Glowpoint to Restate Financial Statements for Prior Fiscal Periods; Current Cash Position and Revenues Not Impacted

Glowpoint, Inc., (NASDAQ: GLOW) the world's leading
broadcast quality IP-based video communications service provider,
today announced that the Audit Committee of the Board of Directors has
undertaken a review of certain financial accounting matters affecting
previously reported financial information. Glowpoint engaged Eisner
LLP as its independent auditors effective June 2, 2005. In connection
with the engagement, Eisner LLP made certain inquiries which resulted
in the Company identifying such matters.
   As a result of management's review to date, the Company has
concluded that its financial statements for the fiscal years 2002
through 2004 (and the related quarters) and the quarter ended March
31, 2005 will need to be restated. Consequently, those financial
statements should no longer be relied upon. The restatement is
expected to relate to transactions that principally occurred when the
Company was primarily a reseller of video conferencing equipment. The
restatement items that have been identified to date generally involve
the capitalization of costs associated with purchases of video
conferencing equipment, telecommunications circuits used in the
Company's network and third party software that should have been
expensed.
   While the review process is not yet complete, the Company believes
the restatement will increase previously reported operating losses and
net losses for the indicated fiscal and quarterly periods. Other than
corrections to classifications resulting from the restatement,
previously reported cash flows are not expected to be impacted. In
addition, the Company's current cash position, 2005 revenue and
revenues reported in the prior periods are not expected to be
impacted.
   As a result of the review, the investor call scheduled for August
4, 2005 to discuss the Company's second quarter results is being
postponed. In accordance with the provisions of Sarbanes-Oxley, the
Company's Audit Committee has retained independent counsel to assist
in this review. The Company has also discussed the matters associated
with the restatement with Eisner LLP and BDO Seidman, LLP (the
Company's previous independent auditors). The Company has filed today
a Form 8-K relating to this matter with the Securities and Exchange
Commission ("SEC").
   While the Company, its Audit Committee and its independent
auditors are making every effort to complete all necessary work, the
Company will not be in a position to finalize the financial statements
for the fiscal quarter ended June 30, 2005 in time to file its Form
10-Q within the prescribed time frame. The Company is working
diligently to complete the restatement and file its Form 10-Q for the
fiscal quarter ended June 30, 2005 as expeditiously as possible. The
earnings call will be rescheduled as soon as the review is complete.

   About Glowpoint

   Glowpoint, Inc. (NASDAQ: GLOW) is the world's leading broadcast
quality, IP-based video communications service provider. Glowpoint
operates a video communications service featuring broadcast quality
images with telephone-like reliability, features and ease-of-use and
is a member of the Cisco Powered Network Program and COVAD Partner
Program. The Glowpoint network spans four continents and carries on
average over 20,000 video calls per month worldwide. Since the network
was introduced in 2000, Glowpoint has carried over 23 million IP video
minutes. Glowpoint is headquartered in Hillside, New Jersey. To learn
more about Glowpoint, visit us at www.Glowpoint.com.

   The statements contained herein, other than historical
information, are or may be deemed to be forward-looking statements and
involve factors, risks and uncertainties that may cause actual results
in future periods to differ materially from such statements. These
factors, risks and uncertainties include market acceptance and
availability of new video communication services; the nonexclusive and
terminable-at-will nature of sales agent agreements; rapid
technological change affecting demand for our services; competition
from other video communications service providers; and the
availability of sufficient financial resources to enable us to expand
our operations, as well as other risks detailed from time to time in
the our filings with the Securities and Exchange Commission.

   "Glowpoint" is a registered trademark or service mark of
Glowpoint, Inc. in the United States and certain foreign countries.