Beyond.com CEO Predicts Consumers Will Prefer toDownload Software Electronically Over the...

BALTIMORE--(BUSINESS WIRE)--Oct. 14, 1998--Mark Breier, president and chief executive officer of online software superstore Beyond.com (Nasdaq:BYND), says within ten years consumers will prefer to download software electronically over the Internet instead of buying boxed software in a store.

"Downloading software over the Internet is cheaper for all parties involved," said Breier. "Publishers save money because they don't have to shrink wrap their product or carry inventory. Beyond.com enjoys better ESD margins because we don't have to mail our customers a physical product. And, our customers get their order immediately for a cheaper price. In ten years, I predict that people won't go to a store to buy software. Why would they when they could get it faster and cheaper online? It will be a no brainer," Breier said.

As the first online software superstore, Beyond.com (http://www.beyond.com) is a pioneer and leader in electronic software distribution (ESD). ESD involves the secure purchase and electronic downloading of software using the Internet as a transportation medium.

Market research firm Jupiter Communications predicts that software will be the fastest-growing product sold online by 2002, accounting for 34.4 percent of all online sales, with music accounting for 7.5 percent and books accounting for just 6.8 percent of products sold online.

Currently, it takes an individual with a 28.8 modem about one hour to download a 10 Mb program such as Norton Utilities. With a cable modem, the same program would take just 30 seconds. According to Jupiter Communications, 25 percent of all people who buy products over the Internet will have cable access by the year 2002.

The U.S. government has been a pioneer in electronic software download. In 1997, Beyond.com signed the largest ESD deal in Internet history -- a $50-million, five-year contract with the U.S. Department of Defense -- to deliver software via the Internet for up to 70,000 desktops.

"We use the Internet not only to merchandise software, but to distribute it," Breier explained. "Our goal is to offer customers superior selection, greater convenience, better prices and helpful guidance with software reviews, recommendations and customer support."

Breier, 39, is a native of Bethesda, Md. He left the area to attend Stanford University, where he earned his bachelor of arts degree in economics and was awarded a master of business administration from the Stanford Graduate School of Business in 1985. He joined Beyond.com as president and chief executive officer in March 1998.

Prior to joining Beyond.com, Breier was vice president of marketing for Amazon.com where he grew the online bookstore's sales to nearly $150 million in 1997 from $16 million in 1996. At Amazon.com, Breier was responsible for increasing international awareness of the company through advertising, promotions and public relations and for building dynamic customer relationships. Today, Amazon.com is one of the best known brands on the Internet.

About Beyond.com

Beyond.com is a leading, online reseller of commercial, off-the-shelf software to the government enterprise, corporate and consumer markets, offering its customers a better way to buy software. Visitors to the company's online store (http://www.beyond.com) enjoy a comprehensive selection of software backed by customer service and competitive pricing.

Approximately 30,000 software stock-keeping units (SKUs) are available for online purchase with more than 3,300 SKUs available for immediate, electronic delivery, including software from such major publishers as Adobe, Lotus, Microsoft, Sun Microsystems and Symantec. The company has established strategic marketing alliances with America Online, Inc., Excite, Inc. and Netscape Communications Corporation.

Beyond.com is incorporated in Delaware as software.net Corporation. Software.net Corporation has applied for federal registration of the marks BEYOND.COM and SOFTWARE.NET. Beyond.com trades on the Nasdaq under the symbol "BYND."

To the extent that this news release discusses expectations about software.net (Beyond.com's) business in the fourth quarter of 1998 and beyond, or Mark Breier's predictions about consumers' choosing to purchase and download software electronically over the Internet rather than buy software in a physical retail store, these statements are forward-looking within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and are subject to substantial risks and uncertainties. Actual results for the fourth quarter of 1998 and subsequent quarters could differ materially from any future performance suggested above. Among the factors that could affect Breier's predictions about consumers' software buying patterns are: The cost and availability of faster connections to the Internet, such as cable modems, ISDN lines and T1 lines. Other factors that could impact Beyond.com's fourth quarter and subsequent quarters are described in the company's prospectus dated June 17, 1998, as filed with the Securities and Exchange Commission ("SEC").