Datawind's Bundled Internet Service Offering Fuels Strong Unit Sales Growth in Q4 2015

Following the partnership with Reliance Communications, DataWind reports strong sequential
and year-over-year growth in bundled unit sales

MISSISSAUGA, ON, May 25, 2015 /CNW/ - DataWind Inc. (TSX: DW), a leader in the delivery of internet access in emerging markets today announced that following the partnership with Reliance Communications, its unit sales have increased 27% in the fourth quarter of 2015 on a sequential basis and 173% on a year-over-year basis. The Company reports that its products are now sold in more than 4000 retail locations across India.

Growth in unit sales
Unit sales in the fourth quarter of 2015 were 183,852, up 27% quarter-over-quarter and 173% year-over-year. The strong sales increase is attributed to the Company's new lower-cost smartphone products that launched in March of 2015. In addition, 100% of the smartphones that have been sold since the product launch have been bundled with internet access from Reliance Communications, bringing the internet attachment rate for Datawind devices in the Indian market to 43%.

"The strong increase in our unit sales stands as a testament to our strategy," said Suneet Singh Tuli, President and CEO of DataWind Inc. "With the demand for E-commerce and internet solutions in India forecasted to grow exponentially in the next few years, our low-cost devices and internet delivery platform has enabled consumers across all networks in India with the ability to enjoy a basic internet experience. Our devices are now more affordable and widely available, allowing us to substantially grow our subscriber base, as we continue our journey of bringing the next billion people online."

Increased distribution channels
The Company has significantly grown its retail footprint since the smartphone product launch in March 2015. Datawind's products can presently be purchased in more than 4000 retail locations across India. As part of its 4000 retail distribution locations, the Company recently added three new mid-sized, regional specialty format retailers including Cellpoint, BIG C, LOT Mobiles and Go Mobiles.

"A robust and growing retail distribution network is one of the keys to our scaled execution," said Suneet Singh Tuli, President and CEO of DataWind Inc. "As we continue to build stronger awareness of our products in the Indian market, we will expand our distribution network to ensure that our products are readily available to consumers. With these 4000 locations, we have only begun to scratch the surface in terms of expanding our retail presence which makes us very optimistic for our future growth prospects."

About DataWind:
DataWind is a leader in low-cost Internet connectivity for emerging markets. DataWind's mission is to bring the Internet, which has the ability to create tremendous social and economic benefits, to billions of unconnected people in the developing world. The Company's Internet Delivery Platform offers a low-cost Internet browsing solution by bundling an affordable tablet device with an inexpensive, pre-paid, 2G Internet service plan.  DataWind has been named to MIT Technology Review's 2014 annual list of 50 Smartest Companies of the world's most innovative technology companies and has received acknowledgement at several prestigious fora including Mobile World Congress, UKTI Annual Awards for Most Innovative companies, CTIA Wireless Show, Forbes Impact 15 List to name a few.

DataWind has offices in London, UK; Montreal and Mississauga, Canada, Amritsar and New Delhi, India.

Forward-Looking Information
This press release contains "forward-looking information" within the meaning of applicable Canadian securities legislation. Such forward-looking information includes information with respect to our goals, beliefs, plans, expectations, anticipations, estimates and intentions. Forward-looking information is identified by the use of terms and phrases such as "may," "would," "should," "could," "expect," "intend," "estimate," "anticipate," "plan," "foresee," "believe," and "continue," or the negative of these terms and similar terminology, including references to assumptions. Please note, however, that not all forward-looking information contains these terms and phrases. Forward-looking information is based upon a number of assumptions and is subject to a number of risks and uncertainties, many of which are beyond our control. These risks and uncertainties could cause actual results to differ materially from those that are disclosed in or implied by such forward-looking information. These risks and uncertainties include, but are not limited to, the risk factors identified in the Company's prospectus dated June 27, 2014, which is available on the SEDAR website at www.sedar.com. Consequently, all of the forward-looking information contained herein is qualified by the foregoing cautionary statements, and there can be no guarantee that the results or developments that we anticipate will be realized or, even if substantially realized, that they will have the expected consequences or effects on our business, financial condition or results of operation. Unless otherwise noted or the context otherwise indicates, the forward-looking information contained herein is provided as of the date hereof, and we do not undertake to update or amend such forward-looking information whether as a result of new information, future events or otherwise, except as may be required by applicable law.

No securities regulatory authority has either approved or disapproved the contents of this press release/media advisory.

SOURCE DataWind Inc.

Dan Hilton, Chief Financial Officer, DataWind Inc, [phone], [email protected]; Conrad Seguin, Investor Relations, TMX Equicom, [phone] ext 251, [email protected]