VCSY Announces a Partnership with Epsylon Technologies, Inc.

LOS ANGELES, CA, June 7, 2001 – Vertical Computer Systems, Inc. (OTCBB: VCSY), Epsylon Technologies, Inc. and Taurus Global, LLC announced today the formation of Wireless Learning Systems, LLC (WLS). Vertical will control a 51% interest of the LLC in exchange for providing an initial $100,000 working capital loan and applying for a $2.5 million federal grant. WLS intends to provide low-cost, rapidly deployable and fully interactive school and corporate classroom wireless educational systems, featuring a device on every student’s desk similar to a PDA (personal digital assistant) enhanced with “smart” technology from Vertical and Epsylon.

VCSY’s President Richard Wade commented, “Our wireless technologies are important for several reasons. Wireless solutions are generally less expensive to deploy when starting from scratch, and certainly much more rapid. In the field of education, and especially outside of the U.S., low cost is critical. Only through a low-cost, rapidly deployable system can we provide a solution that will offer a meaningful contribution to global education. We supply this solution through proprietary Emily and Epsylon software, which takes a relatively inexpensive ‘dumb’ device and makes it much smarter. This will enable the full degree of wireless interactivity between teacher and student that can provide a very important benefit all day long in classrooms around the globe.”

The Software & Information Industry Association’s “2000 Research Report on the Effectiveness of Technology in Schools” has projected U.S. K-12 school technology spending to be $6.2 billion in 1999-2000. In addition, there is a tremendous need for educational systems in developing countries worldwide. Vijay Amritraj, VCSY’s advisor, partner and Chairman of VCSY’s joint venture, welcomed VCSY’s latest venture as “another important step in delivering on its promise of making appropriate technologies available to the world markets.” Mr. Amritraj, recently appointed United Nations Messenger of Peace, added, “Education is critical to keeping developing economies such as India competitive. VCSY’s plans for low-cost, rapidly deployable systems are right on target for the developing world.”

About Epsylon Technologies, Inc.

Epsylon Technologies, Inc. (“ET”) is a Delaware Corporation with R&D offices in Moscow, Russia, to globally expand markets, distribution and joint venture partnerships using its fundamental software development platform and server – BEAST, an acronym for Baikonur Enterprise Application Server Technology. ET clients include The World Bank, ZiWu-Soft EDV Systeme GmbH (a German software company), Fischer Werke GmbH (the biggest construction plant in Europe), The Central Bank of Russia, The Russian Parliament, Lukoil (the world’s largest oil company), Gazprom (the world’s largest gas company), Aeroflot (the world’s largest airline), Rostelecom (Russia’s largest telecomm company), Russian FCC, Transneft (the world’s largest pipeline complex), The Academy of Sciences, The Institute of Secure Development of Nuclear Energy and many other large clients.

BEAST Suite technology enables significantly, provably faster, more economic software development, shorter time-to-market, very low-level learning barriers for programmers, and ease of integration with legacy systems and databases. TAXXI Communicator, ET’s proprietary browser, provides fast and economical web enabling of desktop applications, provides high-level security over public or private networks, makes existing non-scalable systems scalable, significantly lowers total cost of ownership and brings the ease, speed and flexibility of desktop applications to Net-based applications.

About Taurus Global, LLC

Taurus Global, LLC is a corporate advisory firm whose principals are Michael Rosenberg, a corporate financier for more than 25 years and Trustee of NYU, and Franco Scalamandre, an executive in finance and marketing for 20 years.

About Vertical Computer Systems, Inc.

Vertical Computer Systems, Inc. is a leading provider of Web-based multilingual gateways, developer of proprietary software and e-commerce solutions. The company is based in the United States. VCSY's products and services, technology and distribution channels complement each other and are supported by its e-commerce business model, the Home Country Gateways (HCGs).

Utilizing its growing global network of online HCGs, the company offers B2B, B2G and B2C solutions through its wide range of accessible resources that specifically cater to the needs and desires of targeted communities around the world. VCSY has also acquired -- a complete online travel information center at

At present, VCSY has five HCGs in operation:,,,,, and is working to establish other HCG partnerships, including

The company is continuously developing Emily(TM) Solutions, (, proprietary XML-based technology providing unique software for e-commerce, information technologies, Web-based data management and process control. VCSY also offers a free, easy and personalized e-mail service for all Web users ( For more information, visit the company's Web site at

This release contains, in addition to historical information, forward-looking statements. These statements are subject to a number of uncertainties and risks that could cause actual results to differ materially from those described in the forward-looking statements. Factors that may cause such a difference include, but are not limited to, competition from other portals, the company's ability to integrate and market the Emily(TM) software, the market reception to VCSY'S new products, the potential benefits to customers, the conversion of sales leads into customers and the ramp-up of ASP users and other factors over which VCSY may have little or no control such as those described in the company's filings with the SEC.