RNS Number:9625L
Tecteon PLC
05 June 2003


                                  ANNOUNCEMENT


                                   TECTEON PLC

5th June 2002

 
Tecteon plc (TEO) has disposed of 1,000,000 shares in New Opportunities
Investment Trust plc (NOIT) to generate #250,000 in cash. Whilst representing a
book loss of #750,000, the sale has produced a valuable net cash injection to
the business, which will be used partly to reduce borrowings and partly to
support ongoing development and marketing of its voice quality software for use
in the voice communication space. Tecteon still holds 250,000 shares in New
Opportunities Investment Trust worth approximately #62,500.

Tecteon has now completed its unique intelligent far-end echo-cancellation
detector and is in the final stages of testing prior to market release. The
far-end detector means service providers and network operators can cancel echoes
in other networks automatically. Until now other networks had to be relied upon
to cancel echoes in their networks: if they did not, the caller suffered poor
quality and revenue would be lost. Typically the cheapest routes suffered from
echo, so service providers needed to connect to higher cost networks to ensure
quality on calls - not always successfully. Now, by deploying technology from
Tecteon to assure quality end-to-end, on any connection regardless of the
terminating network's configuration, service providers and network operators
will be able to use low cost connections and yet be able to guarantee call
quality to their customers.

Tecteon is able to offer a software-only solution to switch manufacturers, and
is negotiating to offer it on a robust platform for operators whose existing
hardware cannot be upgraded with software alone. This broadens the potential
market size for Tecteon very significantly.

Tecteon will shortly announce its Universal Tone Detection algorithms also,
which will allow manufacturers to load one algorithm regardless of the
destination of the equipment: previously localised tone detection algorithms
were required adding to manufacturing cost and complexity; the universal
detector will simplify the process and reduce costs.

Masoud Alikhani, Chairman of Tecteon plc said 'Our solution offers manufacturers
and operators real user benefits and cost savings. By offering flexible,
intelligent end-to-end quality support, service providers and network operators
can drive down costs at the same time as improving their customers' experience.
That's a very compelling proposition in the current market'.



Masoud Alikhani            0207 408 1181
Adrian Dallison             07815 312543


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