INTEGRATED SECURITY SYSTEMS, INC.

ANNOUNCES

EXPLORATION OF STRATEGIC

BUSINESS ALTERNATIVES

Carrollton, Texas – July 23, 2007 – Integrated Security Systems, Inc. (OTCB:IZZI) today announced that it is exploring strategic alternatives and opportunities to enhance shareholder value and expand market presence, which may include a possible sale of all or part of the Company.  The Company has not engaged the assistance of a financial advisor to facilitate the consummation of any specific transaction and there is no definite timetable for the process. 

Over the past several months, the Company has been approached by and engaged in preliminary discussions with multiple parties regarding a possible sale of all or part of the Company. To date, however, these discussions have not resulted in definitive offers but remain ongoing. The primary objective of the discussions is to enhance the value of the company for the benefit of the shareholders as well as improving market and product coverage.

In addition, the Company is exploring a wide range of other strategic alternatives and alliances to enhance shareholder value and market position. The actions announced today may not result in any changes to the Company’s current or future plans or operations. The Company remains committed to the long-term growth of it’s security solutions and technologies while maintaining the highest possible levels of customer satisfaction and support.  There is also no assurance that any transaction will be consummated.

About ISSI

Headquartered in Carrollton, Texas, ISSI is a technology company that provides products and services for homeland security needs.  ISSI also designs, develops and markets safety equipment and security software to the commercial, industrial and governmental marketplaces.  ISSI’s Intelli-Site® provides users with a software solution that integrates existing subsystems from multiple vendors without incurring the additional costs associated with upgrades or replacement.  Intelli-Site® features a user-defined graphics interface that controls various security devices within one or multiple facilities.  ISSI is a leading provider of anti-terrorist barriers, traffic control and safety systems within the road and bridge and perimeter security gate industries.  ISSI designs, manufactures and distributes warning gates, lane changers, airport and navigational lighting and perimeter security gates and operators.  ISSI conducts its design, development, manufacturing and distribution activities through three wholly owned subsidiaries:  B&B ARMR, Intelli-Site, Inc. and DoorTek Corporation.  For more information, please visit www.integratedsecurity.com, www.bb-armr.com www.bbroadway.com www.intelli-site.com, or www.doortek.com.

Cautionary Note Regarding Forward Looking Statements

This release contains forward-looking statements relating to expectations, plans,  or prospects for the Company that are based upon the current expectations and beliefs of the Company’s management and are subject to certain risks and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements.  The exploration of strategic alternatives by the Company’s Board may not result in a transaction that the Board would support or one that would garner shareholder approval.

Notwithstanding changes that may occur with respect to matters relating to any forward looking statements, the Company does not expect to, and disclaims any obligation to, update such statements.  The Company, however, reserves the right to update such statements or any portion thereof at any time for any reason.

In particular, the following factors, among others, could cause actual results to differ materially from those described in the forward-looking statements: (a) whether the exploration of strategic alternatives will result in a transaction or course of action; (b) the ability to make changes in business strategy, development plans and product offerings to respond to the needs of our current, new and potential customers, suppliers and strategic partners; (c) the ability to improve sales productivity; (e) the ability to continue to sell our existing products and enhancements; (d) the ability to develop and commercialize new products; and (e) increased competition and pricing pressures on our products.

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