EQO Communications Secures US$9 Million in Series B Funding

- Financing round led by Ventures West includes investments from existing investors GrowthWorks and BDC Capital.

REDWOOD CITY, Calif. and VANCOUVER, British Columbia, April 25 - EQO Communications, a leading provider of mobile internet phone services, today announced that the company has received a US$9 million Series B financing to fund its global expansion. The financing round was led by Ventures West and included investments from existing investors GrowthWorks and BDC Capital.

"We're ecstatic about having Ventures West on board -- their investment track record over the past 30 years speaks volumes to their confidence in our opportunity," said EQO Chief Executive Officer Bill Tam. "By extending our relationships with GrowthWorks and BDC Capital, in addition to this new partnership with Ventures West, we will be in a great position to expand our product portfolio and fund our global presence with products and services that mobile users will love."

Since its unveiling at DEMO 2006, EQO has established itself as the premier mobile solution for avid users of Skype, AIM, ICQ, MSN Messenger, GoogleTalk and Yahoo! Instant Messenger networks.

"EQO is revolutionizing the mobile experience, bringing the best of the web, Instant Messaging and Voice-over-IP to everyday consumer handsets," said Sam Znaimer, Senior Vice President, Ventures West. "They have a clear vision for Mobile 2.0, galvanized by enthusiastic users around the world."

In addition to using funds to fuel global expansion, EQO will also add depth to their team and invest in new products and services that leverage the company's core value around enhancing the mobile communications experience.

About EQO Communications
EQO Communications is a Vancouver, Canada-based Company focused on changing the landscape and economics of mobile communications for consumers around the world. Applying the business rules of the Internet to mobile services, EQO has developed a revolutionary mobile consumer voice and messaging service that reduces international calling costs and keeps people connected to their friends and contacts from a single phone application. Using a proprietary mobile soft-switch platform and a presence-enabled Voice- over-IP (VoIP) signaling network, EQO is capable of delivering presence- enabled voice calling and instant messaging services to millions of mobile handsets available worldwide. For additional information please visit http://www.eqo.com/.

About Ventures West
Ventures West Capital Ltd., a private venture capital investment group, is one of Canada's leading investors in early stage technology companies. Since its founding in 1968, Ventures West has formed eight venture capital funds which total over $700 million and has invested in
more than 150 companies. Ventures West has the people, the expertise, and the capital to help entrepreneurs develop emerging technology companies into market leaders. For more information, visit http://www.ventureswest.com.