Contec Innovations Inc.
TSX VENTURE : BUZ

Contec Innovations Inc.

November 07, 2006 09:15 ET

Contec Innovations Inc.: KCTone Launches Second Hornet'TM' with Chinese Operator

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Nov. 7, 2006) - Contec Innovations (TSX VENTURE:BUZ), a provider of mobile Internet infrastructure software, today announced that KCTone, a Chinese mobile service provider, has launched commercial services over a second Hornet platform with a major Chinese mobile operator. KCTone is now delivering a consumer-based Personal Portal to the operator's 14-million subscriber network.

This smaller, second Hornet system, contracted in September 2006, targets the consumer subscribers of the operator in the same province as the initial Hornet system, launched in August, where the mobile portal is branded and marketed by the operator to their enterprise customers.

"This launch gives us two live systems delivering services in China and Contec is starting to book its initial revenues," said Don Lay, CEO. "As a result of investing in specific China market enhancements to our software, we've been able to significantly reduce our commercial launch time for this second deployment by 10 months," Lay added.

Personal Portal services, developed and offered by KCTone using Hornet's rapid development environment, have been designed to provide consumers with mobile e-mail, blogging, news and chatting services. Subscribers use their handsets to view their own personalized mobile website and use text messaging, WAP Push and multimedia messaging for various services. Subscribers, via web access, may customize their own wireless portal and access a wide range of information as well as communicate with other subscribers. To view the Personal Portal website (in Chinese) go to www.waptone.cn.

In September 2005, KCTone signed a C$400,000 agreement with Contec for two entry-level Hornet systems with the systems to be deployed at two provincial subsidiaries of a major Chinese mobile operator. In August 2006, the first of two Hornets was launched and is delivering portal services to the Chinese mobile network operator's enterprise subscribers. In September 2006, KCTone signed an agreement for a third Hornet system to deliver a consumer-based mobile portal offering to the consumer market subscribers of the same provincial network as the August 2006 system.

ON BEHALF OF THE BOARD OF DIRECTORS OF CONTEC INNOVATIONS

Don Lay, CEO

About Contec Innovations

Contec Innovations (TSX VENTURE:BUZ) provides mobile data infrastructure software that accelerates the development and rollout of new mobile data services. Hornet™, Contec's core product, delivers a flexible and scalable application development, testing and hosting solution that quickly provisions operator branded services as well as manages third party, value-added service providers. Contec's business focus is China, the world's largest and fastest growing wireless marketplace with over 425 million mobile subscribers. Contec, headquartered in Vancouver, Canada has sales and support offices in China. For more information, visit www.contec.ca.

The statement made in this press release may contain certain forward-looking statements that involve a number of risks and uncertainties. Actual events or results may differ from the Company's expectations. Hornet™ is a trademark of Contec Innovations Inc.

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy of the content of the information contained herein.

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