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I.D. Systems Receives Additional Order from Ford for Wireless Vehicle Management Systems

HACKENSACK, N.J., May 3, 2004 -- I.D. Systems, Inc. , a leader in wireless asset tracking and management solutions, today announced that it has received a follow-on order from Ford Motor Company to provide additional industrial vehicle electronic control systems (IVECS) for material handling equipment at Ford's automotive plants. The order supplements Ford's previous enterprise-wide order for IVECS technology from I.D. Systems. The newly ordered units will be used to continue IVECS deployment at Ford stamping plants and initiate implementation at Ford's power train production facilities.

"We continue to deepen our relationship with Ford, as demonstrated not only by this new order for additional IVECS hardware, but also by our recent contract to provide enterprise-wide maintenance and support services for the IVECS system," said Rick Muntz, I.D. Systems' executive vice president of sales, marketing, and customer satisfaction. "Once again, we are seeing the fruits of our strategy to help customers implement effective solutions for wireless industrial vehicle management, achieve compelling operational benefits from the technology, and build on success by expanding system deployment across the enterprise. We look forward to pursuing the same path with many other Fortune 500 and government customers."

About IVECS

The IVECS system enhances safety, security, and maintenance for forklifts and other industrial equipment. The system improves safety and security by restricting vehicle access to trained (as required by OSHA) and authorized operators, providing electronic safety inspection checklists, and electronically recording accidents. The system can reduce 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 3M Company, American Axle, Archer Daniels Midland, Daimler Chrysler, Deere & Co., Ford Motor Company, General Dynamics, Hallmark Cards, Northrop Grumman, Target Corporation, Walgreen Co., the U.S. Navy, the U.S. Postal Service, and the U.S. Transportation Security Administration, 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 forklifts and cranes to automobiles and trucks -- in real time. For more information on I.D. Systems, Inc., 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.