CounterPath's Softphone Powers Increasing VoIP Adoption by UK Consumers

VoIP solutions for 1 million plus British Telecom consumers include Canadian-developed softphone

Vancouver, BC, Canada — January 16, 2007 — CounterPath Solutions, Inc. (OTCBB: CTPS), a leading provider of VoIP (Voice over IP) and Video over IP SIP softphones, today commented on the recent announcement made by its customer British Telecom (BT), the leading UK-based telecommunications provider, indicating BT has reached the milestone of one million VoIP customers. BT’s VoIP offerings include the BT Broadband Talk Softphone, developed by CounterPath.

Based on CounterPath’s award-winning technology and using an intuitive, BT-branded user interface, the SIP-based BT Softphone allows subscribers to make low cost calls over the Internet, enjoy high-quality video calls, and use IM (Instant Messaging) while managing their online presence. Additional features include simplified contact management, Hi-definition Sound (hi-dS) and three-way audio/video conference calling.

The confirmation that BT has gained more than one million registered consumer customers for its VoIP services, made ahead of its projected spring 2007 goal, demonstrates the rising trend of Internet telephony adoption among consumers in the UK, many of whom are choosing a softphone solution.

“BT has undertaken some innovative marketing campaigns recently to stimulate the interest of consumers and promote understanding of the advantages of using VoIP over traditional telephony routes,” said Donovan Jones, president and COO of CounterPath. “Creative promotions by BT, including those with the Arsenal Football Club, in combination with an intuitive, easy-to-use softphone client, have clearly piqued the interest of consumers in the UK and demonstrated the market’s readiness for the product. We continue our development of innovative SIP applications for service providers, enhancing the richness of the user experience.’

In addition to BT, Canadian-based CounterPath counts a number of service providers among its international customers including Vonage, AT&T, Deutsche Telekom and Portugal Telecom.

More information about the BT Broadband Talk Softphone is available at www.bt.com.

About CounterPath
CounterPath Solutions, Inc., formerly Xten Networks, Inc., is a developer of award-winning, carrier-grade VoIP and Video over IP SIP softphones for telecom and Internet telephony service providers, cable operators, IP-PBX manufacturers and infrastructure manufacturers. CounterPath’s SIP softphones and softphone SDKs (Software Development Kits), which provide VoIP, Video over IP, IM (Instant Messaging) and Presence functionality and can be preconfigured to our customer’s VoIP service, are predominantly licensed on a per seat or per subscriber basis, either co-branded or private labeled. CounterPath’s technology is deployed by over 235 customers in more than 50 countries. Additional information about CounterPath and CounterPath’s products and services is available at www.counterpath.com.