Company Demonstrates Successful Snap!VRS Call, Beta Testing Scheduled for Fall

Pine Brook, NJ - August 1, 2006 - Aequus Technologies Corp. announced yesterday during a press conference that the Company received an investment made by the New York State Common Retirement Fund overseen by State Comptroller Alan G. Hevesi, sole trustee of the Fund. Aequus also demonstrated a successful Snap!VRS call using the Ojo™ video phone to connect a Deaf sign language user with a standard telephone user.

"The investment in Aequus is an example of how our Pension Fund's In-State Private Equity Program helps strengthen New York's economy by bringing in new business providing new jobs for New Yorkers," Hevesi said. "The Snap!VRS demonstration also showcased how Aequus will help improve the lives of people who are Deaf or hard-of-hearing. We welcome Aequus to New York and wish them the best of luck."

"New York State's investment in Aequus will benefit individuals who are Deaf or hard-of-hearing nationwide, but will also allow the Company to create economic opportunities in key regions of upstate New York through our employment and business activities," said Richard Schatzberg, Aequus' Founder and Chief Executive Officer. "We could not have a better partner than the New York State Common Retirement Fund and we look forward to creating a positive return on its investment."

Aequus will be relocating to its new offices at the Blue Hill Plaza in Pearl River, New York in August as a direct result of an investment by the New York State Common Retirement Fund. The State pension fund is investing $3.67 million in the Company, which also helped leverage additional funding from the Softbank Capital Technology Fund III ("SBCT Fund") and Wheatley Partners, bringing the total investment in the Company to $9.1 million.

In addition to relocating its headquarters to Pearl River, Aequus, through its wholly-owned subsidiary, Snap Telecommunications, Inc., expects to open a video relay service (VRS) center in upstate New York. The Company plans to work with the community of qualified sign language interpreters in the region.

In May 2006, Snap Telecommunications became certified by the Federal Communications Commission to provide VRS and is therefore eligible for government reimbursement for its service. Although approximately 8.4 million people in the U.S. are defined as deaf or hard-of-hearing, presently a very low percentage of them use VRS. By equipping Snap!VRS subscribers with an Ojo video phone, which provides a unique calling experience unlike any existing options available today, Aequus expects continued adoption of VRS will expand the opportunities for users who are deaf and hard-of-hearing to engage in education programs and seek gainful employment.

Snap!VRS is currently undergoing internal testing and a Beta test is scheduled to begin in the Fall with rollout anticipated by the end of the year. As part of the Beta, each of the test applicants will receive an Ojo video phone. The Company is taking this approach to ensure that Snap!VRS delivers high quality professional interpreting services. The aim is to set a standard of excellence in the industry and provide subscribers with all of their interpreting requirements for improving the connection with people in their personal and business lives.

Aequus Technologies Corp. is a technology products and services company with three separate divisions. Aequus VRS provides video relay services for the Deaf and hard-of-hearing community under the brand name Snap!VRS. Aequus DPS develops and markets digital publishing solutions designed to improve learning outcomes for all students, including students with special needs. Aequus EKS provides enterprise knowledge services to improve the effectiveness of data conversion for a variety of enterprise business processes and user needs. To learn more about Aequus Technologies, please visit www.aequustechnologies.com. For a media contact, please call Andrew Forti at (201) 401-6529 or email aforti@aequustechnologies.com.

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