Vyke today announces it has experienced exponential growth in Q1 2008. The total number of paid Vyke IP based customer accounts increased by 34% to 1,742,508 from 1,302,828 at the end of Q4 2007. This represents an average acquisition rate of 4,832 paid customer accounts per day, and an increase of 226% over the number of paid customer accounts at the end of the Q1 in the previous year. 

Highlights:

Ø1.74 million paid Vyke IP based customers* at the end of 1st Quarter
ØWeekly call minutes increased from 4.15m to 8.5m in the period
ØAcquisition of Callserve Communications
ØAcquisition of Iios Limited
ØMobile VoIP upgrade in conjunction with Nokia’s Download store

* Only represents customers who have actively paid into their account in the three month period

The total number of calls placed via the Vyke product suite in the Q1 2008 was 28.9 million, an increase of 56% from the 18.6 million calls processed during the Q4 2007, and a growth of 129% in the number of calls placed via the Vyke product suite over the same period the previous year.

Tommy Jensen, Executive Chairman of Vyke, commented:
“Q1 has been an extremely active quarter for Vyke both operationally and in terms of customer growth.  In January, the Company acquired Callserve Communications Ltd which provided us with key wholesale VoIP network infrastructure and additional domestic operational resources. This was followed shortly by the acquisition of Iios Limited which provided the Company with additional capacity to support our continued strong growth.

“In March, we announced the upgrade of our Mobile VoIP service in conjunction with Nokia’s Download store.  This facility allows users to download, create an account and start calling directly from their handset via Nokia's on-device 'Download' store. This is available on many of the new Nokia handsets and will initially be available to customers in the United Kingdom, Norway, Sweden and Denmark.

“In addition to these activities, I am delighted to announce a significant growth in both paid customer accounts and weekly call minutes.  The considerable increase in weekly calls minutes justifies our recent acquisition of additional capacity whilst reaching 1.74 million customers is further evidence of our strong progress.”

Q1 2008

Product Category:              Company total      Vyke Products[1]      Trad. Calling Cards[2]

Paid Customer Accounts:     2,765,254               1,742,508                1,022,746

Total Calls (000's):                     36,715                       28,935                         7,780

Total Retail Billing
(USD - 000's)[3]                          $19,124                    $15,065                         $4,058

Q1 2008 percentage increase over  Q4 2007

Product Category:              Company total      Vyke Products       Trad. Calling Cards

Paid Customer
Accounts (% increase):            19.58%                      33.74%               0.6%

Total Calls (% increase):         39.69%                         55.60%                   1.22%

Total Retail Billing
(% increase):                            35.69%                       50.87%               -1.19%

 Q1 2008 percentage increase over Q1 2007

Product Category:              Company total      Vyke Products     Trad. Calling Cards

Paid Customer
Accounts (% increase):            70.46%                 226.05%                 -7.76%

Total Calls (% increase):          69.26%                      128.62%                 -13.50%

Total Retail Billing
(% increase):                             90.72%                      167.96%                 -7.45%

[1] - all Vyke enhanced products including Vyke Mobile IP, Vyke IP, Vyke PC, Vyke Mobile, Vyke Web Call, Vyke SMS Call and Vyke Callback [2] - all traditional dial-through calling card services [3] - Total Retail Billing represents end user retail value, not all of which is attributable to Vyke when sold through resellers