Digi Unites Wireless Technologies to Pioneer `Drop-in Networking'

Digi Unites Wireless Technologies to Pioneer `Drop-in Networking'

June 13, 2007

Breakthrough ConnectPort(TM) X Product Family Fuses ZigBee,
Wi-Fi, and Cellular to Pave Way for Revolutionary Device
Networking Applications


    MINNETONKA, Minn., June 13 /Xinhua-PRNewswire/ -- Digi
International (Nasdaq: DGII) today introduced the
ConnectPort X product family, a line of IP gateways that
provide seamless connectivity of ZigBee, Wi-Fi, cellular
and Ethernet traffic to centralized applications and
databases.  The ConnectPort X family is augmented by new
families of XBee(TM) adapters and wall routers that provide
end-device connectivity and network extension.  These new
products signify the introduction of a broader category of
Drop-in Networking solutions requested by Digi customers. 
Drop-in Networking solutions provide end-to-end wireless
connectivity to commercial grade electronic devices in
locations where wired infrastructure doesn't exist or
satisfy customer needs.  According to Glen Allmendinger,
president, Harbor Research: "These Drop-in Networking
solutions prove that Digi's innovation and leadership are
un-matched."

    Drop-in Networking promises to revolutionize the way
that companies apply technology to improve asset
utilization, provide better customer service and find
alternate sources of revenue.  For applications in energy
management, building control, manufacturing, supply chain
management and a host of others, Drop-in Networks provide
an easy, economical and non-intrusive way to connect
devices anywhere they reside. 

    "The next wave of Internet growth is clearly
focused on device centric connectivity," said Joseph
Dunsmore, CEO, Digi International.  "Our new product
announcements and Drop-in Networking initiative clearly
position Digi as the technology leader in this long-term
growth opportunity." 

    Drop-in Networks leverage Digi's expertise across a
broad range of wireless technologies including ZigBee,
Wi-Fi, cellular, and 900MHz RF.  Drop-in Networking
solutions include ConnectPort X  ZigBee-to-IP gateways,
XBee device adapters, XBee wall routers and bridges, XBee
embedded modules, Connect WAN and ConnectPort WAN cellular
routers, and Digi Connectware(R) Manager network management
platform.  Details of each follow:   

    ConnectPort X Gateways: 

    -- Collect and transport local ZigBee traffic to
centralized
       applications and databases on an IP network

    -- Support ZigBee, Wi-Fi, cellular and Ethernet as well
as GPS and 1
       GB of local storage

    -- Support Python, a free, open-source programming
language with an 
       extensive script library that can be used to
customize and/or
       automate tasks handled by the gateway

    -- ConnectPort X8 available now; additional models
planned for
       release include ConnectPort X4 in August
(lower-cost, 
       multi-function gateway with ZigBee, Wi-Fi and
cellular
       capability) and ConnectPort X2 in September
(single-function
       gateway for ZigBee-to-Ethernet or ZigBee-to-Wi-Fi
applications) 

    XBee Adapters: 

    -- Small stand-alone boxes built on the MaxStream(R)
XBee module for 
       ZigBee device connectivity

    -- Provide off-the-shelf mesh connectivity to existing
devices

    -- Available in multiple data interface types and
powering options 

    -- RS-232, RS-485, 1-Wire and USB models will be
available in July; 
       Digital and Analog I/O models, as well as a serial
port powered
       RS-232 version will be available by the end of
September

    XBee Bridges and Routers: 

    -- For use in deployments that include remote ZigBee
network
       clusters residing beyond the signal range of an
adjacent ZigBee
       network

    -- XBee XTender can bridge between the remote cluster
and a gateway
       on the neighboring ZigBee network using 900 MHz RF
(rather than
       installing another ConnectPort X gateway at that
remote cluster)

    -- XBee wall router (repeater) is a simple plug-in
router that
       utilizes a standard wall socket for power (adapters
are available
       for international markets); it will
"patch" areas within a ZigBee
       network where signal erosion or loss occurs due to
distance
       limitations or air interference

    -- XBee XTender is available now; XBee wall router will
be available 
       August 2007

        XBee Embedded Modules: 

    -- MaxStream branded ZigBee compliant solutions that
manufacturers
       can embed within their devices to provide native
ZigBee
       connectivity

    -- Hundreds of thousands of these postage-stamp sized
modules have
       been deployed 

    Digi Connect WAN and ConnectPort WAN Cellular Routers:

    -- Provide Ethernet-to-cellular connectivity for simple
Drop-in 
       Networking applications where isolated individual
devices require 
       connectivity

    Digi Connectware Manager: 

    -- Enterprise class software platform that can manage
Drop-in
       Network hardware, including devices on a ZigBee
network

    -- Provides a one-to-many interface from which to
provision and
       configure hardware, track device performance,
remotely set
       filters and alarms, monitor connections, reboot
devices and reset
       defaults, and remotely upgrade device firmware 

