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KonaTel's Infiniti Mobile Division Expands its Lifeline Program into the State of Kentucky

Adds Eighth State to IM Telecom's Footprint, With Access to 530,000 Eligible and Currently Unserved Consumers


News provided by

KonaTel, Inc.

Jul 30, 2019, 08:00 ET

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DALLAS, July 30, 2019 /PRNewswire/ -- KonaTel, Inc. (OTCMKTS: "KTEL") (www.konatel.com), a voice/data communications holding company, today announced that its wholly owned subsidiary, IM Telecom, LLC d/b/a Infiniti Mobile (www.infinitimobile.com), a Federal Communications Commission ("FCC") approved wireless Lifeline service provider, has been authorized to expand its Lifeline services into the state of Kentucky.

The addition of Kentucky increases the Company's footprint, in which it is licensed to conduct business under the Lifeline program, to eight states, including Georgia, Kentucky, Maryland, Nevada, Oklahoma, South Carolina, Vermont and Wisconsin. There are over 675,000 households in Kentucky that are eligible for lifeline service, of which only 20% are currently served. This provides an opportunity of over 530,000 unpenetrated households to target with our services. Of the eight states in which Infiniti Mobile is now licensed, Kentucky is the second-largest state in terms of both eligible Lifeline consumers and consumers currently unserved.

The Lifeline program was created under President Ronald Reagan as part of the 1984 Telecommunications Act to help low-income American households obtain voice & data connectivity services needed to participate and function in today's digital world. The program is funded through Universal Service fees collected by telecom carriers, administered by the Universal Service Administrative Company ("USAC") under guidance from FCC.

Federal funds provide $9.25 per month for each eligible household under the Lifeline program. In addition, the state of Kentucky provides an added reimbursement of $3.50 per line. This state reimbursement of $3.50 per line results in incremental revenue and margin to Infiniti Mobile on an ongoing basis.

"We continue to expand our presence in the Lifeline market, leveraging our position as one of the few telecom carriers with an FCC approved Compliance Plan (license) to provide Lifeline services, as well as the in-house experience in managing a successful Lifeline operation," said Chuck Schneider, President/CEO of IM Telecom. "The opportunity in Kentucky is significant, and the state reimbursement provides an incentive to grow our presence in this market, in which approximately 80% of the eligible consumers are currently unserved."

"Infiniti Mobile and Lifeline continue to provide KonaTel with a reliable source of revenue that is resistant to economic downturns," said KonaTel Chairman/CEO Sean McEwen. McEwen added, "Adding a large and underserved state like Kentucky represents an important achievement."

About KonaTel

KonaTel provides a variety of retail and wholesale telecommunications services including mobile voice/text/data service supported by national U.S. mobile networks, mobile numbers, SMS/MMS services, and IoT mobile data service. KonaTel's other subsidiary, Apeiron Systems (www.apeiron.io), is a global cloud communications service provider employing a dynamic "as a service" (CPaaS/UCaaS/CCaaS/PaaS) platform. Apeiron provides voice, messaging, network and platform products using innovative network and software designs. All Apeiron's services can be accessed through legacy interfaces and rich communications APIs. KonaTel is headquartered in Dallas, Texas.

Safe Harbor Statement

This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements are not a guarantee of future performance or results, and will not necessarily be accurate indications of the times at, or by, which such performance or results will be achieved. Forward-looking statements are based on information available at the time the statements are made and involve known and unknown risks, uncertainties and other factors that may cause our results, levels of activity, performance or achievements to be materially different from the information expressed or implied by the forward-looking statements in this press release. This press release should be considered in light of the disclosures contained in the filings of KonaTel and its "forward-looking statements" in such filings that are contained in the EDGAR Archives of the SEC at www.sec.gov.

Contacts
D. Sean McEwen
(214) 323-8419
[email protected]

SOURCE KonaTel, Inc.

Related Links

http://www.konatel.com

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