I.D. Systems, Inc. Receives Follow-On Order for Wireless Fleet Management System from Fortune...

Business Editors

HACKENSACK, N.J.--(BUSINESS WIRE)--Oct. 11, 2001

I.D. Systems, Inc. (NASDAQ: IDSY), a leading provider of end-to-end wireless asset management solutions, today announced that it has received a follow-on order for its Wireless Asset Net(TM) industrial fleet management

The order follows an initial contract awarded to I.D. Systems in June 2001. At that time, I.D. Systems entered into a master lease agreement with the customer, under which I.D. Systems was named a leveraged supplier -- a status that enables all of the customer's plants throughout North America to lease I.D. Systems products and services as needed. Under the master agreement, the standard lease term is five years. The new order is valued at approximately $750,000.

"We are very pleased to begin replicating the benefits of our Wireless Asset Net system for this U.S.-based, Fortune 100 manufacturing company," said Kenneth S. Ehrman, I.D. Systems President and Chief Operating Officer. "This customer is a world leader in safety technology and lean manufacturing practices, and we believe -- particularly in the current economic climate -- that our Wireless Asset Net will make a significant contribution to both the safety of the work environment and plant cost reductions. The customer has chosen our monthly lease/service model, rather than an outright purchase, which makes the Wireless Asset Net a very economical, non-capital-intensive way of optimizing fleet safety, maintenance, and efficiency."

I.D. Systems' Wireless Asset Net system enhances safety, productivity, and maintenance for forklifts and other industrial equipment. The system improves safety by restricting vehicle access to trained operators (as required by OSHA), providing electronic safety inspection checklists, establishing accountability for abusive driving, and electronically recording accidents. The system improves productivity by detecting vehicle utilization, displaying real-time vehicle location, and providing text messaging for drivers. The system reduces maintenance expenses by automatically uploading vehicle data, reporting problems identified on checklists in real time, scheduling maintenance according to actual vehicle usage rather than on a calendar basis, managing battery rotation, and helping management determine the optimal economic time to replace equipment.

About I.D. Systems

Based in Hackensack, New Jersey, I.D. Systems, Inc. is a leading provider of wireless solutions for corporate asset management. I.D. Systems' customers include British Airways, DaimlerChrysler, Deere & Co., Ford Motor Co., General Motors, Hallmark Cards, the Union Pacific Railroad, the U.S. Navy, and the U.S. Postal Service. Using local area networks, wide area networks, and the Internet, the company's systems enable management to control and track the location and status of their assets -- from letters and containers to forklifts and railcars -- in real time. For more information on I.D. Systems, Inc., visit www.id-systems.com.

Wireless Asset Net(TM) is a trademark of I.D. Systems, Inc.

"Safe Harbor" statement under the Private Securities Litigation Reform Act of 1995: This press release contains forward looking statements that are subject to risk and uncertainties, including, but not limited to, the impact of competitive products, product demand and market acceptance risks, fluctuations in operating results and other risks detailed from time to time in the Company's filings With the Securities and Exchange Commission. These risks could cause the Company's actual results for the current Fiscal Year and beyond to differ materially from those expressed in any forward looking statements made by, or behalf of, the company.