Mobixell Networks Acquires 724 Solutions to Create Leading Company in the Mobile Internet and Mobile Broadband Markets

The Combined Company Will Offer Mobile Operators Unique Rich-Media Mobile Internet and Mobile Messaging Solutions

SAN JOSE, California, January 22 - Mobixell Networks, a leading provider of mobile multimedia and
advertising solutions, announced today the acquisition of mobile internet
company, 724 Solutions. The merged company will create a global organisation
with local sales and support capability in the US, UK, China, Switzerland,
India, Israel, and other countries, and with a customer base of over 350
mobile operators worldwide.

The expanded company will focus on delivering rich media
mobile internet and messaging solutions for mobile operators, enabling them
to exploit the opportunities presented by the explosion of rich-media data
traffic and the emergence of new exciting communication patterns driven by
the ever increasing mobile media consumption on laptops, iPhone(R) devices
and other smartphones.

Mobixell's strategic commitment to the Indian market will now be backed
by an increased local team of 45 dedicated people (located in Mumbai), and
include all technical functions from R&D, field engineers and technical
support. With this team in place, the combined company will now be able to
continue and grow its activities in the region with all its present and
future customers and partners.

The rationale for the acquisition was driven by a joint vision
of the two management teams, also shared by the combined company's customers
and channel partners, as well as compelling synergies in the core
competencies and technologies. 724 Solutions' Seamless Access and Seamless
Messaging products provide scalable, reliable and extensible mobile internet,
mobile broadband and messaging infrastructure that enable operators to
efficiently and flexibly satisfy the explosion of mobile data traffic.
Mobixell possesses unrivalled expertise in adapting and manipulating rich-
media content, particularly for mobile messaging and video, and in providing
advanced Mobile Web 2.0 and Mobile Advertising solutions. The objective in
combining the two technologies is to deliver a next generation intelligent
Mobile Internet Platform capable of taking a leadership position in the
rapidly changing Mobile Internet market. This solution will address the
challenges for mobile operators in dealing efficiently with the explosion of
data traffic, particularly video, and will allow them to further monetize
data and messaging Web 2.0 based services.

Both Mobixell and 724 Solutions count hundreds of mobile
operators amongst their customers, including many tier-1 mobile operators in
Europe, North America and APAC, including Verizon Wireless, Vodafone, Orange,
Swisscom, Turkcell, AIS and many others. The combined company intends to
continue to partner with its strong OEM channels and system integrators such
as IBM, Motorola, Alcatel-Lucent, NSN, Huawei, Ericsson, Comverse and many
others.

According to Amir Aharoni, CEO of Mobixell, "The recent
explosion in mobile data offers a challenge and an opportunity for mobile
operators. A challenge in terms of optimizing the usage level for bandwidth
hungry applications, such as rich-media and video, but more importantly an
opportunity to capitalize on the growing revenue potential of mobile data and
compensate for the reduction in voice revenues. The combination of expertise
and technology between Mobixell and 724 Solutions uniquely positions us to
tackle this issue and allow mobile operators to improve the return on their
infrastructure investment in the burgeoning mobile internet traffic, expected
by industry specialists to grow 66 fold by 2013."

John Sims, CEO of 724 Solutions commented, "The synergy and
potential offered by the combined strengths and skills of 724 Solutions and
Mobixell will allow us to offer our customers, the mobile operators, a real
triple play of benefits: the ability to differentiate themselves from
competitors, the ability to cut data handling infrastructure costs and the
ability to further monetize their existing assets with solutions, such as the
advertising and location-based services. Our existing customers and channel
partners will continue to receive our full commitment - with a broader set of
resources and value to meet their needs."

The combined company will be unveiling the joint vision and
showcasing its extended offering at the Mobile World Congress in Barcelona,
from the 15th to the 18th of February, Hall 1, booth 1A23. To set up a
meeting, please contact us at: info@mobixell.com.

For more information on 724 Solutions, please go to
www.724.com.

About Mobixell:

Mobixell Networks provides innovative multimedia and
advertising solutions to mobile operators and content providers. Mobixell's
solutions focus on enhancing the user experience to increase adoption,
encourage customer loyalty, and build on the operators' assets to introduce
new revenue streams. Mobixell provides tailored solutions for multimedia
processing and adaptation, and multi-channel mobile advertising to over 300
mobile operators and content players worldwide, including top-tier carriers
in five continents. Founded in late 2000, Mobixell is a US based company with
additional offices in the UK, Germany, China, and Israel. For more
information, visit the company's website at www.mobixell.com

    Media Contacts:

    Yaron Dishon
    VP & GM Mobixell APAC
    Email: yaron.dishon@mobixell.com
    Tel: +972-544-224-060

    Kirsten Scott and Kim Smith
    eclat Marketing
    Email: mobixell@eclat.co.uk
    Tel: +44(0)1276-486000

Media Contacts:Yaron Dishon, VP & GM Mobixell APAC, Email: yaron.dishon at mobixell.com, Tel: +972-544-224-060; Kirsten Scott and Kim Smith, eclat Marketing, Email: mobixell at eclat.co.uk, Tel: +44(0)1276-486000