ioimage Announces Launch of U.S. Operations

Hackensack, N.J. July 12, 2006 — ioimage Ltd., the pioneer of intelligent video appliances designed for simplicity, announced today the opening of its U.S. headquarters expanding its presence in the North American security market.

“We are dedicated to building on our global experience and success to serve the North American security market by opening our new regional headquarters, ioimage US,” said Roni Kass, ioimage's CEO. “This step will enable us to work more closely with partners and customers and further establish ioimage as a leader in the intelligent video market.”

ioimage offers a range of intelligent video encoders that quickly and cost-effectively convert analog cameras into smart IP surveillance cameras. The cameras can then automatically detect and autonomously track intruders, vehicles, unattended objects and removed items, and send visual and audible alerts to security personnel.

The company has taken a unique approach by packaging its entire video analytics solution into a single, stand-alone hardware-based appliance. This represents a clear and superior alternative to the current offering of software-based solutions with multiple components.

ioimage's products are designed for both mid and high-end security installations, providing both markets with high performance solutions that are simple to operate. The system takes just minutes to set up, is intuitive, highly reliable, and compatible with existing surveillance systems - reducing ownership costs and capitalizing on existing investments.

ioimage, the Israel-based parent company of ioimage US, first introduced its intelligent video products to the security market in 2003. ioimage solutions have been deployed at hundreds of locations around the world, often in world-class, mission critical applications such as the Israeli Defense Forces, nuclear facilities, air and sea ports, as well as public, commercial and industrial facilities. Its design for simplicity delivers the value of intelligent video to a broader market, minimizing the associated complexity and cost.

About ioimage US
ioimage US is a subsidiary of ioimage Ltd. Founded in 2000, ioimage has pioneered the concept of intelligent video appliances, delivering high performance video analytics designed and packaged for simplicity. ioimage helps government, public and commercial organizations transform video surveillance into a proactive, event-driven process, using networked DSP-based devices for real-time detection, alert and tracking of intruders, vehicles and threats. ioimage US will be exhibiting at the ASIS show, booth #3152. More information is available at www.ioimage.com.

For media inquiries, contact:
Chelsie Woods
ioimage Public Relations
207-885-1236
cwoods2@maine.rr.com

For corporate information:
Sagy Amit
ioimage US
201-488-2345
sagy@ioimage.com