VeriChip Corporation's VeriMed(TM) Medical Solution Is Now
Integrated Into the Hospital Demonstration Area of the IBM Solutions
Experience Lab Located in Austin, Texas

  Applied Digital / September 8, 2005

DELRAY BEACH, Fla.--(BUSINESS WIRE)--Sept. 8, 2005--VeriChip Corporation, a subsidiary of
Applied Digital (NASDAQ:
ADSX), a leading provider of identification and security technology,
announced today that its implantable RFID healthcare system, VeriMed(TM), is now a component
of the Hospital demonstration area of the IBM Solutions Experience Lab located in Austin, Texas.
The IBM Solutions Experience Lab conducts approximately 260 tours annually for corporations
and government agencies wishing to see demonstrations of functional, integrated hardware and
software solutions for specific market sectors. The Hospital area demonstrates currently available
technologies compatible with IBM healthcare solutions that provide integrated, state-of-the-art
capabilities in the healthcare environment.

The Hospital demonstration area illustrates the potential of VeriMed to enhance the IBM Aligned
Clinical Environment Solution. This is an integrated solution designed to connect disparate
healthcare information sources while also reducing costs. The solution enables data collection
and manages integration and analysis of patient information.

VeriChip Corporation Chief Executive Officer Kevin McLaughlin noted, "When integrated with
IBM's Aligned Clinical Environment Solutions and systems provided by other IBM healthcare
business partners, the VeriMed implantable RFID microchip and its related infrastructure provides
the 'front-end' that practitioners need for automated, secure, accurate and rapid access to vital
clinical information."

About VeriChip - "The First RFID Company for People"
VeriChip is a subsidiary of Applied Digital and the only company to provide both implantable and
wearable RFID identification and security solutions for people, their assets, and their
environments. From the world's first and only FDA-cleared, human-implantable RFID microchip to
the only patented active RFID tag with skin-sensing capabilities, VeriChip leads the way in
nextgeneration RFID technologies. Today, over 4,000 installations worldwide in healthcare, security,
industrial, and government markets benefit from both the protection and efficiencies provided by
VeriChip systems. For more information on VeriChip, please visit
www.verichipcorp.com.

About Applied Digital - "The Power of Identification Technology"
Applied Digital develops innovative identification and security products for consumer, commercial,
and government sectors worldwide. The Company's unique and often proprietary products
provide identification and security systems for people, animals, the food supply,
government/military arena, and commercial assets. Included in this diversified product line are
RFID applications, end-to-end food safety systems, GPS/Satellite communications, and
telecomm and security infrastructure, positioning Applied Digital as the leader in identification
technology. Applied Digital is the owner of a majority position in Digital Angel Corporation (AMEX:
DOC).

Statements about the Company's future expectations, including future revenues and earnings,
and all other statements in this press release other than historical facts are "forward-looking
statements" within the meaning of Section 27A of the Securities Act of 1933, Section 21E of the
Securities Exchange Act of 1934, and as that term is defined in the Private Litigation Reform Act
of 1995. Such forward-looking statements involve risks and uncertainties and are subject to
change at any time, and the Company's actual results could differ materially from expected
results. The Company undertakes no obligation to update forward-looking statements to reflect
subsequently occurring events or circumstances.

Contact:
CEOcast, Inc.
Investors:
Ken Sgro, 212-732-4300
kensgro@ceocast.com
or
Direct Communications Group
Media:
John O. Procter, 202-772-2179
jprocter@dcgpr.com

Source: VeriChip Corporation
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