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Verso and ViaSat Selected by Telikom Papua New Guinea (PNG)

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NetPerformer® GSM Solution Will Help Double Capacity, Reduce OpEx

ATLANTA (BUSINESS WIRE) – Jan. 9, 2007 -Verso Technologies, Inc. (Nasdaq: VRSO), a global provider of next generation network solutions, announced today that its GSM A.bis optimization technology was selected by Telikom Papua New Guinea (PNG), New Guinea's main telecom provider, to reduce network congestion, double current capacity, and substantially increase the carrier's mobile subscriber base. The upgrade is part of the carrier's plan to spend $345 million (USD) in five years to improve its telecom network and subscriber services.

The Telikom PNG subscriber base is experiencing rapid growth, and Verso's GSM solution allowed Telikom PNG to increase its mobile network customer base from 50,000 to 120,000 with a total network of 35 base stations in 22 locations nationwide. Specifically, the solution reduced congestion on the carrier's mobile network and doubled capacity so that 16 new mobile base stations nationwide, plus five super stations, could be added to the existing network. Additional plans include adding 50 base stations that will be rolled out by March 2007, which will increase mobile network coverage and quadruple network capacity.

Verso's NetPerformer® GSM technology is an A.bis, A.ter, A, and E bandwidth optimization solution for a variety of converged network settings to grow a carrier's network. The solution addresses the needs of the growing GSM cellular backhaul market, and minimizes network infrastructure costs between cell towers, base station controllers, and mobile switching centers. The solution optimizes bandwidth utilization on all types of GSM network interfaces including A.bis, A.ter, A, and E, requiring fewer lines or satellite/microwave links.

The system also includes a satellite backhaul link from ViaSat that cuts the cost of GSM backhaul through more efficient use of satellite bandwidth. The Verso/ViaSat system packetizes data and instead of using fixed satellite links, dynamically assigns bandwidth based on voice, signaling, and data traffic volumes.

The outlook for GSM backhaul, particularly in EMEA and Asia-Pacific, is impressive. GSM added 362 million subscriptions between January and June of 2006, with an average daily growth of 1.32 million, and by Q3 2006, two billion of the world's 2.41 billion cellular subscribers used GSM, according to Informa Telecoms & Media. This indicates strong global demand for backhaul solutions to meet the specific needs of the various wireless providers currently seeking backhaul solutions.

"Our GSM A.bis solution is a key component of PNG's rapidly expanding infrastructure. We will continue working with the carrier on its five-year development program to provide bandwidth optimization and reduce OpEx," said Tim Peyla, vice president of sales, Verso Technologies.

About Telikom PNG

Government-owned Telikom PNG provides public telecommunication services in Papua New Guinea together with its subsidiaries. Telikom PNG provides a fixed network and cellular services through its wholly owned subsidiary, Pacific Mobile Communications Limited. Both companies have a monopoly in local, national and international fixed line and mobile. In addition to voice telephony services, other leased data circuits and internet services are retailed to local service providers.

About ViaSat

ViaSat produces innovative satellite and other wireless communication products that enable fast, secure, and efficient communications to any location. A key to the company's growth and stability has been its flexibility in serving both commercial and military markets. ViaSat has a full line of VSAT products for data and voice applications, and is a market leader in Ka-band satellite systems, from user terminals to large gateways.

About Verso Technologies

Verso is a global provider of next generation network solutions offering a core-to-edge product portfolio primarily for telecommunications service providers. The company's products enable its customers to secure and optimize network bandwidth, generate additional revenue and reduce costs. Verso's applications and services are cost effective, deploy quickly and provide a superior return on investment. For more information, contact Verso at www.verso.com or call 678.589.3500.

CONTACT:
Verso Technologies, Inc.
Media Relations & Investor Contact:
Christine Puleo, 786-385-8762
Director, Corporate Communications
christine.puleo@verso.com
SOURCE: Verso Technologies, Inc.

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