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"RIM remains pragmatic and reasonable in its willingness to enter into a settlement that would generously compensate NTP while protecting RIM's business and partners," said Jim Balsillie, Chairman and Co-CEO at Research In Motion. "NTP's public offer of a so-called 'reasonable' license, however, is simply untenable. It comprises illusory protection for RIM and its partners and requires a lump-sum payment for the theoretical life of the patents even though the US Patent Office is expected to nullify them."

Mr. Balsillie added, "RIM's workaround provides a contingency for our customers and partners and a counterbalance to NTP's threats. This will hopefully lead to more reasonable negotiations since NTP risks losing all future royalties if the workaround is implemented."

RIM has incorporated the workaround designs into a software update called BlackBerry Multi-Mode Edition that has been developed and tested as a contingency. RIM has also filed new patent applications with the Patent Office to cover its workaround designs. BlackBerry Multi-Mode Edition is so named because the software is capable of operating in different modes that can be remotely activated by RIM through its Network Operations Center (NOC). In the absence of an injunction, the software and the underlying message delivery system can continue to run in "Standard Mode" (identical to the manner in which the current BlackBerry software and system operate) and the workaround will remain dormant. In the event of an injunction, RIM is able to remotely activate "US Mode" via its NOC and the workaround designs would automatically engage for each handset containing the Multi-Mode Edition software update.

RIM has commenced the network certification process required for all software updates and will soon begin to ship the new software latent on new handsets in addition to making the software update generally available at the web site listed below for corporate IT departments and others to download and implement in accordance with their IT procedures. RIM, NTP and the US Department of Justice have all raised issues that would warrant a transition period following a potential injunction order. NTP has proposed a 30-day transition period, but RIM has argued that the transition period should be longer if the court were to grant and implement an injunction.

RIM will make the software update available at a later date on http://www.blackberry.com/workaround . Additional information on the BlackBerry Multi-Mode Edition software update is already posted on this site and periodic updates will be posted prior to the effective date of any potential injunction order. The software workaround designs remain a contingency plan because the court has not yet ruled on RIM's argument that the aggregate effort to deploy this software update for millions of users is not warranted under the circumstances.