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Data Connection Announces New Technology Licensing Agreement with Microsoft

Newly licensed technology provides IP mainframe connectivity features in HIS 2004

London, UK: December 15, 2003. Data Connection Limited (DCL) today announces that Microsoft has licensed DCL's IP-DLC technology, thereby extending their 15-year old technology partnership.

IP-DLC, also known as Enterprise Extender, allows mainframe SNA applications to operate through an IP network, allowing users to eliminate obsolete and costly legacy networking equipment from their networks. This feature is included in the Beta 2 of Microsoft Host Integration Server 2004, also announced today by Microsoft.

David Kiker, General Manager for eBiz Server products at Microsoft commented, "We value our long-standing relationship with DCL. Over the years they have shown themselves to be an outstanding technology supplier and partner. We are delighted to extend our relationship."

"Microsoft is a great company to do business with," reported Clive Partridge, DCL's Vice-President for Enterprise Connectivity. "Like us, they are focused on delivering great technology that provides customers with the solutions they need. We are proud to have worked with them over the past 15 years, and we look forward to the relationship continuing into the future."

About Microsoft

Founded in 1975, Microsoft (Nasdaq "MSFT") is the worldwide leader in software, services and Internet technologies for personal and business computing. The company offers a wide range of products and services designed to empower people through great software -- any time, any place and on any device.

About Data Connection Limited

Data Connection Limited (DCL) is the leading independent developer and supplier of IP Routing, LMP, MPLS, SIP, MGCP/Megaco, SCTP, ATM, Conferencing, Unified Messaging, Directory and Enterprise Connectivity products. Customers include HP, Cisco, Fujitsu, Hitachi, IBM Corp., Lucent, Microsoft, Nortel Networks, and Sun.

Data Connection is headquartered in London UK, with US offices in Alameda, CA, Dallas, TX and Reston, VA. It was founded in 1981 and is privately held. During each of the past 20 years its profits have exceeded 20% of revenue. Last year sales exceeded $35M, of which 90% were outside the UK, mostly in the US. This large proportion of overseas sales has led to the company being awarded two Queen's Awards for outstanding export performance.

For more information, see www.dataconnection.com, or contact Data Connection by email at .

Microsoft is either a registered trademark or trademark of Microsoft Corp. in the United States and/or other countries. Data Connection is a trademark of Data Connection Limited and Data Connection Corporation.