China VoIP & Digital Telecom Inc. Signs Virtualization Agreement with Public Security Clients

JINAN, China, Nov. 4, 2010 /PRNewswire-Asia-FirstCall/ -- Jinan Yinquan Technology (Yinquan), one of the wholly owned subsidiaries of China VoIP & Digital Telecom (OTC Bulletin Board: CVDT), today announced that the company has acquired two new clients in the public security sector: Jinan Public Security Bureau and its public transportation branch.  Both clients will adopt the integrated datacenter virtualization solution provided by Yinquan.

China VoIP & Digital Telecom aims to win more customers across a wide-range of targeted industries. This involves creating showcase projects by designing customized solutions according to clients' specific datacenter requirements. The virtualization projects for Jinan Public Security Bureau and its public transportation branch will become CVDT's showcases within the public security sector.

According to Mr. Li Kunwu, President and CEO of China VoIP & Digital Telecom, the public security industry is a unique market that requires higher technical expertise from the service providers. Given the nature of the industry, the products they adopt must meet rigorous standards. Yinquan will provide the new clients with higher security and confidential virtualization solutions for their datacenters, which will help them maintain business continuity. "We are very proud that our new clients have exhibited such confidence in us," said Mr. Li. "These projects demonstrate our ability to serve technologically demanding customers. We're always delighted to assist our clients with their future goals, and designing our services and products to meet the needs of such customers keeps us focused on continuous innovation and improvement."

Mr. Li added, "The new contracts prove that our business strategy of exploring more diverse industry clients is feasible and lucrative. Broadening the client base is proving to be a solid boost to profits and the bottom line."

About China VoIP & Digital Telecom Inc.

China VoIP & Digital Telecom Inc. offers virtualization technology application and cloud computing products in the People's Republic of China through its wholly owned subsidiary Jinan Yinquan Technology Co., Ltd and Beijing PowerUnique Technologies, Co., Ltd. Through the two subsidiaries, China Digital Telecom Inc. is well positioned to take full advantage of the tremendous economic growth currently being experienced in China. The Company is currently marketing its integrated virtualization solutions and services in China and at this time is in the testing stages of other Information Technology products. More information can be found www.ciisi.com.

About Virtualization Technology

Virtualization is a proven software technology that is rapidly transforming the IT landscape and fundamentally changing the way people compute.

Today's powerful x86 computer hardware was originally designed to run only a single operating system and a single application, but virtualization breaks that boundary, making it possible to run multiple operating systems and multiple applications on the same computer at the same time, increasing the utilization and flexibility of hardware.

Virtualization is a technology that can benefit anyone who uses a computer, from IT professionals and Mac enthusiasts to commercial businesses and government organizations. Millions of people around the world use virtualization to save time, money and energy while achieving more with the computer hardware they already own.

About Cloud Computing

Cloud computing is a general term for anything that involves delivering hosted services over the Internet. These services are broadly divided into three categories: Infrastructure-as-a-Service (IaaS), Platform-as-a-Service (PaaS) and Software-as-a-Service (SaaS). The name cloud computing was inspired by the cloud symbol that's often used to represent the Internet in flowcharts and diagrams.

A cloud service has three distinct characteristics that differentiate it from traditional hosting. It is sold on demand, typically by the minute or the hour; it is elastic -- a user can have as much or as little of a service as they want at any given time; and the service is fully managed by the provider (the consumer needs nothing but a personal computer and Internet access). Significant innovations in virtualization and distributed computing, as well as improved access to high-speed Internet and a weak economy, have accelerated interest in cloud computing

Safe Harbor Statement

Certain of the statements made in the press release constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements can be identified by the use of forward-looking terminology such as 'believe,' 'expect,' 'may,' 'will,' 'should,' 'project,' 'plan,' 'seek,' 'intend,' or 'anticipate' or the negative thereof or comparable terminology. Such statements typically involve risks and uncertainties and may include financial projections or information regarding our future plans, objectives or performance. Actual results could differ materially from the expectations reflected in such forward-looking statements as a result of a variety of factors, including the risks associated with the effect of changing economic conditions in The People's Republic of China, variations in cash flow, reliance on collaborative retail partners and on new product development, variations in new product development, risks associated with rapid technological change, and the potential of introduced or undetected flaws and defects in products, and other risk factors detailed in reports filed with the Securities and Exchange Commission from time to time.

SOURCE China VoIP & Digital Telecom Inc.

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