Phonetime is accelerating the expansion of its telecommunications network. This expansion comes as a direct result of two consecutive months of record revenue, totalling nearly $25 million, and the anticipated continued growth due to the integration of the recently acquired Symphony Telecom. The 2008 year-to-date revenue is 80% higher than the first two months of 2007 and already surpasses the entire Q1 - 2007 revenue of $21.3 million.

Phonetime has placed orders with Alcatel-Lucent, its main switching hardware provider, as well as other key suppliers for its VoIP network infrastructure in Toronto. Phonetime is also in the process of completing the move of its telecommunication switches into new network co-location facilities built specifically for them by Bell Canada. These new facilities are maintained by the same property management and security service used by Bell. The new space is double the size of Phonetime's previous location and allows for continued expansion into the foreseeable future.

To accommodate its rapidly growing international VoIP traffic, Phonetime has placed IP bandwidth orders with Level (3) Communications and Bell Canada for additional capacity. Orders have also been placed with both Bell Canada and Telus Corporation for additional domestic facilities to support the growing demand on its Canadian network, which is already one of the largest privately held networks in the country.