U.S. WIRELESS DATA, INC.
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                        Delivering The New Standard            Wireless Express
                        In Transaction Processing               Payment Service
                        ---------------------------


          U.S. WIRELESS DATA CONCLUDES PRIVATE EQUITY FINANCING TO FUND
                       IMPLEMENTATION OF NEW BUSINESS PLAN


New York, NY - June 1, 2000 - U.S.  Wireless Data, Inc.  (OTCBB:  USWDA),  whose
proprietary  technology  brings  together  three  rapidly  growing  industries -
transaction  processing,  wireless  data  transport and the Internet - to enable
wireless transaction processing, announced today that it has closed on the final
portion of its previously announced private offering of securities to accredited
investors, bringing total gross proceeds to $55.8 million.

This is the final closing for securities  offered under this private  placement,
and  completes  a  funding  led by  ComVest  Capital  Partners  (the  investment
affiliate of Commonwealth  Associates)  and a syndicate of investors,  including
Sandler Capital  Management,  RS Investment  Management,  Archery Capital,  Shea
Ventures,  Orbitex  Management,  and Winfield Capital.  A number of officers and
directors  of  the  Company  also  participated  in the  offering.  Commonwealth
Associates acted as financial advisor and placement agent in connection with the
offering.

Hannah Stone, a partner at Sandler Capital,  commented on the firm's investment.
"We believe that U.S.  Wireless  Data is well  positioned  to  capitalize on its
integral role as the gateway for wireless transaction processing.  As demand for
wireless data explodes,  the Company's  technology and management team also have
the ability to pursue opportunities in other complementary vertical markets."

Dean M. Leavitt,  USWD's CEO, stated,  "It was gratifying to see the response to
our equity offering and the capital  market's  endorsement of our technology and
growth strategy. We have made important strides over the past year, with limited
resources,  to position the company to  capitalize  on the  emerging  demand for
wireless  transaction  processing.   We  now  have  the  capital  and  personnel
infrastructure  to  accelerate  our  strategy  to make  U.S.  Wireless  Data the
dominant player in this arena."







USWD's strategy is to establish the Company's  Wireless  Express Payment Service
("WEPS") as the global standard for wireless  point-of-sale  ("POS") transaction
processing.  WEPS  provides  for  a  seamless  interface  between  wireless  POS
terminals and credit card processors. The speed and mobility offered by WEPS has
the  potential to open up vast new markets that have  historically  not accepted
card payments,  including quick service  restaurants,  delivery services and the
transportation industry, to name a few.

Central  to the  Company's  strategy  is its  position  as a neutral  enabler of
wireless transaction services to the payment processing industry.  Specifically,
USWD remains neutral with respect to terminal  manufacturers,  wireless carriers
and card processors.  WEPS is designed to serve as a gateway joining all parties
in a wireless POS  transaction  by delivering  transactions  over major wireless
carriers to transaction  processors that have established WEPS connectivity.  In
addition,  WEPS'  Internet-based  tools  offer  on-line,  real-time  transaction
monitoring and reporting, remote diagnostics and automated terminal activation.


Note:  The  securities  referred  to above  have not been  registered  under the
Securities Act of 1933, as amended, and may not be offered or sold in the United
States  absent  registration  or  an  applicable   exemption  from  registration
requirements.

Forward-Looking Statements:  Except for historical information contained herein,
this news  release  contains  forward-looking  statements  that involve risk and
uncertainties.  While  the  management  of the  Company  believes  that  current
expectations   reflect  reasonable   assumptions,   actual  results  could  vary
materially depending on risks and uncertainties  including,  but not limited to:
success of the Company's new business plan;  market  acceptance of the Company's
products;  the Company's  requirement  for  additional  capital;  the failure to
execute  definitive   agreement  with  potential  strategic  alliance  partners;
technological  change;  system  capacity  constraints  or system  failures;  the
ability of the Company to develop new distribution channels; or competition. The
Company assumes no obligation to update this  information.  The reports filed by
the  Company  pursuant  to United  States  securities  laws  contain a  detailed
discussion  of these  factors  and  certain  other risks to which the Company is
subject.  Management  of the Company  advises the reader to review these reports
(which are available from the United States Securities and Exchange Commission's
EDGAR database at  http://www.sec.gov  and at various other reference facilities
in the United States).

Company Contact:                            Investor Relations Contact:
Dean M. Leavitt                             Lippert/Heilshorn & Associates, Inc.
Chairman and CEO                            John Nesbett/William Walkowiak, CFA
(212) 750-7766                              (212) 838-3777
                                            elisa@lhai.com