Global VeriChip Subscriber -GVS- Registry Ready for First-ever VeriChip ''Chipping'' Procedure On May 10th and Launch of VeriChip Into U.S. Market.

Business Editors, High Tech Writers

PALM BEACH, Fla.--(BUSINESS WIRE)--May 2, 2002

Secure database and 24/7 operations center will support

VeriChip subscribers, affiliates and authorized centers

Applied Digital Solutions, Inc. (Nasdaq: ADSX), an advanced technology development company, announced today that its Global VeriChip Subscriber (GVS) Registry service is ready for the first-ever VeriChip "chipping" procedure on May 10, 2002 and VeriChip's official market launch in the United States.

The GVS Registry service, first announced April 9, 2002, supports VeriChip subscribers, authorized VeriChip centers and VeriChip System Affiliates (such as hospitals, EMTs, search and rescue units, and urgent care clinics) by providing immediate access to vital subscriber information in an emergency.

Full-scale marketplace operation of the GVS Registry service will begin with the historic Jacobs family "chipping" procedure on May 10, 2002. The procedure will be followed by a press conference and an invitation-only brunch for business partners and community leaders. During the press conference and the business brunch, Applied Digital executives will unveil more details about VeriChip's rollout plans.

VeriChip is a miniaturized, implantable, radio frequency identification device (RFID) that can be used in a variety of security, emergency and healthcare applications. About the size of a grain of rice, each VeriChip is composed of FDA-accepted materials and contains a unique verification number that can seamlessly integrate to the GVS Registry via a proprietary VeriChip scanner. Instant access to such vital information as allergies to medications, medical device implants, pre-existing medical conditions and emergency contact numbers could save lives in an emergency and enhance the peace of mind of subscribers and their loved ones.

The new GVS Registry Service is hosted and maintained by Digital Angel Corporation's (Amex: DOC) state-of-the-art, FDA-compliant operations centers in Riverside, California and Owings, Maryland. Complementary, 24/7 call-center services are provided by a physician-supervised staff of support associates in Owings, Maryland.

The GVS Registry service will initially support VeriChip subscribers in South Florida who will be "chipped" during the company's initial product rollout beginning with the Jacobs family on May 10, 2002. Performed under the supervision of the company's first Authorized VeriChip Center in Palm Beach County, the rollout will feature the use of the first ChipMobile(TM) - a state of the art, medically equipped mobile unit that will deliver VeriChip to initial target markets such as elder care centers, critical care facilities and Generation Y events. The Palm Beach County rollout will last until June 30, 2002, at which time the company expects to move into other geographic markets and initiate nationwide distributor alliance programs.

Commenting on this announcement, Scott R. Silverman, President of Applied Digital Solutions, said: "As promised, the GVS Registry is now fully operational and is prepared to securely house subscriber information so it can be accessed by Authorized VeriChip Affiliates such as hospitals and EMS units. We're confident the GVS Registry's secure software and database will integrate seamlessly with the VeriChip product and proprietary scanners to provide our subscribers with instant access to potentially life-saving, accurate, complete emergency healthcare information stored in the Registry."

About VeriChip(TM)

VeriChip, first announced on December 19, 2001, is a miniaturized, implantable, radio frequency identification device (RFID) that can be used in a variety of security, emergency and healthcare applications. On April 4, 2002, the company announced that it had received written guidance that the U.S. Food and Drug Administration (FDA) does not consider VeriChip's personal verification device to be a regulated medical device, enabling the company to begin sales, marketing and distribution of VeriChip in the United States. About the size of a grain of rice, each VeriChip is composed of FDA-accepted materials and contains a unique verification number. That number is captured by briefly passing a proprietary, external scanner over the VeriChip. A small amount of radio frequency energy passes through the skin energizing the dormant VeriChip, which then emits a radio frequency signal transmitting the verification number. The company believes its first-mover advantage will enable it to gain significant market share in the emergency information and verification market that is estimated to exceed $15 billion. VeriChip Corporation is a wholly owned subsidiary of Applied Digital Solutions.

About Digital Angel Corporation

Digital Angel Corporation (Amex: DOC) was formed on March 27, 2002, in a merger between Digital Angel Corporation and Medical Advisory Systems, a global leader in telemedicine that has operated a 24/7, physician-staffed call center in Owings, Maryland, for two decades. Prior to the merger, Digital Angel Corporation was a wholly owned subsidiary of Applied Digital Solutions. Applied Digital Solutions is the beneficial owner of 19.6 million shares of Digital Angel Corporation. Digital Angel(TM) technology represents the first-ever combination of advanced biosensors and Web-enabled wireless telecommunications linked to the Global Positioning System (GPS). By utilizing advanced biosensor capabilities, Digital Angel will be able to monitor key body functions - such as temperature and pulse - and transmit that data, along with accurate emergency location information, to a ground station or monitoring facility. For more information about Digital Angel, visit www.digitalangel.net.

About Applied Digital Solutions, Inc.

Applied Digital Solutions (Nasdaq: ADSX) is an advanced technology development company that focuses on a range of early warning alert, 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. 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.