Applied Digital Solutions' Government Telecommunications Unit Wins Orders from the Federal Government in September Valued at $17 Million.

Business Editors/High-Tech Writers

PALM BEACH, Fla.--(BUSINESS WIRE)--Oct. 27, 2003

Through September 30, 2003, GTI Has Received Funded

Tasks Worth $48 Million This Year

Applied Digital Solutions, Inc. (Nasdaq: ADSX), an advanced technology development company, today announced that in September its wholly owned subsidiary, Government Telecommunications, Inc. (GTI), received funded orders valued at $17 million from a variety of agencies of the federal government to deploy, upgrade and maintain telecommunications technology at locations throughout the United States. This brings the funded value of tasks received by GTI since January 2003 to $48 million, 56% higher than the same time period last year.

Among the projects are upgrades to Private Branch Exchanges at Veterans Affairs Medical Centers in West Palm Beach, Florida, and Louisville, Kentucky, and at the Defense Supply Center in Richmond, Virginia. Orders were also received for leading-edge fiber optic, voice-over-internet-protocol (VoIP) and wireless technology. In addition, projects to install telecommunications cabling at Air Force, Army, Navy, and Postal Service locations were funded.

Included in the September awards were funds to provide maintenance services during fiscal year 2004 at 4,500 Department of Agriculture (USDA) locations (under a multi-year award from the USDA announced in May) and funds to proceed with the deployment of leading-edge telecommunications technology at the National Finance Center in New Orleans, Louisiana (under an award announced in early September). Through September 30, the value of orders received under GTI's CONNECTIONS contract, awarded by the General Services Administration in March 2003, is $5.6 million.

About Government Telecommunications (GTI)

GTI, a subsidiary of Computer Equity, Inc. (Compec), is headquartered in Chantilly, Virginia. GTI specializes in designing, deploying and maintaining voice, data and video telecommunications networks for agencies of the federal government. Key customers include the Departments of Defense, Justice and Agriculture, US Postal Service and the Social Security Administration.

About Applied Digital Solutions, Inc.

Applied Digital Solutions is an advanced technology development company that focuses on a range of life-enhancing, personal safeguard technologies, early warning alert systems, miniaturized power sources and security monitoring systems combined with the comprehensive data management services required to support them. Through its Advanced Technology Group, 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. Applied Digital Solutions is majority owner of Digital Angel Corporation (AMEX: DOC - News). For more information, visit the company's website at http://www.adsx.com.

Statements about the Company's future expectations, including future revenues and earnings, and all other statements in this press release other than historical facts are "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, Section 21E of the Securities Exchange Act of 1934, and as that term is defined in the Private Litigation Reform Act of 1995. Such forward-looking statements involve risks and uncertainties and are subject to change at any time, and the Company's actual results could differ materially from expected results. The Company undertakes no obligation to update forward-looking statements to reflect subsequently occurring events or circumstances.