SOURCE: iPhone2, Inc.

May 03, 2006 16:00 ET

iPhone2 Signs ANOTHER Strategic Distribution Agreement

ALBUQUERQUE, NM -- (MARKET WIRE) -- May 3, 2006 -- iPhone2, Inc. (OTC: IPHE) which has created a proprietary video/voice Internet softphone called ImagePhone, today announces that they have signed a Strategic Distribution Agreement with The IT Squad, LLC; a one stop shop, remote computer maintenance company. The IT Squad's patented technology automates critical computer maintenance processes, and is currently operating on over 10,000,000 desktops in corporate America. The Companies will offer each other's customers a free month of their service as a way to expand their customer bases and add to customer retention.

The IT Squad solves today's complicated computer security and compatibility issues by offering customers a unique set of automated IT services. The IT Squad recently signed distribution agreements which are projected to bring 1000 new customers per month.

Offering iPhone2's customers a free month of The IT Squad data backup and recovery service marks the premier of iPhone2's GimmeMORE premium plan. GimmeMORE is iPhone2's way of rewarding customers for their business. Each month a Customer stays with iPhone2, they will enjoy premiums from technology based services to discounts on travel and auto rentals. GimmeMORE is being developed as a comprehensive customer retention plan.

Chip Greenberg, iPhone2's President and CEO, stated, "The IT Squad is a great partner for us, since our companies share such similar demographics. We're very excited about these types of strategic relationships that offer substantial product distribution channels at minimal out-of-pocket costs to the Company."

Mike Dunham, The IT Squad's CEO, added, "We're delighted to be able to cross-pollinate our products with iPhone2's groundbreaking communication services."

iPhone is targeting similar Strategic Distribution agreements with synergistic companies as a strategy to greatly speed their time to market and market penetration.

iPhone Inc. (OTC: IPHE) is an enhanced service provider that developed and markets a unique video/voice softphone, ImagePhone. The Company's service is the Next Generation of softphone technology, allowing customers to make and receive unlimited point-to-point video/voice calls from anywhere in the world where there is Internet service. ImagePhone was developed to be straightforward, user friendly and is integrated into a robust carrier grade redundant VolP Platform for feature rich services and scalability. The service can be scaled to large levels with minimum personnel requirements and no constraining end-user hardware.

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Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995: This press release may contain certain forward-looking statements within the meaning of Section 27A of the Securities and Exchange Act of 1933, as amended, and Section 21E of the Securities and Exchange Act of 1934, as amended, which are intended to be covered by the safe harbors created thereby. Investors are cautioned that all forward-looking statements involve risks and uncertainties. Although iPhone2 believes that the assumptions underlying the forward-looking statements contained herein are reasonable, any assumption could be inaccurate, and therefore, there can be no assurance that the forward-looking statements included in this press release will prove to be correct. In light of the significant uncertainties inherent in the forward-looking statements included herein, the inclusion should not be regarded as a representation by iPhone2 or any other person that the objective and plans of iPhone2 will be achieved.

Contact Information

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    iPhone2, Inc.
    (561) 862-5940
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