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Telecom Communications, Inc. Offering Total Solutions in China Internet Market

Posted on: Wednesday, 30 June 2004, 06:00 CDT

NEW YORK, June 30 /PRNewswire-FirstCall/ -- Telecom Communications, Inc. (BULLETIN BOARD: TCOM) today announced a new business model offering Integrated Communications Network Solutions and becoming a Content Service Provider called Total Solutions. Telecom also announces the acquisition of SMS/MMS Call Center CRM System, a software system providing SMS/MMS over wireless protocol and Voice over Internet Protocol (VoIP) solutions to businesses. Under the terms of the agreement, Telecom will provide approximately $1.1 million in capital to software developer Gold Swallow Shop Limited.

"Today marks a significant achievement in Telecom's history as the completion of this acquisition moves Telecom from being a revenue sharing business model with service partner of a telecom operator to an Integrated Communications Network Solutions and Contents Service Provider," said Shanhe Yang, Vice-president for Product Developments of Telecom. "

Telecom signed a three year contract valued at approximately $4.32 million with Taikang Corp. last month. Telecom projects to receive a total solutions license fee $3.96 million plus $0.36 million in support fees. The result of purchasing this SMS/MMS Call Center CRM System creates a fixed revenue of $120,000 monthly over 36 months.

The closing of the deal has no effect on SMS/MMS Call Center CRM System's existing customers as they will continue to receive the same services, but under the Telecom brand. Telecom plans an aggressive expansion of Total Solutions to application service provider master license fee business model to more than 10 of the top integration of contents, networking database and software system before or on the end of 2005.

At the center of the Total Solution is a full-feature, hosted SMS/MMS solution that offers advanced Internet, wireless capabilities without the need to install expensive hardware at the customer location. In addition, each user gets a unique code number and an associated web to manage incoming and outgoing short messages, multimedia messages, phone calls, voice mails and emails with one common interface. The Total Solution service also allows simple, rapid administration of a company's telecom services, including adding new customers and moving telephone number locations online without the cost of a telecom support department.

The Total Solution web allows users to consolidate their multiple phone numbers (home, office, mobile) with a single personal telephone number so callers reach them wherever they are. A personal virtual SMS/MMS number handles all incoming faxes. The unified visual mailbox conveniently manages voicemail and faxes just like e-mail. Robust call logs and integration with Microsoft Windows Media Player and Instant Message allow users to make and auto reply regular questions with just a mouse click. Web collaboration and MMS interact are easy to use anywhere anytime.

About Telecom Communications Inc.

Telecom Communications Inc. is doing business in China via subsidiaries. IC Star MMS is a China-based local information and services affiliates network. Established in December 1991, IC Star MMS (http://www.icstarmms.com/) has contracted with more than 2000 websites and collected all of their Internet and mobile phone users to be the online/offline members. ICStarMMS.com is through IC China network links entertainment & lifestyle information to local communities across China. IC Star MMS, which has been created by original Star SMS/MMS called (My Star Friends) community, was first invented in SMS/MMS interactive between Star and fans in the world. Telecom Communications has been working with Aixi Software, Limited (http://www.aixi.net/) to develop a software program that is specifically provided to service providers in the wireless messaging services in China. This called SMS/MMS Information Manager System software has generated sales via revenue sharing model with service providers. In Jan 2004, the company has launched SMS/MMS Call Center CRM System (Enterprise version) for the service industry. In the meantime, TCOM, together with Aixi Software, will also launch ICPhone Opt-in Classified List service. This service is specifically designed for the service providers to offer information services software. Telecom Communications is targeting users of mobile devices such as mobile phone, internet and PDA's. The Company has been working together with other local Chinese companies to develop telecommunication value-added service application software and system integration for commercial, industrial, cultural and educational usage.

This announcement contains forward-looking statements that involve risks and uncertainties, including those relating to the Company's ability to grow its business. Actual results may differ materially from the results predicted and reported results should not be considered as an indication of future performance. The potential risks and uncertainties include, among others, the company's limited operating history, the limited financial resources, domestic limited management infrastructure or global economic conditions -- especially those relating to China, activities of competitors and the presence of new or additional competition, and changes in Federal or State laws, restrictions and regulations on doing business in a foreign country, in particular China, uncertainty that this or any other acquisition can be completed and conditions of equity markets. More information about the potential factors that could affect the company's business and financial results is included in the Company's filings, available via the United States Securities & Exchange Commission.

Telecom Communications, Inc.

CONTACT: Mr. Benny Huang of Telecom Communications, Inc.,011-852-2782 0983, pr@icchina.net

Web site: http://www.icstarmms.com/http://www.aixi.net/

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