August 29, 2007 - Denver, Colorado & Peterborough, Ontario: v.1 Labs, a leader in customer care and support solutions to the service provider marketplace, and Capella Telecommunications, Inc., a Canadian Value Added Reseller in the telecommunications industry, today announced an agreement through which Capella will distribute and support v.1 Labs' customer support solutions.

v.1 Labs provides a range of software applications including three solutions (Front Line, TASI, and IP Diagnostic Centre) for cable operators offering telephony and high speed internet. These diagnostic and installation tools are designed to reduce operational expenditures, in part by substantially reducing inbound call volumes and allowing customer care representatives to dramatically reduce the call handle times associated with solving problems within the customer premises. These tools offer low risk value while being easily configured, deployed and supported.

"Capella has the proven expertise, relationships, and resources to market and support our solutions," stated Mike Earle, President and CEO of v.1 Labs. "Their well deserved reputation for superior service, and their experience in the Canadian cable telephony and IP markets, makes them a logical choice as a v.1 Labs reseller."

"The customer care solutions from v.1 Labs will enable Canadian cable companies to significantly reduce costs, and Capella is pleased to partner with v.1 Labs to expand the Canadian market for their software solutions," stated Norm Slater, President of Capella Telecommunications. "Capella's customers are always seeking the best of new technology to help them expand and support their services and customer base, and v.1 Labs provides Canadian operators with the ability to better serve their subscribers in a cost-effective manner."

According to the agreement, Capella will immediately provide a distribution channel and support for all v.1 Labs software solutions, including TASI, Front Line, and IP Diagnostic Center. Front Line anticipates common home networking and desktop issues that routinely generate calls to customer service representatives (CSRs), and works to both self heal such issues, and make any calls to CSRs more efficient. Similarly, IP Diagnostic Centre reduces the number of inbound calls to the operators' call centre from customers with IP-based set top boxes, cable modems, or voice enabled eMTAs in their homes. The software allows operators to gather historical data from the set top box, and perform self healing when required. The tool also changes the way in which operators monitor devices on the network by polling the device from within the home as opposed to across the network, providing real time data and alarming.

Capella has demonstrated expertise in the cable telephony market for the past four years and has provided products and services to many cable operators as they enter this new market. With its corporate office in Peterborough, Ontario and branch offices in Montreal and Vancouver, Capella's technically experienced staff is well positioned to serve their customers across Canada. Their customers range from large telecom service providers to numerous small and mid-size companies that require equipment and solutions in the broadcast, cable, telecom and utility sectors.

About v.1 Labs

v.1 Labs is an innovative leader in the development of enterprise software applications designed for Broadband, Digital Subscriber Line (DSL), Wireless and Dial-Up Service Providers (ISP) for Internet and IP Video services to eliminate or significantly reduce subscriber call drivers. Having invested more than 40 collective years of experience working in the ISP market, our management and sales teams have become the conduit through which we are delivering advanced software solutions including wireless, DSL and broadband software to both commercial and enterprise customers.

About Capella Telecommunications Inc.

Capella is a Value Added Reseller providing the telecommunications industry and utilities with support services and products from world-leading manufacturers. Its focus on customer service and tailoring products to meet customers' specific needs has made Capella a leader in the communications industry. Capella stocks a full line of leading edge equipment for fully integrated video, voice and data solutions. Visit Capella at www.capella.ca.

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