RNS Number:8626K
Business Serve plc
11 April 2005



 BUSINESS SERVE SIGNS STRATEGIC PARTNERSHIP WITH ZYXEL TO BRING CHEAP INTERNET
                     TELEPHONE CALLS TO THE DOMESTIC MARKET



Business Serve PLC, one of the UK's leading converged communications providers,
offering both traditional ISP products and telecommunications services including
Voice Over Internet Protocol ("VoIP"), has signed a Strategic Partnership
Alliance with Zyxel Communications UK, the UK subsidiary of one of the world's
leading broadband access solutions specialists.



The alliance will bring free or cheap Internet calls (VoIP) via specially
configured handsets and downloaded software to the domestic market.



The alliance will combine Business Serve's VoIP service, Pipecall, with ZyXEL
manufactured hardware equipment, such as broadband connecters and Wi-Fi phones.
The partnership centres on marketing and retailing jointly branded products and
services through high street retail electrical chains.



The launch of a 'plug-and-play' CD, developed in-house by Business Serve, allows
customers to simply and easily configure very cheap telephone calls over their
broadband connections. CDs, with the hardware, will be available from high
street stores or over the Internet.



Justin Kuo, General Manager at ZyXEL Communications A/S, commented:



"Signing an alliance with Business Serve is an important step and gives us
further in-roads into the growing VoIP marketplace.  We recognise Business Serve
as an innovative player within the communications sector, one of the key
criteria during the partner-selection process.  Business Serve has demonstrated
its capability to develop the technology, which will accelerate the adoption
rates of VoIP to a cross-section of end-users including corporate and retail
customers. The combined solution will provide us with a successful route to
market."



Simon Cleaver, Chief Executive Office, Business Serve plc commented:



"Our development of 'plug-and-play' technology has generated interest from a
number of key companies within the telecommunications industry. ZyXEL is a
natural fit with our existing portfolio.



"Our Internet telephony service and ZyXEL's hardware combine to provide a cost
effective VoIP solution aimed at all levels of end user but particularly the
domestic market via high street retail outlets.  It will enable consumers to
substantially cut their fixed line telephone calls and the associated cost."



                                                                   11 April 2005



Enquiries:

Business Serve
    Simon Cleaver, Chief Executive                           01524 525538

College Hill
    Adrian Duffield/Clare Warren                       020 7457 2815/2055










Note to editors



Business Serve plc is one of the leading Converged Communication providers in
the UK. By combining traditional ISP products with Telecommunication services,
including VoIP technology, Business Serve is able to deliver highly resilient
and cost effective Converged Communication solutions to the corporate, SME and
SoHO marketplaces.



Business Serve, in the last few years, has shown rapid expansion through a
combination of organic growth and acquisition.  Employing 204 staff within five
offices nationwide, Business Serve is concentrating on providing cutting edge
products with increased user flexibility designed to deliver an excellent and
constantly improving customer experience.



www.businessserve.co.uk



About ZyXEL Communications UK Ltd

ZyXEL Communications UK Ltd is the UK subsidiary of a market leading end-to-end
designer and manufacturer of xDSL, firewall, wireless, routing and IP switching
equipment.  The company offers comprehensive technical support and customer
service to the ISP, Telco and IT distribution channel.


ZyXEL was founded in 1989 as a modem developer with the mission to create
Internet access solutions that accelerate information exchange and improve
effectiveness of people and organisations.


ZyXEL is one of the world's leading broadband access solutions specialists.
With headquarters located in Taiwan, ZyXEL maintains offices in the United
States, Europe and Asia, ZyXEL has more than 1000 employees globally, with
distributors in more than seventy countries, and products marketed in more than
150 countries on five continents.



www.zyxel.co.uk








                      This information is provided by RNS
            The company news service from the London Stock Exchange
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