Applications Continue to Grow for Applied Digital Solutions' VeriPay
Monday April 5, 2004

Baja Beach Club in Barcelona, Spain Employs RFID Technology for Cashless Payment System

PALM BEACH, Fla--(BUSINESS WIRE)--April 5, 2004--Applied Digital Solutions, Inc. (Nasdaq: ADSXD - News), an advanced technology development company, today announced that Baja Beach Clubs International had employed the VeriPay System, developed by Applied Digital's VeriChip Corporation, at a night club in Spain.

Launched at a global security conference in November, 2003, the VeriPay System is a new syringe-injectable microchip implant for humans, designed to be used as a fraud-proof payment method for cash and credit-card transactions. The chip implant is an advance over credit cards and smart cards, which, absent biometrics and appropriate safeguard technologies, are subject to theft, resulting in identity fraud.

"We are the only company today offering human implantable ID technology," said Scott R. Silverman, Chairman and Chief Executive Officer of Applied Digital Solutions. "We believe the market opportunity for this technology is substantial, and high-profile successes such as in Spain will serve as catalysts for broader adoption."

"The VeriPay chipping event was a huge success," said Conrad K. Chase, Director of the Baja Beach Clubs International. "Everyone embraced the electronic payment application. My customers like the fact that they do not have to carry a credit card or ID card with them. With the VeriPay system, they no longer have to worry about their credit cards getting lost or stolen."

About Applied Digital Solutions, Inc.

Applied Digital Solutions is an advanced technology development company that focuses on a range of early warning alert, miniaturized power sources and security monitoring systems combined with the comprehensive data management services required to support them. Through its Advanced Wireless unit, the Company specializes in security-related data collection, value-added data intelligence and complex data delivery systems for a wide variety of end users including commercial operations, government agencies and consumers. For more information, visit the company's website at http://www.adsx.com.

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