Alternet Systems Inc.
OTC Bulletin Board : ASYI
FRANKFURT : EJM

Alternet Systems Inc.

March 21, 2007 06:30 ET

Alternet Systems Signs Letter of Intent to Merge With TekVoice Communications to Deploy VoIP and Wireless Broadband Telecom Networks Throughout Latin America

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - March 21, 2007) - Alternet Systems Inc. (OTCBB:ASYI)(FRANKFURT:EJM) announces it has executed a letter of intent (LOI) agreement to merge with TekVoice Communications, Inc. of Miami, Florida. TekVoice is a telecommunications services company with operations in North and South America. TekVoice revenues were $3 million in 2006, and the company is forecasting significant growth in 2007.

The combined entity will be called Alternet Systems Inc. and its primary business will be to acquire and develop wireless broadband networks in under-served countries in Latin America and the Caribbean, delivering voice, data and content services to customers in these regions. Alternet will offer a portfolio of next-generation wireless broadband and telecom solutions for government, business, schools, hospitals and community residents.

"Improving education and health services through broadband Internet access is a key component of raising the living standards in developing countries. The other major component is affordable and accessible telecom services," said Patrick Fitzsimmons, President of Alternet. "Combining Alternet with TekVoice is the ideal strategy to achieve our goal of offering a complete wireless telecommunications solution for this growing market."

The combined company offering will provide cost-effective, wireless telecom solutions, which have the greatest impact in developing regions of the world, such as Latin America. Low Internet-usage rates in Latin America are well below other developing countries, specially compared to Asia. Risk of further widening the digital divide in Latin America, is a concern shared by both public and private sector entities, particularly as an inhibitor to sustained, long-term growth.

"The combination of Alternet's proprietary software systems, with the TekVoice VoIP based telecommunications offerings, supplied over a cost-effective network platform, will significantly improve the way rural telecom services, education and medical information technology are delivered in the future," said Henryk Dabrowski, CEO of TekVoice. "This partnership is a key milestone in advancing Alternet to Latin American markets."

About Alternet Systems:

Alternet Systems Inc. (OTCBB:ASYI) has developed state-of-the-art application and network software for broadband systems in rural communities and health and educational institutions around the globe. Alternet's application and network server software operates at the center of a broadband wireless Internet system, positioning the Company to capitalize on the rapid growth of wireless Internet networks.

About TekVoice Communications, Inc.

TekVoice Communications, Inc. is a Voice over IP telecommunications company that since 2002, offers convergent voice and data services over IP networks. With sales of over $3 million in 2006, and growing quickly, it has capitalized on its in-depth knowledge of the Hispanic and Latin American market, the quality of its telecommunications network and the dramatic cost savings that the network delivers to its customers. As a pioneer in the VoIP industry, TekVoice has been at the leading edge in the design and deployment of new products and services for the corporate and residential markets. TekVoice Communications, Inc. is a U.S. corporation with offices in Miami, Dallas, Caracas, Venezuela and Lima, Peru.

Contact Griffin Jones at 866-608-2540 or visit the website at www.alternetsystems.com.

On Behalf of the Board of Directors

ALTERNET SYSTEMS INC.

Griffin Jones, Director

Certain statements in this news release may contain forward-looking information within the meaning of Rule 175 under the Securities Act of 1933 and Rule 3b-6 under the Securities Exchange Act of 1934, and are subject to the safe harbor created by those rules. All statements, other than statements of fact, included in this release, including, without limitation, statements regarding potential future plans and objectives of the Company, are forward-looking statements that involve risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements.

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