SOPHIA ANTIPOLIS, FRANCE & SAN JOSE --(BUSINESS WI, March 7, 2005 - Serverless telephony pioneers, Popular Telephony Inc., has signed a major licensing agreement with UP Technologies (UP Tech) of Beijing, China to provide Peerio(TM)-enabled end-to-end VoIP solutions.

UP Tech's expanding portfolio of softphones, terminal adaptors, Internet access devices, IP phones, PSTN phones and mobility connectivity services will integrate the award-winning Peerio(TM) serverless technology as a standard feature set providing UP Tech's product range with complete serverless capability.

The Peerio core technology eliminates the need for any centralized server and allows any IP phone, Personal Computer (PC), endpoint or other terminal to interconnect and materialize into a bespoke communications system that is self-servicing, self-healing, redundant, and secure. The Peerio autonomous telephony architecture also brings greater efficiency for communications, as well as offering substantial cost-effectiveness, with savings of up to 80% on system purchase and application costs.

A Peerio intelligent device or system can support the widest possible range of telephony features and services by delivering up to 250 features and scaling to over 4 billion lines. Recently voted product of the year by Internet Telephony Magazine, Peerio(TM) is rapidly becoming the foundation of serverless communications.

Based in China, UP Tech is a global company with a recognized family of IP communication products. The company brings a wealth of R&D talent, seasoned management and established regional expertise to the fast growing domain of serverless communications. By partnering with Popular Telephony for Peerio, UP Tech will receive the ability to enhance their entire product portfolio and facilitate their expansion from hardware manufacturer to becoming a consolidated service provider.

UP Tech's latest VoIP solutions include IP terminal adaptors that allow customers to use PSTN (or analog) phones as IP devices, residential IP phones as softphone alternatives and extensive mobility connectivity services. With a current user-base of over 400,000, UP Tech's value-added VoIP services provide low cost and high performance IP communication via their branded uuPhone product. Integrated Peerio(TM) technology in all UP Tech products and services will give their residential and enterprise customers access to highly intelligent, self-managing, self-healing telephony devices for serverless, peer-to-peer communications and networking.

"Popular Telephony's Peerio product has the potential to change how communication is done on a grand scale. The concept is powerful with the economics on its side. It eliminates the complexity and the server dependency of legacy circuit switched networks and reduces the costs associated with them. We are excited about the potential opportunities Peerio may bring to the Chinese market," says Chareleson Zheng, CEO of UP Tech.

"UP Tech provides outstanding hardware solutions today and by Peerio-enabling their existing product portfolio they are now able to provide value-added services without the need for any investment in expensive, centralized telephony systems," says Popular Telephony's marketing director, Gavin McFadyen. "We are thrilled to expand our presence in China with this important partnership."

About Popular Telephony
Popular Telephony Inc., recently named to the Pulver 100, is a privately held VoIP telecommunications middleware company that focuses on bringing true serverless communications technology to the communications market. With a strong patent portfolio and a leadership team led by Internet Telephony industry veterans, the company aims to be the leader in peer-to-peer telephony technology.

Popular Telephony is a U.S registered corporation with offices in New York, France and Israel. For more information about Popular Telephony, visit the company's web site at: www.populartelephony.com

About UP Tech
United Platform Technologies (China) Ltd. (UP Tech) is a start-up company funded by top tier venture capitalists. UP Tech has a presence in the both US and China, with two state of the art R&D centers in Beijing and Shenzhen. These strategic locations provide ideal settings for R&D and manufacturing for our ODM/OEM customers around the globe.

UP Tech leverages its strong technology sourcing and R&D capabilities to integrate technologies from the United States, Europe and Asia into revenue generating solutions for communication service providers, large enterprises and government in China.

Founded in February 2003 and headquartered in Beijing, UP Tech provides high-level products and solutions to the world. For more information about UP Tech, visit the company's website at: www.uptech.com.