Artificial Life Inc and noDNA Announce Cooperation

Artificial Life Inc, a leading provider of intelligent software robots (bots) for the Internet, and noDNA, a leading developer of graphic virtual representatives--which emerged from VIERTE ART GmbH of Germany, announced their joint cooperation. The two companies intend to offer their products to customers as a package in the future. In this way, it is intended that e-commerce bot-based interactions can be more robust, engaging and attractive for Internet users.

The 3D avatars of noDNA ("no genotype"), worldwide suppliers of virtual models and actors, have already been used in more than 200 television transmissions and more than 100 live events. Also, the noDNA virtual actors can now be designed, used and customized according to client wishes with the technology of Artificial Life Inc providing the 'brain' and natural language interaction.

The software tools of Artificial Life will complement the virtual actors of noDNA in a comprehensive manner. The tools (SmartBots) can behave intelligently and naturally, yet also perform complicated customer tasks. SmartBots, in conjunction with user interaction, can be physically represented by the avatars of noDNA. noDNA's many years of experience in the development of uniquely humanistic 3D avatars, acting in combination with the multiple possibilities of the ALife's SmartBots, should not only make buying on the Internet more natural, but can also be used for a variety of other services (finance, tourism, or automobile sales) as well.

Artificial Life's SmartBots bring personality and intelligence to the Web.

SmartBots, as developed by Artificial Life, are designed to behave intelligently and naturally as well as communicate with users in natural language. SmartBots are software tools that can intelligently process information with natural language content. SmartBots can be used in a variety of ways on the Internet and their functionality is also being expanded to include the growing market of Web telephones, Palmtop devices, and Smart Toys. They are designed to allow for the automation of tasks including searching and monitoring of data, conducting dialogs with users, automating consulting for customers or users, and automated monitoring of investments. A special feature of SmartBots is that you can approach users directly and create a personal, friendly contact on the otherwise anonymous Internet. The basis for this experience is the simulation of human-like behavior and the ability to conduct discussions interactively.

noDNA AG

The company originated from VIERTE ART GmbH, a German pioneer in computer animation. noDNA is a primary provider worldwide for virtual models and actors. It develops, acquires, and represents computer-animated characters that can appear in all media including real time. The Company assembles a team of specialists to develop suitable solutions for each of the varied application fields for its virtual actors. Thus, for example, the data suite developed by noDNA subsidiary X-IST is the first integrated system that captures whole-body motions and is used primarily in theme parks and production studios. Licensing of virtual characters and establishing of virtual displays in the event, show, and business fields are in the foreground of the noDNA tool, and a selection of characters has become available for the Internet, e.g. as consultants in Web shops, as entertainers, and as newscasters. Well-known customers and partners are using noDNA's virtual models, actors, and technology in their advertising efforts and public appearance, including, RTL, popkomm.de, Chanel, Expo, HypoVereinsbank, ZDF, Bertelsmann, BMG, Phenomedia, Ford, and companies such as Disney, Sony Pictures, NHK, and Fuji TV. noDNA is planning a public stock offering in 2001. Additional information on noDNA can be found at www.noDNA.de.

About Artificial Life

Artificial Life Deutschland AG is a 100% subsidiary of Artificial Life Inc, and develops and markets intelligent software solutions. The company realizes software solutions for the fields of Internet-based financial-service applications (personalized systems consultation through virtual consultants and automated management), e-commerce, customer relationship management, and knowledge management. Customers of the Artificial Life Group include, among others, Advance Bank, Credit Suisse First Boston, UBS, Eagle Star, and MobilCom.

Artificial Life Inc is headquartered in Boston, Massachusetts, U.S.A, and maintains subsidiaries in Switzerland, Germany, Russia and Hong Kong. Detailed information about Artificial Life Inc and its products is available at www.artificial-life.com.

Contact Matthias Reimer of Artificial Life Deutschland AG, (011 49) 069 / 79 30 08 - 27, matthias.reimer@artificial-life.com or Justine Cieslak of noDNA AG, (011 49) 02233 / 97 91 12, j.cieslak@noDNA.com.