1st March , 2004

Canada : Military Communications Technologies announced that its Australian affiliate, Military SDR Technologies Pty Ltd, has released information about a revolutionary new wireless product application of its proprietary SpectruCell SDR technology named "SatCell IP". This new product is based upon the Company's recently announced "world first" of providing VOIP (Voice Over IP) at a wireless base station.

The SatCell IP "instant wireless network" product is essentially a low cost VOIP enabled SpectruCell SDR multiple protocol wireless base station unit with a built in Satellite link. The unit is about the size of a small three-drawer filing cabinet. The new product can provide immediately deployable instant wireless network voice and data services in CDMA and GSM protocols to remote locations without expensive traditional infrastructure and it can also provide back-up services for overloaded metropolitan locations without the added cost and complexity of building traditional network interconnect and costly fiber optic links and T1 lines between base stations.

A SatCell IP unit only requires an available power supply to be able to implement immediate wireless services in the most remote locations. Turn on the power and the SatCell IP unit terminates to the operator's network via a satellite link, thereby establishing immediate connectivity into conventional wireless networks world-wide. Conventional CDMA/GSM handsets need only be distributed to users in a 15 - 35 mile radius to provide worldwide wireless voice and data services to regions where cellular phone and Internet services have previously been unavailable. Multiple linked SatCell IP units can also be progressively deployed to provide an expanded service area or continuous coverage or link-ups into Telco's existing conventional Cellular networks. The first SatCell IP production units are planned for the fourth quarter of 2004.

By being able to terminate a wireless base station directly via satellite to a VOIP network operators can easily and cost effectively roll out wireless services to rural areas and remote regional sites in a very cost efficient manner, as the high cost of conventional infrastructure to link remote locations that could be hundreds and even thousands of miles away is eliminated.

The SatCell IP base station is capable of providing GSM, CDMA (IS95A,B,C), CDMA2000(1xRTT) cellular services and various high-speed data applications. Company engineers are currently developing an 802.16 application that will provide next generation (4G) high-speed Internet services from the SatCell IP base station. The SatCell IP product achieves this functionality by providing VOIP protocol stacks, voice codecs, and switching capability within the basestation. This unique functionality has never before been integrated into a single low cost unit that is also capable of delivering 2G and 3G cellular services.

In light of the recent comments by the FCC regarding VOIP services, the company feels that the application of the SatCell IP technology is unique in that the ability to install separate applications at the basestation makes it compatible with all forward looking FCC proposals relating to surveillance and security with regard to law enforcement agencies, which other technologies operating in this space do not have.

The SatCell IP product is especially suitable for Homeland Defense and Military communications as it provides immediate deployment of SDR wireless network functionality for multiple users on different channels and frequencies simultaneously from the one radio. The SatCell IP can easily be rapidly deployed into areas where communications have been unexpectedly interrupted, or to augment existing wireless services in the case of emergencies such as the terrorist attack on New York City in 2001, major earthquakes, and other unexpected natural disasters.

With the recent advances in QOS (Quality of Service) technology, commercial VOIP applications are being more extensively and rapidly deployed by the major Telco's. The SatCell IP technology has already attracted a high degree of interest, especially in China, South East Asia, and South America, from network operators faced with having to deliver wireless services to rural areas and other remote locations without any existing telecom infrastructure.

"Wireless hand-held device applications are predicted to be the "next wave" technology boom and our company's SDR wireless technologies are well situated to be at the forefront of providing rapidly deployable reconfigurable wireless infrastructure to support the delivery of these services. This is the only product of its nature that we have identified in the industry, and the SatCell IP product is the only basestation technology to incorporate VOIP and switching applications at the radio itself, whilst supporting multiple communications protocols simultaneously" said Jason May the companies' Chief Technology Officer.

About Military Communications Technologies

Military Communications Technologies, Inc. is a technology company involved in the development and distribution of proprietary software-defined radio (SDR) commercial and military mobile wireless network applications. The Company's core product, PC4 is specifically targeted to the demands of the Military and Homeland Defense agencies for large-scale defense-grade reconfigurable wireless communications systems. PC4, which stands for Programmable, Command, Control, Compute, and Communicate, is a next-generation SDR framework and proprietary operating system uniquely designed for interoperable, lightweight and mobile military communications systems. The PC4 framework is also especially suitable for radar and high-speed digital RF and GSM surveillance systems. The Company's proprietary SpectruCell SDR (tm) technology offers commercial wireless providers a cost-effective, software-based method to upgrade systems to next-generation standards and makes networks interoperable with most wireless protocols.