City of Industry, Calif.—February 2, 2004—Global ePoint, Inc. (Company) (Nasdaq: GEPT) added a new business unit to its digital video technology division as part of its recently announced business and growth strategy, which includes development of new digital technologies and expansion into new products and markets. The new business unit marks the Company's first step in executing that strategy.

The new business unit includes a strategic team of specialty engineers chosen for their skills and experience relating to Global's plans. The members of this team bring combined expertise in audio/video compression for MPEG4 and H.263+, MP3, VoIP, SOC design, CMOS imaging, imbedded systems, camera device drivers, digital set-top box development, GSM/GPRS cellular, and other digital technology development and applications. Each member of the team has between 12 and 20 years of experience with large technology companies, such as IBM, Northrop Grumman, and Rockwell, among others.

With Global‚Äôs current law enforcement digital technology serving as a starting point, the new business unit will be lead by Shien-Tai (ST) Pan, who has more than 20 years of experience in audio and video technology development and systems architecture and design.

Global Chief Executive Toresa Lou commented: "The collective expertise of this division provides the range of key capabilities necessary to develop new technologies and design next-generation digital products, such as Internet protocol (IP) and wireless network applications. With these capabilities and support of our manufacturing and marketing divisions, we feel we can capture significant share of the consumer, commercial, and other security and surveillance markets.

"The new business unit will also contribute technology and product support for Global's continuing development and marketing of mobile surveillance systems for law enforcement and other digital video vertical markets, " Lou added. "One of their first projects will be to work with Global Digital Technology Vice President of Business Development Daryl Gates to develop an Internet protocol (IP) camera for special weapons and tactics team (SWAT) surveillance operations in real-time video and audio streaming.

"We are also considering potential strategic alliances and acquisitions as one of the next steps in our new business and growth strategy," Lou stated. "We look forward to reporting further progress as we proceed with our plans."