SAN ANTONIO, Jan. 20, 2005 (PRIMEZONE) -- ATSI Communications, Inc. (OTCBB:ATSX) announced today that it has recently upgraded its NexTone powered VoIP network with the latest version of NexTone's Multiprotocol Signaling Switch ("MSW") and Multiprotocol Session Controller ("MSC"), allowing the company to continue to grow and the ability to now provide connectivity to the rapidly expanding broadband user market. As a result of the dramatic business benefits ATSI has achieved utilizing NexTone's MSW and MSC, the two companies are working together to develop a case study describing the deployment and outlining the success ATSI has experienced as a result of the company's use of NexTone's products.
ATSI's recent software enhancement to its NexTone technology allows broadband users, including consumers and businesses, the ability to connect to ATSI's NexTone system. Today, firewalls and network address translation (NAT) devices deployed within broadband users' home or business do not have the intelligence to fully process real-time voice traffic. Now, NexTone's NAT Proxy (NPX) enables the secure connectivity between broadband users (cable and DSL) and ATSI's network while also overcoming the disruptive technical barrier commonly found within broadband networks.
Ruben Caraveo, VP of Sales and Operations at ATSI stated, "Broadband voice-over-IP ("VoIP") companies are offering a lower cost alternative to traditional telephone services, which is creating a buzz in the telecommunications industry. Unlike some of the incumbent providers that are incurring huge costs to migrate from traditional networks to VoIP, ATSI is starting one step ahead of the competition by making its initial product offering cutting edge. Early adopters, like ATSI, can leverage technology from companies such as NexTone to deliver state-of-the-art services to consumers and enterprise customers. We are excited about the potential benefits this recent network enhancement brings to Telefamilia, ATSI's retail initiative."
ATSI has experienced significant growth utilizing NexTone's technology, including the following successes, documented over the past few months:
-- ATSI Revenues Up 435% - Positive Trend in VoIP Business
Continues - January 12, 2005
-- ATSI Revenues Up 130% Quarter Over Quarter, 1022% Increase
Over Previous Year's 1st Quarter - December 9, 2004
-- 800% Surge in Monthly VoIP Call Volume Since Deploying
NexTone System - November 4, 2004
Arthur L. Smith, President and CEO of ATSI, stated, "We attribute our recent success and growth largely to the deployment of NexTone's products and are pleased to work with them in evangelizing the benefits carriers can realize through the implementation of session management technologies. Our goal is to broaden the scope of our current success in the carrier-to-carrier market segment and expand our services to deliver a higher-margin consumer-based solution."
ATSI Communications, Inc. is an emerging international carrier serving the rapidly expanding niche markets in and between Latin America and the United States, primarily Mexico. ATSI believes that it has clear advantages over its competition through its unique concession license in Mexico, interconnection and service agreements, and strategic partnerships with established carriers and network operators in Latin America.
About NexTone
NexTone Communications develops carrier-grade products that deliver scalable control of real-time IP services, such as voice over IP (VoIP). NexTone solutions enable carriers, service providers, and enterprises to securely, simply, and cost-effectively interconnect networks for end-to-end control and management of IP traffic. NexTone's real-time IP technology has been installed by more than 200 service providers worldwide to dramatically reduce capital expenditures and deliver ongoing operational efficiencies, such as reduced interconnect "turn-up" time and simplified network operations. For its ability to anticipate the growing need for multiprotocol session control and its impressive market traction, NexTone was awarded the 2004 Frost and Sullivan Market Penetration Leadership Award. The company is headquartered in Gaithersburg, Maryland USA with domestic and international sales offices worldwide. For more information, visit www.nextone.com.
This news release contains forward-looking statements. These statements describe management's beliefs and expectations about the future. We have identified forward-looking statements by using words such as "expect," "believe," and "should." Although we believe our expectations are reasonable, our operations involve a number of risks and uncertainties, and these statements may turn out not to be true. More detailed information about ATSI Communications, Inc. is available in the Company's public filings with the Securities and Exchange Commission.