Westlake Global Technology Solutions Makes Strategic Investment in ACECOMM

Business Wire, Jan 7, 2003

Business Editors/Hi-Tech Writers

GAITHERSBURG, Md.--(BUSINESS WIRE)--Jan. 7, 2003

ACE*COMM and Westlake Expand Asia-Pacific Focused Relationship to Encompass Master Reseller Agreement, Technology Purchase, and Corporate Investment

ACE*COMM (NASDAQ:ACEC), a global provider of advanced operations support systems (OSS) technologies, and Westlake Global Technology Solutions, a supplier of advanced networking technologies, announced today the formation of a strategic alliance to accelerate business development in the Asia-Pacific marketplace.

As a long-time business entity and investor in the Asia-Pacific region, Westlake is focused on delivering advanced U.S. technologies into the telecommunications and enterprise sectors in China. Under the terms of an agreement signed between the two companies:

-- Westlake will acquire approximately 5 percent of the common shares of ACE*COMM, the proceeds of which will be used to invest in further build-out of ACE*COMM's infrastructure in China, and to accelerate its business development efforts in the Asia-Pacific region.

-- The Companies further executed a Master Reseller Agreement covering this market. Under the terms of this agreement, Westlake will work closely with ACE*COMM on business development efforts, and will be responsible for the importing and distribution of ACE*COMM products into China.

-- Westlake will initially purchase US $1 million of ACE*COMM Convergent Mediation(TM) technology for delivery to its Chinese customers.

"Westlake brings domain knowledge to our market penetration efforts in China," said George T. Jimenez, ACE*COMM's Chairman and CEO. " This multi-faceted and strategic relationship expands on our collaboration to date, enabling us to more effectively leverage Westlake's strong historical presence in the Asia-Pacific region, its well-established distribution capabilities, and its financial strength. This alliance is backed by the resources necessary for us to aggressively drive toward our goal of being the foremost provider of mediation solutions to the Chinese marketplace - one of the most promising markets for this technology in the world."

"We have partnered with and invested in ACE*COMM because they are exceedingly well positioned to capitalize on a substantial market opportunity in China and become the market leader in convergent mediation solutions," said William H.C. Chang, Chairman and CEO of Westlake Global Technology Solutions. "Over the past year ACE*COMM has focused its energies on the emerging and significant demand for OSS solutions in China and other Asia-Pacific regions. It has developed important partnerships and won significant initial reference customers. ACE*COMM has demonstrated the skills and experience required to achieve success in this geographic market arena, and Westlake Global Technology Solutions is pleased to support its efforts for new growth and expansion."

Martin Demers, ACE*COMM's Chief Marketing Officer added: "As a company, our momentum in China is being driven by customers and prospects who realize the critical value of mediation as a business development technology. Our Convergent Mediation(TM) suite is well suited to China's new directives from the Ministry of Information Industry for settlement accounting among the new carriers and itemized billing for customers. Additionally, it addresses the market need for real-time data collection to enable the addition of new subscribers and deployment of new services. This stronger alliance and investment will enable us to expedite our efforts to achieve our goals in this market."

About Westlake Global Technology Solutions (WGTS)

WGTS supplies advanced networking technologies from the U.S. to China's telecommunications, enterprise, and financial sectors. Headquartered in the U.S. with offices in Beijing and Shanghai, WGTS provides comprehensive solutions and support enabling its customers the ability to offer cost effective, world-class communications capabilities.

WGTS is an affiliate of Westlake Global Management, Inc., a global investment management company with a 30-year business history in the U.S., China and Japan.

About ACE*COMM

ACE*COMM is a global provider of advanced Convergent Mediation(TM) products and Enterprise Telemanagement software applications. ACE*COMM's solutions are employed in wired and wireless networks that deliver voice, data, mixed media and Internet communications. Their proven technology provides the ability to capture, secure, validate, and enhance data from multiple networks.

These operations are performed interactively with a data warehouse, and processed information is distributed in near real-time, to all types of carrier OSS (Operations Support Systems) and BSS (Business Support Systems). Solutions are matched to each customer's business environment.

They provide the analytical tools required to extract knowledge from operating networks - knowledge our customers use to generate more revenue, reduce costs, accelerate time-to-market for new services, and deliver more effective customer support.