MicroVU HD Compact In-Car Video System and VuVault.net Cloud Storage Solution Generate Widespread Interest at 121st Annual IACP Conference

LENEXA, KS--(Marketwired - Nov 14, 2014) - Digital Ally, Inc. (NASDAQ: DGLY), which develops, manufactures and markets advanced video surveillance products for law enforcement, homeland security and commercial applications, today announced that its MicroVU HD in-car video system was selected by Law Officer magazine as one of the "Hot Products" introduced at the 121^st Annual International Association of Chiefs of Police ("IACP") Conference, which was held in Orlando, Florida in late October 2014.

The MicroVU HD places up to 1080p resolution HD video, along with an impressive array of powerful features, within the reach of every law enforcement agency's budget. The complete system measures a mere 3 inches wide by 4.25 inches long by one inch deep and is designed for easy and unobtrusive use, from initial installation to its unprecedented automatic login and recording capabilities and interoperability. Other features of the new MicroVU HD include:

• Automatic recording and synchronization with FirstVU HD body cameras through interaction with Digital Ally's patented VuLink interconnectivity device.
• Integrated G-Force sensor to automatically trigger recordings and capture data in the event of a crash or impact.
• Recordings can be started with 2.4GHz wireless microphone, VuVault GO mobile app, or a FirstVU HD officer-worn body camera.
• Compatible with VuVault GO mobile app, which allows officers to add incident notes and tag events, play recordings or display a "live" view and the remaining storage space.
• Enhanced low-light recording capability plus Wide Dynamic Range ("WDR") video capture, which provides dual-exposure blended together to retain detail in both light and dark segments of the video.
• Pre-event recording.
• Integrated GPS with back-office interactive mapping.
• Advanced compression, resulting in high quality yet smaller files, faster upload speeds, and lower costs when stored in the cloud.
• Integrated wireless transfer and live streaming capability.
• RFID login capability.
  
  

The MicroVU HD is generating considerable interest with the Company's domestic and international customers. The Company is developing its supply chain so that the MicroVU HD will be designated as a "Made in USA" product, which is becoming more important given the provisions of many Federal grant programs that fund a portion of our customers' budgets. Commercial production of the MicroVU HD is expected to commence during the first quarter of 2015.

Digital Ally also featured its new VuVault.net cloud storage solution at the recent IACP Conference. VuVault.net is the Company's next generation, fully expandable back-end management software powered by Microsoft Azure. It is a culmination of ideas and desires gathered from customers that have been using Digital Ally's video management solutions for over seven years. VuVault.net expands the capability of VuVault, the Company's robust, scalable, locally hosted enterprise management software, and incorporates the needs of today's world. Cloud hosted, VuVault.net is simple to manage and maintain, and it has the same features that have kept Digital Ally's customers using its proven back-end video storage solution to manage their data. Consistent with the Company's proven customer development priorities, additional functionality includes case and asset management, department collaboration, and VuVault GO, an in-the-field secure access portal. These new features all add value to customers by reducing the time spent on collection and paperwork, while improving officer efficiency. All of this positions VuVault.net as the ideal solution for departments ready to evolve and plan for the future. 

"This new product has already generated significant interest within the law enforcement industry, and we were pleased to recently receive an order from a San Francisco Bay Area police department for 110 FirstVU HD body camera systems and our cloud storage solution," stated Stanton E. Ross, Chief Executive Officer of Digital Ally, Inc. "The order includes our patented VuLink connectivity devices and 9 FirstVU HD docking stations, which will allow up to 108 FirstVU HD's to upload audio and video simultaneously to the cloud while the batteries are being charged. While VuVault.net was prominently featured at the IACP Conference, the new cloud storage system has been available for testing and evaluation by customers for several months and was under development for approximately one year. We are currently in discussions with police departments ranging in size from 20 officers to as many as 3,000 officers regarding VuVault.net."

"Cloud storage offers certain benefits that may fit the needs of some agencies better than local storage, such as removing the need for IT personnel if such individuals are not already available, a low up-front cost, compatibility with numerous devices, secure access anywhere with an Internet connection, natural disaster protection and offsite back-up," continued Ross. "However, since each department's needs and policies are different, Digital Ally is now able to provide customers turnkey solutions that use either cloud or local server storage, depending on the short- and long-term needs of each law enforcement agency."

The Company also announced that its patented VuLink Connectivity Device received a "Top Innovation Award" by EMS World magazine at the EMS World Expo, which was held November 9-13 in Nashville, Tennessee. The Top Innovation Awards recognize companies that have produced innovative new products or products that have seen significant changes and were launched after July 2013.

"We believe our patented VuLink system truly sets Digital Ally apart from the competition, because it allows us to provide customers with audio/video surveillance from multiple vantage points in order to more fully capture an event, and it allows the operator to quickly and easily reassemble the various recording devices," added Ross. "The VuLink is the first product on the market that enables body cameras and in-car video systems to be automatically or manually activated simultaneously. For example, when a vehicle's emergency lights are activated, the body camera will automatically begin recording simultaneously with the vehicle's video system, thereby removing any distraction to the driver or the chance that the officer may forget to activate a recording manually. Alternatively, if the officer is away from the vehicle when an incident occurs, VuLink will allow him/her to remotely start recordings on both systems with the FirstVU HD Body Camera. The recordings from both systems can later be linked together to provide a seamless record of the same incident from different perspectives utilizing the Company's VuVault or VuVault.net storage and evidence management software systems."

About Digital Ally, Inc.

Digital Ally, Inc. develops, manufactures and markets advanced technology products for law enforcement, homeland security and commercial applications. The Company's primary focus is digital video imaging and storage. For additional information, visit www.digitalallyinc.com.

The Company is headquartered in Lenexa, Kansas, and its shares are traded on The NASDAQ Capital Market under the symbol "DGLY".

This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Act of 1934. These forward-looking statements are based largely on the expectations or forecasts of future events, can be affected by inaccurate assumptions, and are subject to various business risks and known and unknown uncertainties, a number of which are beyond the control of management. Therefore, actual results could differ materially from the forward-looking statements contained in this press release. A wide variety of factors that may cause actual results to differ from the forward-looking statements include, but are not limited to, the following: whether the Company will be able to improve its revenues and operating results in 2014 given the current economic and competitive environment; the Company's ability to deliver its new product offerings, including the FirstVU HD, MicroVU HD, DVM-800, VuLink and VuVault.net, as scheduled, obtain the required components and products on a timely basis, and have them perform as planned; whether the interest shown in the Company's newer products, including the VuLink, MicroVU HD, and VuVault.net, will translate into sales of such products; whether the FirstVU HD, VuLink and DVM-800 will continue to generate an increasing portion of its total sales; competition from larger, more established companies with far greater economic and human resources; its ability to attract and retain customers and quality employees; the effect of changing economic conditions; and changes in government regulations, tax rates and similar matters. These cautionary statements should not be construed as exhaustive or as any admission as to the adequacy of the Company's disclosures. The Company cannot predict or determine after the fact what factors would cause actual results to differ materially from those indicated by the forward-looking statements or other statements. The reader should consider statements that include the words "believes", "expects", "anticipates", "intends", "estimates", "plans", "projects", "should", or other expressions that are predictions of or indicate future events or trends, to be uncertain and forward-looking. The Company does not undertake to publicly update or revise forward-looking statements, whether as a result of new information, future events or otherwise. Additional information respecting factors that could materially affect the Company and its operations are contained in its annual report on Form 10-K for the year ended December 31, 2013 and quarterly report on Form 10-Q for the three and nine months ended September 30, 2014, as filed with the Securities and Exchange Commission.