Ford Motor Company Accelerates Roll-Out of Industrial Vehicle Control System From I.D. Systems, Inc.

HACKENSACK, N.J., May 6, 2003 -- I.D. Systems, Inc. today announced that Ford Motor Company will accelerate its corporate-wide deployment of I.D. Systems' wireless Industrial Vehicle Electronic Control System (IVECS). The accelerated plan calls for more than 20 Ford assembly and stamping plants in North America to implement IVECS on a portion of their material handling vehicles by the end of 2003. The plan also enables Ford to deploy additional IVECS systems on other equipment at the aforementioned plants and at other Ford facilities. Pursuant to contractual terms, financial details of the accelerated plan are not being disclosed.

"This contract is of substantial value to I.D. Systems, not only in financial terms, but also as a clear reflection of our technology's proven customer value," said Jeffrey Jagid, I.D. Systems chairman and chief executive officer. "In view of current economic conditions, we view Ford's accelerated investment in our industrial vehicle management system as a testament to the wide array of benefits the system provides for Ford's manufacturing operations. We expect that the accelerated corporate-wide deployment plan for IVECS will provide Ford with an immediate ability to control costs in these difficult times and set the stage for increased profits as the economy improves."

The IVECS system improves safety and security by restricting vehicle access to trained and authorized operators (as required by OSHA) and providing electronic safety inspection checklists. The system controls maintenance expenses by automatically uploading vehicle data, reporting problems identified on checklists in real time, scheduling maintenance according to actual vehicle usage rather than on a calendar basis, and helping management determine the optimal economic time to replace equipment.

About I.D. Systems

Based in Hackensack, New Jersey, I.D. Systems, Inc. is a leading provider of wireless solutions for corporate asset management. I.D. Systems' customers include Archer Daniels Midland, DaimlerChrysler, Deere & Co., Federal Aviation Administration, Ford Motor Company, General Motors, Golub Corporation, Hallmark Cards, Target Corporation, the U.S. Navy, and the U.S. Postal Service, among others. Using local area networks, wide area networks, and the Internet, the company's systems enable management to control and track the location and status of their assets -- from letters and containers to forklifts and railcars -- in real time. For more information, visit www.id-systems.com.

"Safe Harbor" statement under the Private Securities Litigation Reform Act of 1995: This press release contains forward looking statements that are subject to risk and uncertainties, including, but not limited to, the impact of competitive products, product demand and market acceptance risks, fluctuations in operating results and other risks detailed from time to time in I.D. Systems' filings with the Securities and Exchange Commission. These risks could cause I.D. Systems' actual results for the current fiscal year and beyond to differ materially from those expressed in any forward looking statements made by, or behalf of, I.D. Systems.