Telecom News --

Synchronica wins fifth contract in Latin America

12 May, 2010

Synchronica plc, the AIM listed mobile email, instant messaging and data synchronisation provider, announces that it has received a purchase order for a mobile operator (“the Operator”) in Argentina for its award winning product, Mobile Gateway.

The purchase order has been secured through Synchronica’s distributor Brightstar Corp. and is the fifth mobile operator win in Latin America and the sixth contract announced by the Company in 2010.

Under the contract, the Operator will pay a service fee of up to US$0.36 per registered user per month. Synchronica will also provide professional services for customization, deployment and training of Synchronica products which will be charged on a time and material basis.

The operator will use Synchronica’s Mobile Gateway technology to offer a push email and synchronisation service to its more than 13m subscribers, and is scheduled to launch the service in May 2010 with a trial period free of charge to the end user to promote the service. Synchronica’s industry-standard technology requires no additional software to be downloaded to the handset and enables push email for the broadest range of handsets, from high-end Smartphones to low-cost entry level devices.

This contract is the third win through Synchronica’s strategic distribution partner, Brightstar Corp., a global leader in customised distribution and integrated supply chain solutions for the wireless industry.

According to research compiled by the IE Market Research Corporation (“IEMR”) on Argentina, subscriber growth over 2008 was 13.1% ahead of the industry average. IEMR forecast total wireless subscribers will increase from 43.6m in 2008 to 48.8m in 2013.

Carsten Brinkschulte, CEO of Synchronica, said, “Our fifth contract win in this region clearly demonstrates the attractiveness of Synchronica’s Mobile Gateway product in offering mass-market data services on the entire mobile phone device range, from high-end to low-end mobile phones. Mobile phone penetration in Argentina is already the highest in the region, however by introducing data services to the mass market, the operator can use Mobile Gateway to help increase ARPU and tackle the level of churn present in emerging markets.

“We are very pleased with this new contract as we feel there is good potential for demand from the Operator and we are looking forward to building a growing recurring revenue stream from this contract for Synchronica.”

-end-

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