Partnership with System Integrator Wins Major Aeronautical Customer: China VoIP & Digital Telecom's Cooperative Strategy Helps Penetrate New Market

JINAN, China, June 18 /PRNewswire-Asia-FirstCall/ -- China VoIP & Digital Telecom, Inc.'s (OTC Bulletin Board: CVDT) wholly-owned subsidiary Jinan Yinquan Technology Co., Ltd (Yinquan) announced today that its alliance system integrator (the SI) has signed a virtualization agreement with the Research Institute for Special Structures of Aeronautical Composite (RISAC) AVIC in Jinan, which selected the cooperative technology group to launch its integrated datacenter virtualization solution. This is the first time for CVDT to provide solution to the aeronautical customer.

Cooperating with SIs is a new marketing approach for CVDT. These alliances allow the company to gain access to more government and enterprise customers which in turn increases its market share. In addition, the alliances with system integrators also give Yinquan the market penetration of large companies and government, but allow the business to remain lean and quick.

Yinquan provides the SIs with turn-key technology solutions along with a comprehensive package of technical support to help their SIs implement CVDT's virtualization solutions. China VoIP & Digital Telecom also offers training to the SIs on pre-sale techniques, solution design, software delivery and set-up. With leading technical implementation capabilities and preferred pricing, CVDT can provide not only specific solutions and services to end users, but also assistance to SIs in implementing virtualization projects.

Mr. Kunwu Li, President and CEO of CVDT, is very pleased with the success of this alliance. He said, "We are glad to see our turn-key solution has helped our SIs to expand their businesses. Yinquan played a very important role in assisting the SI in this case. Using our own sales force and leveraging our SI partners, we plan to accelerate our market share growth, which will create a solid foundation for CVDT's long-term development in the virtualization industry. I am very confident that our SIs will win more numerous and successful contracts in the future."

The Research Institute for Special Structures of Aeronautical Composite (RISAC) AVIC is a unique scientific research institute in the aviation industry in Shandong Province.

About China VoIP & Digital Telecom Inc.

China VoIP & Digital Telecom Inc. offers virtualization technology application in the People's Republic of China through its wholly owned subsidiary Jinan Yinquan Technology Co., Ltd and Beijing PowerUnique Technologies, Co., Ltd. Through the two subsidiaries, China VoIP & Digital Telecom is well positioned to take full advantage of the tremendous economic growth currently being experienced in China. The Company is currently marketing its integral virtualization solutions and services in China and at this time is in the testing stages of other Information Technology products. More information can be found at http://www.chinavoip-telecom.com .

About Virtualization Technology

Virtualization is a proven software technology that is rapidly transforming the IT landscape and fundamentally changing the way people compute.

Today's powerful x86 computer hardware was originally designed to run only a single operating system and a single application, but virtualization breaks that boundary, making it possible to run multiple operating systems and multiple applications on the same computer at the same time, increasing the utilization and flexibility of hardware.

Virtualization is a technology that can benefit anyone who uses a computer, from IT professionals and Mac enthusiasts to commercial businesses and government organizations. Millions of people around the world use virtualization to save time, money and energy while achieving more with the computer hardware they already own.

Safe Harbor Statement

Certain of the statements made in this press release constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements can be identified by the use of forward-looking terminology such as 'believe,' 'expect,' 'may,' 'will,' 'should,' 'project,' 'plan,' 'seek,' 'intend,' or 'anticipate' or the negative thereof or comparable terminology. Such statements typically involve risks and uncertainties and may include financial projections or information regarding our future plans, objectives or performance. Actual results may sometimes differ materially from the expectations reflected in such forward-looking statements as a result of a variety of factors, including the risks associated with the effect of changing economic conditions in The People's Republic of China, variations in cash flow, reliance on collaborative retail partners and on new product development, variations in new product development, risks associated with rapid technological change, and the potential of introduced or undetected flaws and defects in products, and other risk factors detailed in reports filed with the Securities and Exchange Commission.

    For more information, please contact:

    CVDT Investor Contacts:
     Michelle Wong
     Phone: +86-531-5558-5742
     Email: [email protected]

    Great Wall Research LLC
     Dina Ding
     Phone: +1-203-252-7266
     Email: [email protected]

SOURCE China VoIP & Digital Telecom Inc.