VivaCell Selects Redknee USSD Gateway and Self-Care Application Suite to Help Drive Leadership Position in Armenia

Redknee Solutions Inc. ("Redknee" or the "Company") (AIM: RKN), a leading provider of innovative infrastructure software that monetizes and personalizes services and content for mobile operators, today announced that its Unstructured Supplementary Services Data (USSD) Gateway and Self-Care Application Suite has been selected by VivaCell, a subsidiary of Mobile TeleSystems OJSC (NYSE: MBT), and the leading mobile operator in Armenia. VivaCell selected the robust USSD Solution in early July 2007, to meet prepaid and postpaid subscriber demands for flexible applications and services, and to uniquely distinguish VivaCell in this market.

Ralph Yirikian, VivaCell General Manager, commented:

"With the highly competitive landscape of mobile communications in Armenia, it is critical that we provide a differentiated offering to gain and retain subscribers, and grow our market leadership presence. We needed a flexible and powerful turnkey solution that would easily integrate with our existing systems, and allow us to readily add additional USSD services as needed to broaden our solution portfolio. The Redknee USSD was the optimal solution that provided the features and scalability we require, and the professional response and follow up we received from Redknee was head and shoulders above the other vendors we evaluated."

VivaCell selected the Redknee USSD Gateway to allow seamless integration with its existing USSD services, and to simplify the introduction of additional services through the open API. The USSD Portal provides a unified and interactive interface that is supported by all GSM handsets without the need for special SIM cards or custom modifications.

Redknee will enable VivaCell to reduce missed call network usage, or "beeping", as VivaCell subscribers will now have the ability to send instant CallMe requests, such as in cases when they have extended their own allotted prepaid minutes, which enables additional potential revenue from low ARPU (Average Revenue Per User) subscribers by having other parties initiate calls. Redknee helps VivaCell facilitate financial transactions that are simple, safe and fast including CreditMe, Transfer Funds, and Balance Inquiry, allowing more subscriber flexibility and reducing customer service representative queries for the operator. The USSD suite provides a unified platform that supports both prepaid and postpaid subscribers, and it facilitates multi-language support based on subscriber preference, allowing the operator to serve a broader base with more options.

Lucas Skoczkowski, CEO at Redknee, added:

"Clearly, value-added services differentiate mobile operators, particularly in competitive emerging markets, and Redknee enables these operators with the ability to integrate new service options quickly and gain competitive edge. By selecting the Redknee solution, operators like VivaCell will gain market advantage through the ability to offer a wide variety of differentiated services to their subscriber base. We are very pleased to be selected by VivaCell, and increase the Redknee presence in the Eastern European market."

For more information about Redknee, visit http://www.redknee.com.

About Redknee

Redknee (RKN : AIM), established in 1999, provides real-time monetization and personalization products, solutions and services to over 30 mobile operators globally. Redknee Monetization products enable mobile network operators to optimize the lifetime value of each subscriber through advanced billing, rating and charging. Redknee Personalization products enable operators to offer personalized voice, messaging, and data services for the enterprise and consumers to meet mainstream, niche and individual market segment requirements. Redknee customers provide services to over 290 million wireless subscribers in over 20 countries. Redknee Solutions Inc. is the parent of the wholly-owned operating subsidiary Redknee Inc, and its various subsidiaries. References to Redknee refer to the combined operations of those entities. For more information, visit http://www.redknee.com.

About VivaCell

VivaCell is the leading Armenian mobile operator, providing a wide range of Voice and Data services. Since its launch on 1st July 2005, in a short period of time VivaCell has managed to build a nationwide network and a considerable customer base. VivaCell drives the development and offering of innovative mobile communications products, services and features in the Armenian mobile communications market. For more information, visit http://www.vivacell.am

Mobile TeleSystems OJSC ("MTS") is the largest mobile phone operator in Russia and the CIS. Together with its subsidiaries, the Company services over 76 million subscribers. The regions of Russia, as well as Armenia, Belarus, Turkmenistan, Ukraine, and Uzbekistan, in which MTS and its associates and subsidiaries are licensed to provide GSM services, have a total population of more than 230 million. Since June 2000, MTS' Level 3 ADRs have been listed on the New York Stock Exchange (ticker symbol MBT). Additional information about MTS can be found at http://www.mts.ru