FOR IMMEDIATE RELEASE

Contact: Bob Griffin, Griffin Public Relations & Marketing
(212) 481-3456
Bgriffin@griffinpr.com

SAN CARLOS, CALIFORNIA, July 12, 2000 - ImaginOn, Inc. (NASDAQ: IMON, www.imaginon.com) today announced that its ImOn.comTV interactive Internet "television station in a box" is now being installed for a broad range of clients, including Adelphia, the College of San Mateo, the Detroit Lions, Fluent Communications, Haggingroup (a division of shopnow.com, Inc.), Syllabus magazine, and the Wonderful World of Flying.

"Market demand for our ImOn.comTV interactive Internet 'television station in a box' continues to develop at a rapid pace," explained ImaginOn Chief Executive Officer David Schwartz. "From magazine publishers to colleges to communications companies and sports franchises, the ImOn.comTV marketing message is beginning to take hold -- and for good reason. Nobody else I know of offers a complete and turnkey product that turns any existing Web site into an interactive TV station on the broadband Internet."

Featuring from 20 to 200 unique, simultaneous video streams at list prices ranging from $35,000 to $84,000, each ImOn.comTV station is a turnkey Web server that enables any Web site, including business and content owner sites, to present interactive television within a standard browser window on any computer with high-bandwidth Internet access. ImOn.comTV's Virtual TV Console is customized for each client, offering its users video-on-demand, viewer-directed video branching, instant e-commerce links and automated Web searching.

According to Schwartz, it is the wide range of ImOn.comTV users that is most impressive. "We have implemented an aggressive seven channel sales and marketing strategy targeting broadcast, education, e-commerce, publishing, corporate training, telemedicine, and adult entertainment. To date, we have established footholds in four of these target channels. We consider that a major achievement, underscoring our long-term perspective -- that interactive television on the Web will become the first border-free global TV standard used by everyone who wants to communicate more effectively."

The pace of ImaginOn's seven channel marketing program will accelerate in the third and fourth quarters, as the company plans to exhibit at ten more trade shows between August and December 2000.

Except for the historical information presented herein, the matters set forth in this press release are forward-looking statements within the meaning of the "safe harbor" provision of the Private Securities Litigation Reform Act of 1995, or by the Securities and Exchange Commission in its rules, regulations, and releases. These forward-looking statements are subject to risks and uncertainties that may cause actual results to differ materially. These risks include acceptance of ImaginOn software by developers and users, the successful development of competitive software to ImaginOn's, competitive pricing pressures for ImaginOn software and services, and the availability of financing to complete management's plans and objectives. In addition, other risks are detailed in the Company's periodic reports and in its Form S-1 registration statement declared effective by the Securities and Exchange Commission on May 11, 2000. These forward-looking statements speak only as of the date hereof. The Company disclaims any intent or obligation to update these forward-looking statements.