BURLINGTON, Mass. -- June 12, 2002 -- Actuality Systems, Inc., a pioneer in the development of spatial 3D visualization technology, has secured a $1.5 million in Series B financing from Navigator Technology Ventures of Cambridge and a group of private investors. The round was fully subscribed.

Actuality recently announced that it would begin initial production of its unique Perspecta spatial 3D platform for biotechnology, drug discovery, and proteomics applications. The platform consists of the Perspecta spatial display, which projects 3D imagery inside a 20-in transparent dome, and the Perspecta operating environment software. The company said that proceeds would be used for marketing and production of the new Perspecta platform to key markets including biotechnology, drug design, security, and medical imaging.

"We're truly impressed by the level of encouragement and support we received from a number of important names in the investment community," said Rob Ryan, Actuality's co-founder and chairman. "It's a real endorsement of our efforts and our technology, especially considering the difficult economic environment."

Navigator Technology Ventures, a new investor in Actuality Systems, specializes in funding support for early-stage companies with innovative technologies in electronics, biotech, IT, and wireless. The firm takes an active role in helping its portfolio companies bring their technology to market. Alain Hanover, managing director and CEO of Navigator Technology Ventures, will join Actuality's Board of Directors, bringing it to a total of six.

"We believe that Actuality Systems has the technology to change the market for 3D visualization tools," said Alain Hanover. "Even in difficult business conditions, Perspecta is the kind of product that will find its market because it can make companies more creative, competitive, and productive."

In addition to Navigator, other major investors that have resubscribed in this round include: Bob Gelfond, founder and CEO of MagiQ Technologies and angel investor in Amazon.com; associates of Smedvig Capital of London (UK); and Rob Ryan, who founded Ascend Communications in 1989 and took the company public in 1994. Ascend was sold to Lucent in 1999 in a deal valued at more than $24 billion.

"These folks aren't just successful technology investors," said Cameron Lewis, president and CEO. "They're technology businesspeople who understand how to take great ideas and turn them into valuable products. Their endorsement of Actuality and the Perspecta platform is really recognition of the work done to date by our outstanding engineering team."

The Perspecta spatial display illuminates a world-record 100 million volume pixels, or "voxels," throughout a full range of 3D locations within a transparent sphere. This is unlike 3D displays that require special stereoscopic goggles to simulate multi-dimensional imagery, or flat-screen monitors that render 3D data into flat 2D images. In addition, an embedded graphics engine allows fully animated 3D imagery to be controlled and maneuvered from the customer's computer.

Typical applications for the platform include: visualization of protein structures for drug discovery; surgical planning and radiation treatment planning, for doctors working to understand the exact location of a tumor on an x-ray or mammogram; air-traffic control; game development; security specialists seeking a faster and more reliable way to visualize the contents of freight or passenger luggage, and numerous other possibilities.

The Perspecta spatial 3D platform is priced from US$40,000 per station including the Perspecta OS and Perspecta display. The Perspecta SDK is available for free. More information is available at www.actuality-systems.com.

About Actuality Systems
Actuality Systems, Inc. develops, produces, sells, and licenses the Perspecta spatial 3D platform, a combination of hardware and software that permits 360-degree visualization, simulation, and collaboration. Founded in 1997 in Cambridge, the firm has received venture funding and now operates from offices in Burlington, Mass., north of Boston. Actuality's President and CEO is Cameron Lewis, who, in addition to executive roles at Netscape and PatientKeeper, developed the first anti-virus ASP service at McAfee.com, and headed up more than $400 million in mergers in acquisitions at MedicaLogic. The company's chief technology officer, Gregg Favalora, has been named one of the top young technologists by MIT Technology Review. Company chairman, Rob Ryan, was a founder and former CEO of Ascend Communications, Inc., which was acquired by Lucent in a deal valued at more than $24 billion.

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