Tilgin appointed to deliver IP home gateways to Optima Telekom in Croatia

Tilgin appointed to deliver IP home gateways to Optima Telekom in Croatia

Stockholm, October 16, 2007: Tilgin, a leading provider of customer premises
equipment (CPE) for triple play and IMS based services, has been selected by
Eastern European system integrator DSC and its local partner Optima OSN
Inzenjering to provide leading Croatian alternative operator Optima Telekom with
CPE equipment.

This initial order represents the first commercial sale to Croatia for Tilgin's
Vood 452w gateway for ADSL2+ home connectivity, which will function as an
integrated part of the Optima Telekom network. Tilgin will also provide Optima
its VCM centralized remote management system with TR-069 functionality. This
will enable Optima to deliver a high quality managed VoIP service to its
subscriber base of approximately 100 000 Croatian homes.

Optima Telekom offers residential customers a comprehensive set of integrated
communication solutions based on the latest access technologies.

“Strong sector growth means that European alternative operators like Optima
Telekom are now able to compete on the same playing field as their incumbent
counterparts, and Optima has a clear vision of its role in this developing
Croatian market” says Roland Žuvanić, President of the Board of Optima Telekom.
“The backbone of our core network is made up of the latest cutting-edge
technologies and Tilgin's CPE solutions fit this strategy very well.”

“DSC's decision to utilize Tilgin's equipment for its work with its local
partner Optima OSN Inzenjering and Optima Telekom is a solid endorsement for the
quality of our solutions,” says Ola Berglund, CEO at Tilgin. “It also proves the
success of our developing indirect sales channel. Going forward we will continue
to develop our indirect sales model with both local and global systems
integrators as well as local distributors such as DSC. 

“Using a strong regional distributor is both a cost- and time-efficient way of
winning new business, maintaining middle-sized customers, increasing revenue and
broadening our customer base”, continues Ola Berglund.

Optima Telekom represents the third joint customer win between DSC and Tilgin.
For some time back Tilgin cooperate with DSC in business with the operators T2
in Slovenia and Invitel in Hungary.

― End ―

“This press release has been reported to the Swedish Financial Supervisory
Authority subject to FFFS 2007:11”.

For more information:
Katrin Buhre, PR & IR Manager Tilgin
Phone: +46 8 572 386 86
E-mail: katrin.buhre@tilgin.com

About Tilgin 
Tilgin designs and delivers premier IP customer premises equipment (CPE) for
advanced Triple Play and IMS-based services. Supporting the full convergence of
voice, video and data, Tilgin takes a network systems approach to CPE that
enables service providers to offer a broad range portfolio of dynamic and
differentiated next-generation broadband services. Tilgin's comprehensive
product portfolio of IP residential gateways, set-top boxes and related
management applications, offers service providers unprecedented return on
investment - delivering new service revenues and impressive cost savings over
the lifetime of the product. Tilgin was founded in 1997 under the name i3 micro
technology and listed on the Stockholm Stock Exchange on the Nordic List as of
December 2006. It is headquartered in Kista, Sweden, with southern European
sales representation in France and Germany as well as a U.S. subsidiary in
Seattle. www.tilgin.com

About Optima Telekom
Optima Telekom is the leading alternative fixed communications provider in
Croatia. The company launched services in May 2005 as the first alternative
operator in the country and has captured approximately 13% of the residential
voice market, 10% of key accounts and 16% of SMEs and SOHOs since. Optima aims
to build on its already strong position to become the alternative operator of
choice for fixed voice, line rental, broadband services and corporate services
across all segments of the market. http://www.optima.hr

About Optima OSN Inzenjering 
Optima OSN Inzenjering is a regional system integrator and implementator of
communication systems, business solutions and services that allow enterprises to
build their business around their customers. Optima Inz's history began in 1989,
who's goal is to offer solutions that empower customers and employees, enhance
customer's experience, build strong business relationships and differentiate
business. http://www.optima-inz.com 

About DSC
DSC is one of the largest and fastest-growing regional distribution companies
for telecommunication equipment for residential and business users on Slovenian
and foreign markets. DSC's vision is to fulfill market demands for all needed
equipment in modern Triple-play Access network solutions. Its distribution
network is spread across Slovenia and the South-East European region (Croatia,
Bosnia and Herzegovina, Serbia and Montenegro, Macedonia, Bulgaria, Romania and
Albania). DSC are representing and partnering with best-in-bread
telecommunication vendors such as Tilgin. DSC is based out of Slovenia.
http://www.dsc.si