TechnoConcepts announces that its subsidiary in China, Jinshilin Techno has received from the Shanghai Forest Electronics Technology a product supply and sales contract for 100,000 set-top boxes integrating both Internet Protocol Television (IPTV) and Voice Over IP (VOIP) phone services. The contract represents the first such purchase order pursuant to the Cooperation Agreements between Jinshilin Techno and Shanghai Forest, under which Jinshilin Techno expects to ship a total of two million IPTV/VOIP set top boxes to Shanghai Forest by the end of 2009.

Shanghai Forest has agreed to pay in excess of $9 million for the 100,000 boxes, with 30% of the price of each shipment to be paid in advance. The first shipment is for 5,000 units in February 2007, ramping up each month to a shipment of 30,000 units in July 2007.

The set top boxes will be deployed in Shangqiu, China, a city with two million rural users. The units shipped will be integrated into an IPTV/VOIP network being built by Shanghai Forest in cooperation with Alcatel Network Support System Company Inc. as part of the Henan Province’s Television and Broadcast Bureau’s project to supply in-home IPTV television and VOIP telephone services to the rural residents of the Henan Province.

“This initial sale marks a significant accomplishment for Jinshilin Techno,” said Antonio Turgeon, Chairman and CEO of TechnoConcepts. “We are very positive that this contract stands as a milestone deal that our subsidiary can duplicate because this set top box has been under evaluation by several different companies for additional opportunities in China and abroad. We are aggressively exploring several similar opportunities and are confident that we well be able to secure additional agreements.”