    -- Essential software tool for large-scale device
deployments

    Rabbit Semiconductor Branded Products:

    -- ZigBee-based RCM4510W and ZigBee-based RCM4400W
RabbitCore(TM)
       modules, plus planned single board computer products
based on
       them

    -- Fulfill need for applications requiring ZigBee
devices with 
       programmability and configurable data
filtering/control at the
       end device

    -- Use Dynamic C to deliver that functionality in an
easy-to-use 
       environment 

    Subsequent announcements will be made this summer as
new Drop-in Networking products are launched and available
to customers.  In July, starter kits combining a
ConnectPort X8 gateway with XBee adapters and modules, a
sensor device, and an easy-to-use manual featuring sample
applications will be available for sale at less than $1000
in July. For more information on all Drop-in Networking
products, please visit
http://www.digi.com/products/wirelessdropinnetworking/ .
    
    Customers Deploy Drop-in Networks to Make Remote Device
Management Easy

    "Drop-in Networking addresses the two acute
requirements in this market:  the need for a complete
offering to cover the diverse requirements and most
importantly, the need to provide users, device
manufacturers, integrators and application developers a
simple, easy-to-apply family of networking solutions,"
said Allmendinger of Harbor Research.  "Making it
simple to network products and utilize the wealth of
information they contain will revolutionize all businesses
and their relationships with customers."

    Crown Castle International, a leading independent owner
and operator of shared wireless communications and broadcast
infrastructure, uses Digi Connect WAN routers to provide
wireless wide area networking connectivity to monitor
aviation safety lights installed at approximately 4,500
cellular tower sites.  These towers sit in remote locations
where no wired broadband connections are available.

    "Using Digi's commercial grade wireless products
and Digi Connectware Manager software platform in
combination with cellular data networks, we were able to
build Drop-in Networks to monitor approximately 4,500
remote sites," stated Chris Tretter, Crown Castle's
Vice President of Operations."

    Light Corporation, a developer of lighting systems,
uses Drop-in Networking technology as the connectivity
solution for its new Intu! 360o workspace control system. 
The company ZigBee-enabled a line of industrial lighting
fixtures so they can be monitored and controlled remotely
using a ConnectPort X ZigBee-to-cellular gateway. 

    "This wireless Drop-in Network allows us to easily
install an Intu! control system into an existing
infrastructure in a non-intrusive way," said Lawrence
Leete, Director of Sales & Marketing, In-Industry
Markets, Light Corporation.  "Because the network is
wireless, it also significantly reduces the cost and time
associated with expanding or re-configuring the lighting
system -- anywhere from 40 to 80 percent over traditional
wired systems.  Our wireless platform, built on a Drop-in
Network from Digi, provides us with a significant advantage
over our competitors in the commercial and industrial
lighting and controls space.  We're taking something
ordinary and mundane -- as lighting is viewed by most
people -- and with Digi's help, turning that commodity into
an exciting technology infrastructure that has limitless
possibilities outside of the lighting-only realm."

    Customers also use Drop-in Networks where wired
connections might be available, but are not accessible due
to the "red tape" laid down by a third party
organization's corporate IT department.  For example,
Control Products, Inc., an electronics manufacturer that
designs and manufactures electronic controls for the
foodservice equipment industry, uses Drop-in Networking
technology to monitor equipment performance during field
trials at customer sites.  

    "Foodservice operators are reluctant to open their
corporate data network to outside parties," said Bob
Bruce, CTO, Control Products.  "Using Digi's Drop-in
Networks, our customers can bypass the network of the
foodservice operators, but still monitor the onsite kitchen
equipment using a reliable cellular link back to their own
data network.  There's no additional wiring and no
dependence on the operator's IT infrastructure.  These
Drop-in Networks have added tremendous value to our overall
product offering."

    AirAdvice, Inc. offers a turnkey building performance
assessment system that identifies opportunities to improve
comfort and reduce energy use in commercial buildings. 
Building on its successful HVAC-IAQ(TM) program which
focuses on solutions for indoor air quality issues in
homes, in 2006 the company launched its Commercial
Elite(TM) program.  This program offers a simple assessment
that identifies changes in commercial buildings that can
qualify for utility program energy rebates, support
LEED(TM) program or green building efforts, or simply
provide improved occupant satisfaction and reduced
operating expenses.

    "In researching ways to enhance future product
offerings, wireless communications was high on our
customers' lists," said Tim Kensok, Director of
Business Development at AirAdvice.  "As we integrate
Digi's Drop-in Networking products into our platform, we
will be able to offer our customers a complete wireless
solution from a sensor in a building to web access on our
server.  Because our customers move our system from
building to building, the ability to drop in sensors and
access data without having to run cables or rely on the
existing wired infrastructure is very attractive."

