Also extends 'free calls to 40 countries' offer until the end of 2007

Truphone's new capabilities demonstrate the distinct advantages of its true IP approach over 'bridging VoIP' services that ultimately have to rely on traditional telephony.

• The new SMS over IP capability brings the prospect of unlimited free SMS messages between on-net Truphone users, with a flat-rate tariff of GBP0.07/USD0.15 to all other regular mobile numbers worldwide.
• Presence functionality enables users to know exactly when they can make a free call or send a free text message to another Truphone user.
• Smart log-on means a Truphone-enabled handset now 'takes care of its owner' by automatically connecting to previously used Wi-Fi access points.
• Truphone over 3G is made available at the request of customers with suitable 3G tariffs. While this allows low cost VoIP calls from many more locations, Truphone still recommends VoIP over Wi-Fi as being of higher call quality and less susceptible to high charges data charges.
• Multi-SIM capability means Truphone supports travellers who take international SIM cards with them abroad. Calls to their Truphone number will reach them whichever SIM they're using at the time.
• Truphone 3.0 also brings compatibility with a greater number of routers, reducing the likelihood of port-blocking; a simplified, more intuitive installation process; and a significant number of bug-fixes.
• Existing Truphone customers and anyone signing up for Truphone before September 30th can make free Truphone calls to 40 countries until the end of 2007.
• Anyone can get Truphone by sending a text message with the word 'Tru' to +44 7624 000000.

James Tagg, Truphone's CEO, said:

"We were the first company to demonstrate SMS-over-IP in our preview version at the beginning of June and we've been delighted at the feedback we've received. People love free and low-cost text messages. Today, the new Truphone service is ready to download for everyone."

"The ability to see presence - to know a contact is online and callable for free - has particular significance for mobile users, because there are far greater savings to be had. Now you know for sure when that mobile call to your uncle in Australia is free."

"The introduction of these new IP-enabled services gives a glimpse of the potential for pure IP mobile telephony and demonstrates the clear benefits of true IP telephony over bridging solutions. We envisage a world where content-rich, location-based services and much more will be possible via Truphone."

Truphone is currently available on S60 powered Nokia E60, E61, E61i, E65, E70, N80i and N95 handsets, and will be supported on the E90 handset as soon as that handset becomes available. Truphone is working to support additional handsets from Nokia and other manufacturers.

www.truphone.com