Wednesday, February 20, 2008

The Secret All Shareholders are Wanting to Know

We get a lot of email asking "What is happening to the stock.. is it going to go up? Is it going to go down?"

We are very puzzled by these questions, and it's hard to believe that anyone expects us to have any idea, let alone answer that question.

Anyone should know that the Company can't influence the price of the stock. And the Company can't predict the price, and it won't comment on it's opinion of what the stock price will be at any time in the future.

Business Plan - 2008

We get many questions that we just can't answer to one individual - that wouldn't be fair or appropriate. So to get the information out, and to give answers we can do so if we provide the information to everyone. A popular question has been "What are the expansion plans for the Company?" That's also an important question and one that investors can use to judge the suitability of an investment in the Company.

USNT is a growing collection of investments in small companies, and we think this makes sense. So far, each company, division or subsidiary is in a slightly different, although related, marketspace.

The different markets allow the Company to be involved in slightly diverse marketspaces, to hedge it's bet a little, and take advantage going forward of any increase in one market over another.

The related aspects of the committed investment in each company allows us to be able to build upon our knowledge and experience in the same field - in this case, VoIP and telco technology.

The benefits of this strategy also include the fact that we start to gain excellent economies of scale, which will reduce our costs over time. For example, we can use the same Mexican telecom company as provider for both Vitelity and oneWorld (wholesale). As volume increases to any one supplier we can expect that our overall cost per minute to that supplier will be reduces. Volume discounts.

INTERNATIONAL EXPANSION
Vitelity.com offers low-cost retail accounts, and wholesale voice traffic. Until late 2007, Vitelity was mostly interested in handling voice traffic (minutes) to the USA and Canada - a very large and growing market. Vitelity did offer international termination, but not very much of the business revenue was tied to international.

However, late in 2007, Vitelity started to promote the use of their network for international voice traffic. This has increased the volume of such traffic, and helped to increase revenues.

But in order to separate the the busienss of selling to hundreds of smaller resellers, and the market geared to very high volume international voice traffic, it was decided to create a "high volume wholesale" entity called oneWorld Networks. Under this new name, oneWorld can offer huge discounts to high volume customers - many of whom spend $10,000 and much more, per month. But they will only do so if given extra special discounts.
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Sunday, February 3, 2008

Acquisition of Packetrino

USNT acquired a major share ownership in Packetrino, started and owned by software programmer Mario Guzman. The purchase price paid is based on performance, with a maximum of $685,000 in development expense, cash and shares to be paid over the next two years. This Packetrino deal will not cause any immediate impact on USNT shares for current shareholders, and any shares paid as part of the purchase price will be restricted and may not be sold for at least two years.

Packetrino is developing a product commonly known as a Session Border Controller, or SBC and a softswitch. However, the Packetrino SBC will have additional management features as well as security and load balancing features that are missing or cost extra in other SBC products.

The Packetrino product will be sold as a hardware/software combination, sold as a pair of servers. Prices will range from $14,850 for the load balancer and security version, to upwards of $84,000 for the SBC and routing version. Other companies in this marketspace include Acme Packet, Sansay, and NexTone. Packetrino pricing will be about half of what these other companies charge, but will include many additional features.

USNT expects that Packetrino will be a winner. Products will start shipping by Spring 09. www.Packetrino.com