FOR IMMEDIATE RELEASE

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

SAN CARLOS, CALIFORNIA, August 4, 2000 -- ImaginOn, Inc. (NASDAQ: IMON) (www.imaginon.com) today announced that its wholly-owned subsidiary INOW™ Inc., based in Milpitas, California, has begun offering customers a new range of wireless networking products and support services. According to ImaginOn's Vice President of Network Operations Abe Matar, INOW was recently approved by Lucent Technologies, Inc. to re-sell Lucent's Orinoco® line of wireless networking products, and is already working with the San Francisco School District, providing products and installation support in classrooms.

"Now that we have succeeded in building an initial base of high bandwidth DSL customers, INOW is expanding the range of products we offer our customers," explained Matar. "To do this, we have established an online e-commerce store at our INOW Web site (www.inow.com). The products offered at this site are state of the art Internet and intranet networking components."

The first new offering by INOW is the Lucent Technologies Orinoco product line. Orinoco provides 10 Mbps wireless networking at line of sight ranges of over 3 miles, which will be extended to greater distances and 100 Mbps in the near future. INOW chose Lucent as the best product line in its category -- easy to install and operate -- making 'plug and play' wireless networking a practical option for many businesses, institutions, and consumers.

Equally important to INOW's long-term business development strategy is the fact that the Orinoco product line enables INOW to provide high-speed wireless Internet access in areas that cannot get DSL service. Currently, INOW is constructing a wireless access point in Milpitas to provide wireless access to homeowners in the Milpitas Hills area of the San Francisco Bay Area.

"We expect broadband wireless data services from a multitude of ISPs, including INOW, to increase the rate of deployment of high bandwidth Internet connections over the next few years," said ImaginOn Chief Executive Officer David Schwartz. "This is one of the keys to making Interactive TV on the Web, especially our ImOn.comTV product, easily accessible everywhere."

Lucent has played a leading role in the development of the wireless networking product market since 1992. Indeed, INOW believes the Orinoco product line is today the most complete and cost-effective available on the market. Lucent also helped develop the 802.11 specification that is now the wireless networking standard for the industry. The 802.11 standard will allow any compliant device to connect to the network provided that they have secure access. Because of its security features, Orinoco is perfect for almost any commercial application. DSL customers can also enjoy the benefits of wireless networking within a single facility, because local wireless data systems share a DSL connection and eliminate the need to install more cabling. According to Matar, INOW will continue to expand its offerings via new reseller agreements with select manufacturers for specialty products. As a value added reseller, INOW's customer service and support is enhanced by direct training by the manufacturer of those products.

ImaginOn, Inc. is an information technology company focused on developing and marketing broadband Internet television products. ImOn.comTV, ImaginOn's lead product, is a turnkey package that enables any Web site to present an interactive Internet television console within a standard browser window on any computer that has a high bandwidth Internet connection. The company's objective is to deliver Internet television to anyone and everyone who wants to communicate, entertain, inform, educate and promote e-commerce in a new way for a new era of interactive communications.

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.