First Commercial Solar-Powered GSM System Launched to Serve Remote and Rural Areas

VNL re-engineers GSM to help operators provide affordable mobile
telephony to new customers in rural markets
STOCKHOLM, Sweden--(Business Wire)--
Telecom equipment vendor, VNL, has finally cracked the problem
facing mobile operators in the developing world: how to provide
affordable mobile services to rural people - and still turn a profit.

Launched today, VNL - and its solar-powered GSM system - will
change the telecoms market in rural areas across the world. For years,
operators and GSM equipment vendors have struggled with the same
problem, namely that traditional GSM was not designed for the unique
challenges posed by vast rural areas. It costs too much, is too
expensive to run, uses too much power and is too difficult to deploy
(especially in areas with no electricity, poor roads and no skilled
engineers).

VNL has re-engineered GSM technology to reduce its power
requirement and make it suitable for a rural environment where
electricity is scarce or unavailable.

The result is VNL's WorldGSM(TM) system, which includes base
stations that only need between 50W and 120W of power to operate
(compared to 3000 W for a typical GSM base station). A WorldGSM base
station is entirely powered by solar energy with a 72 hour battery
back-up in place (also charged by solar power).

The system also includes a rural-optimised MSC (Mobile Switching
Centre), and a compact BSC (Base Station Controller) - making WorldGSM
a complete, end-to-end GSM network.

Thanks to solar power, WorldGSM both drastically reduces the
operating expenses for mobile operators - and contributes to a much
lower environmental impact. VNL has estimated that mobile networks in
India alone require 2 billion litres of diesel every year to power
back-up diesel generators.

India-based Luke Thomas, from the research and consulting company
Frost & Sullivan, says: "India is the fastest growing telecoms market
in the world but some urban areas have already reached saturation
point. VNL has opened up a whole new area of subscriber and revenue
growth for operators by building a commercial - and profitable - GSM
system to service remote low-density rural areas."

Indian infrastructure provider, Quippo Telecom Infrastructure
Limited (QTIL, www.quippoworld.com), will be trialling WorldGSM in
rural areas of India in the near future. Following the successful
completion of the trial, QTIL expects to roll out a complete
commercial network that will be fully integrated with the networks of
existing operators. Agreements with several prominent operators have
been reached and are in the process of being finalised.

Probal Ghosal, CEO of QTIL, says: "Every so often a company comes
along that really changes the telecoms industry. VNL is one such
company. Not only that, and more importantly, it's improving the lives
of the world's rural communities.

I know that there will be considerable demand for and deployment
of VNL's equipment in rural India. The villages of India may be remote
but the people who live there are ready and waiting for phones. Take
an average small farmer, for example. He may often travel half a day
just to get to a local market - only to find it is closed or not
accepting his product that day. The advent of mobile phones will solve
this type of problem at a stroke."

VNL's WorldGSM base stations have a number of unique features:

-- Low cost: priced at less than a quarter of traditional GSM
base stations and profitable at very low densities and
subscriber revenues.

-- Easy to transport: an entire WorldGSM base station packs into
two carts and can be transported over rough terrain in
something as simple as a bullock cart.

-- Self-deploying and near-zero maintenance: can be assembled and
activated by non-engineers.

-- Small solar panels: the solar panels used are 2-8 m(2) and the
power required is between 50 and 120W compared to the 200m(2)
solar panel and 3000W required for traditional GSM Base
Stations.

VNL's WorldGSM base stations are interoperable with equipment from
most major equipment manufacturers and are compatible with all
standard handsets.

VNL is packed with telecoms industry veterans, most of whom have
vast experience in bringing products and services to entirely new
markets. Its CEO, Anil Raj, founded Hutch India in 1994 and served as
its CEO before moving to Ericsson as President of its India
operations.

Anil says: "Telecoms operators and equipment manufacturers have
traditionally failed to deliver GSM to rural areas for the simple
reason that it's just too difficult and ultimately not sustainable.
There's no power, no engineers, no infrastructure, a difficult
terrain, low density - and, most importantly, low subscriber revenues.
VNL's equipment has overcome these challenges and provides operators
with a truly viable way to connect the next billion mobile users."

VNL's PR representative
Bridget Fishleigh
on +44 1273 305 936
bridget@nomadcomms.com
skype: bridgetfishleigh
www.vnl.in

Copyright Business Wire 2008