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SEATTLE, Washington, and BIRMINGHAM, UK - September 13, 2004 - Microsoft and Sendo today jointly announced that a settlement has been reached in the litigation between the two companies, both in respect of the Claim and the Counterclaim. Although the monetary component and terms of the settlement are confidential, Microsoft will surrender its shareholding in Sendo. In reaching this settlement, all parties deny any and all liability. The terms of the settlement are otherwise confidential.

Robert Pocknell, Sendo's Group General Counsel, stated that the settlement reinforces Sendo's commitment to the protection of its intellectual property. "With this action behind us, the company can now focus on its future development and growth."

Tom Burt, Microsoft's corporate vice president and deputy general counsel said that, having reached this agreement, "We're pleased with this resolution and look forward to continuing to collaborate with phone manufacturers to bring innovative products to mobile customers."

This settlement resolves all claims in this litigation, both in the United States and in the United Kingdom.

For more information:

Sendo

Marijke van Hooren

+44 121 251 5060 office

+44 7968 820 701 mobile

mvanhooren@sendo.com


About Sendo
Sendo, headquartered in the United Kingdom, started shipping its first terminals to operator customers in Europe and Asia in June 2001. The company is now shipping products in over fifty countries in Europe, the Middle East, Asia, Africa and the Americas. Sendo offers high-performance, competitively priced, reliable products and services to the cellular market. Sendo has been established with the needs of the wireless carriers and consumers in mind. The company offers a complete custom program, from exclusively branded phones, matched fulfilment programs and software with dedicated services. Details of the company are available at www.sendo.com.

Published on: 12:00AM on 13th September 2004