Advanced Learning Technology Leader Helped Bring Together Cutting Edge Virtual World Collaborative Technology

RESEARCH TRIANGLE PARK, N.C. & LAS VEGAS--(Business Wire)--Virtual Heroes Inc. (VHI), a leader in serious games and advanced learning technologies announced today that it successfully helped create a unique virtual environment for CEO Paul Otellini's keynote
presentation today at the 2008 International Consumer Electronics
Association Show (CES) in Las Vegas. Otellini was joined live onstage
by Steve Harwell, the lead singer of the band Smash Mouth, and
virtually by other members of the band to demonstrate how the Internet is evolving to enable more natural social interactions and better shared experiences.

   Otellini's presentation featured an intersection of internet 2.0,
virtual worlds, and virtual collaboration. Virtual Heroes' technology
team integrated its own technology -- along with technologies from
Organic Motion, eJamming and Big Stage -- to create one of the world's
first live 3-D virtual jam sessions. Virtual Heroes' art team created
a realistic looking virtual garage for Smash Mouth to rehearse from
using the Unreal(R)3 engine by Epic games. Life-like avatars of the
band's three musicians with their instruments, created by Big Stage,
were also unveiled when the virtual 3-D garage opened.

   "In our research at Intel we are looking for new applications that
will take advantage of the advancements in multi-core computing,
bringing new capabilities to consumers on mainstream PCs," said Jerry
Bautista, co-director of Intel's tera-scale computing program. "The
combination of serious games animation with virtual world technology
by Virtual Heroes combined with multi-core processing power, is a
great example of what could by done in this new computing era."

   "We are thrilled with the opportunity to help Intel present
exciting new technologies with collaborative virtual worlds," said
Virtual Heroes founder and CEO Jerry Heneghan. "There is no better
venue than CES, to showcase the future of interwoven technologies for
work and play, and we were honored to play a key role in making that
happen."

   Virtual Heroes makes advanced interactive solutions that integrate
photo-realistic virtual worlds, serious games, social-networking and
internet 2.0 technologies for unprecedented, high-fidelity,
collaborative experiences. VHI is perhaps best known for its work with
the America's Army Training Platform architecture and the 3DiTeams
application developed for the Human Patient Simulation Center at Duke
Medical Center.

   About Virtual Heroes Inc.

   Founded in January 2004, and located in Research Triangle Park,
NC, Virtual Heroes Inc. (VHI), the "Advanced Learning Technology
Company," creates collaborative interactive learning solutions for the
federal systems, healthcare and commercial markets. Advanced Learning Technologies leverage simulation learning and digital games-based learning paradigms to accelerate learning, increase proficiency and reduce training costs for next-generation workforce development.

   As a global market leader in this field, VHI applications
facilitate highly interactive, self-paced learning and instructor-led,
distributed team training on the Virtual Heroes Advanced Learning
Technology (A.L.T.) platform using the Unreal(R) Engine 3 by Epic
Games. In 2007, VHI was honored by Military Training and Technology
magazine as one of the industry's Top 100 companies for a third
consecutive year. Virtual Heroes is expanding its experience and
success in the defense sector into the healthcare market with the
development of HumanSim(TM), and into the commercial market with
custom solutions.