Exhibit 99.1

OPENWAVE REPORTS FOURTH QUARTER AND FISCAL 2006 YEAR END

FINANCIAL RESULTS

REDWOOD CITY, Calif. — August 3, 2006 — Openwave Systems Inc. (Nasdaq: OPWV), the leading provider of open software products and services for the communications industry, today announced that revenues for its fourth fiscal quarter ended June 30, 2006 were $91.1 million, compared with $100.3 million during the June quarter in the preceding year, and $113.0 million for the prior quarter ended March 31, 2006. During the quarter, Openwave posted bookings of $120 million.

For fiscal 2006, Openwave reported total revenues of $412.0million, an increase of 7% from $383.6 million in fiscal 2005. Net income on a GAAP basis for the year was $5.7 million, compared with a loss of $62.1 million in the prior year. Net income on a non-GAAP basis was $50.1 million for fiscal 2006, an increase of 123% from the $22.5 million in fiscal 2005.

“The quarter’s results were below our expectations, however we are implementing an operating plan that we expect will deliver financial improvement throughout the year,” said David Peterschmidt, president and CEO, Openwave.

On a GAAP basis, net loss for the fourth fiscal quarter ended June 30, 2006 was $4.7 million, or $0.05 per share, compared to a net loss of $62.3 million, or $0.91 per share, for the June quarter in the preceding year and net income of $9.6 million, or $0.10 per share in the prior quarter.

Net income on a non-GAAP basis, which excludes amortization of intangibles, stock-based compensation, gain on sale of technology, impairment charges, acquisition-related costs and restructuring and related costs, for the fourth fiscal quarter ended June 30, 2006 was $2.6 million, or $0.03 per diluted share compared with $7.2 million, or $0.10 per diluted share, during the June quarter of the prior year and $21.8 million, or $0.21 fully per diluted share in the prior quarter. A reconciliation between net income (loss) on a GAAP basis and a non-GAAP basis is provided below in a table immediately following the Condensed Consolidated Statements of Operations.

At June 30, 2006, the Company had cash, cash equivalents, short-term and long-term investments totaling $513.0 million.

Business Outlook

Management’s current outlook for the first fiscal quarter ending September 30, 2006 is that revenues will be within a range of $85 million to $90 million. Gross margin is expected to be within a range of 66% to 68%, and non-GAAP operating expenses to be approximately $61 million to $62 million. Non-GAAP earnings per share is expected to be within a range of ($0.02) to $0.02. Non-GAAP results exclude amortization of intangibles, stock-based compensation, and acquisition-related costs and restructuring and related costs.

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Page 2 of 8 — Openwave Reports Fourth Quarter Fiscal 2006

Conference Call Information

Openwave has scheduled a conference call for 5:00 p.m. eastern time today to discuss its financial results for its fiscal fourth quarter ended June 30, 2006. Interested parties may access the conference call over the Internet through the Company’s web site at www.openwave.com or by telephone at (866) 550-6338 or (347) 284-6930 (international). A replay of the conference call will be available for one week beginning at approximately 8:30 p.m. eastern time today by calling 888-203-1112. The replay can be accessed internationally by calling 719-457-0820. Reservation number: 5274352.

A live webcast of the call, together with supplemental financial information, will also be available on the Quarterly Earnings section of Openwave’s website at http://investor.Openwave.com/medialist.cfm for at least 12 months.

About Openwave

Openwave Systems Inc. (Nasdaq: OPWV) is the leading independent provider of open software products and services for the communications industry. Openwave’s breadth of products, including mobile phone software, multimedia messaging software (MMS), email, location and mobile gateways, along with its worldwide expertise enable its customers to deliver innovative and differentiated data services. Openwave is a global company headquartered in Redwood City, California. For more information please visit www.openwave.com.

Non-GAAP Measure

The company’s stated results include a non-GAAP measure, non-GAAP net income, which excludes amortization of intangibles, stock-based compensation, gain on sale of technology, impairment charges, acquisition-related costs and restructuring and related costs from GAAP net income (loss). Management believes the presentation of this non-GAAP information may be useful to investors because the Company has historically provided this or similar information and understands that some investors find it helpful in analyzing the Company’s expenses and comparing them to the expenses of the Company’s competitors or others. Management uses this non-GAAP information, along with GAAP information, in evaluating the Company’s historical and projected operating results, primarily with a view to assessing ongoing expenses exclusive of specific, non-recurring transactions, as may be the case with our gain on sale of technology, restructuring and acquisition-related costs. Management uses the operating results exclusive of our equity-based compensation expense to compare our performance with the Company’s competitors or others.

