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Press Release -- August 31st, 2010
Source: Tata Communications
Tags: Exchange, MPLS, Submarine Cable, Video

Mobile Operator Group in Asia Signs Two-Year IP Transit Deal with Tata Communications

Partnership enables Malaysia's Axiata group to meet rapidly growing demand for mobile data

Mumbai, August 31, 2010 – Tata Communications, a leading provider of the new world of communications, has been selected by the Axiata Group to build and manage a new IP-based network in Asia Pacific, as part of a two-year deal. The deal will extend to markets including Dialog Telekom in Sri Lanka, PT XL Axiata in Indonesia, Celcom Axiata in Malaysia and MobileOne in Singapore.

With Tata Communications’ Tier-1 IP backbone, MPLS network, and IP Exchange (IPX) framework, Axiata will be able to provide lower latency and better service support for real-time applications such as web browsing, downloads, Facebook, Twitter, or mobile video telephony – ultimately achieving universal service interoperability and delivery of multiple converged IP services.

“Our leading global infrastructure and IP capabilities will ensure that Axiata’s customers have the best-in-class experience when using applications and services via function-rich, internet enabled devices. This significant partnership represents the start of a long-term relationship that will benefit businesses and consumers in Asia,” said Byron Clatterbuck, President of Global Carrier Solutions, Tata Communications.

High broadband penetration, connection speeds, and evolution-ready networks within the Asia Pacific region has enabled broad consumer use of the latest feature-packed gadgets, with integrated mobile data services. According to recent metrics reports from AdMob, one of the world's largest and fastest growing mobile advertising networks, mobile traffic in Asia increased six times in the last two years. Smartphone penetration has reached 40 per cent across Southeast Asia in Q4 2009, with Singapore having the region’s highest figure of 77 per cent.

About Tata Communications

Tata Communications is a leading global provider of a new world of communications.  With a leadership position in emerging markets, Tata Communications leverages its advanced solutions capabilities and domain expertise across its global and pan-India network to deliver managed solutions to multi-national enterprises, service providers and Indian consumers.

The Tata Global Network includes one of the most advanced and largest submarine cable networks, a Tier-1 IP network, with connectivity to more than 200 countries across 400 PoPs, and nearly 1 million square feet of data center and collocation space worldwide.

Tata Communications’ depth and breadth of reach in emerging markets includes leadership in Indian enterprise data services, leadership in global international voice, and strategic investments in operators in South Africa (Neotel), Sri Lanka (Tata Communications Lanka Limited) and Nepal (United Telecom Limited).

Tata Communications Limited is listed on the Bombay Stock Exchange and the National Stock Exchange of India and its ADRs are listed on the New York Stock Exchange. (NYSE: TCL)
www.tatacommunications.com

Forward-looking and cautionary statements

Certain words and statements in this release concerning Tata Communications and its prospects, and other statements, including those relating to Tata Communications’ expected financial position, business strategy, the future development of Tata Communications’ operations, and the general economy in India, are forward-looking statements. Such statements involve known and unknown risks, uncertainties and other factors, including financial, regulatory and environmental, as well as those relating to industry growth and trend projections, which may cause actual results, performance or achievements of Tata Communications, or industry results, to differ materially from those expressed or implied by such forward-looking statements. The important factors that could cause actual results, performance or achievements to differ materially from such forward-looking statements include, among others, failure to increase the volume of traffic on Tata Communications’ network; failure to develop new products and services that meet customer demands and generate acceptable margins; failure to successfully complete commercial testing of new technology and information systems to support new products and services, including voice transmission services; failure to stabilize or reduce the rate of price compression on certain of the company’s communications services; failure to integrate strategic acquisitions and changes in government policies or regulations of India and, in particular, changes relating to the administration of Tata Communications’ industry; and, in general, the economic, business and credit conditions in India. Additional factors that could cause actual results, performance or achievements to differ materially from such forward-looking statements, many of which are not in Tata Communications’ control, include, but are not limited to, those risk factors discussed in Tata Communications’ various filings with the United States Securities and Exchange Commission. These filings are available at www.sec.gov. Tata Communications is under no obligation to, and expressly disclaims any obligation to, updates or alters its forward-looking statements.

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