Andrea Electronics Corporation (OTCBB: ANDR.OB) News Release - 3/2/2001

Andrea Electronics Announces Purchase Agreement With Clever Devices For Andrea's Microphone Array Technology

MELVILLE, N.Y., March 2 /PRNewswire/ -- Andrea Electronics Corporation (Amex: AND) announced today that Clever Devices Ltd., has selected Andrea Electronics to be the microphone supplier for its SpeakEasy II(TM) mass transit bus communication system. The integrated communication system will rely upon Andrea Electronics' high performance digital microphone system to enable the clearest voice communications in high noise, mass transit environments. Andrea Electronics' digital microphone array, incorporating its Digital Super Directional Array (DSDA(R)) 2.0 algorithm and PureAudio 2.0(TM) noise reduction algorithm, significantly reduces mass transit noises such as tire, engine and wind noise, as well as interfering passenger voices. As part of the agreement, Andrea is also providing Clever Devices with a proprietary digital signal processor (DSP) reference design and a patented microacoustic mechanical design to be integrated with the SpeakEasy(TM) II communication system.

"Clever Devices selected Andrea Electronics' superior microphone technology and supporting acoustic designs to address the audio intelligibility and safety issues common in high noise, mass transit environments," said William Long, President of Clever Devices, Ltd. "By utilizing Andrea's digital microphone technology as the interface for communications, Clever Devices is ensuring that bus drivers operate in a safe, hands-free environment while providing accurate communications to bus passengers."

"Today's announcement with Clever Devices further validates our digital microphone technology and represents another milestone for Andrea Electronics in meeting its goal of becoming a leading provider of audio input solutions for the automotive marketplace," said Joseph Marash, Chief Technology Officer of Andrea Electronics Corporation.

About Clever Devices, Ltd.:

Clever Devices Ltd. was founded in 1987 as a pioneer in the field of digital audio. The Company's primary focus was the amusement industry, and early clients included Epcot Center, Busch Gardens, and Disneyworld. As the demand for digital audio developed in other markets, Clever Devices transitioned its strategic direction, and in 1995 launched its Intelligent Vehicle Network(R) (IVN) product suite, the first ever fully integrated GPS driven smart bus system. In 1997, the transition continued with the introduction of SpeakEasy(TM), the first hands-free microphone of its type and function.

About Andrea Electronics:

Andrea Electronics Corporation designs, develops and manufactures audio technologies and equipment for enhancing applications that require high performance and high quality voice input. The Company's patented Active Noise Reduction (ANR READY(R)) earphone, Active Noise Cancellation (ANC) near-field microphone, patented Digital Super Directional Array (DSDA(R)) and patent-pending Directional Finding and Tracking Array (DFTA(TM)) far-field microphone technologies enhance a wide range of audio products to eliminate background noise and ensure the optimum performance of voice applications. Applications for the Company's technologies include: speech recognition programs, Internet telephony, video/audio conferencing, automobile PCs, home automation systems, hand-held devices and multiplayer online games, among others. OEM and software publisher customers and strategic partners of Andrea Electronics' include: IBM Corporation, Intel Corporation, BMW of North America, Inc., Donnelly Corporation, Symbol Technologies, Inc., Clarion Corporation of America, Microsoft Corporation, ScreenFriends Corporation, Audio-Technica, U.S., Inc., DeltaThree.com, Lotus Development Corporation, Fonix Corporation, Centra, Logitech, Inc., Net2Phone, Inc., Voyetra Turtle Beach, Inc. and ZeroPlus.com, among others. Visit Andrea Electronics' websites at http://www.AndreaElectronics.com or http://www.AudioCommander.com or call 1-800-707-5779.

This press release may contain "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. The words "anticipates," "believes," "estimates," "expects," "intends," "plans," "seeks," variations of such words, and similar expressions are intended to identify forward-looking statements. These statements are not guarantees of future performance and involve matters that are subject to certain risks, uncertainties and assumptions that are difficult to predict, including economic, competitive, governmental, technological and other factors, that may affect the business and prospects of Andrea Electronics Corporation (the "Company"). The Company cautions investors about the following significant factors, which, among others, have in some cases affected the Company's actual results and are in the future likely to affect the Company's actual results and could cause them to differ materially from those expressed in any forward- looking statements: the rate at which Andrea Anti-Noise, DSDA, DFTA and other Andrea technologies are accepted in the marketplace; the competitiveness of Andrea Anti-Noise, DSDA, DFTA and other Andrea products in terms of technical specifications, quality, price, reliability and service; the sufficiency of the Company's funds for research and development, marketing and general and administrative expenses; infringement and other disputes relating to patents and other intellectual property rights held or licensed by the Company or third parties; and the Company's continuing ability to enter and maintain collaborative relationships with other manufacturers, software authoring and publishing companies, and distributors. No assurance can be given that the Company will achieve any material sales or profits from the products introduced in this release. These and other similar factors are discussed under the heading "Cautionary Statement Regarding Forward-looking statements" included in the Management's Discussion and Analysis of Financial Condition and Results of Operations in the Company's Annual Report on Form 10-K and in the Company's Annual Report to shareholders, and in documents subsequently filed by the Company with the Securities and Exchange Commission.

SOURCE: Andrea Electronics Corporation

CONTACT: At Andrea Electronics - Richard A. Maue, Chief Financial Officer, or Lauren Smith, Marketing Communications Manager, 800-442-7787/

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