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Page 3 of 8 — Openwave Reports Fourth Quarter Fiscal 2006

This non-GAAP information is not prepared in accordance with generally accepted accounting principles and may differ from the non-GAAP information used by other companies. Non-GAAP information should not be considered in isolation from, or as a substitute for, information prepared in accordance with GAAP. Moreover, there are material limitations associated with the use of non-GAAP information. In this regard, while some transactions causing the non-GAAP expenses are non-recurring, the Company in the future may effect new transactions, such as acquisitions or restructurings that will trigger similar expenses. For these reasons, our non-GAAP information may not be as useful to investors as the GAAP information also provided.

Cautionary Note Regarding Forward Looking Statements

This release and the scheduled conference call contain forward-looking statements relating to expectations, plans or prospects for Openwave Systems Inc. that are based upon the current expectations and beliefs of Openwave’s management and are subject to certain risks and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements. Notwithstanding changes that may occur with respect to matters relating to any forward looking statements, Openwave does not expect to, and disclaims any obligation to, update such statements. Openwave, however, reserves the right to update such statements or any portion thereof at any time for any reason.

In particular, the following factors, among others, could cause actual results to differ materially from those described in the forward-looking statements: (a) the ability to realize our strategic objectives by taking advantage of market opportunities in the Americas, Europe, the Middle East, and Asia; (b) the ability to make changes in business strategy, development plans and product offerings to respond to the needs of our current, new and potential customers, suppliers and strategic partners; (c) general risks associated with the development and licensing of software, including potential delays in software development, technical difficulties that may be encountered in the development or use of our software, and potential infringement claims by third parties; (d) the effects of our restructurings and the ability to successfully support our operations; (e) the ability to recruit and retain qualified, experienced employees; (f) the willingness of communication service providers to invest and improve their data networks; (g) the ability to successfully manage and integrate Musiwave’s operations and employees, to successfully retain Musiwave’s existing customers, and to continue to grow the Musiwave customer base and revenue in accordance with projections; and (h) the ability to acquire additional companies and technologies that complement the Openwave business and to successfully integrate such acquisitions.

For a detailed discussion of these and other cautionary statements, please refer to the risk factors discussed in filings with the U.S. Securities and Exchange Commission (“SEC”), including but not limited to the Company’s Quarterly Report on Form 10-Q for the fiscal quarter ended March 31, 2006, and any subsequently filed reports. All documents also are available

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Page 4 of 8 — Openwave Reports Fourth Quarter Fiscal 2006

through the SEC’s Electronic Data Gathering Analysis and Retrieval system (EDGAR) at www.sec.gov or from Openwave’s Web site at www.openwave.com

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© 2006 Openwave and the Openwave logo are trademarks and/or registered trademarks of Openwave Systems Inc. All other trademarks are the properties of their respective owners.

INVESTOR CONTACTS:   Mike Bishop Director Investor Relations Openwave Systems Inc. (650) 480-4461 investor@openwave.com MEDIA CONTACTS:   Hannah Summers Director, Public Relations Openwave Systems Inc. (650) 480-7119 Hannah.summers@openwave.com

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Page 5 of 8 — Openwave Reports Fourth Quarter Fiscal 2006

OPENWAVE SYSTEMS INC.

CONDENSED CONSOLIDATED BALANCE SHEETS-UNAUDITED

(In thousands)

	June 30, 2006		June 30, 2005
Assets
Current Assets:
Cash, cash equivalents and short-term investments	$	431,851	$	236,555
Accounts receivable, net		146,059		136,865
Prepaid and other current assets		17,305		20,772
Total current assets		595,215		394,192
Property and equipment, net		20,784		16,765
Long-term investments		61,034		25,909
Restricted cash and investments		20,106		24,293
Goodwill		148,807		44,073
Intangibles, net and other assets		64,004		36,073
	$	909,950	$	541,305
Liabilities and Stockholders’ Equity
Current Liabilities:
Accounts payable	$	14,951	$	10,861
Accrued liabilities		62,633		54,429
Accrued restructuring costs		18,542		20,236
Deferred revenue		51,733		65,623
Total current liabilities		147,859		151,149
Accrued restructuring costs, less current portion		60,922		77,261
Deferred revenue, less current portion		3,892		3,408
Deferred rent obligations		1,055		691
Deferred tax liabilities, less current portion, net		6,455		5,025
Convertible subordinated notes, net		148,494		147,367
Total liabilities		368,677		384,901
Total stockholders’ equity		541,273		156,404
	$	909,950	$	541,305

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Page 6 of 8 — Openwave Reports Fourth Quarter Fiscal 2006

OPENWAVE SYSTEMS INC.

