Press Release: Datavault AI Reports Second -2-

This press release contains "forward-looking statements" (within the meaning of the Private Securities Litigation Reform Act of 1995, as amended, and other securities laws) about Datavault AI Inc. ("Datavault AI," the "Company," "us," "our," or "we") and our industry that involve risks and uncertainties. In some cases, you can identify forward-looking statements because they contain words, such as "may," "might," "will," "shall," "should," "expects," "plans," "anticipates," "could," "intends, " "target," "projects," "contemplates," "believes," "estimates," "predicts," "potential," "goal," "objective," "seeks," "likely" or "continue" or the negative of these words or other similar terms or expressions that concern our expectations, strategy, plans or intentions. The absence of these words does not mean that a statement is not forward-looking. Such forward-looking statements, including, but not limited to, statements regarding future events, the Company's revenue target for fiscal 2026, the expected operational, technical and commercial outcomes of the Company's commercial strategy, the potential for Datavault AI to successfully deploy its technologies and gain market share in such markets, the potential for Datavault AI to anticipate market trends, exploit business opportunities and create value for customers, our business opportunities and prospects, strategy and plans, future operations and revenue expectations, future costs, future financial condition, objectives of management, licensing, co-development, collaboration and/or strategic partnership initiatives, recent funding and/or equity investments, expected market growth and MA activities, including the pending acquisition of CyberCatch Holdings, Inc. ("CyberCatch"), statements regarding the expected benefits, synergies and value creation from such acquisition, the anticipated timing of its closing, the ability to satisfy applicable closing conditions, including, without limitation, any required stockholder approvals under applicable securities laws or the rules and regulations of the applicable trading market, absence of any injunction or other law or order prohibiting such transaction, absence of pending litigation challenging or seeking to restrain such transaction, execution and delivery of key-party agreements, and required employee and consultant waivers and replacement offer letters, the anticipated integration of NYIAX and CyberCatch, the proposed issuance, timing and listing of $QEST utility tokens and the expectation that the total tokenized value of the Project Qestrel program will exceed $1 billion, the completion of the proposed nationwide buildout of SanQtum and Project Qestrel, and the expected impact of the foregoing transactions, initiatives or arrangements on the Company's business, operations, financial condition and results of operations, are necessarily based upon estimates and assumptions that, while considered reasonable by the Company and its management, are inherently uncertain. Readers are cautioned not to place undue reliance on these and other forward-looking statements contained herein.

Actual results may differ materially from those indicated by these forward-looking statements as a result of various risks and uncertainties including, but not limited to, the following: the risk that the Company will not achieve its full year 2026 revenue target; risks related to our ability to deploy our technologies and gain market share in our target markets; the risk that Datavault AI will incorrectly anticipate market trends and/or fail to successfully exploit business opportunities; the risk that regulatory changes with respect to digital assets may negatively impact the markets in which Datavault AI operates, or fail to drive revenue growth to anticipated levels; risks that the CyberCatch acquisition may not be completed on the anticipated terms or timeline, or at all; risks that the anticipated benefits, synergies or value creation from the acquisition of NYIAX and/or the pending acquisition of CyberCatch will not be realized or will not be realized within the expected timeframe; risks associated with integrating NYIAX, and/or CyberCatch; risks that management's attention and resources will be diverted from existing operations; the risk that anticipated exchange launches may be delayed or that contracted opportunities may not convert into commercial activity and recognized revenue; the risk that the Company may be unable to issue or list $QEST tokens, obtain required regulatory clearances or achieve the expected tokenized value for Project Qestrel; risks that the nationwide SanQtum and Project Qestrel buildout will be delayed, not completed or not perform as expected; risks arising from dependence on third parties, including Available Infrastructure; changes in market demand for Datavault AI's services and products; changes in economic, market, or regulatory conditions; risks relating to evolving regulatory frameworks applicable to tokenized assets; risks associated with technological development and integration; and other risks and uncertainties as more fully described in Datavault AI's filings with the SEC, including its Annual Report on Form 10-K for the year ended December 31, 2025 and other filings that Datavault AI makes from time to time with the SEC, which are available on the SEC's website at www.sec.gov, and could cause actual results to vary from expectations.

The forward-looking statements made in this press release relate only to events as of the date on which the statements are made. Datavault AI undertakes no obligation to update any forward-looking statements made in this press release to reflect events or circumstances after the date of this press release or to reflect new information or the occurrence of unanticipated events, except as required by law. Datavault AI may not actually achieve the plans, intentions or expectations disclosed in its forward-looking statements, and you should not place undue reliance on such forward-looking statements. Datavault AI's forward-looking statements do not reflect the potential impact of any future acquisitions, mergers, dispositions, joint ventures or investments it may make.

DATAVAULT AI INC. CONDENSED CONSOLIDATED BALANCE SHEETS (in thousands, except share and per share data) (unaudited)

June 30, 2026 December 31, 2025 --------------- --------------------- Assets Current Assets: Cash and cash equivalents $ 1,400 $ 2,004 Accounts receivable 3,598 888 Related party receivable 24,040 30,000 Unbilled accounts receivable 621 1,705 Inventories 942 636 Note receivable 1,900 -- Crypto assets 49,016 92,222 Deferred offering costs 5,245 5,500 Prepaid software license, current 8,084 7,759 Prepaid expenses and other current assets 40,115 2,159 ---------- -------------- Total current assets 134,961 142,873 Property and equipment, net 2,452 606 Intangible assets, net 100,235 94,816 Goodwill 27,285 19,135 Prepaid software license, noncurrent 5,158 6,956 Investments in non-marketable securities 1,892 4,300 Deposit for business combination -- 1,000 Other assets 4,659 5,018 ---------- -------------- Total assets $ 276,642 $ 274,704 ========== ==============

Liabilities and Stockholders' Equity Current Liabilities: Accounts payable $ 9,705 $ 10,832 Accrued liabilities 11,549 11,002 Due to related party 788 98 Short-term convertible note payable, related party 3,680 3,936 Short-term promissory notes 1,544 1,013 ---------- -------------- Total current liabilities 27,266 26,881 Convertible notes payable -- 5,917 Other liabilities 3,482 3,932 ---------- -------------- Total liabilities 30,748 36,730 ---------- -------------- Commitments and contingencies (Note 9) Common stock, par value $0.0001; 2,000,000,000 shares authorized; 854,456,625 and 573,438,153 shares issued and outstanding as of June 30, 2026 and December 31, 2025, respectively 87 59 Additional paid-in capital 764,408 615,360 Accumulated deficit (518,601) (377,445) ---------- -------------- Total stockholders' equity 245,894 237,974 ---------- -------------- Total liabilities and stockholders' equity $ 276,642 $ 274,704 ========== ==============

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August 19, 2026 07:44 ET (11:44 GMT)