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5/04/06 (OTC: PRXT) announced today that Proxity Electronic Commerce Systems, LLC (PECS) will immediately launch marketing and sales efforts of the PECS Database, its newly-developed logistics database. Subscriptions to this content-rich electronic commerce database will be available to over 400,000 registered government contractors, as well as to large government purchasers of goods and services.

The PECS Database has been designed to facilitate e-commerce between the government and the private sector, as well as business-to-business transactions. This database contains logistics information on 12 million commercial parts and 7.2 million government unique items, as well as associated Military and Federal Specifications and Standards. The system provides daily email notification to subscribers of open solicitations offered by all elements of the U.S. Government -- the PECS system uniquely provides "one stop shopping" for data associated with solicitation, including drawings, technical characteristics, associated Military and Federal Specifications, history of awards by the Government, and a link from solicitations and specifications to Techstreet, a division of Thomson Scientific, a business unit of the Thomson Corporation, for access to thousands of related non-government standards.

Barry Nelsen, CEO of PECS, states, "The DoD and Federal Agencies send out over a thousand competitive solicitations every day and we monitor all of these for our clients and provide all associated material the user requires to bid on the product or service being solicited by the government." Mr. Nelsen also states that, "PECS will also focus its marketing attention on large purchasing entities within the federal sector, such as the Defense Logistics Agency (DLA), who can also take advantage of our database to expand the number of potential suppliers, which has decreased dramatically over the past ten years." Mr. Nelsen indicated that over that period, DLA has gone from using over 150,000 vendors to relying more on wholesalers and "prime contractors" to acquire over half of the 11.6 billion dollars in products purchased.

Mr. Nelsen projects potential savings by DoD of $2-3 billion dollars annually if the vendor base is expanded and competition increased. PECS Database would also facilitate logistics connectivity directly between the war-fighter and the manufacturer by eliminating steps and costs in the acquisition process.

The PECS Database subscription will initially cost users $120 a month with no annual contract required. Discounts will be offered for enterprise-wide subscriptions.

About Proxity

Proxity, Inc. (OTC: PRXT) is a developmental holding company specializing in the deployment and marketing of security protection technology and government contract fulfillment. Proxity formed Proxity Electronic Commerce LLC and owns 47.5%. The company also owns approximately 16,500,000 shares of Cyber Defense Systems, Inc. (OTC BB: CYDF). Proxity seeks to acquire and develop both internet-based business opportunities and security technology. The Company plans to enter into developmental, teaming and exclusive and nonexclusive marketing and distribution agreements with products developed for Government, commercial, military and homeland defense areas. http://www.proxity.com.

About Proxity Electronic Commerce Systems, LLC (PECS)

PECS was founded in 2005 with the goal of becoming the leader in providing information systems dealing with Government logistics databases and vendor awareness of business opportunities in selling both to the Government as well as industry. The founders of PECS, developers of the PECS Database, are the originators of the current systems of logistics used by industry and the Military including FEDLOGS, Haystack and the ILI Logicom parts database.

The PECS Database provides information on 12 million parts, their suppliers, Government specs and standards as well as non-Government standards, which are linked from the database to the cited standards. The system also provides an alert service on sales opportunities to the Government's 400,000 contractors as well as requisite data used by the Military. For more on Proxity-EC, go to: http://www.proxity-ec.com/

About Techstreet

Techstreet provides mission-critical information resources and information management tools for technical professionals. Through its e-commerce web site and web-based enterprise subscription service, customers can access more than 300,000 industry codes and standards aggregated from over 350 leading Standards Developing Organizations (SDOs) worldwide.

Techstreet is a division of Thomson Scientific, a business unit of the Thomson Corporation. Techstreet and Thomson share the same mission of providing information, technology, and applications to help our customers make better decisions faster. You can read more about Thomson at www.thomson.com.

Forward-Looking Statements:

This release contains statements that constitute forward-looking statements. These statements appear in a number of places in this release and include all statements that are not statements of historical fact regarding the intent, belief or current expectations of the Company, its directors or its officers with respect to, among other things: (i) the Company's financing plans; (ii) trends affecting the Company's financial condition or results of operations; (iii) the Company's growth strategy and operating strategy; and (iv) the declaration and payment of dividends. The words "may," "would," "will," "expect," "estimate," "anticipate," "believe," "intend," and similar expressions and variations thereof are intended to identify forward-looking statements. Investors are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, many of which are beyond the Company's ability to control and those actual results may differ materially from those projected in the forward-looking statements as a result of various factors.

Contact:
Proxity Electronic Commerce Systems, LLC
Barry Nelsen
757-502-8951