Driven by the increased demand for both IP Call Centre and IDC

(Hong Kong．16 Sep 2009) Despite the economic downturn, DYXnet, Greater China’s MPLS private network and ICT service provider, has posted a 20% year on year growth in the first half of 2009. Since the beginning of the second quarter, the demand for cross-border networking services has grown, both domestically and in the Mainland. As a result, DYXnet has enjoyed rapid growth, particularly in the Internet Data Centre (IDC) and IP Call Centre sectors. The former has seen a 30% growth and the latter a massive 120% growth.

Mr. Lap Man, Founder and CEO of the Company reported, “In the first half of 2009, despite the continuing international financial crisis and the marked slowdown of development in the trade industry globally, we were able to achieve rapid growth in terms of both revenue and profit. This was made possible by implementing our established strategies effectively and seizing the opportunities provided by the CEPA agreement and the increasing demand of outsourcing due to economic downturn by many SMEs. We have also made progress in areas such as MPLS private network and IP Call Centre services, thereby laying a strong foundation for our future growth.”

IP Call Centre Service Now a Key Success
In the first half of 2009, revenue from IP Call Centre service increased by 120% compared to the same period last year, representing approximately 10% of the Company’s total revenue. Over this period, the Company has continued its proactive market development strategy. The IP Call Centre has become a prominent business, with a marked increase for products, particularly in the retail, education and banking sectors. DYXnet now services a wide range of clients, including McDonald’s, English Town, B&Q and Bank of Communications. The substantial growth of the year’s first half was achieved by leveraging the Company’s technological and operational edge in the offshore IP Call Centres, which ensure clients have access to highly professional service at a cost-effective price. At the same time, the CEPA agreement allowed the company to respond to demand in the PRC (People ’s Republic of China) in the areas of telecom value-added services. Accordingly, revenue generated by Smart WAN solution, excluding the IP Call Centre, also saw a growth of 30%.

IDC Business Performs Solidly
In the first half of 2009, revenue from IDC increased by 30% compared to the same period last year, representing over 20% of the Company’s total revenue. Data maintenance and consolidation saw an expanded client base with high quality IDC services ensuring clients can meet the needs of their customers with quality online services in this competitive market. And our good network connection in Greater China also helps the e-commerce commenced effectively

Looking forward, Mr. Lap Man commented, “We see clearly the opportunities and challenges ahead. Currently, there are signs of gradual recovery in the macroeconomic environment, but the upward trend is not yet stable. On the other hand, we envisage that entrepreneurs’ demands in such areas as network expansion and optimization are sustainable. The evolution of technologies and the ever-emerging new models in the telecommunications industry will continue to provide new opportunities for us. In the near future, the Company plans to invest around HK$50m to solidify our industry leading position. We will add new POPs in the PRC and Japan, expanding IDC in South China and the number of seats in our existing call centers.”