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS-UNAUDITED

(In thousands, except per share data)

	Three Months Ended									Year Ended
	June 30, 2006			March 31, 2006			June 30, 2005			June 30, 2006			June 30, 2005
Revenues:
License	$	37,797		$	58,067		$	43,172		$	194,611		$	175,565
Maintenance and support		23,183			22,733			24,490			94,563			93,295
Services		23,270			24,769			32,604			108,475			114,775
Content delivery		6,886			7,475			—			14,361			—
Total revenues		91,136			113,044			100,266			412,010			383,635
Cost of revenues:
License		1,901			1,727			1,385			7,191			2,964
Maintenance and support		7,294			7,449			9,173			30,658			31,822
Services		16,755			19,706			20,991			78,367			79,152
Content delivery		3,416			3,965			—			7,381			—
Amortization of intangible assets		1,519			1,668			1,817			6,300			6,059
Total cost of revenues		30,885			34,515			33,366			129,897			119,997
Gross profit		60,251			78,529			66,900			282,113			263,638
Operating Expenses:
Research and development		21,046			21,696			25,773			88,083			95,787
Sales and marketing		30,900			33,487			23,903			122,871			99,117
General and administrative		18,304			17,151			13,741			70,510			49,289
Restructuring and other related costs		(3,047	)		765			64,600			4,623			70,560
Acquisition-related costs and amortization		2,496			3,079			736			7,003			2,788
Gain on sale of technology and other		—			(3,800	)		—			(11,349	)		—
Total operating expenses		69,699			72,378			128,753			281,741			317,541
Operating income (loss)		(9,448	)		6,151			(61,853	)		372			(53,903	)
Interest and other (expense), net		4,246			4,126			622			9,041			582
Impairment of non-marketable equity securities		—			—			—			(104	)		—
Income (loss) before provision for income taxes		(5,202	)		10,277			(61,231	)		9,309			(53,321	)
Income taxes		(528	)		707			1,107			3,645			8,808
Net income (loss)	$	(4,674	)	$	9,570		$	(62,338	)	$	5,664		$	(62,129	)
Basic net income (loss) per share	$	(0.05	)	$	0.10		$	(0.91	)	$	0.07		$	(0.93	)
Diluted net income (loss) per share	$	(0.05	)	$	0.10		$	(0.91	)	$	0.07		$	(0.93	)
Shares used in computing basic net income (loss) per share		91,709			91,442			68,264			82,231			66,650
Shares used in computing diluted net income (loss) per share		91,709			95,044			68,264			85,316			66,650
Stock-based compensation by category:
Maintenance and support	$	207		$	205		$	—		$	1,418		$	—
Services		343			299			—			1,541			—
Research and development		493			1,164			404			5,801			801
Sales and marketing		4,604			5,917			651			19,289			1,424
General and administrative		3,208			3,073			1,310			12,979			2,977
	$	8,855		$	10,658		$	2,365		$	41,028		$	5,202

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Page 7 of 8 — Openwave Reports Fourth Quarter Fiscal 2006

OPENWAVE SYSTEMS INC.

RECONCILIATION OF GAAP NET INCOME (LOSS) TO NON-GAAP NET INCOME

(In thousands, except per share data)

