated Ray Fast, President of the ASP Business Unit for Digital Dispatch. "Our increasing customer base will benefit from optimizing their large investment in mobile fleets through our proven eFleet™ web based ASP solution."

"eFleet™ is an optimum blending of wireless web-hosted efficiency and digital map technology," said J. Kim Fennell, President and CEO of deCarta. "We're proud to play a role in the advanced fleet management and dispatching services provided to the customers of Digital Dispatch."

Cancellation of Sub-Contractor Agreement

A transportation agency in San Francisco has formally cancelled its contract with GPS Data Solutions LLC ("GPS") after having issued a stop work order on it over 14 months ago. Accordingly, Digital Dispatch's sub-contractor agreement in the amount of approximately $2.5 million with GPS announced in July 2005 has been cancelled. This sub-contractor agreement has not been included in the Company's 2007 revenue guidance. No negative financial impact is expected on the Company as Digital Dispatch is to be paid under the terms of the agreement for the work performed prior to the receipt of the stop work order.

About deCarta

deCarta is the leading geospatial software platform that powers today's most successful Location-Based Services (LBS) applications such as those deployed at Google Maps, Ask.com, Verizon and Sprint. The company's unique, patented technology is ideal for high volume LBS applications for use in Internet, mobile, personal navigation and enterprise applications where scalability, speed, and reliability are vital. Its "Drill Down Server" geospatial software platform, "Rich Map Engine" and Hosted Web Service are preferred by application developers and service providers who also want the flexibility to customize map styles, utilize unique routing capabilities and self-brand. deCarta customers and technology partners include AND, Appello, Ask.com, ATX, Google, Hotels.com, Local Matters, Maps.com, Motorola, NAVTEQ, Networks In Motion, Pharos, Rand McNally, Tele Atlas, TeleNav, and Zillow. deCarta is privately held and headquartered in San Jose, California with international offices in the UK and China. For more information, please visit: http://www.decarta.com.

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.

Visit www.digital-dispatch.com for more information.

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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