EXHIBIT 99.2

For further information contact:

                  CRYSTAL REVAK
                  SMARTDISK CORPORATION
                  (239) 436-2591
                  CRYSTAL.REVAK@SMARTDISK.COM

                         SMARTDISK CORPORATION ANNOUNCES
                 PRICING RELATED TO ITS PROPOSED RIGHTS OFFERING

         Naples, Fla., December 27, 2002 - SmartDisk Corporation (NASDAQ: SMDK),
a company that develops portable products for capturing, organizing, using, and
preserving digital content, announced today that it plans to continue with its
previously announced rights offering to its existing stockholders. Upon
effectiveness of the registration statement filed with the SEC, the Company will
distribute to its stockholders as of the close of business on January 29, 2003
1.25 non-transferable rights for each share of its common stock. Each right will
entitle the holder to purchase one share of common stock at $0.32 per share,
payable in cash or shares of the Company's Series A Redeemable Convertible
Preferred Stock.

         Under the proposal, any stockholder who fully exercises their rights
may oversubscribe for additional shares of common stock at the same purchase
price. The registration statement covers a proposed maximum offering of
$7,500,000 of the Company's common stock.

         The Company anticipates that the rights offering will begin as soon as
practicable following effectiveness of the registration statement filed with the
SEC, and will continue for approximately thirty days thereafter. The Company
plans to use the proceeds of the rights offering for general working capital
purposes and to improve liquidity.

         The securities are being offered by the Company and represent new
financing for the Company. Stockholders will receive a prospectus and
subscription materials in the mail, or they may contact the Company's Director,
Corporate Communications, Crystal Revak, at (239) 436-2591.

         A registration statement relating to these securities has been filed
with the Securities and Exchange Commission but has not yet become effective.
These securities may not be sold nor may offers to buy be accepted prior to the
time the registration statement becomes effective.

         The rights offering will only be made by means of a prospectus. This
press release shall not constitute an offer to sell or the solicitation of an
offer to buy these securities, nor shall there be any sale of these securities
in any state in which such offer, solicitation, or sale would be unlawful prior
to registration or qualification under the securities laws of any such state.

         This press release includes statements that may constitute
forward-looking statements made pursuant to the safe harbor provisions of the
Private Securities Litigation Reform Act of 1995. Although the Company believes
the expectations contained in such forward-looking



statements are reasonable, it can give no assurance that such expectations will
prove correct. These statements may involve risks and uncertainties that could
cause actual results to differ materially from expected results. Such risks
include, but are not limited to, risk factors described in the prospectus and in
the Company's periodic and other filings made with the SEC. The Company assumes
no obligation to update the forward-looking statements contained in this press
release.

ABOUT SMARTDISK CORPORATION

         SmartDisk develops, manufactures, and markets a range of advanced
consumer electronic products and software solutions that are designed to
simplify the digital lifestyle. The Company's products help users transfer,
store, manage and share digital music, video, pictures and data. Headquartered
in the U.S., with operations in Europe and Asia, SmartDisk sells and supports
its products worldwide. For more information, go to http://www.smartdisk.com.