American Technology Corporation Receives HSS(R) Orders from Grupo Televisa; Grupo Televisa to Utilize HSS(R) for New In-Store Advertising System in Select Stores of Wal-Mart de Mexico.

SAN DIEGO -- American Technology Corporation (ATC) (NASDAQ:ATCO), a leading innovator of directed sound products and solutions, today announced that it has received an initial 1,350 unit HSS(R) order from Grupo Televisa (NYSE:TV), the largest media company in the Spanish-speaking world. Group Televisa is utilizing ATC's revolutionary HSS(R) directed audio system in a new in-store advertising system being installed in select stores of Wal-Mart de Mexico.

Grupo Televisa, S.A. is a major participant in the international entertainment business. It has interests in television production and broadcasting, production of pay television networks, international distribution of television programming, direct-to-home satellite services, publishing and publishing distribution, cable television, radio production and broadcasting, professional sports and live entertainment, feature film production and distribution, and the operation of a horizontal internet portal.

"We are very pleased to be supporting Grupo Televisa and Wal-Mart de Mexico with these new HSS in-store advertising installations," said John Zavoli, president and chief operating officer of ATC. "The installations are scheduled to begin this month and be completed by September 30, 2006."

ATC's proprietary HSS directed sound products place sound where you want it and nowhere else. With the combination of an ultrasonic powered emitter and a proprietary signal processor/amplifier, HSS focuses sound into a tight beam for optimal directionality and intelligibility. Similar to a beam of light, HSS uses ultrasonic energy to "shine" sound on a very specific area. Using any media player with line-level output, HSS converts music or voice into a complex ultrasonic signal prior to amplification. Once emitted, the converted sound forms a sound column in front of the emitter, which remains focused as it encounters listeners. HSS provides extremely accurate control of sound placement for digital signage, paging and announcing systems, tradeshow exhibits and other audio applications. Available in a variety of models, HSS is adaptable to meet the needs of many sound reproduction markets.

"HSS provides unparalleled sound directivity not possible with conventional loudspeakers," concluded Zavoli. "With HSS providing the optimal directed sound solution for the burgeoning digital signage and in-store advertising industry, we expect continued HSS order growth."

About American Technology Corporation

American Technology Corporation is Shaping the Future of Sound(R) through its proprietary directed sound products and technologies which include: the award-winning HSS(R) (HyperSonic(R) Sound technology); LRAD(TM) (Long Range Acoustic Device) products family; NeoPlanar(R) products family, Sound Vector(TM) technology, and others. The Company is establishing a strong portfolio of patents, trademarks, and intellectual property including over 320 U.S. and foreign patents and pending patent applications to date. For more information on the company and its technologies and products please visit our web site at www.atcsd.com.

Safe Harbor statement under the Private Securities Litigation Reform Act of 1995: Except for historical information contained herein, the matters discussed are forward-looking statements within the meaning of Section 21E of the Securities Exchange Act. You should not place undue reliance on these statements. We base these statements on particular assumptions that we have made in light of our industry experience, the stage of product and market development as well as our perception of historical trends, current market conditions, current economic data, expected future developments and other factors that we believe are appropriate under the circumstances. These statements involve risks and uncertainties that could cause actual results to differ materially from those suggested in the forward-looking statements, including but not limited to, the possibility of modification or termination of the order, the performance of our management team, market acceptance of our directed sound technologies and products, entry of competitors, the possibility our intellectual property protections will not prevent others from marketing products similar to or competitive with our products, potential technical or manufacturing difficulties that could delay product deliveries or increase warranty costs, and other risks identified and discussed in our filings with the Securities and Exchange Commission. These forward-looking statements are based on information and management's expectations as of the date hereof. Future results may differ materially from our current expectations. For more information regarding other potential risks and uncertainties, see the "Risk Factors" section of the company's Form 10-K for the year ended September 30, 2005. American Technology Corporation disclaims any intent or obligation to update those forward-looking statements, except as otherwise specifically stated.