	Three Months Ended									Year Ended
	June 30, 2006			March 31, 2006			June 30, 2005			June 30, 2006			June 30, 2005
Reconciliation between GAAP net income (loss) and Non-GAAP:
Net income (loss)	$	(4,674	)	$	9,570		$	(62,338	)	$	5,664		$	(62,129	)
Exclude:
Restructuring and other related costs		(3,047	)		765			64,600			4,623			70,560
Acquisition-related costs and amortization*		4,015			4,747			2,553			13,303			8,847
Amortization of stock-based compensation		8,855			10,658			2,365			41,028			5,202
Gain on sales of technology and other		—			(3,800	)		—			(11,349	)		—
Impairment of non-marketable equity securities		—			—			—			104			—
Acquisition-related hedging cost		—			—			—			672			—
Tax impact of reconciling items**		(2,527	)		(1,392	)		—			(3,919	)		—
Non-GAAP net income - diluted	$	2,622		$	20,548		$	7,180		$	50,126		$	22,480
Interest expense on convertible debt, if dilutive***	$	—		$	1,283		$	—		$	—		$	—
Numerator for fully diluted non-GAAP earnings per share	$	2,622		$	21,831		$	7,180		$	50,126		$	22,480
Fully diluted net income (loss) per share	$	(0.05	)	$	0.09		$	(0.86	)	$	0.07		$	(0.88	)
Exclude:
Restructuring and other related costs	$	(0.03	)	$	0.01		$	0.89		$	0.05		$	1.00
Amortization of acquisition-related intangibles and Holdback*	$	0.04		$	0.05		$	0.04		$	0.16		$	0.13
Amortization of stock-based compensation	$	0.10		$	0.10		$	0.03		$	0.48		$	0.07
Gain on sale of technology and other	$	—		$	(0.04	)	$	—		$	(0.13	)	$	—
Impairment of non-marketable equity securities	$	—		$	—		$	—		$	—		$	—
Acquisition-related hedging cost	$	—		$	—		$	—		$	0.01		$	—
Tax impact of reconciling items**	$	(0.03	)	$	(0.01	)	$	—		$	(0.05	)	$	—
Interest expense on convertible debt, if dilutive***	$	—		$	0.01		$	—		$	—		$	—
Non-GAAP net income per share – fully diluted	$	0.03		$	0.21		$	0.10		$	0.59		$	0.32
Shares used in computing diluted earnings per share		93,679			95,044			72,855			85,316			70,318
Shares used in computing fully diluted earnings per share		93,679			103,197			72,855			85,316			70,318

* Acquisition-related costs relates to contingent payments due in July 2008 related to the Musiwave acquisition. Amortization relates to acquired intangible assets.

** Beginning in FY Q3 2006 with the Musiwave acquisition, the tax impact of reconciling items became material and therefore will be included in the non-GAAP reconciliation prospectively. The tax impact relates to amortization of acquisition-related intangibles and tax benefits related to stock-based compensation.

*** The impact of an assumed conversion of convertible debt is included in the non-GAAP fully diluted calculation when its impact is dilutive to non-GAAP earnings per share.

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Page 8 of 8 — Openwave Reports Fourth Quarter Fiscal 2006

OPENWAVE SYSTEMS INC.

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS-UNAUDITED

(in thousands)

	Three Months Ended									Fiscal Year Ended
	June 30, 2006			March 31, 2006			June 30, 2005			June 30, 2006			June 30, 2005
Cash flows from operating activities:
Net income (loss)	$	(4,674	)	$	9,570		$	(62,338	)	$	5,664		$	(62,129	)
Adjustments to reconcile net income (loss) to net cash provided by (used for) operating activities:
Depreciation, amortization of intangibles and stock-based compensation		15,601			17,445			7,522			63,907			24,938
Accelerated depreciation on restructured property and equipment		—			—			9,878			414			15,608
Provision for doubtful accounts		(1,145	)		147			(140	)		(280	)		1,990
Other non-cash expenses, net		(3,227	)		(1,158	)		(2,316	)		(5,197	)		(2,288	)
Proceeds from sale of technology and other		—			(3,800	)		—			(11,349	)		—
Changes in operating assets and liabilities, net of effect of acquisitions		7,162			(22,588	)		56,469			(33,875	)		14,263
Net cash provided by (used for) operating activities		13,717			(384	)		9,075			19,284			(7,618	)
Cash flows from investing activities:
Purchases of property and equipment, net		(4,788	)		(2,169	)		(4,225	)		(12,962	)		(12,292	)
Purchases of intangible assets		—			—			—			—			(450	)
Acquisitions, net of cash acquired		—			(113,916	)		(167	)		(113,916	)		(52,755	)
Proceeds from sale of technology and other		—			3,800			—			11,349			—
Proceeds (purchases) of investments, net		(29,792	)		(9,301	)		9,233			(181,041	)		25,432
Restricted cash and investments, and non-marketable securities		(64	)		2,042			1,305			4,094			2,086
Net cash provided by (used for) investing activities		(34,644	)		(119,544	)		6,146			(292,476	)		(37,979	)
Cash flows from financing activities:
Net proceeds from issuance of common stock		3,153			19,763			11,764			322,503			22,981
Other, net		(249	)		—			(3,805	)		(249	)		(3,805	)
Cash provided by financing activities		2,904			19,763			7,959			322,254			19,176
Effect of exchange rates on cash and cash equivalents		(93	)		—			(525	)		(93	)		(586	)
Net increase (decrease) in cash and cash equivalents		(18,116	)		(100,165	)		22,655			48,969			(27,007	)
Cash and cash equivalents at beginning of period		193,547			293,712			103,807			126,462			153,469
Cash and cash equivalents at end of period	$	175,431		$	193,547		$	126,462		$	175,431		$	126,462

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