China Now Second Only to U.S. in iPass Wi-Fi Footprint; iPass Global Network Nears 140,000 Locations

REDWOOD SHORES, Calif. — October 26, 2009 — iPass® Inc. (NASDAQ: IPAS), a leading provider of enterprise mobility services, today announced that iPass customers now have access to China Telecom's new 3G mobile broadband network and over 20,000 Wi-Fi® hotspots in China. Both connectivity options have been integrated into the iPass Global Network and are available to the iPass customer base today. The 3G service is based on a rapidly expanding EV-DO Rev A network that allows iPass users to take advantage of dramatic performance improvements. iPass' Wi-Fi footprint in China is now exceeded only by that in the United States, and the total iPass Global Network now encompasses nearly 140,000 locations—the largest Wi-Fi footprint available from a single service provider.

"iPass is expanding on its commitment to provide a simple and smart connection experience for enterprise users all over the world by making major inroads into the Chinese wireless market," said Evan Kaplan, president, CEO, iPass Inc. "The world's largest workforces rely on iPass to ensure that no matter where they are or what type of device they're using, they can connect to the Internet and corporate resources."

iPass' in-country customer base and multi-national travelers to China will now benefit greatly from this significant growth in the iPass network. Users in China will experience robust 3G connectivity in major Chinese metropolitan areas, while travelers to China can avoid expensive 3G roaming fees by connecting to pervasive Wi-Fi hotspots.

"Since January 2009, when China issued 3G mobile phone licenses, China Telecom has invested heavily in building new networks," said Mr. Zhang, director, China Telecom. "We are enthusiastic about our partnership with iPass to provide both Wi-Fi and 3G connectivity that address complex enterprise connectivity needs."

3G in China
To date, iPass customers have benefited from iPass' existing relationship with China Telecom which has provided a 1xRTT mobile broadband service with speeds of 144 Kbps across 99 percent of China. Now, China Telecom is upgrading parts of that network to EV-DO RevA. Where EV-DO coverage is available, users will experience average download speeds of 600-1400 kbps, with bursts up to 3.1 Mbps; and average upload speeds of 500-800 kbps, with bursts up to 1.8 Mbps, with fallback to 1xRTT.

Wi-Fi in China
Through the iPass Mobile Office™ service, multinational companies can give their employees based in China or traveling to the world's most populous country affordable and simple wireless access to the Internet and corporate applications. For iPass customers on Enterprise Flat Rate price plans, this additional Wi-Fi footprint is available at no additional cost per active user.

iPass' China hotspots are found in hotels, restaurants and transportation facilities in over 227 major Chinese cities including Shanghai, Guangzhou, Shenzhen, Nanning, Hangzhou, Chengdu, Dalian, Kunming, Wuhan, Chongqing and Xi'an. Over the past year, iPass has seen a tremendous uptake of wireless access in China, with use and revenues more than doubling year-over-year despite the economic recession. In addition, the 2008 China Business Travel Survey from American Express revealed that travel and entertainment spending in China by foreign-owned companies rose 59 percent in 2008, a trend that is expected to continue in 2009 and 2010.

The China Telecom network infrastructure has completed iPass' Enterprise Ready Certification, which ensures high levels of access reliability and compatibility with enterprise systems.

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