Press Release


PalmSource Licenses Palm OS to PerComm

LAS VEGAS, Nev., Nov. 17, 2003, COMDEX Booth #10448 - PalmSource, Inc. (NASDAQ: PSRC) provider of Palm OS®, a leading operating system powering next generation mobile devices and smartphones, today announced that PerComm, Inc., a leading manufacturer of ReFLEX® advanced messaging devices and FLEX and POCSAG 1way devices, has licensed the Palm OS platform. Through the agreement, PerComm plans to integrate Palm OS 5 to create new smart mobile devices that operate on wireless networks including ReFLEX, GSM and CDMA.

Combining PerComm's manufacturing and networking expertise with the flexible and powerful Palm OS 5 will enable the development and deployment of Palm Powered™ smart mobile devices for the enterprise market. As a result, enterprise customers will gain reliable, secure wireless access to email and corporate data while on-the-go and the ability to customize their device with one of the largest catalogs of Palm OS applications to manage their professional and personal lives.

"We believe the power and flexibility of Palm OS 5 will enable our development of powerful smart mobile devices that enhance personal organization and professional productivity," said Edmond K. Fung, president and CEO of PerComm. "We expect that partnering with PalmSource will open up new market opportunities and expand our current product offerings to include feature phones on the GSM network, while encouraging the development of new software applications."

"We are pleased to welcome PerComm to the diverse community of Palm Powered licensees," said David Nagel, president and chief executive officer of PalmSource. "We believe PerComm's expertise in the communicator space will strengthen the Palm OS platform's presence in the wireless market and increase penetration of Palm Powered devices in the enterprise."

Palm OS provides a flexible and efficient platform that enables hardware manufacturers and software developers to rapidly and efficiently create a wide range of powerful, innovative and easy-to-use smart mobile devices and software applications. More than 30 million Palm Powered handhelds and smartphones have been sold to date and Palm OS has attracted a large and loyal following with more than 275,000 developers building applications for Palm Powered smart mobile devices.

More than 20,000 software applications are available for Palm Powered smart mobile devices in a broad range of categories including: Web browsers, email and Internet communications, sales force and field automation, personal productivity, groupware, financial management, multimedia and games. These solutions are designed to increase the value to the end-user by offering customization of Palm Powered smart mobile devices and to help expand the market for our licensee's products and services.

About PerComm
PerComm Inc., a leading manufacturer of ReFLEX advanced messaging devices and FLEX and POCSAG 1way devices, is a privately held Massachusetts company. In addition to the wireless messaging devices, PerComm also develops the OmniData(TM) telemetry module; the GPS network assist location and asset tracking device; and licenses the ReFLEX Reference Design & Chipset. For more information about PerComm and its products, please visit us on the Internet at www.percomm.com.

About PalmSource
PalmSource, Inc. is the company behind Palm OS, a leading operating system for mobile information devices. More than 30 million Palm Powered handhelds and smartphones have been sold to date worldwide. Industry leaders Aceeca, AlphaSmart, Fossil, Garmin, GSL, HuneTec, Kyocera, Lenovo, palmOne, PerComm, Samsung, Sony, Symbol Technologies and Tapwave license Palm OS to create diverse mobile devices that meet unique customer needs. Palm OS has given rise to a large community of users, enterprises, developers and manufacturers, who together make up the Palm economy. More information about PalmSource is available at http://www.palmsource.com, http://www.palmsource.co.uk, http://www.palmsource.fr, http://www.palmsource.de and http://www.palmsource.com.cn.

Palm OS is a registered trademark and Palm Powered is a trademark of Palm Trademark Holding Company, LLC. Other brands may be trademarks of their respective owners.

Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the federal securities laws that involve risks and uncertainties, as well as assumptions that, if they never materialize or prove incorrect, could cause our results to differ materially from those expressed or implied by such forward-looking statements. Such forward-looking statements include, without limitation, statements regarding the following: the development by PerComm of smart mobile devices that operate on wireless networks including ReFLEX, GSM, and CMDA and that incorporate Palm OS, the functionality and capability of PerComm's smart mobile devices incorporating Palm OS, the strengthening of PalmSource's presence in the wireless market and increasing PalmSource's penetration into the enterprise market. The risks and uncertainties that could cause our results to differ include, without limitation, the ability of our licensees to successfully develop and sell Palm Powered products, dependence on wireless carriers, our ability to successfully penetrate new mobile device markets or the ability of new markets to grow as we anticipate, general economic conditions in the U.S. and abroad and other risks and uncertainties contained in our public announcements, reports to stockholders and other documents filed with and furnished to the Securities and Exchange Commission, including our Quarterly Report on Form 10-Q for the period ended August 29, 2003. All forward-looking statements in this press release are based on information available to us as of the date hereof, and we assume no obligation to update these forward-looking statements.

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