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Elephant Talk Communications (ETAK) Expands with AirTouch Communications

|Includes: Pareteum Corporation (TEUM)

Yesterday, Elephant Talk Communications announced that it had signed a contract to provide a carrier grade mobile services platform for AirTouch Communications. The contract is under another recent agreement that AirTouch signed with LightSquared, a wholesale carrier that is building a national wireless broadband network. The contract between AirTouch and LightSquared is for 4G LTE wireless services.

Elephant Talk Communications is focused on providing software and services to both the telecommunications and financial services industries. The company’s products range from remote health care services, credit card fraud prevention and mobile internet ID security to discounted phone services. AirTouch is focused on developing smart devices that incorporate voice, data, video, entertainment and security, delivered from multiple service providers. Currently AirTouch holds three patents on their telephone and Wi-Fi technology.

Under the terms of the contract, Elephant Talk will provide the implementation of a Mobile Virtual Network Enabler (MVNE) Platform in the United States that includes a Gateway Support Network (GGSN), IN Intelligent Networking Platform, a Customer Relationship Management platform (NYSE:CRM), a Full Rating & Billing Platform and a STP/Signaling Platform for AirTouch to launch its services in the United States. The announcement of the AirTouch contract comes on the same day that Elephant Talk rang the closing bell at the NYSE, as well as the company’s penetration to nearly one million SIMs in Europe. Elephant Talk also recently conducted a deal in which the company will manage the SIMs of a Spanish virtual network operator.

Elephant Talk Chairman and CEO Steven van der Velden said, “This MVNO is currently active in many European countries where they offer low-cost voice, text and data services, plus low international calling rates. We expect the MVNO will stay ahead of the competition by using our fully integrated mobile platform and all the applications that run on top of it. Elephant Talk offers many advantages to our partners, such as an established and proven record in several deployment models and geographies, integrated organization, flexibility, and lower total cost of ownership, avoiding awkward, expensive hardware upgrades and software licensing renewals. We look forward to expanding our footprint in the United States in conjunction with AirTouch and its partner, LightSquared.”

van der Velden added, “This mass migration was completed without the need to replace the subscriber SIM card and brings the number of SIMs Elephant Talk manages to close to 1 million, with more than 800,000 now generating monthly revenue. The migration, to the best of our knowledge, is the largest-ever migration worldwide without swapping out the SIM card. In fact, we believe that we are the only managed services company in the world that has completed such a large process successfully. Elephant Talk’s ability to effectively migrate users while achieving a maximum set of low-cost, state-of-the-art functionality, strongly positions us to secure similar contracts in the near term.”

Hide Kanakubo, AirTouch CEO, said, “We are extremely pleased to be affiliated with Elephant Talk, which has a strong, international track record of providing its partners with a full suite of integrated support coupled with cutting-edge technology, all at affordable rates.”

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