MELVILLE, N.Y., Jun 12, 2001 /PRNewswire/ -- Andrea Electronics Corporation (Amex: AND) and LifeFX, Inc. (Nasdaq: LEFX) the leading developer of Stand-In(TM) virtual people for the Internet announced today that the two companies have executed an agreement to use and distribute Andrea Electronics' PureAudio(TM) noise cancellation microphone technology to LifeFX facemail(TM) subscribers. The LifeFX facemail application is a fun, entertaining and easy-to-use way to add expression to email. Currently, users can already record their own voice messages to drive the speech controlled life-like performance of the Stand-In(TM) virtual faces that are sent and received using facemail. Pursuant to the terms of the agreement, LifeFX will exclusively market and promote Andrea Electronics' microphone products and technologies to its customer base, enabling a superior voice-user interface for the facemail application. Subscribers will now have the benefit of using Andrea's user-friendly PureAudio software, to enhance the quality of captured audio of the user's voice message.

"LifeFX has developed a truly unique technology that we believe will significantly benefit any company or individual interested in creating a stronger, more personal bond with their friends, colleagues, visitors and customers over web-enabled devices," said Douglas J. Andrea, Co-Chief Executive Officer of Andrea Electronics Corporation. "The level of photo-realistic, human-like interaction demonstrated by their technology is unparalleled, and we are excited to distribute our proprietary microphone technologies to LifeFX's fast-growing user base to further enhance the consumer experience."

"Andrea Electronics is the best of breed in microphone technology," said Lucie Salhany, Chief Executive Officer and Co-President for LifeFX. "Our agreement with Andrea Electronics' brings our customers the most advanced audio software to complement our Stand-In technology and make our facemail application the most powerful killer app. for communications on the web."

About LifeFX, Inc.:

Lifef/x, Inc., a Safeguard Scientifics (NYSE: SFE) partner company, is creating the face of the Internet by developing photo-realistic, digital human faces, or LifeFX Stand-In(TM) virtual people, that can interact in real time. LifeFX Stand-In (TM) virtual people will be used by Web businesses as life-like customer-service and sales representatives, guides, teachers and entertainers, while consumer applications will include e-mail, instant messaging and chat rooms. The LifeFX technology was originally developed for professional medical applications by the University of Auckland, with which LifeFX has an exclusive, worldwide, perpetual, paid up license. LifeFX holds three patents and has five pending. For more information about LifeFX, visit http://www.lifefx.com. For application ideas and demos, visit http://www.facemail.com.

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, LifeFX, Inc., Audio-Technica, U.S., Inc., DeltaThree.com, Lotus Development Corporation, Fonix Corporation, Centra, Net2Phone, Inc., among others. Visit Andrea Electronics' websites at http://www.AndreaElectronics.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"). 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 Annual Report not filed with the SEC, and in documents subsequently filed by the Company with the Securities and Exchange Commission.

Statements made in this news release, other than those concerning historical information, should be considered forward-looking and subject to various risks and uncertainties. Such forward-looking statements are made based on management's belief as well as assumptions made by, and information currently available to, management pursuant to the "safe-harbor" provisions of the Private Securities Litigation Reform Act of 1995. LifeFX Inc.'s future results may differ materially from the results anticipated in these forward-looking statements because of a variety of factors, including the ability of the company to implement its business strategy; the ability of the company to achieve the intended benefits of this strategy; the ability of the company to complete development of its technology; the ability of the company to achieve success in forging strategic relationships; adoption of the technology by major consumer and commercial Web sites; the ability of the company to commercialize the technology before competitors; the ability of the company to retain key employees; and those factors identified in Lifef/x, Inc.'s annual report on Form 10-K for the fiscal year ended December 31, 2000, and its quarterly reports on Form 10-Q and subsequent reports filed with the Securities and Exchange Commission.

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CONTACT:  Richard A. Maue, Chief Financial Officer, and Lauren Smith,
                  Marketing Communications Manager, 800-442-7787, both of Andrea Electronics; or
                  Bill Clausen, Chief Marketing Officer, and Valerie Harding, Marketing
                  Communications Director, 617-964-3816, both of LifeFX
                  /Company News On-Call:  http://www.prnewswire.com/comp/041750.html or fax,
                  800-758-5804, ext. 041750