Digital Ally, Inc. Receives Fifth and Largest Order From West Virginia State Police for 229 DVM-500 In-Car Video Systems

COMPANY ANNOUNCES RECEIPT OF LARGEST SINGLE ORDER FOR DVF-500 DIGITAL VIDEO

                             FLASHLIGHT SYSTEMS



    OVERLAND PARK, Kan., Aug. 15 /EMWNews/ -- Digital Ally,

Inc. (Nasdaq: DGLY), which develops, manufactures and markets advanced

digital technology products for law enforcement, homeland security and

commercial security applications, today announced that the Company has

received its fifth order for its DVM-500 In-Car Video Rearview Mirror

Systems from the West Virginia State Police. The state police agency placed

orders for 124 systems in early 2007, an additional 50 systems in September

2007, a third order for 100 systems in the first quarter of 2008 and a

fourth order for 13 systems in April 2008. The latest order, for 229 units,

brings the total number of DVM-500 systems being utilized by the West

Virginia State Police to 516 units.



    "We are very pleased that the West Virginia State Police is so

satisfied with the performance of our DVM-500 In-Car Video Rearview Mirror

Systems that the agency has placed its largest order, to date, with our

Company," stated Stanton E. Ross, Chief Executive Officer of Digital Ally,

Inc. "While the cumulative total of 516 units ordered by the West Virginia

State Police represents the largest number of DVM-500 systems ordered by a

single law enforcement agency in the United States, the number of our

customers that have placed multiple follow-on orders after gaining field

experience with their initial DVM-500s continues to expand."



    The Company also announced that it has received its largest single

order, to date, for DVF-500 Digital Video Flashlight systems. The DVF-500

is a portable digital and video recording system integrated into a

high-quality, water-resistant machined aluminum law enforcement-style

flashlight. It provides law enforcement officers with the ability to

document the discovery and/or collection of criminal evidence on a "real

time" basis and is not limited to the fixed field of vision that is

characteristic of in-car video systems.



    "While this order from an international customer totals only 25 units,

it illustrates that law enforcement agencies are moving beyond the testing

phase and into the deployment of the DVF-500 within their organizations,"

continued Ross. "We have always expected that broad acceptance of the

DVF-500 Digital Video Flashlight would take more time than was the case

with our DVM-500 In-Car Video systems, because we are defining and serving

a market that did not exist prior to the introduction of our product. On

the other hand, the DVF-500 provides law enforcement officers with much

greater flexibility in the documentation of criminal activities regardless

of their location, and we believe the long-range market potential for

digital video flashlights will be substantial."

    About Digital Ally, Inc.



    Digital Ally, Inc. develops, manufactures and markets advanced digital

technology products for law enforcement, homeland security and commercial

security applications. The Company's primary development focus involves the

field of Digital Video Imaging and Storage. For additional information,

visit http://www.digitalallyinc.com



    The Company is headquartered in Overland Park, 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: the extent to

which the DVF-500 Digital Video Flashlight gains market acceptance; the

Company's ability to have all of its new product offerings perform as

planned or advertised; whether there will be a commercial market,

domestically and internationally, for one or more of its new products; its

ability to commercialize its products and production processes, including

increasing its production capabilities to satisfy orders in a

cost-effective manner; its ability to continue to increase revenue and

profits, including the achievement of approximately $40 million in revenues

and a 29% operating margin in 2008; whether the Company will be able to

adapt its technology to new and different uses, including being able to

introduce new products; competition from larger, more established companies

with far greater economic and human resources; its ability to attract and

retain customers and quality employees; its ability to obtain patent

protection on any of its products and, if obtained, to defend such

intellectual property rights; 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.




                 For Additional Information, Please Contact:



                       Stan Ross, CEO at (913) 814-7774

                                      Or

 RJ Falkner & Company, Inc., Investor Relations Counsel at (830) 693-4400 or

                       via email at [email protected]