Exhibit 99.1

    DPAC and QuaTech to Combine to Create a Provider of M2M Device
                        Connectivity Products

    GARDEN GROVE, Calif. & Hudson, Ohio--(BUSINESS WIRE)--March 8,
2005--DPAC Technologies Corp. (Nasdaq:DPAC) and QuaTech, Inc.
(www.quatech.com) announced today that they have entered into a
non-binding letter of intent that sets forth the terms of a proposed
merger on a stock-for-stock basis. Following the transaction, QuaTech
will be a wholly-owned subsidiary of DPAC; and in the merger, DPAC
will exchange newly issued shares of common stock of DPAC for
privately-held QuaTech's shares.
    The merged company will focus on accelerating the development of
connectivity solutions for the rapidly expanding machine-to-machine
communications (M2M) market. The benefits of the merger should include
the following:

    --  Broader Technology, Product and Brand Portfolio - The merger
        will combine the innovative new technologies and product lines
        and established brands of the companies, enabling the new
        company to offer a broader array of products addressing the
        M2M connectivity market.

    --  Cross Selling to Sales Channel - DPAC's innovative wireless
        solutions for OEM products will gain access to QuaTech's
        distribution channels for its device connectivity products and
        packaged product development expertise, while QuaTech's
        product lines will leverage the wireless expertise and direct
        sales and sales channels provided by DPAC.

    Under the letter of intent, QuaTech's shareholders and
stakeholders would receive DPAC shares in an amount equal to 150
percent of the amount of DPAC's partially diluted shares (those shares
currently outstanding plus those issued or issuable under outstanding
options and warrants on a net exercise basis) on a record date and on
terms to be determined. The merged company will have a new
seven-member board with three inside directors and four independent
members. The merged company management will be led by Kim Early,
current DPAC CEO, as Chairman, and Steven Runkel, current QuaTech CEO,
as Chief Executive Officer.
    Steven Runkel, QuaTech's CEO, said, "We believe that the merger
with DPAC is the right vehicle for achieving the growth objectives of
our management and shareholders. "The two companies share a common
vision of the market opportunity and a desire to leverage our
respective product lines for the benefit of our customers." Kim Early,
DPAC's CEO, said "The merger of QuaTech and DPAC will significantly
enhance our shareholder value as we gain competitive strength and
enhanced growth potential in the machine to machine market. I'm very
much looking forward to working together with Steve and our combined
management teams to build upon our leadership positions in machine to
machine connectivity."
    The companies expect to enter into a definitive agreement and to
secure the appropriate financing over the next six to eight weeks. The
consummation of the merger, as contemplated by the definitive
agreement, would then be subject to various conditions, including the
approval of DPAC shareholders and QuaTech shareholders, as well as
satisfaction of certain other requirements and the absence of material
adverse changes.

    About DPAC Technologies

    Located in Garden Grove, California, DPAC Technologies provides
embedded wireless networking and connectivity products for
machine-to-machine communication applications. DPAC's wireless
products are used by major OEMs in the transportation, instrumentation
and industrial control, homeland security, medical diagnostics and
logistics markets to provide remote data collection and control. The
Company's web site address is www.dpactech.com. Information concerning
DPAC is filed by DPAC with the SEC and is available on the SEC
website, www.sec.gov.

    About QuaTech

    QuaTech, a privately-held company, is an industry performance
leader in device networking and connectivity solutions. Through
design, manufacturing and support, QuaTech maintains the highest
levels of reliability and performance. Satisfied customers include
OEMs, VARs and System Integrators, as well as end-users in many
industries, including banking, retail/POS, access control, building
automation and security, and energy management. QuaTech is a leading
supplier of data connectivity products to financial institutions,
serving five of the top 10 U.S. banks. Founded in 1983 and
headquartered in Hudson, Ohio, QuaTech sells and supports its
solutions both direct and through a global network of resellers and
distributors. www.quatech.com Based on its 2004 unaudited financial
information, in its last full fiscal year, QuaTech revenues were
approximately $10,000,000, and QuaTech had a net after tax profit.

    Forward-Looking Statements

    This press release includes forward-looking statements. You can
identify these statements by their forward-looking words such as
"may," "will," "expect," "anticipate," "believe," "guidance,"
"estimate," "intend," predict," and "continue" or similar words or any
connection with any discussion of future events or circumstances or of
management's current estimates or beliefs. Forward-looking statements
are subject to risks and uncertainties, and therefore results may
differ materially from those set forth in those statements. The
transaction is subject to continuing negotiation. A transaction as
contemplated would require approvals of the Boards of Directors and
shareholders of both parties and numerous other conditions. Full
details of such a transaction will be provided to DPAC shareholders
and filed with the SEC by DPAC as and when appropriate. There is no
assurance possible, and none is intended, that the transaction will be
negotiated and completed at all or on the terms described. The
transaction is and shall continue to be subject to numerous conditions
and contingencies until the transaction is completed. DPAC
Technologies Corp. will provide further detailed information to its
shareholder as and when required to solicit their consent. The
transaction's costs and diversion of management attention could
negatively impact results. Other factors that affect DPAC's business
and its ability to conclude a merger transaction include, but are not
limited to, that our Airborne(TM) products are new, that we sell to
original equipment manufacturers for new product introductions by
them, and that all of these are subject to risks and uncertainties
regarding new product introductions such as uncertainty of market
acceptance. The parties need additional financing to complete the
transactions as envisioned. Such financing may not be available on
favorable terms. Also, there can be no assurance that such transaction
will be completed, or if completed that it will be successful. The
transaction would involve in a change of control, in that it is likely
that voting control of DPAC may be given to former shareholders of
QuaTech, and if the principal former shareholders of QuaTech were to
act in concert, they might be able to elect a majority of DPAC's Board
of Directors. More information about the risks and challenges faced by
DPAC Technologies Corp. is contained in the Securities and Exchange
Commission (SEC) filings made by the Company on Forms 10-K, 10-Q and
8-K. DPAC Technologies Corp. specifically disclaims any obligation to
update or revise any forward-looking statements whether as a result of
new information, future developments or otherwise.

    Additional Information:

    DPAC and QUATECH strongly urge their respective shareholders to
read the relevant documents related to this transaction as and when
filed by DPAC with the SEC, because they shall contain important
information all the shareholders should consider. All DPAC's SEC
filings are made available free of charge at the SEC website
(www.sec.gov). Such documents, when filed, also are made available
free of charge by DPAC. DPAC has filed a Form 8-K containing the
current agreement between DPAC and QUATECH. After DPAC and QUATECH,
INC. sign a definitive agreement, DPAC shall file further statements
and reports with the Securities and Exchange Commission. This news
release is neither a solicitation of any proxies nor an offer of any
securities of any kind whatsoever. No securities mentioned herein have
been registered or authorized or approved by any federal or state
securities regulator or commission.

    CONTACT: DPAC TECHNOLOGIES
             Stephen Vukadinovich, 714-898-0007
             Steve.Vukadinovich@dpactech.com
             or
             Kim Early, 714-898-0007
             Kim.Early@dpactech.com