Manhattan, New York and Cambridge UK December 10, 2002

LocatioNet, Inc., the developer of a comprehensive integrated platform for the delivery of location-based services (LBS) for the wireless market, has entered into a joint marketing agreement with Cambridge Positioning Systems Ltd (CPS), the UK developer of Enhanced Observed Time Difference (E-OTD) technology, to market the benefits of high accuracy positioning services to wireless operators in Brazil.

Under the terms of the agreement, LocatioNet and CPS will work together to drive business opportunities and collaborate on specific LBS projects within the Latin American region with the possibility of extending the agreement to other regions as needed.

Commenting on the announcement, Gadi BenMark, CEO and President of LocatioNet, Inc., said: "We’re delighted to be collaborating with CPS. By working together, we will be able to show network operators the breadth of mass market, feature-rich, location applications that can be achieved by combining high accuracy E-OTD positioning technology with the richest set of LBS management tools, GIS, and applications.”

Chris Wade, CEO of CPS, added: “Latin America is a very exciting and rapidly evolving market for location-based services. Partnering with LocatioNet will enable us to work closely with operators and our network equipment vendor customers on delivering the technology platform to make these services a reality.”

CPS’ E-OTD technology has already been offered as a location solution to GSM operators in the US, where it may play a pivotal role in the rollout of location-enabled cellular phones to meet the US Federal Communications Commission (FCC) E-911 mandate.

CPS has licensed this cost effective technology, deployed in both the wireless network and the mobile device, to leading global vendors including Ericsson, Nortel Networks and Siemens for integration into their network infrastructure products.

About LocatioNet

With a track record of over eleven years in the location based services arena, LocatioNet (http://www.locationet.com) offers the most comprehensive, integrated platform for wireless location based services. The LocatioNet middleware integrates content, applications, position determination and GIS technologies to quickly fulfil user requests over a variety of mobile handsets. The platform seamlessly integrates with the operator's existing service network, user provisioning, billing, and OMAP systems. LocatioNet’s powerful add-on GIS Engine supports map rendering, geo-coding and routing for all LocatioNet Platform integrated LBS service applications.

LocatioNet provides an attractive set of applications, for both consumer and corporate markets, to maximize revenue generation and customer retention. An open XML-based API and a comprehensive set of SDKs grant operators and third party developers full freedom in developing distinctive location-based service applications.

LocatioNet is a global corporation with offices in the US, Europe, South America, and Israel.

About Cambridge Positioning Systems

Cambridge Positioning Systems Limited (CPS) is the key enabler for high accuracy location in the GSM wireless world. Its innovative E-OTD (Enhanced Observed Time Difference) technology allows network operators to develop new services that improve the safety of their customers and deliver profitable applications.

Regarded as the location standard for the GSM market, E-OTD (Enhanced Observed Time Difference) uses sophisticated mathematical algorithms to determine a user’s position. CPS has licensed this cost effective technology –deployed in both the wireless network and the mobile device – to leading global vendors including Ericsson, Nortel Networks and Siemens for integration into their network infrastructure products.

Technology trials and deployments are currently underway in the US, Europe and the Asia Pacific region.