TNW Networks Announces Deployment of iPCS Mobile Service and its Entrance into the Canadian Mobile Market to Provide Nationwide Mobile Services

Canadian Coverage to be provided on its Home Public Mobile Network, Extended Coverage through Wi-Node and Roaming Networks

International Patent PCT/CA2015/051119 - Canada Patent Application No. : 2,871,247 / No. : 2,871,249 / No. : 2,871,283 / No. : 2,871,290 / No. : 2,910,520 / No. : 2,910,654

VANCOUVER, Dec. 9, 2016 /CNW/ - Vancouver-based TNW Networks Corp (''TNW'') announced today that it will launch iPCS, its proprietary data-only Smartphone-over-IP ("SoIP") mobile service in Canada through its wholly-owned subsidiary, RuralCom Communications ("RuralCom") which was acquired by TNW Networks Corp's parent company, Investel Capital Corporation ("Investel") on December 7, 2016. RuralCom will operate as TNW Wireless.  iPCS is a patent pending login-based mobile connectivity access technology that differs from traditional access which uses subscriber-specific International Mobile Subscriber Identity (IMSI) information contained in a SIM card. The technology will provide Canadian customers with a high quality, low cost alternative to existing mobile services along with many new user features.

The transaction is subject to approval by Industry Canada.

Using RuralCom's Tier-2 850 MHz mobile licences and membership in the GSM Association TNW Wireless will expand its existing home network service area in the northern regions in British Colombia and Yukon and will extend its service reach locally, nationally, and internationally through its patent pending Wi-Node technology and through various roaming networks.

• TNW Wireless will provide 500 MB of data per month for $10 which includes an array of core services.
  
  
• Additional 100 MB blocks of data can be purchased for $2.90 and remain the subscriber's data bank until consumed. The price of data is expected to drop over time as tariff rates decrease.
  
  
• As a data only technology, iPCS provides Internet connectivity with voice and text services whether through 3G/4G in TNW Wireless' home coverage areas, extended coverage through Wi-Node from open Internet Wi-Fi connection or as a fallback through roaming partners. Each megabyte (MB) of data provides approximately 6 minutes of continental North American talk time or several hundred texts (both unlimited while on Wi-Fi).
  
  
• iPCS provides seamless handover of voice calls to/from Wi-Fi and 3G/4G without dropping calls
  
  
• iPCS subscribers will be given a default phone number for their service from within the TNW Wireless home network but will have an operating iPCS phone number from a location of their choosing in North America. Subscribers will also have the option of keeping their existing phone number.
  
  
• When connecting to Wi-Fi anywhere in Canada or Internationally, the iPCS Wi-Node function automatically deregisters the subscriber device from any roaming partner cellular network and backhauls all data/IP connectivity to the TNW home public mobile network. This provides global extended mobile home network local service reach and a connection to the TNW Wireless home core network and ensures that all connectivity is always provided through TNW Wireless. The deregistration process means that subscribers are never roaming while on Wi-Fi and has the added advantage of increasing battery life on many phones since cell radios are automatically deactivated.
  
  
• Under the TNW Wireless Fair Use Policy, subscribers using iPCS in Canada will be required to use 50% or more of their total monthly data in the TNW home service region or while connected to any open Wi-Fi which deregisters the device from roaming partner networks via the Wi-Node function.
  
  
• iPCS works on any unlocked Android or iOS phone as an interface application.
  
  
• iPCS SIM cards are generic and not specific to a device or subscriber. They will be offered free via online ordering or free through distributors. TNW Wireless will not have any physical points of sale outside its home public mobile network area.
  
  
• iPCS through Wi-Node will be fully compliant with respective Carrier Access Tariff GSM-based Wholesale Roaming Agreements filed by Rogers Communications Partnership, Bell Mobility and Telus Communications Company in accordance with the Canadian Radio-Television and Telecommunications Commission ("CRTC") regulatory policy CRTC 2015-177.
  
  
• Bulk data will be available at discounted rates for business and for independent distributors who want to resell MB$ (pronounced "em-bees") to iPCS customers. MB$ will become the currency for iPCS wireless services.

