Jinan Yinquan Technology, a wholly owned subsidiary of China VoIP & Digital Telecom, has launched a systemwide expansion program to significantly increase server capacity, add equipment in cities and provinces that are targeted for expansion, increase the number of available phone numbers, replace certain equipment to increase speed and efficiency as well as add additional staff at current and future locations.

Jinan Yinquan, a technology company offering VoIP services in China, has been developing telecommunication solutions for China's burgeoning Internet industry for more than five years. Jinan Yinquan's proprietary NP Soft Switch IP telephone system enables users to access Voice over the Internet Protocol (VoIP) services allowing customers to use the system to make telephone calls to anyone in the world at a much lower cost than standard telephone rates.

"Our mission is to become the premier provider of VoIP services in the People's Republic of China," said Li Kunwu, President and CEO of China VoIP & Digital Telecom Inc. "To accomplish that goal we need to always be several steps ahead of our growth so that we will never be in a position that we cannot adequately service our subscriber base. Therefore, we are adding two new servers to our current infrastructure, creating additional capacity for five hundred thousand new users (500,000). This brings our total infrastructure to twenty-seven (27) servers. All of our new servers will be installed in China Tie Tong's equipment room, who provide us with the necessary access to bandwidth, network infrastructure and E1 interface. Expansion programs such as this will be virtually ongoing."

Jinan Yinquan currently services three provinces and 19 cities with Shandong Province its primary base of operations. Short- and long-term plans call for the expansion throughout China.

Jinan Yinquan recently announced a cooperative venture with one of China's telecom providers, China Tie Tong, one of only six licensed providers in the country. The ability to increase telephone number capacity will be provided through China Tie Tong. In turn, Jinan Yinquan will route all calls through Tie Tong's extensive network and backbone.