Arkados Customers Bring HomePlug Products to the Next Level at CeBIT 2007.

PISCATAWAY, N.J. -- Arkados (OTC BB: AKDS), "the HomePlug([R]) Applications Company," announced that products containing Arkados system-on-chip solutions were demonstrated at a wide variety of exhibits at the recent CeBIT 2007 trade fair in Hannover, Germany. Devolo AG of Germany, Good Way Technology of Taiwan, GigaFast and the HomePlug Power Alliance all presented products built on Arkados solutions.

Devolo AG showcased its dLAN Audio Extender, which transfers music files stored on a Windows[R] computer throughout the home, creating synchronized whole-house music without the need for new wiring.

International ODM GigaFast displayed the PE883-VO HomePlug Video Out Node at the HomePlug Powerline Alliance Booth. The demonstration illustrated whole-house video monitoring using HomePlug-certified security cameras. Arkados silicon powers the video adapter, which enables viewers to see camera feeds on a regular television set.

Good Way, a worldwide leading manufacturer of consumer electronics products, displayed solutions that use Arkados chips and software for iPod[R] docking stations and a powered speaker configuration for home audio distribution and video streaming of IPTV streams for video distribution throughout the home.

"These products from different companies illustrate the varied and numerous uses of our turnkey reference designs," said Oleg Logvinov, president and CEO of Arkados. "Our patented technology is the basis for an array of solutions we can provide for distributing digital music, photos and video contents to new and existing consumer electronics and appliances, all of which clearly demonstrate the flexibility of our solutions. While we are very excited with our progress, we believe we have barely scratched the surface with regard to the applications possible with our integrated system-on-chip and software solutions."

CeBIT is the largest annual trade fair in the world. Organizers reported as many as 480,000 people attended CeBIT 2007, which featured 6,153 exhibitors from 77 different countries.

About Arkados, Inc.

Arkados, Inc., "the HomePlug Applications Company," delivers a universal platform that enables the effortless networking of home entertainment and computer devices using standard electricity lines. The company's system-on-chip solutions are uniquely designed to drive a wide variety of powerline-enabled consumer electronics and home computing products, including stereos, radios, speakers, MP3 players, computers, televisions, gaming consoles, security cameras and cable and DSL modems. Arkados customers can bring numerous sophisticated, full-featured products to market faster at a lower overall development cost with a single platform, the Arkados ArkTIC[TM] platform. Arkados solutions leverage the benefits of HomePlug Powerline Alliance specifications, and can also be used for in-building and to-the-home (BPL) applications. Arkados[TM], ArkTIC[TM] and Direct to Speaker[TM] are trademarks of Arkados Inc., a wholly owned subsidiary of the Arkados Group, Inc. HomePlug([R]) is a registered trademark of the HomePlug Powerline Alliance, of which Arkados is a member. iPod([R]) is a registered trademark of Apple Computer, Inc. More information is available at www.arkados.com.

This release includes "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934 that are based upon assumptions that in the future may prove not to have been accurate and are subject to significant risks and uncertainties, including statements as to the future performance of the company and the risks and uncertainties detailed from time to time in reports filed by the company with the Securities and Exchange Commission. Although the company believes that the expectations reflected in its forward-looking statements are reasonable, it can give no assurance that such expectations or any of its forward-looking statements will prove to be correct. Factors that could cause results to differ include, but are not limited to, successful performance of internal plans, product development acceptance, and the impact of competitive services and pricing and general economic risks and uncertainties.