In addition to the consumer market, iPCS will also be a very attractive alternative for business as the iPCS user management interface will allow businesses to intelligently manage employee utilization, by allocating MB$ by user, day and time of day, and also manage the access and use of the Internet including web/social media site restrictions if desired.

"We believe that iPCS will totally disrupt the Canadian wireless landscape by finally providing Canadians who still pay some of the highest rates in the world, with a low cost next generation wireless alternative." stated Sandeep Panesar, TNW's CEO. "Our goal is to make iPCS widely available in Canada and soon around the world".

iPCS technology is expected to be available on TNW Wireless in March 2017. For more information and for preregistration, go to http://wireless.tnwcorp.com/.

iPCS was developed with the support of the Scientific Research and Experimental Development Program (SRED) of the Government of Canada.

About iPCS

iPCS is Investel's international patent pending IP only mobile technology and is one of the cornerstones for a new mobile telecommunications paradigm. iPCS is cloud based breaks the mobile paradigm of one SIM tied to one user and one device. Compatible with any Smartphone, iPCS has the following characteristics:

• Fueled only by data providing full featured voice and messaging services
• Fully cloud-based with thin client interface which provides enhanced security and advanced mobile features
• Generic SIMs used only to allow access to iPCS network
• Login vs IMSI based access to mobile services meaning phones can have multiple users and profiles – and users can access their iPCS profile from any iPCS enabled phone
• Data usage is tied to the active iPCS user profile and not to the device or SIM card
• Can be used anywhere in the World – the concept of roaming becomes outdated
• Seamless handover to/from Wi-Fi and 3G/4G/LTE for voice calls

For users of popular "over-the-top" voices and text applications services such as Skype and WhatsApp, iPCS offers a distinct advantage as these applications must be used exclusively on Wi-Fi or require a traditional mobile data subscription for use outside a Wi-Fi zone. In addition, these applications do not have the ability to move seamlessly between 3G/4G/LTE and Wi-Fi.

About TNW Networks Corp

TNW Networks Corp is a national telecommunication service provider in Canada. The result of the consolidation and rebranding of some 12 entities since 2008, TNW is a wholly owned subsidiary of Investel Capital Corporation. TNW operates in three distinct product areas; fixed and wireless connectivity, data centers and cloud, and social media technology. The company has in excess of $350M in net equity from its assets, operations and broad patent portfolio.

TNW provides services to governments, major carriers, enterprises, small and medium sized businesses as well as to residential users on its own telecommunications infrastructure as well as a variety of underlying carriers.

About Investel Capital Corporation

Investel Capital Corporation is an investment company specializing in the acquisition of telecommunications companies and development of new technologies. With offices in Toronto and Vancouver, Canada, it focuses on investing in the development of new technologies with their own R&D resource group and currently has a portfolio of patents files worldwide. It also invests in distressed or underachieving telecom companies that have recurring revenue but low profitability in order to gather efficiencies by folding them into their telecom portfolio. Investel's companies have access to its comprehensive network resources and infrastructures such as administration, engineering, customer support, network operations, amongst other things. In this way, redundant expenses such as operational and network costs are eliminated, thereby reducing overall costs and increasing revenue.

About RuralCom Corporation

RuralCom Corporation is a licensed wireless operator offering wholesale and retail service in underserved areas throughout Canada and a wholly-owned subsidiary of TNW Networks Corp.   The company currently holds Tier-2 850 MHz licenses which provide service in the northwest region of Canada.

SOURCE TNW Networks Corp.

Image with caption: "TNW Wireless North American Coverage Area (CNW Group/TNW Networks Corp.)". Image available at: http://photos.newswire.ca/images/download/20161209_C2997_PHOTO_EN_835218.jpg

Source: TNW Networks, Lawry Trevor-Deutsch, SVP Corporate Affairs, [phone], Email [email protected]; Contact: Jenna Trevor-Deutsch, Director Public Relations, Email: [email protected], Tel: [phone] ext: 109