China VoIP & Digital Telecom to Introduce VoIP to China’s Eighth Largest Province

HENDERSON, Nev. - China VoIP & Digital Telecom Inc. (OTCBB:CVDT) continues to expand the reach of its wholly owned subsidiary, Jinan Yinquan Technology, Ltd. The Company will launch its VoIP technology solutions in the Anhui Province in a cooperative venture with one of China’s premier licensed telecom providers, China Tie Tong. Anhui is China’s eighth largest province.

Jinan Yinquan, a technology company offering VoIP services in the People’s Republic of China, has been developing telecommunication solutions for China’s burgeoning Internet industry for more than half a decade.

“Our cooperative relationship with other branches of China Tie Tong have proven to be very successful in introducing our products to new markets,” said Li Kunwu, President and CEO of China VoIP & Digital Telecom Inc. “Our latest venture with Tie Tong’s Anhui branch allows us to expand our reach to the Anhui Province market which has a population of approximately 64.6 million people. Our association with Tie Tong continues to be a critical component of our growth plans and we are delighted that our relationship is evolving to include other branches of this outstanding organization which shares our dedication to excellence.”

Jinan Yinquan’s proprietary NP Soft Switch IP telephone system enables users to access Voice over the Internet Protocol (VoIP) services allowing customers to use the system to make telephone calls to anyone in the world at a much lower cost than standard telephone rates.

China Tie Tong is one of the six largest basic telecom operators in China. The company, which has 31 provincial branches and 316 municipal branches, employs approximately 72,000 people. Its high-speed backbone optical transmission network consists of five fiber loops covering most of the cities in China’s 31 provinces and a distance of 52,000 kilometers. During the period of 2001 to 2005 annual revenues have grown by 30 percent while fixed-line subscribers increased from 135 million to 164 million. By the end of 2005 the company had 2 million Internet subscribers and assets of 53.3 billion RMB.