Global ePoint Adds New Business Unit To Digital Video Technology Division

First Step in New Business and Growth Strategy

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 Rockwel l, among others.

With Global’s 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."

Global ePoint is a provider of computers, computing solutions and digital video, audio and data transmission and recording products. The Company’s primary operations are through two divisions: Digital Technology and Contract Manufacturing. The Digital Technology division designs and markets digital video surveillance systems for law enforcement, military and homeland security markets. The Contract Manufacturing division manufacturers customized computing systems for industrial, business and consumer markets and other specialized electronic products and systems. Global ePoint’s growth strategy includes developing new compression technologies and next-generation secure network digital video systems and servers for a wide range of new markets and applications. For more information go to www.globalepoint.com.

This news release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward–looking statements are based on the company’s current expectations, estimates and projections, management’s beliefs and numerous assumptions, all of which are subject to change. These forward-looking statements are not guarantees of future results and are subject to numerous risks and uncertainties. Our actual results could differ materially and adversely from those expressed in any forward-looking statement. For example, deliveries may be delayed or installations canceled. Regulations may change and negatively affect demand for our products. There can be no assurance that the company’s AirWorks division will be able to achieve growth of sales or market share. The forward–looking statements in this release speak only as of the date of this release. We undertake no obligation to revise or update publicly any forward–looking statement for any reason. These and other risk factors are detailed in our periodic filings with the Securities and Exchange Commission.

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