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NEOM News NeoMedia's qode to be Introduced in U.K. by News Group Newspapers

FORT MYERS, Fla. & LONDON--(BUSINESS WIRE)--NeoMedia Technologies, Inc. (OTC BB: NEOM), an innovator in market-driven technologies, today announced that it was partnering with News Group Newspapers (NGN), and its market-leading Sunday newspaper, the News of the World® (www.newsoftheworld.co.uk), to introduce its patented qode® direct-to-mobile-web technology (www.qode.com) in the U.K.

Charles W. Fritz, founder, chairman and interim CEO of NeoMedia, said that the qode introduction was announced by Mike Anderson, managing director of News Group Newspapers to Media Week magazine in London earlier this week.

“Effectively, qode is the same thing as the interactive red button on the television, but in a newspaper,” Mr. Anderson said, referring to the interactive service on NewsCorp’s BSkyB satellite TV. “NGN is keen to develop mobile as a digital distribution method. This is all part of News Group changing from a newspaper company to a media company,” he said.

Mr. Anderson added that the News of the World -- with a readership of 8.2 million (source: National Readership Survey of Great Britain, January-July 2006) -- will use qode mainly to bring TV clips of English Premier League football (soccer) to its readers via their cell phones over the Mobile Internet, as News Group has won the rights to broadcast league games to mobile phones in a joint bid with BSkyB. He said qode technology could also be used by News of the World advertisers to offer readers discount vouchers, or additional product information via their handsets.

‘qode is Brilliant’

“qode is brilliant,” said Mr. Anderson, “in allowing readers to bypass Web addresses or search engines and go straight to the Mobile Internet.” He observed that although the software is not yet pre-embedded in mobile phones and must be downloaded, his hope is that “in the future, it should be pre-embedded.” News of the World readers will be instructed how to get free over-the-air downloads of qode mobile software, either by entering http://get.qode.com in their handset’s browser, or by texting to a shortcode for the link to the qode download mobile website.

‘First Step, Big Step’

“This is a first step and a big step for NeoMedia and our vision for qode,” Mr. Fritz said. “NGN comprises two of the most-read English-language newspapers in the world, and is renowned for innovation. NeoMedia is understandably delighted to be partnering with News Group on this introduction of qode, especially with our recently announced plans and actions to refocus our corporate resources on qode,” he said.

NeoMedia’s patented qode technology is an easy-to-use set of applications - qode®reader and qode®window - which provide One Click to Content™ connectivity for products, print, packaging and other physical objects to link directly to specific desired content on the Mobile Internet. qode®reader works with camera phones, letting users “click” on two-dimensional “smart codes” to access the Mobile Web site to which the code is linked, while qode®window lets users reach the same destination by entering a keyword, slogan, or product barcode number.

About NeoMedia Technologies, Inc.

NeoMedia Technologies, Inc. (www.neom.com), is a diversified global company offering leading edge, technologically advanced products and solutions for companies and consumers, built upon its solid family of patented products and processes, and management experience and expertise. Its NeoMedia Mobile group of companies offers end-to-end mobile enterprise and mobile marketing solutions through its flagship qode direct-to-mobile-web technology and ground-breaking products and services from four of the leading mobile marketing providers in the U.S. and Europe. By linking consumers and companies to the interactive electronic world, NeoMedia delivers one-to-one, permission-based, personalized and profiled dialogue -- anytime and anywhere.

This press release contains forward-looking statements within the meaning of section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. With the exception of historical information contained herein, the matters discussed in this press release involve risk and uncertainties. Actual results could differ materially from those expressed in any forward-looking statement.

qode is a registered trademark, and qode®reader, qode®window and One Click to Content are trademarks of NeoMedia Technologies, Inc. Other trademarks are properties of their respective owners.