March 18, 2004

News Release: Digital Angel Corporation Receives Patent for Multi-Directional Cattle-Scanning Device

Digital Angel Corporation (Amex: DOC), an advanced technology company in the field of rapid and accurate identification, location tracking, and condition monitoring of high-value assets, today announced that it has received a United States patent for a 'multi-directional walk-through antenna', a scanning device for cattle and other livestock much like the metal detector at an airport, for reading RFID wearable tags and implantable chips.

The antenna incorporates a new design that enables easier and more accurate scanning of animals, eliminating many of the technical challenges associated with scanning animals that can result from differing tag placements and random animal movement. The multi-directional walk-through antenna has been granted patent number 6,700,547. Kevin Nieuwsma, President of the Company's RFID Division, commented, 'Digital Angel already develops and markets a full line of livestock identification products, ranging from visual ID tags sold since 1945, to RFID wearable tags and RFID implantable chips, along with scanners that read these devices. Digital Angel also designs and develops the software integration tools necessary to tie all these components together into a seamless system for recording the location and movement of identified animals. The antenna will be marketed as an integral part of an automatic system for monitoring cattle and other livestock while they are processed throughout their lifecycle, which should make the industry more efficient in its animal movement tracking capability.'

Chief Executive Officer Kevin McGrath stated, 'The receipt of this patent underscores Digital Angel's continued R&D commitment to innovation and enhancement of existing products in the new and emerging markets we operate in. Since the discovery in the State of Washington of a cow with BSE (mad cow disease) in December of 2003, Digital Angel has been building on its existing technology base in anticipation of a nationally mandated cattle tracking program in the U.S., as well as in Canada, which has already committed to the implementation of an RFID cattle program in 2005. This and other patents should allow Digital Angel to maintain its technology leadership position in this important market segment.'

About Digital Angel Corporation

Digital Angel Corporation develops and deploys sensor and communications technologies that enable rapid and accurate identification, location tracking, and condition monitoring of high-value assets. Applications for the Company's products include identification and monitoring of pets, fish and livestock through its patented implantable microchips; location tracking and message monitoring of vehicles and aircraft in remote locations through systems that integrate GPS and geosynchronous satellite communications; and monitoring of asset conditions such as temperature and movement, through advanced miniature sensors.

Digital Angel Corporation is majority-owned by Applied Digital Solutions, Inc. (Nasdaq: ADSX). For more information about Digital Angel, please visit www.DigitalAngelCorp.com .

The statements in this press release that are not strictly historical, are 'forward-looking'statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934 and are intended to be covered by the safe harbors created by these sections. The forward-looking statements are subject to risks and uncertainties and the actual results that the Company achieves may differ materially from these forward-looking statements due to such risks and uncertainties, including, but not limited to, that recent changes in the Company's senior management could have an adverse effect on the Company's financial results that the Company's stockholders will experience dilution if certain debt owned by the Company is converted into common stock; the risk of foreclosure on substantially all of the Company's assets; that the Company's majority stockholder, Applied Digital Solutions, Inc. is able to completely control the board of directors and may support actions that conflict with the interests of other stockholders; that the Company's earnings will decline if it writes off additional goodwill and other intangible assets; that exercises of the Company's options and warrants outstanding and available for issuance may adversely affect the market price of the Company's common stock, the Company's inability to generate income, the Company's Wireless and Monitoring segment's ability to achieve profitability, the Company's ability to maintain patent and trade secret protection, domestic and foreign government regulation, the Company's sales to government contractors of animal identification products, dependence on a single production arrangement for its patented syringe-injectable microchips, dependence on principal customers, competition in the visual and electronic identification markets, foreign currency rate fluctuation, dependence on a small team of senior management and the Company's ability to develop, integrate, miniaturize and market the Digital Angel(TM) technology. A detailed statement of risks and uncertainties is contained in the Company's reports to the Securities and Exchange Commission, including in particular the Company's Form 10-K for the fiscal year ended December 31, 2003. Investors and stockholders are urged to read this document carefully. The Company can offer no assurances that any projections, assumptions or forecasts made or discussed in this release will be met, and investors should understand the risks of investing solely due to such projections. The Company undertakes no obligation to revise any forward-looking statements in order to reflect events or circumstances that may arise after the date of this press release.

For further information, please contact: investors, Jay F. McKeage, +1-212-691-8087, This email address is being protected from spambots. You need JavaScript enabled to view it., or media, Len Hall, +1-949-474-4300, This email address is being protected from spambots. You need JavaScript enabled to view it., both of Allen &Caron Inc, for Digital Angel Corporation.

SOURCE Digital Angel Corporation

investors, Jay F. McKeage, +1-212-691-8087, This email address is being protected from spambots. You need JavaScript enabled to view it., or media, Len Hall, +1-949-474-4300, This email address is being protected from spambots. You need JavaScript enabled to view it., both of Allen &Caron Inc, for Digital Angel Corporation

http://www.DigitalAngelCorp.com


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