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`EXHIBIT 99.1
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`FOR IMMEDIATE RELEASE
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`NETWORK-1 ANNOUNCES SETTLEMENT OF PATENT LITIGATION WITH MAJOR NETWORKING
`VENDORS
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`New York, New York-July 19, 2010-- Network-1 Security Solutions, Inc. (OTC BB: NSSI) announced today that
`it agreed to settle its patent litigation against Adtran, Inc., Cisco Systems, Inc. and Cisco-Linksys, LLC,
`(collectively, “Cisco”), Enterasys Networks, Inc., Extreme Networks, Inc., Foundry Networks, Inc., and 3Com
`Corporation, Inc., pending in the United States District Court for the Eastern District of Texas, Tyler Division, for
`infringement of Network-1’s Remote Power Patent, U.S. Patent No. 6,218,930 (“Remote Power Patent”).
`As part of the settlement, Adtran, Cisco, Enterasys, Extreme Networks and Foundry Networks each entered into a
`settlement agreement with Network-1 and agreed to enter into non-exclusive licenses for the Remote Power Patent
`(the “Licensed Defendants”). Under the terms of the licenses, the Licensed Defendants agreed to pay to Network-1
`an aggregate upfront payment of approximately $32 million and have also agreed to license the Remote Power
`Patent for its full term, which expires in March 2020.
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`In addition, Cisco agreed to pay royalties (beginning in 2011) based on its sales of Power over Ethernet
`(“PoE”) products up to maximum royalty payments per year of $8 million through 2015 and $9 million per year
`thereafter for the remaining term of the patent. The royalty payments are subject to certain conditions including the
`continued validity of Network-1’s Remote Power Patent, and the actual royalty amounts received may be less than
`the caps stated above.
`The settlement with 3Com provides for a dismissal of the litigation without prejudice. The release covers sales of
`certain 3Com Power over Ethernet products sold through the date of the settlement. In addition, Network-1 and
`3Com’s parent, Hewlett Packard Corporation, agreed that the dismissal does not apply to Hewlett-Packard Power
`over Ethernet products and that any future litigation involving Network-1 and Hewlett Packard involving the
`Remote Power Patent will be in the United States District Court for the Eastern District of Texas.
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`Network-1 was represented in the litigation by Dovel & Luner of Santa Monica, California and Ward &
`Smith of Longview, Texas.
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`For more details about the settlement, please see the Company’s Current Report on Form 8-K to be filed
`with the Securities and Exchange Commission.
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`The Remote Power Patent relates to, among other things, delivering power over Ethernet cables to remotely
`power network connected devices including, among others, wireless switches, wireless access points, RFID card
`readers, VoIP telephones and network cameras. In June 2003, the IEEE approved the 802.3af PoE Standard which
`led to the rapid adoption of PoE.
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`ABOUT NETWORK-1 SECURITY SOLUTIONS, INC.
`Network-1 Security Solutions, Inc. is engaged in the acquisition, development, licensing and protection of its
`intellectual property and proprietary technologies. It currently owns six patents covering various
`telecommunications and data networking technologies and is currently focusing its licensing efforts on its Remote
`Power Patent (U.S. Patent No. 6,218,930) covering the remote delivery of power over Ethernet networks. The
`Remote Power Patent was granted by the U.S. Office of Patents and Trademarks on April 17, 2001 and expires on
`March 7, 2020.
`This release contains forward-looking statements within the meaning of the "safe harbor" provisions of the Private
`Securities Litigation Reform Act of 1995. These statements address future events and conditions concerning the
`Company's business plans. Such statements are subject to a number of risk factors and uncertainties as disclosed in
`the Company's Annual Report on Form 10-K for the year ended December 31, 2009 including, among others, the
`ability of Network-1 to obtain license agreements from third parties for its patent portfolio, uncertainty of patent
`litigation, the Company's ability to achieve revenues and profits from its patent portfolio, the Company's ability to
`raise capital when needed, future economic conditions and technology changes and legislative, regulatory and
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`competitive developments. Except as otherwise required to be disclosed in periodic reports, the Company expressly
`disclaims any future obligation or undertaking to update or revise any forward-looking statement contained herein.
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`Contacts:
`Network-1 Security Solutions, Inc.
`Corey M. Horowitz, 212-829-5770
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