Melville, New York, July 30, 2002 - Andrea Electronics Corporation (AMEX: AND) a leading developer hardware and software audio input technologies, and VCON Telecommunications Ltd. (Nouveau Marché 022021), a worldwide leader in visual communications solutions, announced today that the parties have signed a royalty-bearing license agreement that will permit VCON to integrate a number of Andrea's proprietary software technologies into the VCON Conference Bridge (VCB) software module which is part of VCON's award-winning Media Xchange ManagerTM. The Media Xchange ManagerTM was the first product to deliver IP video telephony features such as call forward, transfer and pickup as well as centralized management and monitoring capabilities to enable large-scale videoconferencing deployment. The VCB software module allows Media Xchange Manager participants to dial into the conference session or allows the user to invite others to join the conference making a two-way call a multipoint videoconference.

The addition of Andrea's technologies, including its patented PureAudio® 2.0 software algorithm, permits the VCB to manage and filter voice signals from multiple sources, enhancing intelligibility of the audio portion of the conference. Andrea has also introduced a new technology to the VCB, enabling the system to automatically select the speaker whose video picture is presented on the participants' screens. The Andrea software monitors the activity of the speakers that are taking part in the conference call and selects the "dominant" speaker at any given time to be presented to the other participants.

"Andrea's technologies continue to enable us to offer first-to-market videoconferencing applications, while enhancing the audio quality for our users," said Gordon Daugherty, President, VCON, Inc. "The integration of Andrea's technologies into the VCB is a direct result of the close working relationship we have had with Andrea since we adopted Andrea's DFTA® software in our MediaConnect line of products in 1999."

"We are pleased to support VCON in their efforts to develop economical videoconferencing solutions designed for wide scale deployment, and we are proud that they have selected Andrea to bring high quality audio performance to their videoconferencing customers," said Joseph Marash, Chief Technology Officer of Andrea Electronics. "The adoption of our technologies by VCON for this project is a testament to our ability to not only develop noise canceling software, but to develop practical solutions to enhance and control applications through speech."

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 Digital Super Directional Array (DSDA®), patented PureAudio®, patented EchoStop™ and patent-pending Directional Finding and Tracking Array (DFTA™) 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. Visit Andrea Electronics' website at http://www.AndreaElectronics.com, or call 1-800-442-7787.

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.

About VCON:

VCON (www.vcon.com) develops and manufactures visual communications solutions that bridge distances between people. Our award-winning technology ensures the highest audio and video performance over your enterprise IP and ISDN networks. VCON's meeting and collaboration solutions include desktop and group videoconferencing products, along with an advanced IP video PBX that operates as a management, administration, and billing tool. The company markets its products and services through a network of reseller partners, OEMS and value-added resellers worldwide. Headquartered in Israel, VCON holds subsidiaries in six continents and is publicly traded on Le Nouveau Marché (Sicovam No. 022021).