    Wireless Carriers Embrace the Power of Drop-in
Networking

    Network carrier support for existing Drop-in Networking
products is strong and reflects a growing interest in
commercial grade device connectivity. For instance the
ConnectPort WAN product family, an integral part of the
Drop-in Networking product line, is now certified by 18 of
the world's largest carriers.

    The ConnectPort X8 has already passed PTCRB
certification for operability on GSM networks and is
expected to be certified by the largest wireless carriers,
including AT&T/Cingular, Sprint and Verizon, in the
third calendar quarter of 2007.

    "AT&T is pleased to be a key network provider
to make Drop-in Networking a reality," said Hamish
Caldwell, executive director of core offers for AT&T's
wireless unit.  "This solution is a wonderful
complement to WWAN capabilities through the nation's
largest high-speed wireless network delivered by AT&T. 
AT&T customers are now able to expand their wireless
reach in industrial environments with fewer resources than
ever before." 
    
    Technology Developers and Service Providers Embrace
Drop-In Networking

    Many technology developers and application service
providers (ASPs) have embraced Drop-in Networking as a
revolutionary way to connect to and communicate with remote
devices.  Developers such as Twisthink, Global Tier and SSI,
and ASPs like nPhase and SensorLogic are using Drop-in
Network technology to help their customers more efficiently
manage their remote assets.

    "Drop-in Networks bring a new level of simplicity
to the provisioning of Smart Services," said Steve
Pazol," VP and GM of nPhase, a Qualcomm business. 
"These wireless end-to-end networks reduce the
barriers to installing device connectivity and more easily
enable Smart Services solutions for mainstream markets.  By
combining Digi's Drop-in Networking products with our
offerings, nPhase is able to deliver Smart Service
solutions that are tailored to meet the unique needs of
each OEM client."

    "Drop-in Networks enable the kind of product and
business innovation that we strive to deliver for our
diverse customer base," added Bob Niemiec of Twisthink
LLC.  "In partnership with Digi and nPhase, we have
designed a wireless workspace command and control system
that allows Light Corporation to commercialize a highly
differentiated lighting system that uniquely delivers
significant usability and cost savings to its customers. 
The science of Design and the art of Technology have been
effectively leveraged to position Light as an industry
leader with this new system."

    "Wireless control of remote devices creates
opportunities for companies to deliver innovative service
value and establish new revenue streams," said Dale
Booth, Chairman and CEO of SensorLogic, Inc.  "We see
tremendous value in combining Digi's Drop-in Networking
products with our on-demand software platform to enable
just these sorts of breakthrough opportunities for our
customers."

    Drop-in Networking provides Global Tier, a Division of
Restaurant Technologies, with a non-intrusive way to
network devices and sensors within restaurants and
convenience stores. "Our customers would like us to
monitor assets like freezers, fryers, coffee equipment,
building control systems, and heating bins to enhance
visibility and measurement of store performance," said
Dave Barczak, General Manager of Global Tier. "Because
Digi's solution is wireless, it was easy for Global Tier to
deploy monitoring and data collection networks into existing
sites without running cables and wires and without
disturbing the existing data network."

    SSI has successfully integrated Digi's embedded ZigBee
technology with sensor technologies to provide complete
wireless solutions for its OEM customers.  "SSI is
excited to be a charter member of Digi's Drop-in Networks
partner program," said Michele Mordacq, President of
SSI.  "Our customers are looking for non-intrusive
ways to install networked sensors into their customers'
sites.  Drop-in Networks allow our customers to easily
deploy wireless sensor networks for remote site and
equipment monitoring."
    
    Conference Call Details

    Digi invites all those interested in hearing
management's discussion of its Drop-in Networking Solutions
to join the call on Wednesday, June 13, 2007 at 9:30 a.m.
EDT (8:30 a.m. CT), by dialling [phone].  
International participants may access the call by dialling
[phone].  A replay will be available two hours after
the completion of the call for one week following the call
by dialling [phone] for domestic participants or
[phone] for international participants and entering
access code 21341655 when prompted. Participants may also
access a live webcast of the conference call through the
investor relations section of Digi's website:
http://www.digi.com .

    About Digi International

    Digi International, the leader in device networking for
business, develops reliable products and technologies to
connect and securely manage local or remote electronic
devices over the network or via the web.  Digi offers the
highest levels of performance, flexibility and quality, and
markets its products through a global network of
distributors and resellers, systems integrators and
original equipment manufacturers (OEMs).

    For more information, visit Digi's Web site at
http://www.digi.com , or call [phone].

    All brand names and product names are trademarks or
registered trademarks of their respective companies.


    For more information, please contact:

     Caren Xiao
     Marketing Communications Specialist
     Digi International (HK) Ltd - Beijing Representative
Office
     Tel:   [phone] ext 12
     Email: [e-mail]