Nettel Holdings completes SIP-based IP telephony network and begins providing SIP-based hosted communications solutions to service providers and consumers


VANCOUVER, Wash., August 28, 2003 (PRIMEZONE) -- Nettel Holdings, Inc. (OTCBB:NTTL) today announced that the Company has completed deployment of its SIP (session initiation protocol)-based IP telephony network and is now a provider of SIP-based hosted communications solutions for service providers and consumers.

SIP is an emerging protocol that establishes routes, modifies and terminates communication services over Internet protocol networks. Interactive Intelligence designed the SIP version of its IP telephony system for distributed organizations wanting to reduce costs, simplify communications infrastructure and increase investment protection.

SIP is a relatively new standard with enormous potential. Essentially, it allows a direct connection between two individual users connected to the Internet -- exactly like instant messaging software does currently. However, SIP has the flexibility to include not only one-line messages, but also voice, video, files, and much more.

Beginning September 1, Nettel Telecom will be launching worldwide service for broadband phone users with an unlimited calling plan to anywhere in the United States for only $29.95 per month via Broadband Phone. Additionally, the service will be available worldwide to anyone with access to a broadband Internet connection.

SIP-based IP-phones provide powerful IP functionality, toll-quality clarity, and support a wide variety of traditional and advanced phone and calling features, including an integrated phone book, call history functionality, and multi-line support. The device also includes many features required by business users, including call hold, call transfer, call waiting, and three way calling.

The Nettel Telecom Broadband Phone employs open standards to connect traditional phones to a high-speed Internet connection, giving consumers the experience of regular phone service. Using SIP-based protocols, the Broadband Phone can connect with Cisco Systems' Analog Telephone Adapter (Cisco ATA) or any other SIP-enabled device.

About Nettel Holdings

Nettel Holdings Inc. is a holding company owning subsidiaries engaged in a number of diverse business activities, the most important of which are Telecommunication and Software. The wholly owned subsidiaries of Nettel Holdings are Nettel Telecom International, VoipXchange.net, and EnTec Software. In addition, the Company operates Nettel Trading which offers the trading of Metals, Chemicals, and other commodities.

About VoipXchange.net

VoipXchange.net has partnered with over 1,600 major VoIP network termination partners worldwide to access their network infrastructure that allows VoipXchange.net to provide high-quality, low-cost "any-distance" call termination to over 250 countries and territories. We operate our own, or in cooperation with other providers, a network of VoIP gateways throughout the world. These gateways are located mostly in difficult-to-reach countries or regions and provide local termination of international calls. VoipXchange.net offers this service to any international carrier, interested in reliable and inexpensive completion of its traffic to the voipXchange.net's On-Net destinations.

Safe Harbor:

Except for historical information contained herein, the statements in this news release are forward-looking statements that are made pursuant to the safe harbor provisions of the Private Securities Reform Act of 1995. Forward-looking statements involve known and unknown risks and uncertainties, which may cause a company's actual results in the future to differ materially from forecasted results. These risks and uncertainties include, among other things, the company's ability to attract qualified management, raise sufficient capital, and effectively compete against similar companies.


            

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