WEST PALM BEACH, Fla. – January 7, 2002 – ZeoSync Corp., a Florida-based scientific research company, today announced that it has succeeded in reducing the expression of practically random information sequences. Although currently demonstrating its technology on very small bit strings, ZeoSync expects to overcome the existing temporal restraints of its technology and optimize its algorithms to lead to significant changes in how data is stored and transmitted.

Existing compression technologies are currently dependent upon the mapping and encoding of redundantly occurring mathematical structures, which are limited in application to single or several pass reduction. ZeoSync’s approach to the encoding of practically random sequences is expected to evolve into the reduction of already reduced information across many reduction iterations, producing a previously unattainable reduction capability. ZeoSync intentionally randomizes naturally occurring patterns to form entropy-like random sequences through its patent pending technology known as Zero Space Tuner. Once randomized, ZeoSync’s BinaryAccelerator encodes these singular-bit-variance strings within complex combinatorial series to result in massively reduced BitPerfect equivalents. The combined TunerAccelerator is expected to be commercially available during 2003.

According to Peter St. George, founder and CEO of ZeoSync and lead developer of the technology: “What we’ve developed is a new plateau in communications theory. Through the manipulation of binary information and translation to complex multidimensional mathematical entities, we are expecting to produce the enormous capacity of analogue signaling, with the benefit of the noise free integrity of digital communications. We perceive this advancement as a significant breakthrough to the historical limitations of digital communications as it was originally detailed by Dr. Claude Shannon in his treatise on Information Theory.” [C.E. Shannon. A Mathematical Theory of Communication.

There are potentially fantastic ramifications of this new approach in both communications and storage,” St. George continued. “By significantly reducing the size of data strings, we can envision products that will reduce the cost of communications and, more importantly, improve the quality of life for people around the world regardless of where they live.”

Current technologies that enable the compression of data for transmission and storage are generally limited to compression ratios of ten-to-one. ZeoSync’s Zero Space Tuner and BinaryAccelerator solutions, once fully developed, will offer compression ratios that are anticipated to approach the hundreds-to-one range.

Many types of digital communications channels and computing systems could benefit from this discovery. The technology could enable the telecommunications industry to massively reduce huge amounts of information for delivery over limited bandwidth channels while preserving perfect quality of information.

ZeoSync has developed the TunerAccelerator in conjunction with some traditional state-of-the-art compression methodologies. This work includes the advancement of Fractals, Wavelets, DCT, FFT, Subband Coding, and Acoustic Compression that utilizes synthetic instruments. These are methods that are derived from classical physics and statistical mechanics and quantum theory, and at the highest level, this mathematical breakthrough has enabled two classical scientific methods to be improved, Huffman Compression and Arithmetic Compression, both industry standards for the past fifty years.

All of these traditional methods are being enhanced by ZeoSync through collaboration with top experts from Harvard University, MIT, University of California at Berkley, Stanford University, University of Florida, University of Michigan, Florida Atlantic University, Warsaw Polytechnic, Moscow State University and Nankin and Peking Universities in China, Johannes Kepler University in Lintz Austria, and the University of Arkansas, among others.

Dr. Piotr Blass, chief technology advisor at ZeoSync, said “Our recent accomplishment is so significant that highly randomized information sequences, which were once considered non-reducible by the scientific community, are now massively reducible using advanced single-bit- variance encoding and supporting technologies.”

“The technologies that are being developed at ZeoSync are anticipated to ultimately provide a means to perform multi-pass data encoding and compression on practically random data sets with applicability to nearly every industry,” said Jim Slemp, president of Radical Systems, Inc. “The evaluation of the complex algorithms is currently being performed with small practically random data sets due to the analysis times on standard computers. Based on our internally validated test results of these components, we have demonstrated a single-point-variance when encoding random data into a smaller data set. The ability to encode single-point-variance data is expected to yield multi-pass capable systems after temporal issues are addressed.

Headquartered in West Palm Beach, Florida, ZeoSync is a scientific research company dedicated to advancements in communications theory and application. Additional information can be found on the company’s Web site at www.ZeoSync.com or can be obtained from the company at +1 (561) 640-8464.

This press release may contain forward-looking statements. Investors are cautioned that such forward-looking statements involve risks and uncertainties, including, without limitation, financing, completion of technology development, product demand, competition, and other risks and uncertainties.

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