SOURCE: FTS Group,Inc.

January 18, 2007 09:09 ET

FTS Wireless Agrees to Acquire Direct Navigation Ring Tone Network

TAMPA, FL -- (MARKET WIRE) -- January 18, 2007 -- FTS Wireless, Inc. a wholly owned subsidiary of FTS Group, Inc.(OTCBB: FLIP) an acquisition and development Company, today announced that it has agreed to acquire a ring tone network of 161 web sites and related domain names.

FTS Group Chairman and Chief Executive Officer Scott Gallagher, commented, "We're very excited with this deal and the opportunity to expand our fast growing wireless business into the global mobile music industry. The target ring tone network includes some of the top 'type in' domain names in the industry and 161 fully functioning revenue generating web sites. We expect the new revenue channel to be immediately accretive to earnings.

According to Broadcast Music Inc., a performing-rights organization, U.S. ring-tone sales will hit $600 million in 2006, up from $500 million last year. Worldwide, ring tones account for 81% of $6.7 billion in mobile music sales, according to Juniper Research, a U.K.-based firm, though Juniper expects that share to drop to 51% by 2011, when the total market will hit $14.1 billion. In the U.S., there are now 217.4 million cell-phone users, according to the Cellular Telecommunications and Internet Association (CTIA), a wireless trade group, indicating that just over 11% are currently downloading ring tones.

About FTS Group, Inc.

FTS Group, Inc. (OTCBB: FLIP) is a publicly traded holding company operating in the wireless industry through its wholly owned subsidiaries FTS Wireless, Inc. and See World Satellites, Inc. The Company operates through retail locations in Florida and Pennsylvania and globally over the Internet through its web sites,, and For additional information about FTS Group, Inc. or any of its wholly owned subsidiaries please review the Company's quarterly, annual and other filings with the Securities and Exchange Commission at or contact the Company at the e-mail or phone number below.

Forward-Looking Statements

Included in this release are certain "forward-looking'' statements, involving risks and uncertainties, which are covered by the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, including statements regarding the Company's financial performance. Such statements are based on management's current expectations and are subject to certain factors, risks and uncertainties that may cause actual results, events and performance to differ materially from those referred to or implied by such statements. In addition, actual future results may differ materially from those anticipated, depending on a variety of factors, sales and earnings growth, ability to attract and retain key personnel, and general economic conditions affecting consumer spending, including uncertainties relating to global political conditions, such as terrorism. Information with respect to important factors that should be considered is contained in the Company's Annual Report on Form 10-K and 10-K/A as filed with the Securities and Exchange Commission. Readers are cautioned not to place reliance on these forward-looking statements, which speak only as of the date hereof.

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