Exhibit 99.1

Digital Recorders, Inc. Announces Advanced Training Classes for Forensic Audio
Products

     DALLAS--(BUSINESS WIRE)--September 29, 2004--

            Digital Audio Corporation Business Unit Training Program
               Successfully Targets Global Law Enforcement Markets

     Digital Recorders, Inc. (DRI) (Nasdaq:TBUS), a market leader in transit,
transportation and law enforcement digital communications and audio enhancement
systems, announced today that its Digital Audio Corporation (DAC) business unit
in Research Triangle Park, N.C., recently held its first "Advanced DAC School"
forensic audio training course in North Carolina, and that additional training
sessions will be held this year for customers in the United Kingdom and
Australia.
     "All of DAC's 2004 training programs, including its basic- and
advanced-level courses, have been booked to capacity, indicating strong customer
interest in DAC's forensic audio solutions and proven ability to provide
technological innovations that meet both the current and future audio
clarification needs of the law enforcement market," David L. Turney, the
Company's Chairman, Chief Executive Officer, and President, said. "Although
these training programs do not generate any significant direct revenues, the
Company believes they are a valuable tool for developing and strengthening
relationships with existing and potential customers and gauging market reaction
to DAC's products."

     About Advanced DAC School

     For more than a decade, DAC has provided a basic forensic audio training
program to law enforcement customers. In September 2004, in response to requests
from customers worldwide, DAC began offering its advanced training program,
Advanced DAC School, which focuses on topics such as advanced signal processing
theory and forensic acoustics. In addition, Advanced DAC School provides
laboratory training with actual DAC equipment and real-world audio recordings to
enable customers to hone their skills in advanced clarification techniques. The
course is an integral part of DAC's strategy to provide ongoing forensic audio
technology training and support to local, state, federal, and international law
enforcement and security communities.

     About the DAC Business Unit

     Founded in 1979 and acquired by DRI in 1995, the DAC business unit is a
leading provider of forensic audio solutions for law enforcement, intelligence,
military, and security organizations in a number of countries across the globe.
DAC, which is based in Research Triangle Park, N.C., designs, develops,
manufactures and sells audio technologies to support audio collection,
enhancement, and countermeasures applications. For more information about DAC
products, go to www.dacaudio.com.

     About the Company

     Digital Recorders, Inc. is a market leader in transit, transportation and
law enforcement or security digital communications and audio enhancement systems
using proprietary software applications. Our products improve the flow and
mobility of people through transportation infrastructure, mitigate security
threats, and enhance law enforcement agencies' surveillance capabilities. Our
transit communications products -- TwinVision(R) and Mobitec route destination
signage systems, Talking Bus(R) voice announcement systems, Internet-based
passenger information systems, and computer aided dispatch/ automatic vehicle
locating and monitoring systems -- enhance public transportation and mitigate
security threats worldwide. Our electronic surveillance tools, including
microphone amplifiers and processors, countermeasures devices, speech activity
detectors, and radio/television noise cancellers, help law-enforcement agencies
around the globe detect, capture, arrest and prosecute criminals. For more
information about DRI and its operations worldwide, go to www.digrec.com.

     Forward-Looking Statements

     This press release contains "forward-looking statements" within the meaning
of the Private Securities Litigation Reform Act of 1995. In particular, any
statement, express or implied, concerning future events or expectations is a
forward-looking statement. Use of words such as "expect," "fully expect,"
"expected," "appears," "believe," "plan," "anticipate," "would," "goal,"
"potential," "potentially," "range," "pursuit," "run rate," "stronger,"
"preliminarily," etc., is intended to identify forward-looking statements that
are subject to risks and uncertainties, including those described below. There
can be no assurance that any expectation, express or implied, in a
forward-looking statement will prove correct or that the contemplated event or
result will occur as anticipated. It is important to note the Company's actual
results could differ materially from those contemplated in the Company's
forward-looking statements as a result of various factors. Among other factors,
the Company's results will be affected, perhaps materially, by general economic
conditions, the availability of national government assistance and funding to
local transportation authorities, the adoption and implementation of regulations
concerning public transportation services, product demand and market acceptance
risks, the effect of import, licensing and trade restrictions, the results of
implementing the Company's business plan, the impact on the Company of its
relationship with its lenders, the plans and prospects of competitors, the
impact of competitive products and pricing, currency fluctuations, infringement
by third parties of the Company's trade secrets and other intellectual property,
the burdens and costs of defending against potential infringement claims against
the Company, and our ability to attract and retain personnel. Refer to the
Company's various Securities and Exchange Commission filings, such as its Forms
10-Q and 10-K, for further information about forward-looking statements and
risks associated with the Company's business.

     CONTACT: Digital Recorders, Inc., Dallas
              Veronica B. Marks, 214-378-4776
              Fax: 214-378-8437
              veronicam@digrec.com