Augment Reports Third Quarter and Nine Month Results.

WESTFORD, Mass.--(BUSINESS WIRE)--November 19, 1997--Augment Systems, Inc. (NASDAQ: AUGS) today reported operating results for the three and nine-month periods ended September 30, 1997 (see table).

                          Three Months Ended    Nine Months Ended
                         Sept.  30,  1997(1,2)   Sept.  30, 1997(1,2)

Sales                             $776,387           $1,343,610
Cost of Sales                      325,341              572,822
Gross Margin                       451,046              770,788
Operating Expenses               2,832,223            6,270,528
Loss from Operations            (2,381,177)           (5,499,740)
Net Interest (Income) Expense       (3,533)              140,369
Net Loss                       ($2,377,644)          ($5,640,109)
Net Loss Per Common Share            ($.50)               ($1.47)
Weighted Average Common
 and Equivalent
  Shares Outstanding             4,713,319             3,849,583

(1) Commercial product shipments commenced and initial revenues were recognized in April, 1997; therefore, prior year results of operations do not provide a meaningful basis for comparison.

(2) The Company completed its initial public offering on May 16, 1997.

Colin Murphy, Augment's Vice President of Sales and Marketing, commented, "We are delighted to see the revenue ramp which highlights the acceptance of our AFX File Server Systems since shipments began in April, 1997. We exited the third quarter with approximately $650,000 in new orders, with expectations of shipping that backlog in the fourth quarter."

Lorrin Gale, President and CEO of Augment, commented, "In September, we introduced a Windows NT-based client for our file server systems, and plan to provide UNIX client support and introduce a Windows NT-based super server in 1998. However, our growth plans are contingent on raising additional capital, which we are seeking to accomplish."

Augment Systems, Inc., headquartered in Westford, Massachusetts, designs, develops and markets high-end Fibre Channel file server systems for moving large image and data files rapidly and efficiently over computer networks. The Company's initial target markets are the electronic publishing industry, medical imaging and the Internet/Intranet markets. -0- This release contains forward-looking statements that describe the Company's business prospects. These statements involve risks and uncertainties which may cause actual results to vary. These risks and uncertainties are listed in the Company's SEC filings, particularly in form 10-Q filed on November 14, 1997 and the initial public offering prospectus dated May 12, 1997. Augment is a trademark of Augment Systems, Inc. All other brand names, trademarks, and registered trademarks are the property of their respective owners.

CONTACT: Augment Systems

Colin Murphy

978-392-8626

or

Augment's Investor Relations Counsel:

Chris Garland/The Equity Group

212-836-9610