CounterPath Corporation
NASDAQ : CPAH
TSX : PATH

CounterPath Corporation

July 27, 2017 08:15 ET

CounterPath Reaches Milestone with Millions of Users in over 190 Countries

Company is now using the platform for advertising and a subscriber acquisition tool for its SaaS offerings

VANCOUVER, BRITISH COLUMBIA--(Marketwired - July 27, 2017) - CounterPath Corporation (NASDAQ:CPAH) (TSX:PATH), a global provider of award-winning, over-the-top (OTT) Unified Communications (UC) solutions for enterprises and carriers, today announced it has millions of users in over 190 countries of its free software, X-Lite. The milestone establishes CounterPath as one of the most successful free softphone providers globally and around the world with brands such as Chevron, Dimension Data, DuPont, General Electric, HP, Telefónica, Toyota and Xerox.

"X-Lite has been around for many years and has really set the pace for free softphones that can connect people to businesses, contact centers and remote workers through any Windows or Mac PC. X-Lite is the gold standard for anyone looking to test or trial a SIP based platform," said Donovan Jones, President and CEO. "We have performed detailed analysis of the user base which include tier one organizations from virtually every segment; OEMs, Technology, Finance, Retail, Hospitality, Resource, and Manufacturing. We will be implementing a strategy to deliver conversion of our free X-Lite offering to our growing recurring revenue business powered by Bria X and our other retail client offerings for team and individuals. This immediately enables a platform for CounterPath to market and migrate users to a monthly recurring model that can quickly turn millions of X-Lite users into monthly subscribers."

CounterPath's subscription based softphone solution Bria X offers uplift features that X-Lite users want at an attractive price. Soon the Bria X service will make available other add-ons that enhance user productivity including Salesforce and Outlook integration. Bria X provides a seamless communication experience delivering secure messaging, presence, screen sharing, voice and video, all on call servers already deployed, within millions of small-to-medium businesses and enterprises today. The offering also includes clients built upon CounterPath's leading Bria product line for desktop, tablet and mobile devices.

"CounterPath's X-Lite is synonymous with softphone", said Ronald Gruia, Director at Frost & Sullivan. "X-Lite is well-known throughout the world as the leading free softphone. With the reach of X-Lite, CounterPath is able to leverage its loyal base of users into paid subscriptions that are driven by the increased value of Bria X and other other solutions."

CounterPath is positioning Bria X as the flagship platform for all of CounterPath's new solution offerings such as advanced collaboration, integrations with third parties (e.g, Salesforce, Jira, Skype for Business and others) and new innovative solutions that integrate with the businesses and communication flows. The customer journey starts with X-Lite but can now quickly migrate to more advanced services and capabilities only offered on the Bria X platform.

"Based on our testing and understanding of the X-Lite user base, there is a significant potential footprint of dedicated users for CounterPath as every ten thousand block of X-Lite users that converts to Bria X, represents hundreds of thousands of yearly revenue," continued Jones.

X-Lite is currently available for free download here.

For more information on Bria X please visit: www.bria-x.com

About CounterPath

CounterPath's Unified Communications solutions are changing the face of telecommunications. An industry and user favorite, Bria softphones for desktop, tablet and mobile devices, together with Stretto Platform™ server solutions, enable operators, OEMs and enterprises large and small around the globe to offer a seamless and unified over-the-top (OTT) communications experience across both fixed and mobile networks. The Bria and Stretto combination enables an improved user experience as an overlay to the most popular UC and IMS telephony and applications servers on the market today. Standards-based, cost-effective and reliable, CounterPath's award-winning solutions power the voice and video calling, messaging, and presence offerings of customers such as AT&T, Avaya, BroadSoft, BT, Cisco Systems, GENBAND, Metaswitch Networks, Mitel, NEC, Network Norway, Nokia, Rogers and Verizon. Visit www.counterpath.com.

Forward-looking Statements

This news release contains "forward-looking statements". Statements in this news release which are not purely historical are forward-looking statements and include any statements regarding beliefs, plans, outlook, expectations or intentions regarding the future such as the following: (1) We will be implementing a strategy to deliver conversion of our free X-Lite offering to our growing recurring revenue business powered by Bria X and our other retail client offerings for team and individuals; (2) This immediately enables a platform for CounterPath to market and migrate users to a monthly recurring model that can quickly turn millions of X-Lite users into monthly subscribers; (3) Beyond reaching millions of users in over 190 countries, this milestone establishes a significant potential footprint of dedicated users for CounterPath; and (4) Based on our testing and understanding of the user base, every ten thousand block of X-Lite users that converts represents hundreds of thousands of yearly revenue. The forward-looking statements involve risks and uncertainties. It is important to note that actual outcomes and the Company's actual results could differ materially from those in such forward-looking statements. Actual results could differ from those projected in any forward-looking statements due to numerous factors. Such factors include, among others: (1) the variability in CounterPath's sales from reporting period to reporting period due to extended sales cycles as a result of selling CounterPath's products through channel partners or the length of time of deployment of CounterPath's products by its customers; (2) the Company's ability to manage its operating expenses, which may adversely affect its financial condition; (3) the Company's ability to remain competitive as other better financed competitors develop and release competitive products; (4) a decline in the Company's stock price or insufficient investor interest in the Company's securities which may impact the Company's ability to raise additional financing as required or may cause the Company to be delisted from a stock exchange on which its common stock trades; (5) the impact of intellectual property litigation that could materially and adversely affect CounterPath's business; (6) the success by the Company of the sales of its current and new products; (7) the impact of technology changes on the Company's products and industry; (8) the failure to develop new and innovative products using the Company's technologies; (9) the potential dilution to shareholders or overhang on the Company's share price of its outstanding stock options; and (10) the TSX not approving the Offering. Readers should also refer to the risk disclosures outlined in the Company's quarterly reports on Form 10-Q, annual reports on Form 10-K and other disclosure documents filed from time-to-time with the Securities and Exchange Commission at www.sec.gov and the Company's interim and annual filings and other disclosure documents filed from time-to-time on SEDAR at www.sedar.com. Subject to applicable law, the Company disclaims any obligation to update these forward-looking statements.

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