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Leading Taiwanese Manufacturer Licenses Phone.com Microbrowser for Use in its GSM and CDMA Handsets

REDWOOD CITY, Calif. (January 31, 2000) - Phone.com, Inc. (Nasdaq:PCHM) and Acer Peripherals, Inc. today announced that Acer Peripherals has licensed the Phone.com UP.Browser microbrowser for use in its new GSM and CDMA phones. Acer Peripherals expects to start shipping its handsets, which will use the UP.Browser WAP-compatible browser, in Q2 2000 in Taiwan-Asias fastest growing wireless market. The agreement with Acer Peripherals is another step in Phone.coms continued effort to further increase its presence in Asia handsets.

According to the latest estimation, industry forecasters now predict that there will be 1.4 billion mobile subscribers by 2003. The desire for getting connected is expected to drive the demand for data service in the wireless communications market. Acer Peripherals has recognized this opportunity and has become devoted to related fields to fulfill the mass need for data connection, especially in the Asia market. "Phone.coms WAP-compatible browser is helping Acer Peripherals break into the handset market," said Calvin Chih, vice president of Acer Peripherals. "We believe that incorporating the Phone.com microbrowser into our GSM and CDMA phones will make our phones more appealing to the mass market. Phone.com has proven that it is the worldwide leader in microbrowser technology, across all mobile standards. Given their commitment to the WAP standard, they were the logical choice for Acer Peripherals."

"We are committed to work with leading companies such as Acer Peripherals to bring wireless Internet capabilities to Asia," said Ben Linder, vice president of marketing of Phone.com. "By working closely with to both the handset manufacturers and the mobile operators, Phone.com is quickly asserting itself as a leader in the mobile Internet in Asia."

Phone.coms UP.Browser is currently being ported to more than 44 distinct phone models for all major digital standards, including CDMA, GSM, iDEN, TDMA, PDC, and PHS. The WAP-compatible UP.Browser will enable Acer Peripherals GSM and CDMA mobile users to wirelessly access and interact with Internet and intranet data through wireless carriers who have licensed the Phone.com UP.Link server software.

About Acer Peripherals, Inc.
Acer Peripherals, Inc. is the leader of Taiwans robust computer peripherals industry. Founded in 1984, the company integrates high-tech display, input, storage, imaging and communications products to perfect the interface between people and the computers that serve them. Numerous products are ranked among the worlds top five in their categories. Acer Peripherals America benefits from the support and over 20 years experience offered by the Acer Group, the 3rd largest PC manufacturer in the world.

About Phone.com
Phone.com, Inc. (Nasdaq:PHCM) is a leading provider of software and services that enable the delivery of Internet-based information services to mass-market wireless telephones. Using its software, wireless subscribers have access to Internet- and corporate intranet-based services, including Email, news, stocks, weather, travel and sports. In addition, subscribers have access via their wireless telephones to network operators intranet-based telephony services, which may include over-the-air activation, call management, billing history information, pricing plan subscription and voice message management. Phone.com is headquartered in Silicon Valley, California and has regional offices in Belfast, Copenhagen, London and Tokyo. Visit http://www.phone.com for more information.

Except for the historical information contained herein, the matters discussed in this news release are forward-looking statements involving risks and uncertainties that could cause actual results to differ materially from those in such forward-looking statements. Potential risks and uncertainties include, but are not limited to, Phone.coms limited operating history, potential fluctuations in Phone.coms operating results, uncertainties related to Phone.coms long sales cycle and reliance on a small number of customers, Phone.coms dependence on the acceptance of its products by network operators and wireless subscribers, Phone.coms ability to adequately address the rapidly-evolving market for delivery of Internet-based services through wireless telephones, the need to achieve widespread integration of Phone.coms browser in wireless telephones, competition from companies with substantially greater financial, technical, marketing and distribution resources and the ability of Phone.com to manage a complex set of engineering, marketing and distribution relationships. Further information regarding these and other risks are included in Phone.coms Form 10-Q for quarter ended September 30, 1999, in its prospectus dated November 16, 1999 and in its other filings with the Securities and Exchange Commission.

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Phone.com, the Phone.com name and logo, MyPhone and the family of terms carrying the "UP." prefix are trademarks of Phone.com, Inc. All Rights Reserved. All other company, brand and product names may be marks that are the sole property of their respective owners.

For further information:

Contact Phone.com Worldwide Public Relations:

Acer Peripherals, Inc.
John Bai
+886 2 2799 8800
[email protected]